Sunday 19th November 2017

Resource Clips


Posts tagged ‘northwest territories’

Canadians need to get past the Klondike to understand mining’s contributions: Stan Sudol

October 13th, 2017

by Greg Klein | October 13, 2017

Rights offerings to be streamlined, says CSA

Like the nugget in this prospector’s hand, the
Klondike’s place in history looms unrealistically large.

The Fraser, Cariboo and Klondike gold rushes undoubtedly played an important nation-building role, with the latter becoming especially famous “thanks to terrific public relations from writers like Jack London, Pierre Berton and Robert Service,” says Stan Sudol. But how important were those events when the Yukon coughed up about 12 million gold ounces, “small change compared to the Timmins camp which is currently at 73 million ounces and counting!”

In a speech to the Canadian Business History Association Conference the Sudbury native and communications consultant/mining strategist/speech writer/mining blogger related how Ontario’s gold and base metals discoveries far surpassed the western gold rushes for their importance to the Canadian economy. “Notwithstanding the historical hype of the Klondike the two most important mining events in our history are the discoveries of the Sudbury nickel mines in 1883 and the Cobalt silver boom of 1903.”

And, he notes, while London, Berton and Service missed out on these developments, Sudbury did attract the attention of Stompin’ Tom Connors.

Sudol outlines the history of the Ontario and Quebec camps, looking at their social and environmental impacts as well as economic contributions. His compelling account takes readers up to the present, as mining in the Northwest Territories and Nunavut helps create an indigenous middle class.

Read it here on the Republic of Mining.

First visit yields surface grades up to 7.32% on 92 Resources’ new Quebec lithium property

October 5th, 2017

by Greg Klein | October 5, 2017

First visit yields surface grades up to 7.32% on 92 Resources’ new Quebec lithium property

A single day of due diligence on a new acquisition brought high lithium values for 92 Resources TSXV:NTY. Selected grab samples from the Corvette property in northern Quebec assayed 0.8%, 3.48% and 7.32% Li2O at surface from one pegmatite outcrop and 1.22% from another, which also showed an anomalous tantalum result of 90 ppm Ta2O5.

The 3,891-hectare property comprises one of three prospective lithium acquisitions in Quebec’s James Bay region announced last month.

The two spodumene-bearing pegmatites, about 75 metres apart and trending sub-parallel, “highlight the prospective nature of the property,” 92 Resources stated. With only a small part of the property explored so far, the company has more prospecting as well as channel sampling planned before winter sets in.

In September the company announced a two-week program of prospecting and channel sampling at its flagship Hidden Lake lithium project in the Northwest Territories. Follow-up metallurgical results released the same month on a concentrate produced from Hidden Lake material showed an overall extraction rate of 97%.

92 Resources also has a 43-101 technical report planned for its Golden frac sand project in eastern British Columbia.

Read Isabel Belger’s interview with 92 Resources CEO Adrian Lamoureux.

Arctic Star Exploration finds “highly anomalous” niobium, rare earths and phosphate at B.C. project

September 25th, 2017

by Greg Klein | September 25, 2017

Highly anomalous means highly encouraging, especially at such an early stage of exploration. That’s how Arctic Star Exploration TSXV:ADD characterized its first batch of assays from the Cap property in east-central British Columbia. The news follows last month’s announcement of an extremely rare carbonatite-syenite discovery, suggesting potential for a range of commodities. Now assays for grab samples and the first drill hole show highly anomalous niobium, rare earths and phosphate, the company stated.

Arctic Star Exploration finds “highly anomalous” niobium, rare earths and phosphate at B.C. project

Some intervals of
carbonatite from CAP17-004.

Five selected grab samples assayed 0.2% niobium pentoxide, hitting a peak of 0.96% Nb2O5, while three grab samples brought more than 0.2% total rare earth oxides, peaking at 0.39% TREO. Three samples contained over 5% phosphorus pentoxide with a peak value of 12.62% P2O5.

CAP17-004, the first of four drill holes, showed:

  • 0.35% Nb2O5 over 10.42 metres, starting at 85.24 metres in downhole depth
  • (including 0.63% Nb2O5 over 2.26 metres)

  • 9.94% P2O5 over 19.63 metres, starting at 98.87 metres
  • (including 20.97% P2O5 over 2.55 metres)

  • 0.81% TREO over 2.4 metres, starting at 136.1 metres

True widths weren’t provided. The last interval also showed a peak value of 69 ppb gold and over 1% TREO.

Along with sampling and drilling, the summer program included mapping and prospecting over an area of about three kilometres by one kilometre.

“The discovery of highly anomalous concentrations of niobium, phosphate and REOs at such an early stage in the exploration of the Cap project should be considered highly encouraging,” said consulting geologist Jody Dahrouge. “Future exploration at Cap will follow up on surface samples that contained highly anomalous concentrations of niobium and may be related to drill hole CAP17-004.”

Reporting from their Diagras diamond project in the Northwest Territories late last month, Arctic Star and 60% JV partner Margaret Lake Diamonds TSXV:DIA announced geophysical results that could potentially indicate “the largest kimberlite complex in the Lac de Gras field.” Further geophysics are on the 18,699-hectare property’s spring agenda, with drilling to follow.

As for Arctic Star’s recently acquired Timantti diamond project in Finland, assays released in July from historic core on the White Wolf kimberlite showed 111 microdiamonds. The company had earlier found 58 microdiamonds in an 18.9-kilogram sample taken from the same kimberlite.

Timantti covers part of the Fennoscandian Shield, host to major Russian diamond mines Lomonosov and Grib.

In July the company offered a $1.25-million private placement.

Read Isabel Belger’s interview with Arctic Star president/CEO Patrick Power.

92 Resources adds three Quebec properties to its lithium portfolio

September 21st, 2017

by Greg Klein | September 21, 2017

While work continues on the flagship Hidden Lake project in the Northwest Territories, 92 Resources TSXV:NTY expanded its holdings with three more lithium prospects. All located in Quebec’s James Bay region, the newcomers total 5,953 hectares, with each property showing pegmatite outcrop.

92 Resources adds three Quebec properties to its lithium portfolio

An outcrop on the Corvette acquisition shows coarse-
grained spodumene crystals with lengths up to a metre.

The 3,891-hectare Corvette property hosts an outcrop measuring about 150 metres by 30 metres showing abundant coarse-grained spodumene crystals up to one metre in length, the company stated. Other potential pegmatite outcrops along trend are priorities for follow-up work.

Sitting less than 12 kilometres from an all-weather highway, Corvette covers the eastern continuation of the Guyer greenstone belt, offering precious metals potential as well.

On the 1,109-hectare Eastmain property, 92 Resources interprets a large pegmatite outcrop to be along strike from ASX-listed Galaxy Resources’ James Bay deposit. An all-weather highway passes less than seven kilometres away.

The 953-hectare Lac du Beryl property features several pegmatite outcrops, “many of which display characteristic pathfinder minerals commonly associated with spodumene pegmatites,” the company added. Lac du Beryl sits 16 kilometres from a transmission line.

Three days earlier 92 Resources reported a 97% overall extraction rate on a spodumene-montebrasite concentrate produced from Hidden Lake material. The tests used industry-standard techniques, the company stated. Phase II tests are planned while a two-week channel sampling program wraps up.

In eastern British Columbia, the company also holds the Golden frac sand project, which underwent a 10-day field program this summer.

Read Isabel Belger’s interview with 92 Resources CEO Adrian Lamoureux.

92 Resources advances NWT hardrock lithium metallurgy

September 18th, 2017

by Greg Klein | September 18, 2017

92 Resources advances NWT hardrock lithium metallurgy

Follow-up tests using standard methods brought high-grade lithium results for 92 Resources’ (TSXV:NTY) Hidden Lake project in the Northwest Territories. After further work on a spodumene-montebrasite concentrate of 6.16% Li2O produced in July, the company now reports an overall extraction rate of 97%. The tests consisted of roasting followed by acid baking and water leaching, industry-standard extraction techniques for lithium, 92 Resources stated.

The next stage calls for magnetic separation, heavy liquid separation and additional flotation on material collected during the current field program. So far work has used analytical reject material, but whole rock material will be preferred for Phase II, the company added.

Earlier this month a crew returned to the property, about 40 kilometres by road from Yellowknife, for a program of channel sampling and prospecting for additional pegmatites.

The summer agenda also included field work at the company’s Golden frac sand project in eastern British Columbia. The property sits adjacent to Heemskirk Canada’s Moberly project, a former source of silica sand for the glass industry that’s now being redeveloped as a frac sand production and processing operation.

Read Isabel Belger’s interview with 92 Resources CEO Adrian Lamoureux.

92 Resources returns to the field at its NWT hardrock lithium project

September 6th, 2017

by Greg Klein | September 6, 2017

Hoping to kick up more evidence of lithium, boots will hit the ground shortly as 92 Resources TSXV:NTY heads back to its Hidden Lake project in the Northwest Territories. The company expects the two-week program to prepare the road-accessible project 40 kilometres from Yellowknife for Phase I drilling later this year.

92 Resources returns to the field at its NWT hardrock lithium project

Plans call for channel sampling on HL6 and HL8, two pegmatites discovered last year that yielded grab samples up to 1.86% Li2O. Prospecting between the HL6 and D12 pegmatites will try to determine whether these two features located about 1.4 kilometres apart could comprise a single body. Regional prospecting will search for additional pegmatites while further channel sampling on the HL1, HL3, HL4 and D12 pegmatites will support ongoing metallurgical tests.

Metallurgical results announced in July on a composite sample from Hidden Lake showed “amenability to simple and conventional spodumene mineral processing methods,” the company stated.

Funding for the field program comes partly from a $140,000 NWT Mining Incentive Program grant.

92 Resources also conducted a 10-day field program this summer on its Golden frac sand project in eastern British Columbia, adjacent to Heemskirk Canada’s Moberly project. A former source of silica sand for the glass industry, Moberly’s undergoing redevelopment as a frac sand production and processing operation.

Last month 92 Resources appointed former Yellowknife MLA David Ramsay to its board of advisers. As a territorial cabinet minister Ramsay’s responsibilities included Industry, Tourism and Investment (which included mining), Justice and Attorney General, Transportation, the NWT Business Development Corp and the Public Utilities Board.

Read Isabel Belger’s interview with 92 Resources CEO Adrian Lamoureux.

Geophysics show potential kimberlite expansion on Margaret Lake Diamonds/Arctic Star Exploration’s Lac de Gras JV

August 29th, 2017

by Greg Klein | August 29, 2017

Borrowing techniques that proved successful at Kennady North, Margaret Lake Diamonds TSXV:DIA and Arctic Star Exploration TSXV:ADD announced geophysical results that potentially expand their Diagras property’s known kimberlites. The partners hold 60% and 40% respectively of the joint venture in the Northwest Territories’ diamond-rich Lac de Gras region, where Margaret Lake acts as operator.

Geophysics show potential kimberlite expansion on Margaret Lake Diamonds/Arctic Star Exploration’s Lac de Gras JV

Last spring’s ground program of magnetics, gravity and electromagnetics targeted known kimberlites as well as “unresolved targets generated from public domain data,” the companies stated. Similar techniques have helped Kennady Diamonds TSXV:KDI further its understanding of the Kennady North property’s Kelvin and Faraday kimberlites.

Results dating to 2005 on Diagras’ Jack Pine kimberlite identified a north-south axis extending more than 500 metres, with about four to five hectares at surface. But recent work north of Jack Pine shows a possible new discovery that’s been named Sequoia. Although verification would call for more drilling, the new findings indicate an anomaly that doubles the geophysical footprint, potentially making this “the largest kimberlite complex in the Lac de Gras field,” according to the partners.

Geophysics around Diagras’ Black Spruce kimberlite show anomalous gravity lows up to about 200 metres south and east of a magnetic low and its corresponding diamondiferous drill results by a previous operator. Again, drilling will be necessary to confirm the presence of additional kimberlite.

The partners also reported other geophysical signatures that might indicate additional kimberlite in and around other known kimberlites on the 18,699-hectare property. Further geophysical evaluations are planned for next spring, along with a drill program.

In addition to its Diagras interest, Margaret Lake holds its namesake Margaret Lake project adjacent to Kennady North. In July, Arctic Star announced plans to acquire the Timantti project in Finland, where due diligence has confirmed the presence of micro-diamonds. Arctic Star also holds the CAP rare earths and rare metals prospect in east-central British Columbia. Early this month the company announced discovery of a carbonatite-syenite complex, an extremely rare occurrence potentially associated with “a plethora of commodities” and “the dominant source for niobium and rare earth elements,” the company stated.

Late last month Arctic Star offered a private placement up to $1.25 million.

Read Isabel Belger’s interview with Arctic Star president/CEO Patrick Power.

92 Resources president/CEO Adrian Lamoureux discusses early metallurgical results for his company’s Northwest Territories hardrock lithium project

August 16th, 2017

…Read more

Finland’s Arctic welcome

August 2nd, 2017

Arctic Star finds the Scandinavian north an hospitable place for diamond exploration

by Isabel Belger

Isabel Belger

Isabel Belger

Isabel: I would like to introduce the CEO and president of Arctic Star Exploration TSXV:ADD, Patrick Power. Hi Patrick, it is a pleasure to talk to you again.

To give the readers a chance to get to know you a bit, would you be so kind as to tell more about your background and your experiences in the mineral exploration business?

Patrick: I started in the business as a floor trader in 1984. I did that until 1990. In that period I met someone who became soon very prolific in the diamond world, Chuck Fipke. He found the Ekati mine, the first diamond mine in Canada and he got my interest up in diamonds and the exploration for diamonds. When I finished with the floor in 1990, I joined up with a company called Kelco Resources and I became a director there. That is how I got involved with the diamond world in Canada. Subsequent to that, I worked with a company called Montello Resources, and became the president and CEO. We did a lot of diamond exploration with that company from 1993 to 2000, primarily in Alberta.

We found the Legend field in Alberta with our venture partner Canaccord Canada, which is a Rio Tinto company. We didn’t have the numbers in the pipes that we wanted to. So my partner Tom Yingling and I started our own company called Arctic Star Exploration. We started with a diamond project in Manitoba with Rio Tinto. It kicked off with that project. We never did intersect in kimberlites. Shortly after that, we managed to encourage Buddy Doyle to leave Rio Tinto and he joined us on the Arctic Star board. That happened in 1996. Buddy Doyle brought over a project with him that we called Credit Lake. We spent about $25 million on Credit Lake over a period of seven to 10 years I believe. It was a long time. It just ended recently.

Isabel: Interesting! That tells already a bit of the history of Arctic Star itself. Congratulations on the news on a new member of the board and your new project in Finland. What made the connection to Finland?

Arctic Star finds the Scandinavian north an hospitable place for diamond exploration

Patrick: Thank you, we are very excited and happy about both. It was about 2006 when Buddy Doyle looked at this project we just took into the company. We made an offer for a percentage of it. But they wanted €12.5 million for 25% of it, which we didn’t have the ability to do back then. Then 2008 came and everything became really difficult for all resource companies, specifically for diamond companies. It became very, very difficult.

Roy Spencer, who you could call the father of the Cinnamon project, found the Grip pipe, 450 kilometres east in Russia as the president of Arctic Angel in 1996. That turned out to be a mine, which started producing about two years ago. But as usual in Russia, he got kicked out before it became productive. He traced chemistry trails to the Finnish border and all those trails originated in Finland somewhere.

Isabel: What makes you so excited about this project?

Patrick: No exploration was done there in historical terms. You cannot tell the quality of the diamonds from the chemistry, but usually you can tell the amount of diamonds. All that chemistry was flooding in over 80 kilometres with no answers as to the sources. In 2007, Roy drilled first in this new field. The important part of this is that fields usually have a minimum of 30 and a high of 300 pipes. The upside potential is that it is the first pipe in a new field and that is extremely important because it has good chemistry. It is a great jurisdiction, Finland. A couple of years ago, the Fraser Institute made Finland the number one mining jurisdiction in the world. Mining and exploration friendly!

Infrastructure-wise, the Black and White Wolf, which were the two first pipes discovered—they might actually be one, because they are only 48 metres apart, we will know more about this after further geophysics being done—are only two miles away from a bus stop. Compared to Canada this is amazing infrastructure and that translates right into that you would need far less grade to become a mine. You can have a lot less compared to the north of Canada in order to be still productive. That is a big point! Also it is a very stable country since it is rated a great jurisdiction to be in. We have got Roy on the board now, the man who found this particular discovery when he was with a different company. Another interesting fact: Roy was Buddy Doyle’s first boss at Rio Tinto. They were in the outback of Australia together for two years looking for diamonds. That was more than 30 years ago. And now they are reunited. So the team is back together again. This is one of the prime reasons we got this project because of this relationship between Buddy and Roy; Roy wanted Buddy to lead the project.

Isabel: What is the plan of the re-united team now?

The project offers everything if you are looking for diamonds. Great jurisdiction, great infrastructure, it is a new field, and it has got history in the same craton with productive mines in Russia.—Patrick Power

Patrick: We are going to get out there. We will go back to the Black and the White Wolf, the two pipes that he found in 2006/2007. We will do some geophysics on top of it that wasn’t done 10 years ago. We want to see if they join, get bigger, have multiple phases, do some more drilling, etc. With those two pipes, or maybe it is one, we can potentially make a mine. So there is work to do on the first two pipes of a new field. We expect to find a lot more pipes and that is exciting because the chemistry going into them is dynamic. The project offers everything if you are looking for diamonds. Great jurisdiction, great infrastructure, it is a new field, and it has got history in the same craton with productive mines in Russia.

Isabel: Let me interrupt you for a moment. Could you explain what a craton is?

Patrick: Sure. A craton is a thick, old chunk of continental plate where diamonds form. Kimberlite pipes are created when magma bubbles up through a craton, expanding and cooling on its way up.

I am really glad that we have got all that exceptional expertise within Arctic Star…. Roy was part of the team that found Orapa, the second-largest producing mine in the world that is in Botswana. So we have got lots of positive diamond experience with the two guys, plus they work together and like each other. Their records speak for themselves. They are probably the two most awesome diamond guys with that combined experience and mine-finding ability. They are pretty amazing. We’ve got the best people in the world.

Isabel: Yes, it sounds like it! So the next step is to do more work on your new project. Will you drill, and how deep will you have to drill?

Patrick: The two pipes are very close to the surface, so it is not that deep at all. We have two phases of two programs here. The first program will be carried out on Black and White Wolf, the two existing kimberlites. We will do geophysics on the ground, to determine whether they get larger, whether they come together and whether they have multiple phases. We will also put more drill holes into it to get more samples to get a better diamond count. Buddy thinks we need about 1,000 kilograms before he can make a judgement if we go ahead with it or if we drop it, so we only have a very small amount of material so far. We will take a lot more tonnage out of these drill holes.

Arctic Star finds the Scandinavian north an hospitable place for diamond exploration

Arctic Star VP of exploration Buddy Doyle collecting
float samples at the Timantti project in Finland.

And then out of a bigger concept, we have 250 hectares of mineral claim permitted; 140,000 square kilometres around it. So on that bigger puzzle we could encompass the entire field. We are going to fly EM and mag first and then we want to fly a gravity survey, which is quite expensive. It costs probably about three to four million dollars to get the gravity survey done, but it will be a tool that will be very useful. It has not been used that much in the diamond world; it is only a few years old. Gravity is a very difficult thing to produce on the ground. There are a lot of factors involved with that. This new tool that was developed by the U.S. military was re-developed into a commercial application by BHP and has been on the market for just a few years. Very expensive!

So that is what we plan to do on the big package, not just the claims we acquired, but the much bigger exploration permits that we are in the process of acquiring from the government. We think that this would give us the entire field picture. We will be able to prospect for the pipes in that field. That will be a big thing! We think there are a lot of pipes in this area. If the chemistry is good, it is suggested to have a lot of diamonds. But I repeat to state that it doesn’t tell you the quality of diamonds, but the quantity of diamonds.

Isabel: What is the time frame for that? This is not going to happen this year, is it?

Patrick: The only thing that is restricting us up there is the darkness. The latitude is pretty high, but it is not as cold as in northern Canada. So there is no temperature issue and again the infrastructure is great. It is just within the dark months that we can’t really do much.

Isabel: What is going on at your Cap property in northeast B.C.?

Patrick: In 2008 we diversified a bit from diamonds. We picked up a project from Zimtu [TSXV:ZC]. It is Jody Dahrouge [of Dahrouge Geological Consulting] who has been doing all the work on it for us. We spent only about $1 million developing a really nice niobium and rare earth target. It is probably in carbonatite; we are drill-testing as we speak. It has really good niobium numbers on surface and it is prospective. We decided with a million dollars into it, we need to drill it right now and we are crossing our fingers. It could be something really interesting. If we are successful, we are probably going to spin it out into a new company. We don’t want to mix niobium and diamonds. It will benefit the shareholders with a new share in a new company and we will staff it with people that know a lot about niobium.

Isabel: That sounds like a good plan! How much money do you have in the bank?

Patrick: We are planning to finance soon.

Isabel: How much of Arctic Star is held by the management?

Patrick: That sums up to be 25% by now.

Isabel: What do you like about the mineral exploration business?

Patrick: It is a difficult business, but it can be explosive on the upside. That is the thrill I like about it, which makes the difficult part worthwhile.

Isabel: What is your favourite commodity and why?

Patrick: Definitely diamonds! The reason for that is because it is so hard to find an economic deposit. It is very challenging.

Isabel: Good luck with the ongoing drilling in B.C. and with the new project in Finland. Thank you so much for your time and your insights. It is always a pleasure to talk to you.

Patrick: Thanks for having me, Isabel.

Patrick Power

Patrick Power, president/CEO
of Arctic Star Exploration

Bio

Patrick Power is a seasoned venture capitalist and financier with over 20 years of experience as a stock market professional and as director of public companies. He has been president and CEO of Arctic Star since its inception in 2002. Additionally, Mr. Power serves as a director of other mineral exploration companies. Arctic Star benefits from Mr. Power’s wealth of experience as a shrewd dealmaker, an adept financier and a tireless, results-driven leader of dynamic public companies. The company enjoys Mr. Power’s large network of contacts within the industry, his enthusiasm and his efforts as a member of the audit and remuneration panels.

Fun facts

My hobbies: Travelling and horse racing

Sources of news I use: Internet

My favourite airport: London Heathrow

My favourite tradeshow: PDAC in Toronto

My favourite commodity: Diamonds

With this person, I would like to have dinner: My wife

If I could have a superpower, it would be: Power for peace

Read more about Arctic Star Exploration here and here.

Neil McCallum of Dahrouge Geological Consulting looks at the closeology of Zimtu Capital’s 50%-held Munn Lake diamond project

July 31st, 2017

…Read more