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IPO Watch: Cooper Metals eyes a strong copper market in Mt Isa exploration play

Geologist Ian Warland has had a long and varied career since cutting his teeth in copper and gold mines in … Read More
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This article was originally published by Stockhead

Geologist Ian Warland has had a long and varied career since cutting his teeth in copper and gold mines in Queensland three decades ago.

His success as an explorer is underlined by the Explorer of the Year gong he took out in 2006 in the team that made the Jacinth Ambrosia discovery for Iluka Resources (ASX:ILU) in South Australia, the world’s largest zircon mine.

His experiences have taught him major discoveries can be made even in regions and areas thought to be well explored.

It is a lesson he is taking with him into new IPO Cooper Metals (ASX:CPM), which listed on the ASX today with a swag of copper and gold assets in Queensland and WA.

“What I guess I’ve taken from all of that is firstly, you can still find deposits in areas that you think have been well explored,” he said.

“So, for instance, with the Iluka example, three major companies had been through that area before Iluka had and done a fair bit of drilling.

“Then we came along with a new model and a new idea and made major discoveries there. So that really taught me don’t write areas off just because you’ve had some major companies that have been through there before.”

Indeed, that is the case with Cooper’s flagship Mt Isa East project in Queensland, located in the heart of one of Australia’s richest and longest running copper-gold domains.

Pic: Cooper Metals

 

Fresh eyes, techniques to back Mt Isa copper search

Cooper’s top billing asset is an 85% stake in the 1300km2 Mt Isa East project, located around 30km south-east of the famous copper mining town in north-west Queensland.

The ground, spread across five tenements, has been looked over by a host of companies including Rio forebear CRA Exploration, Glencore’s Mount Isa Mines and Chinalco, but Warland said there is plenty of potential for iron sulphide copper-gold discoveries.

He argues the discovery of Ernest Henry under deep cover by Glencore around 30 years ago changed the style and nature of the deposit copper-gold explorers were searching for in the Mt Isa region.

He pointed to the success other companies like Hammer Metals (ASX:HMX) and Minotaur Exploration (ASX:MEP) have had exploring for smaller iron sulphide copper gold targets.

“The discovery of Ernest Henry under cover, which is iron oxide copper gold deposit, started this massive focus on magnetic targets looking for iron oxide, copper-gold, in the Mt Isa Inlier,” Warland said.

“And people moved away from the sort of terrains that are outcropping and moved to these undercover giants, because they thought they’d have more success there drilling magnetic highs.

“We’re really following in sort of Minotaur’s footsteps, and looking at more iron sulphide copper gold, which often has a strong footprint in electromagnetic surveys. And there really has been very little EM surveying done in our area.”

Warland said Cooper would be seeking for both large and small copper-gold deposits at Mt Isa.

The company’s $4.8 million raising, which gives it a market cap on listing of $8 million, has come at a time when copper is trading near all time highs with expectations of major supply shortages in the years to come.

Warland doesn’t see demand for copper going away, opening up the potential that higher prices will provide a lower entry point into the market.

“When we looked into detail of what had been done (at Mt Isa East), the last lot of drilling was in the mid-1990s and there hasn’t been a lot of drilling on that area, but there are a lot of copper gold occurrences that have been mined periodically over the last 100 years,” he said.

“So there’s quite a lot of smoke. And I think, in the past, companies have sort of written them off as being small and not being economic, not big enough.

“But to be honest there just hasn’t been the work done to systematically determine that.

“In fact there was the Barbara deposit (owned by Soul Patts copper subsidiary Round Oak Minerals), not far from our tenements, which is 5Mt at about 1.5% copper and that was toll-treated through Glencore.

“So now you’re finding that you can find smaller deposits, toll treat them and you’ve got a very of economic development pathway.”

The Mt Isa East project
Pic: Cooper Metals

 

Yamarna gold and Gooroo copper-gold also to be tested

Cooper Metals has also secured 100% ownership of the Yamarna gold project and Gooroo gold and copper project in Western Australia.

Gooroo is near the historic mining town of Yalgoo and is located just 20km from Silver Lake Resources’ (ASX:SLR) Deflector mine.

Incredibly, it covers a 26km greenstone belt only added to WA’s geological maps in 2020. The Yamarna project meanwhile is situated just 2km from the top-tier 6Moz Gruyere deposit currently being mined at a rate of over 300,000ozpa by Gold Road Resources (ASX:GOR) and South African mining giant Gold Fields.

A major structure called the Dorothy Hill shear zone runs through the tenement, which Cooper will be looking to access once agreements are completed with traditional owners.

“The Dorothy Hill shear zone basically continues along strike from the Gruyere deposit and through our tenement and it’s had very little exploration that we can see in the historical data today,” Warland said.

“So it’s an obvious area to go looking, I can’t explain to you why gold road don’t have the tenure.

“We’re just happy that we’ve got it and we want to get on the ground as quickly as we can.”

Back at Mt Isa, Warland said electromagnetic surveys and modern exploration techniques would be a key part of the company’s exploration strategy.

“They’re much more powerful these days, they can see deeper, they can see through conductive cover more easily, so there’s a huge technological advantage 25 years later, using the new equipment,” he said.

“So the strategy is to apply modern exploration technologies to areas of known, proven mineralisation, we know these areas have mineralisation. They’re proven, they’re close to infrastructure, they don’t need to be standalone deposits.

“If we can find something with 50,000t of copper metal or 150,000t, then they don’t need to be standalone that can go through a toll treatment.

“It’d be great to find a tier one world class deposit, but we’d be happy happy with the sort of mid size things as well. And there’s never been a better time to do exploration for copper and gold with prices currently near all time highs.”

The Yamarna Project
Pic: Cooper Metals

 

How did Cooper finish today?

It may not have been in Kuniko or Evolution territory.

But Cooper was up 12.5% to a price of 22.5c at 3.45pm AEDT, a handy lift on its 20c per share offer price.

It is the latest Queensland copper play to list on the ASX this month following the successful $30 million listing of miner and cathode producer Austral Resources (ASX:AR1).

 

Cooper Metals share price today:

 

 

The post IPO Watch: Cooper Metals eyes a strong copper market in Mt Isa exploration play appeared first on Stockhead.




Author: Josh Chiat

Energy & Critical Metals

EV Nickel starts trading on TSX Venture Exchange

  TORONTO – EV Nickel Inc.’s [EVNI-TSXV] initial public offering (IPO) prospectus dated November 19, 2021, has been filed with and accepted by the…

 

TORONTO – EV Nickel Inc.’s [EVNI-TSXV] initial public offering (IPO) prospectus dated November 19, 2021, has been filed with and accepted by the TSX Venture Exchange and has begun trading on the Exchange.

The closing of the IPO, scheduled for December 2, 2021, was expected to have gross proceeds of $5,440,292 for a total of 1,442,200 flow-through (FT) common shares at 86 cents per FT common share and of 5.6 million units at 75 cents per unit. The company has 30,355,667 common shares issued and outstanding

EV Nickel, classified as a Tier 2 issuer, is a Canadian nickel exploration company, focused on the Shaw Dome area, south of Timmins, Ontario. The Shaw Dome area is home to its Langmuir project, which includes W4, the basis of a 2010 historical estimate of 677,000 tonnes at 1% nickel for approximately 15 million pounds of Class 1 nickel.

EV Nickel’s objective is to grow and advance a nickel business, targeting the growing demand for Class 1 nickel from the electric vehicle battery sector. EV Nickel has almost 9,100 hectares to explore across the Shaw Dome area and has identified 30 km of additional strike length.

“We are excited to get out into the public markets and begin telling the world about our wonderful assets, on the Shaw Dome, just south of Timmins,” said Sean Samson, president and CEO. “The world needs more nickel and especially the type of high-grade, clean nickel that we plan to build our business around. Decarbonization is the challenge of a lifetime and we plan to source the material that will help the EV [electric vehicle] companies grow and help address that challenge.”





Author: Editor

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Base Metals

Vision Lithium to Buy The Cadillac Canadian Lithium Property

Canadian-based exploration company Vision Lithium agreed to acquire 100% interest in 215 contiguous mining claims in Quebec, Canada.  Combined with an…

Vision Lithium Property Portfolio
Cadillac lithium property located approximately 40 km west of Val-d’Or. Source: Vision Lithium

Canadian-based exploration company Vision Lithium agreed to acquire 100% interest in 215 contiguous mining claims in Quebec, Canada. 

Combined with an additional 105 stakes claimed by the company, the group of claims will be collectively referred to as The Cadillac lithium property.  

Details of the agreement include the vendor groups receiving an aggregate cash consideration of $102,427.92 from Vision Lithium, as well as ​​issue a total of 4,300,000 common shares of the company. The shares are not divided evenly, with 1.5 million each going to the CMH Group and Fancamp, the Leblanc-Lavoie Group will receive 1 million and 300,000 Shares will go to the Tremblay Group. The company will also pay each vendor group a 2% net smelter return royalty on the claims. 

President & CEO of Vision Lithium Yves Rougerie commented in a press release, “The Cadillac lithium project is an exciting addition to our growing portfolio of lithium properties. The Property is located 10 km south of the Trans-Canada highway and only metres from the secondary road, ensuring easy access for logistics, materials and qualified manpower.”

The claims acquired by Vision Lithium combined with the additional 105 claims staked, means the property holds a total of 320 claims covering 18,378 hectares. The property is easily accessible year-round in an area with well-maintained roads. This is especially helpful since Quebec can become covered in snow for multiple months of the year, and established infrastructure gives the company a head start.

There are also at least 4 pegmatite dikes which are spaced approximately 100 metres apart and traced for at least 300 metres along on the property. 

Rougerie continued “The property hosts a cluster of close-spaced parallel lithium-bearing dikes. Spodumene has been observed in the outcropping dikes and we believe there are likely more dikes in the cluster. The dikes have seen surprisingly little historical exploration with only a handful of samples and no drilling to date.” 

High Potential for Additional Lithium Discoveries

Lithium crystals have been observed on all four dikes of the property, with even a few large crystals visible. 

The property is located approximately 10 km south of Cadillac, a historic mining town, and about halfway between the major mining centres of Rouyn-Noranda and Val-d’Or in Quebec. 

“We believe the potential for additional lithium discoveries within the main cluster area is excellent and the larger property also has tremendous upside potential for discovery. The entire area acquired and staked is very large at almost 200 square kilometres. We plan to aggressively explore the Property over the winter by drilling the main cluster of dikes and to plan and complete field work next summer over the large tract of land,” Rougerie said. 

There are a number of closing conditions and post-closing obligations for the company until the transaction is officially completed. This includes the execution of certain deeds and instruments of conveyance, and the approval of joining the TSX Venture Exchange. Completion of the transaction is expected to be finished in the coming days. 

Vision Lithium focuses on exploring and developing mineral assets such as lithium and copper in different parts of Canada. Other than the claims they have just received in the recent transaction, the company has operations in Manitoba, and multiple properties in New Brunswick and Quebec. The first drill program at the company’s Dome Lemieux copper property in Quebec has commenced. Vision has also recently completed the Red-Brook copper and zinc drill program in New Brunswick. 

Vision Lithium is focused on developing their Sirmac lithium project in Quebec which is a hard rock source of lithium. Lithium can either come from hard rock sources or brines, and about 50% of each make up the world’s lithium compound production. Both sources can produce battery-grade lithium, but the extraction process is very different. The company plans on using existing methods to extract lithium for the battery market. This is a key area for the company as demand for battery materials is soaring in the middle of a global energy transition. 

 

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.

The post Vision Lithium to Buy The Cadillac Canadian Lithium Property appeared first on MiningFeeds.





Author: Matthew Evanoff

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Precious Metals

Gold Springs Discovers New Gold System – Shares Jump 20%

Gold Springs [GRC-TSX; GRCAF-OTCQB] reported assay results from hole J-21-015 with an average…

Gold Springs Resource Corp. [GRC-TSX; GRCAF-OTCQB] reported assay results from hole J-21-015 with an average of 1.0 g/t gold equivalent over more than 163 metres located 180 metres south of the discovery hole J-21-006 at the 100%-owned Gold Springs property located on the border of Nevada and Utah.

The results confirm the existence of a new gold-mineralizing system called intrusive-related gold system (IRGS) on a new target that the company has named Tremor. This new gold system is situated along the northern extension of the Jumbo trend of the large Gold Springs project of 8,000 hectares.

J-21-015 highlights include 1.0 g/t gold equivalent over 163.1 metres: 1.42 g/t gold equivalent over 33.5 metres within the vein, which includes 3.26 g/t gold equivalent over 10.7 metres within the vein; and 0.94 g/t gold equivalent over 123.5 metres within the intrusive and contact zone.

Randall Moore, executive vice-president of exploration, stated: “We have been anxiously awaiting these results, which now confirm what we believe to be a major new discovery. The existence of an IRGS at Gold Springs opens a potentially large area to develop a new gold resource. Hole J-21-015 extended both the high-grade vein system and the gold mineralization associated with the intrusive first seen in hole J-21-006. We would also like to highlight that both holes ended in gold mineralization. We are now awaiting assays from another 15 holes at Tremor that are currently in the laboratory for testing. Drilling has extended this northern vein for over 200 metres and the Tremor intrusive zone for 600 metres along strike as seen in the drill cuttings. The thickest intercept within the intrusive thus far has been 280 metres.”

The company is waiting to receive assays from 24 holes on two targets; 15 from Tremor and nine from White Point, in the coming weeks.

Gold Springs Resource is confident of the presence of an intrusive-related gold system within the Tremor target situated along the north extension of the Jumbo trend in Utah where a strong CSAMT (controlled source audio magnetotelluric) high resistivity anomaly extends for 1,200 metres.

The company completed 18 holes at Tremor designed to test the extent of the intrusive-hosted gold system. These holes demonstrate the intrusive extends for 600 metres and is open to the north, south and at depth. In addition, the vein system in hole J-21-006 has been traced for 200 metres. For details on hole J-21-006, which returned 6.87 g/t gold equivalent over 24.4 metres, included grades of 30.9 g/t gold equivalent over 4.6 metres.

The drill has moved to Charlie Ross where eight additional holes are planned to follow up that new discovery.

Author: Staff Writer

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