Corazon Mining Ltd (ASX:CZN) has confirmed a JORC resource estimate upgrade for its wholly-owned Lynn Lake Nickel-Copper-Cobalt Sulphide Project in Manitoba Province in Canada.
The new Lynn Lake resource estimate has resulted in 20% of the previous resource being upgraded to the highest-quality measured resource category, in accordance with JORC Code 2012 edition.
The total metal content of the resource is; 116,800 tonnes nickel, 54,300 tonnes copper and 5,300 tonnes cobalt, remaining the same as the 2019 resource estimate.
This upgrade provides further confidence in the potential to develop a long-life, bulk, low-cost mining operation at Lynn Lake.
Further resource expansion?
The upgraded resource has been confirmed from just three of the six deposits that make up the existing Lynn Lake resource.
These three deposits, the EL, N and O deposits, were drilled out and partially mined prior to the mine’s closure in 1976. More than 20 deposits are defined within the Lynn Lake Mining Centre.
There is potential for further resource expansion within the prolific historical producing mining centre.
New resource estimate
The new resource estimate includes (at a 0.5% nickel base cut):
- Measured: 3.282 million tonnes at 0.67% nickel, 0.32% copper, 0.030% cobalt;
- Indicated: 9.616 million tonnes at 0.70% nickel, 0.34% copper, 0.035% cobalt; and
- Inferred: 3.422 million tonnes at 0.79% nickel, 0.33% copper, 0.027% cobalt.
Mining studies underway
The new phase of mining studies being undertaken is designed to assess optionality and determine the most appropriate development pathway to deliver a robust, long-lived, economically viable mining operation, utilising modern mining and processing techniques.
International mining consultant Palaris has been engaged to undertake the mining studies.
The final deliverable of the mining studies will be a revised mining strategy for the entire mineralised area, focused on optimal production rates and low mining costs.
Overall, more consistent low-grade mineralisation envelopes and good to excellent rock mass conditions indicate the Lynn Lake Project may support bulk, low-cost mining methods.
Lynn Lake
Lynn Lake hosts additional deposits, as well as numerous occurrences of drill-defined mineralisation, that are yet to be considered for resource studies.
These areas support the potential for further upgrades to Lynn Lake’s mineral resource.
The Lynn Lake deposits provide the opportunity for mining using large tonnage, low-cost methods.
The historical mined grades at the A Plug were about 0.86% nickel and 0.44% copper; with the higher-grade EL Deposit being mined at 2.50% nickel and 1.15% copper.
The new resource estimate grades are consistent with the tenor of mineralisation previously mined at Lynn Lake.