Monday 24th October 2016

Resource Clips

Posts tagged ‘silver’

Copper North Mining drills porphyry copper-gold in northern B.C.

October 20th, 2016

by Greg Klein | October 20, 2016

Having released a PEA for its Carmacks copper-gold-silver project in the Yukon the previous week, Copper North Mining TSXV:COL reported drill results from the northern British Columbia Thor project on October 20. After two previous holes on the 20,000-hectare property’s Thor West area came up dry, a Thor East hole did better:

Hole TH16-01

  • 0.14% copper and 0.045 g/t gold over 107.6 metres, starting at 11.65 metres in downhole depth
  • (including 0.23% copper and 0.069 g/t gold over 37.13 metres)
  • (which includes 0.28% copper and 0.087 g/t gold over 23.85 metres)

True widths were unavailable.

Copper North Mining drills porphyry copper-gold in northern BC

Samples from the property’s Thor East area
show oxide-weathered granodiorite.

Traces of copper continue beyond that intercept to the end of the hole at 169.16 metres, the company stated. “The transition from stronger mineralization and quartz-veining at the top of the hole to weaker copper mineralization and phyllic alteration at depth suggests that drill hole TH16-01 may flank a mineralized porphyry centre.”

Next steps would include ground surveys at Thor East and evaluating multiple geochemical targets and alteration zones, the company added. Field work has already identified multiple targets over a four-by-six-kilometre area southeast of TH16-01.

“The large area of porphyry alteration and gossan zones remain an attractive exploration target,” commented president/CEO Harlan Meade. “The Thor project provides Copper North with an opportunity to explore for porphyry copper-gold type mineralization in the slopes and valleys 20 kilometres to the south of the Kemess South mine and mill complex.”

The former mine now lies within AuRico Metals’ (TSX:AMI) Kemess Underground gold-copper-silver property.

Copper North holds a 100% option on Thor, which has a road and power line passing through the property.

The company closed private placements totalling $279,050 this month.

Read more about Copper North Mining.

Pistol Bay Mining to take largest position in Ontario’s VMS-rich Confederation Lake

October 19th, 2016

by Greg Klein | October 19, 2016

Pistol Bay Mining to take largest position in Ontario’s VMS-rich Confederation Lake

Pistol Bay’s holdings will cover a 31-kilometre length of the VMS-rich Confederation Lake greenstone belt.


A new acquisition would make Pistol Bay Mining TSXV:PST the biggest claimholder in Ontario’s Confederation Lake greenstone belt. The 5,136-hectare package comprises all the regional claims held by AurCrest Gold TSXV:AGO and includes a zinc-copper-silver resource as well as an historic, non-43-101 estimate. Along with Pistol Bay’s optioned Dixie and Dixie 3 properties, the letter of intent announced October 19 would increase the company’s holdings to 7,050 hectares on the volcanogenic massive sulphide-rich belt.

With three cutoff grades, the package’s Arrow zone has resources showing:

3% zinc-equivalent cutoff

  • indicated: 2.07 million tonnes averaging 5.92% zinc, 0.75% copper, 21.1 g/t silver and 0.58 g/t gold

  • inferred: 120,550 tonnes averaging 2.6% zinc, 0.56% copper, 18.6 g/t silver and 0.4 g/t gold

5% zinc-equivalent cutoff

  • indicated: 1.76 million tonnes averaging 6.75% zinc, 0.79% copper, 22.3 g/t silver and 0.61 g/t gold

  • inferred: 51,630 tonnes averaging 3.86% zinc, 0.79% copper, 23.9 g/t silver and 0.58 g/t gold

10% zinc-equivalent cutoff

  • indicated: 633,000 tonnes averaging 14.3% zinc, 1.11% copper, 31.7 g/t silver and 0.85 g/t gold
Pistol Bay Mining to take largest position in Ontario’s VMS-rich Confederation Lake

Pistol Bay’s Dixie properties have been
undergoing field work and a review of historic data.

Additionally, the Copperlode A or Fredart zone has an historic, non-43-101 estimate of 425,000 tonnes averaging 1.56% copper. Exploration in the 1970s produced samples up to 1.46% molybdenum.

The 100% option would cost $25,000 and one million shares on closing and $25,000 90 days later, as well as $50,000 and one million shares on each of the four anniversaries following closing. In addition to regulatory approvals, the transaction needs the consent of Glencore plc, whose rights to the Confederation Lake property include a 2% NSR.

The companies expect to close within a week.

“Pistol Bay proposes an ambitious exploration program that will not only pursue existing targets and known VMS deposits, but will use the latest airborne geophysical survey technologies to explore the whole area to a greater depth than was possible in the past,” said president Charles Desjardins.

Earlier this month the company announced MPH Consulting will review historic geophysical data on Pistol Bay’s Confederation Lake-region Dixie properties, where field work began in September. Historic drilling has found zinc, copper and silver, while the recently optioned Dixie 3 project comes with an historic, non-43-101 estimate of 82,500 tonnes averaging 1% copper and 10% zinc.

The company has a joint venture with a Rio Tinto NYSE:RIO subsidiary on the C-5 uranium property in Saskatchewan’s Athabasca Basin. Having already earned 75% of its option, Rio has stated its intention to acquire the full 100%.

Pistol Bay closed a $563,450 private placement last August.

Golden Dawn Minerals to expand southern B.C. portfolio of past-producers

October 18th, 2016

by Greg Klein | October 18, 2016

Golden Dawn Minerals to expand southern B.C. portfolio of past-producers

Several former mines dot southern B.C.’s Greenwood camp.


Another 10,400 hectares with former mines would increase Golden Dawn Minerals’ (TSXV:GOM) presence in southern British Columbia’s historic Greenwood mining camp. Under a binding letter of intent announced October 18, the company would acquire Kettle River Resources, a subsidiary of New Nadina Explorations TSXV:NNA. Golden Dawn already has a portfolio of former mines within a 15-kilometre radius of its 200-tpd Greenwood mill, about 500 kilometres east of Vancouver.

The new acquisition would include the Tam O’Shanter project, the Sylvester K zone, some tailings sites, the former Phoenix mine and the Bluebell/Oro Denoro Eholt properties.

Golden Dawn has previously explored Tam O’Shanter along with a contiguous property, identifying an inferred resource for both.

Phoenix was mined between 1900 and 1978, producing over a million ounces of gold, 18 million ounces of silver and 575 million pounds of copper. Golden Dawn sees potential for new copper-gold finds.

Golden Dawn Minerals to expand southern B.C. portfolio of past-producers

Golden Dawn’s current portfolio includes the Greenwood mill.

The Sylvester K zone has a strike length of about 150 metres, with thickness up to 12 metres. Mining in 1989 extracted a reported 5,090 tonnes of material averaging 5.1 g/t gold.

Three tailings sites are associated with Phoenix. Metallurgical studies suggest re-grinding and cleaner flotation might offer potential for a copper-gold concentrate.

The Bluebell/Oro Denoro Eholt property has undergone exploration and mining since the 1890s, with a number of recent showings. Among the results, trenching at the Minnie Moore area in 2007 found silver grading 414 g/t over 8.5 metres, 1,044 g/t over 6.2 metres and 432 g/t over 5.8 metres. A drill core assay showed 77.3 g/t silver over 5.3 metres.

The properties come with a database representing 120 years of mining and exploration records.

Subject to a 90-day due diligence period and approvals, the package would cost Golden Dawn a non-refundable $80,000 on signing and another $15,000 by November 26. Those deposits would form part of a $1-million payment due on closing. New Nadina would also get $600,000 in Golden Dawn shares and a 1% NSR, half of which may be bought back. The companies expect to consummate by about January 31.

Late last month Golden Dawn issued a progress report on its work to reactivate the former May Mac, Lexington and Golden Crown mines, along with the nearby Greenwood mill. Trial mining could begin at Lexington in Q2 or Q3 next year, the company reported. Golden Crown, another gold-copper past-producer, could re-open in Q2 2018.

Golden Dawn has also been drilling May Mac and the Amigo past-producer about a kilometre south. The company expects to close a metals streaming deal this month.

Adding Yukon gold and silver

October 17th, 2016

Copper North Mining brings copper mining costs south


Look at development-ready copper projects and “you’ll find most of them are very large, multi-billion-dollar projects,” says Copper North Mining TSXV:COL president/CEO Harlan Meade. “And if you look at the smaller projects, there aren’t that many that would be in the lower decile of the cost curve.” A revised PEA announced October 12 brought the company’s Carmacks project into that category by incorporating gold and silver into a new metallurgical flowsheet. But Meade sees further potential for the south-central Yukon property with additional improvements, a new resource—completed but not yet entered into the mine plan—and an optimistic price scenario for the conductive commodity.

Metallurgy was key to the new PEA. A 2012 feasibility study “was based on a copper-only heap leach operation and that suited the higher metal prices of the day,” Meade explains. In 2014 Copper North factored gold and silver into a revised PEA. The current PEA now calls for agitated tank leaching of copper oxides to produce cathode copper. That would be followed by agitated tank leach cyanidation and carbon-in-leach processing to produce gold and silver doré bars. Considering gold and silver credits, the open pit would produce copper at US$1.08 a pound.

Copper North Mining brings copper mining costs south

Carmacks’ new resource has yet to be worked into the mine plan.
Further improvements could come from resource expansion,
improved silver recovery and eventual sulphide recovery.

The PEA sees Carmacks averaging 30 million pounds of cathode copper, 19,500 ounces of gold and 21,600 ounces of silver annually over a seven-year mine life.

Pre-production capex comes to $214.7 million, with total capex of $263.6 million and after-tax payback in 5.3 years. Using an 8% discount rate, the pre-tax NPV comes to $11.9 million with a 9.4% IRR. After taxes, the numbers show minus-$11.4 million and 6.6%.

That’s based on copper at $2.50 a pound, with gold at $1,300 and silver at $17.50 an ounce. At $2.75 copper, the pre-tax numbers show a $55.9-million NPV and 14.2% IRR. Should copper hit $3, pre-tax numbers climb to $99.8 million and 18.7%.

“Some people are using $2.75,” says Meade. “I wouldn’t blame them because if you look at the fundamentals of copper I think we’re going to see it in the $2.50 to $2.75 range towards the end of next year, and that would be the environment we’d be financing in.”

Directly sourced equipment helps cut capex. “A lot of equipment used today is made in China and brought in by U.S. suppliers. If we go straight to the source we get a very, very significant reduction.”

A pre-feas priority will be last January’s maiden resource for three zones not included in the current PEA. Located south of the proposed open pit that incorporates zones 1, 4 and 7, new zones 12, 13 and 2000S show the following totals:

Oxide and transitional mineralization

  • measured and indicated: 3.7 million tonnes averaging 0.5% total copper, 0.35% acid-soluble copper, 0.132 g/t gold, 2.011 g/t silver and 0.15% copper sulphide

  • inferred: 822,614 tonnes averaging 0.42% total copper, 0.28% acid-soluble copper, 0.119 g/t gold, 1.91 g/t silver and 0.14% copper sulphide

Sulphide mineralization

  • measured and indicated: 3.73 million tonnes averaging 0.6% total copper, 0.06% acid-soluble copper, 0.128 g/t gold, 2.288 g/t silver and 0.55% copper sulphide

  • inferred: 4.37 million tonnes averaging 0.55% total copper, 0.04% acid-soluble copper, 0.123 g/t gold, 2.081 g/t silver and 0.52% copper sulphide

Each of the three zones remains open along strike and at depth. Oxides begin at surface and extend to shallow depths. Sulphides occur at depths as shallow as 50 metres, the report stated.

Totals for all six zones come to:

Oxide and transitional mineralization

  • measured and indicated: 15.7 million tonnes averaging 0.94% copper, 0.74% acid-soluble copper, 0.379 g/t gold and 3.971 g/t silver

  • inferred: 900,000 tonnes averaging 0.45% copper, 0.3% acid-soluble copper, 0.119 g/t gold and 1.9 g/t silver

Sulphide mineralization

  • measured and indicated: 8.1 million tonnes averaging 0.68% copper, 0.178 g/t gold and 2.332 g/t silver

  • inferred: 8.4 million tonnes averaging 0.63% copper, 0.15 g/t gold and 1.994 g/t silver

Meade wants additional drilling in and around the three new zones this spring to upgrade the inferred numbers and maybe expand the resource too. “Then we’ll do some engineering to design a pit to add to the existing plan,” he says.

And we’ve still got a lot of room for exploration and expansion. I think there’s significantly more copper oxides and sulphides if one turns on the drills.—Harlan Meade,
president/CEO of
Copper North Mining

Another priority will be silver recovery, now down to 9.4%, compared with 85.5% for copper and 84.4% for gold. Silver took a hit when tests sped up the leach process by increasing heat. “But we’ll probably get it back,” says Meade.

At some point the sulphides should undergo metallurgical studies to produce either cathode copper or a concentrate. “There’s work to be done that might significantly extend the mine life,” he points out. “And we’ve still got a lot of room for exploration and expansion. I think there’s significantly more copper oxides and sulphides if one turns on the drills.”

Permitting could begin in fall 2017. “Carmacks has already been through the process and I think this proposal would be a lot simpler than the previous heap leach project,” he maintains. “I think the regulators will find much of this has been reviewed before so we think it’ll take about eight months. If that’s done you could begin production in early 2019.”

Community relations look positive, he adds. “My predecessor spent a lot of time building a relationship with two first nations. They’re keen to get started on a benefits agreement. They’re supportive of what we’re doing and hope we get this going sooner than later.”

The 4,933-hecatre project has nearby water, sits 11 kilometres from power and has 13 kilometres of road and trail access to a seasonal road that’s 34 kilometres from the town of Carmacks.

Having kept costs down to the lower decile, “we think Carmacks has a very good probability of being financed fairly quickly, especially if we see a small improvement in the copper price. We see it developing quickly and probably becoming Canada’s next copper mine. It’s financeable and it’s a low-cost producer, what more could you ask for? I guess a little more mine life, but we’re working on that.”

The company has also been active in northwestern British Columbia, where summer drilling has wrapped up on the Thor copper-gold porphyry project. Meade expects to release assays shortly.

This month Copper North closed private placements totalling $279,050.

Pushing the boundaries

October 12th, 2016

Technology opens new mining frontiers, sometimes challenging human endurance

by Greg Klein

This is the second of a two-part feature. See Part 1.

“Deep underground, deep sky and deep sea” comprise the lofty goals of Three Deep, a five-year program announced last month by China’s Ministry of Land and Resources. Part 1 of this feature looked at the country’s ambitions to take mineral exploration deeper than ever on land, at sea and into the heavens, and also outlined other countries’ space programs related to mineral exploration. Part 2 delves into undersea mining as well as some of the world’s deepest mines.

Looking to the ocean depths, undersea mining has had tangible success. De Beers has been scooping up alluvial diamonds off southwestern Africa for decades, although at shallow depths. Through NamDeb, a 50/50 JV with Namibia, a fleet of six boats mines the world’s largest-known placer diamond deposit, about 20 kilometres offshore and 150 metres deep.

Technology opens new mining frontiers, sometimes pushing human endurance

Workers at AngloGold Ashanti’s Mponeng operation
must withstand the heat of deep underground mining.

Diamond Fields International TSXV:DFI hopes to return to its offshore Namibian claims, where the company extracted alluvial stones between 2005 and 2008. The company also holds a 50.1% interest in Atlantis II, a zinc-copper-silver deposit contained in Red Sea sediments. That project’s now on hold pending a dispute with the Saudi Arabian JV partner.

With deeper, more technologically advanced ambitions, Nautilus Minerals TSX:NUS holds a mining licence for its 85%-held Solwara 1 project in Papua New Guinea waters. A seafloor massive sulphide deposit at an average depth of 1,550 metres, its grades explain the company’s motivation. The project has a 2012 resource using a 2.6% copper-equivalent cutoff, with the Solwara 1 and 1 North areas showing:

  • indicated: 1.03 million tonnes averaging 7.2% copper, 5 g/t gold, 23 g/t silver and 0.4% zinc

  • inferred: 1.54 million tonnes averaging 8.1% copper, 6.4 g/t gold, 34 g/t silver and 0.9% zinc

Using the same cutoff, the Solwara 12 zone shows:

  • inferred: 2.3 million tonnes averaging 7.3% copper, 3.6 g/t gold, 56 g/t silver and 3.6% zinc
Technology opens new mining frontiers, sometimes pushing human endurance

This Nautilus diagram illustrates
the proposed Solwara operation.

A company video shows how Nautilus had hoped to operate “the world’s first commercial high-grade seafloor copper-gold mine” beginning in 2018 using existing technology from land-based mining and offshore oil and gas. Now, should financial restructuring succeed, Nautilus says it could begin deployment and testing by the end of Q1 2019.

Last May Nautilus released a resource update for the Clarion-Clipperton Fracture Zone in the central Pacific waters of Tonga.

Another deep-sea hopeful, Ocean Minerals last month received approval from the Cook Islands to explore a 12,000-square-kilometre seabed expanse for rare earths in sediments.

A pioneer in undersea exploration, Japan’s getting ready for the next step, according to Bloomberg. A consortium including Mitsubishi Heavy Industries and Nippon Steel & Sumitomo Metal will begin pilot mining in Chinese-contested waters off Okinawa next April, the news agency stated. “Japan has confirmed the deposit has about 7.4 million tons of ore,” Bloomberg added, without specifying what kind of ore.

Scientists are analyzing data from the central Indian Ocean where nodules show signs of copper, nickel and manganese, the Times of India reported in January. The country has a remotely operated vehicle capable of an unusually deep 6,000 metres and is working on undersea mining technology.

In August the World Nuclear News stated Russia is considering a nuclear-powered submarine to explore northern seas for mineral deposits. A government report said the sub’s R&D could put the project on par with the country’s space industry, the WNN added.

If one project alone could justify China’s undersea ambitions, it might be a 470.47-ton gold deposit announced last November. Lying at 2,000 metres’ depth off northern China, the bounty was delineated by 1,000 workers and 120 kilometres of drilling from 67 sea platforms over three years, the People’s Daily reported. Laizhou Rehi Mining hopes to extract the stuff, according to China Daily.

China’s deep underground ambitions might bring innovation to exploration but have been long preceded by actual mining in South Africa—although not without problems, as the country’s deplorable safety record shows. Greater depths bring greater threats from rockfalls and mini-earthquakes.

At 3.9 kilometres’ depth AngloGold Ashanti’s (NYSE:AU) Mponeng holds status as the world’s deepest mine. Five other mines within 50 kilometres of Johannesburg work from at least three kilometres’ depth, where “rock temperatures can reach 60 degrees Celsius, enough to fry an egg,” according to a Bloomberg article posted by

In his 2013 book Gold: The Race for the World’s Most Seductive Metal, Matthew Hart recounts a visit to Mponeng, where he’s told a “seismic event” shakes the mine 600 times a month.

Sometimes the quakes cause rockbursts, when rock explodes into a mining cavity and mows men down with a deadly spray of jagged rock. Sometimes a tremor causes a “fall of ground”—the term for a collapse. Some of the rockbursts had been so powerful that other countries, detecting the seismic signature, had suspected South Africa of testing a nuclear bomb.

AngloGold subjects job-seekers to a heat-endurance test, Hart explains.

In a special chamber, applicants perform step exercises while technicians monitor them. The test chamber is kept at a “wet” temperature of eighty-two degrees. The high humidity makes it feel like ninety-six. “We are trying to force the body’s thermoregulatory system to kick in,” said Zahan Eloff, an occupational health physician. “If your body cools itself efficiently, you are safe to go underground for a fourteen-day trial, and if that goes well, cleared to work.”

Clearly there’s more than technological challenges to mining the deeps.

By the way, credit for the world’s deepest drilling goes to Russia, which spent 24 years sinking the Kola Superdeep Bore Hole to 12,261 metres, halfway to the mantle. Work was halted by temperatures of 180 degrees Celsius.

This is the second of a two-part feature. See Part 1.

MPH Consulting to review Ontario zinc-copper-silver data prior to Pistol Bay’s drill program

October 6th, 2016

by Greg Klein | October 6, 2016

A company with experience spanning 40 years and 70 countries will apply its expertise to Pistol Bay Mining’s (TSXV:PST) Dixie projects. MPH Consulting has been contracted to review historic geophysical data from the zinc-copper-silver options about 35 kilometres southeast of Red Lake in Ontario’s Confederation Lake greenstone belt, Pistol Bay announced October 5.

MPH Consulting to review Ontario zinc-copper-silver data prior to Pistol Bay’s drilling

“Because of the complexity of the historic data, the company has requested a critical review of all the past geophysical surveys that will lead to prioritizing targets for future exploratory drilling,” Pistol Bay stated.

Historic work found a geophysical anomaly below the Dixie 19 zone. Two holes from 2002 ended before the anomaly, intersecting:

  • 9.71% zinc, 0.2% copper and 10.7 g/t silver over 1.25 metres in downhole depth

  • 5.32% zinc over 1.25 metres

Historic drilling on other zones found:

Dixie 17

  • 7.34% zinc and 1.4% copper over 9.5 metres

Dixie 18

  • 15.44% zinc, 0.43% copper and 20.9 g/t silver over 4.3 metres

Noranda calculated an historic, non-43-101 estimate for Dixie 18 of 136,000 tonnes averaging 14% zinc.

Recent field work has located historic drill hole collars on Dixie 18, 19 and 20, Pistol Bay added. Additional field work will focus on Dixie 17. Precise positioning using differential GPS will help model the mineralized zones.

Should all go to plan, a fall drill program will follow the MPH review.

Early last month Pistol Bay announced an option to acquire the 640-hectare Dixie 3 property, about eight kilometres south of the other Dixies. Dixie 3 comes with an historic, non-43-101 estimate of 82,500 tonnes averaging 1% copper and 10% zinc.

In Saskatchewan’s Athabasca Basin, Pistol Bay JVs with a Rio Tinto NYSE:RIO subsidiary on the C-5 uranium property. Rio has so far earned 75% of its option and has stated its intention to acquire the full 100%.

In August Pistol Bay closed a $563,450 private placement.

Golden Dawn Minerals updates program to revive historic B.C. camp

September 28th, 2016

by Greg Klein | September 28, 2016

A September 28 progress report shows Golden Dawn Minerals TSXV:GOM advancing plans to re-open three former mines and a mill in southern British Columbia. The company’s Greenwood precious metals project consists of the May Mac, Lexington and Golden Crown past-producers, all within 15 kilometres of the project’s 200-tpd Greenwood mill. Golden Dawn closed the acquisition of Lexington, Golden Crown and the gravity-flotation plant earlier this month.

Golden Dawn Minerals updates program to revive historic B.C. camp

Golden Dawn hopes to begin trial mining
at the Lexington past-producer next year.

Work has begun on the mill’s transition from eight years of care and maintenance to active service, with plans calling for bulk samples from May Mac, a former silver-gold mine, to be processed early next year. Should all go to schedule, trial mining would begin at Lexington in Q2 or Q3 next year and Golden Crown would re-open in Q2 2018. Both were gold-copper operations.

The company has a permit application pending to de-water Lexington. Rehab has begun on three adits at May Mac, prior to underground drilling. Surface drilling will also test May Mac’s historic Skomac vein system. On completion of surface and underground exploration, May Mac bulk sampling would begin in Q1.

At the company’s Amigo past-producer about a kilometre south of May Mac, drilling has been underway since the beginning of September, with assays pending. Those two mines should undergo around 2,500 metres by year-end.

The company expects to close a gold streaming deal for the Lexington and Golden Crown mines in late October. Under terms announced in a July LOI, the agreement would bring Golden Dawn US$3 million on signing and another US$1 million on reaching a production target.

Two weeks ago the company closed a private placement first tranche of $696,324. Earlier this month Golden Dawn announced a convertible security would net the company $2.4 million to help finance the project acquisition.

The assets are located near the town of Greenwood, about 500 kilometres east of Vancouver.

Visual Capitalist: How precious metals streaming works

September 12th, 2016

by Jeff Desjardins | posted with permission of Visual Capitalist | September 12, 2016

Miners seeking new capital have always had a variety of options: They could issue new shares, take out a loan, enter into joint-venture agreements or divest non-core assets.

However, in the last decade, a new option has emerged called “precious metals streaming”—in which streaming companies essentially offer capital up front to mining companies in exchange for metal later. If properly executed, the result is a win for both parties that can ultimately provide value to investors.

Precious metals streaming

This infographic from Silver Wheaton TSX:SLW explains the precious metals streaming model and the arbitrage opportunity that creates value for both the streamer and the miner seeking to acquire capital:

How precious metals streaming works


The aforementioned arbitrage opportunity in precious metals streaming is key.

For a traditional base metal miner, the majority of forecasted mine revenue may come from a metal like copper or nickel. However, along with those “target” metals, smaller amounts of gold and silver may be produced from the deposit as well.

Investors would still value those byproduct precious metals in a base metal miner’s portfolio, but the metals may be typically valued at an even higher multiple in a precious metal streamer’s portfolio. This allows the base metal miner to transfer these future “streams” to the streamer in exchange for up-front capital, which can be a win-win scenario for both parties.

Streaming benefits

In other words, miners use streaming to acquire non-dilutive financing and to extract value from non-core assets. This allows them to deploy capital on purposes more central to their strategy. Major miners such as Teck Resources TSX:TCK.A and TCK.B, Barrick Gold TSX:ABX, Vale NYSE:VALE and Glencore all sold streams in 2015.

Meanwhile, streaming companies have been very successful since this model was first pioneered 12 years ago. They are getting gold and silver at a discount, and this has created significant value for investors over the last decade. Today there are many valuable streaming companies out there, including the major ones such as Silver Wheaton, Royal Gold and Franco-Nevada TSX:FNV.

Posted with permission of Visual Capitalist.

Drilling to begin at Copper North Mining’s Thor project in B.C.

September 9th, 2016

by Greg Klein | September 9, 2016

In a program announced early last month, Copper North Mining TSXV:COL has a rig in place at its Thor project in northwestern British Columbia. The first hole will target Thor East Area 3, which hosts “numerous small veins with copper and gold, and extensive alteration zones,” the company stated.

Drilling to begin at Copper North Mining’s Thor project in B.C.

Copper-stained granodiorite crops up
on Copper North’s Thor project.

Another hole will test the Thor West Area, defined by an induced polarization anomaly covering two kilometres by 2.5 kilometres, flanking a road to the former Kemess mine. Another Thor West hole has been planned 1.5 kilometres away, on the anomaly’s northern section.

Further drilling depends on results for these initial holes.

The campaign’s goal is porphyry copper-gold mineralization near the past-producing Kemess South open pit and mill complex, now within AuRico Metals’ (TSX:AMI) Kemess Underground gold-copper-silver property.

“The drill holes are very widely separated and may confirm the interpreted widespread mineral zones,” Copper North added. The company holds a 100% option on the approximately 20,000-hectare property.

In the Yukon, meanwhile, the flagship Carmacks copper project advances through the final stages of a PEA study. The company plans to improve on a 2014 PEA by factoring in gold and silver recovery.

Read more about Copper North Mining.

Copper North Mining president/CEO Harlan Meade discusses PEA studies on Yukon’s Carmacks copper project

September 2nd, 2016

…Read more