District scale potential at two exciting discoveries
Murchison Minerals (TSX-V:MUR, OTCQB:MURMF, TSX-V:MUR.V) is an exploration company with two district-scale projects located in Québec and Saskatchewan, Canada. The company is focused on the discovery of energy metals in under-explored areas with camp-scale potential, within the best mining jurisdictions in the world.
During the early part of 2022 Murchison is expected to focus its efforts on the HPM nickel-copper-cobalt project in Quebec. At HPM, Murchison has recently increased the scale of its ground holding by 314% following a promising maiden drill programme at the PYC Target.
VTEM surveys currently cover around 20% of the expanded land package and have already defined 50 EM targets. Two of the most prospective EM targets have been drill tested to date and both have returned significant intersections of Ni-Cu-Co mineralization, validating the hypotheses that the EM targets may represent significant bodies of sulphide mineralization.
An additional VTEM survey is planned to commence in the spring, covering portions of the licence not covered by the existing VTEM survey. If this survey continues to define large numbers of anomalies within the wider claim area, the results could prove to be a very exciting development for the company.
Once the results of the expanded VTEM survey are received, the company is planning to conduct a programme of geochemical sampling and mapping over some of the most favourable targets ahead of a summer drill program.
Before this, we are expecting the remaining assay results from the December 2021 drill program, which drill tested the PYC target. Murchison completed eight holes, totalling 1,781 meters and all eight holes intersected sulphide mineralization.
Assay results from the first two drill holes have confirmed extensive shallow nickel, copper, and cobalt sulphide mineralization. Hole PYC21-007 intersected three broad zones of mineralization, totalling 62.21 meters in composite thickness. Hole PYC21-008 intersected five broad zones of mineralization, totalling 69.9 meters in composite thickness.
Holes PYC21-007 and 008 were completed towards the southeast end of the VTEM anomaly, the remaining six holes, with assay results pending, are testing 0.55km of the 1.95km total strike length of the target. Importantly, the mineralization remains open at depth and along strike.
With the nickel price currently at a 14-year high (30,000/t) Murchison Minerals (TSX-V:MUR, OTCQB:MURMF, TSX-V:MUR.V) is well-positioned to take advantage of the positive momentum in the nickel market, as assay results from the remaining six holes are expected to be announced this quarter.
At Murchison Minerals' other advanced exploration project, the Brabant-McKenzie zinc-copper-lead-silver-gold project, in Saskatchewan, the company has already established a NI 43-101 compliant indicated mineral resource estimate of 2.1 million tonnes at an average zinc equivalent grade of 9.98% and an inferred mineral resource estimate of 7.6 million tonnes at an average zinc equivalent grade of 6.29%. VMS deposits typically occur within clusters and Murchison Minerals has defined over 100 discreet electromagnetic anomalies that could be additional deposits.
With two exciting discoveries that both have district-scale potential, Murchison Minerals is an exploration company with big ambitions. Extensive exploration programs are planned for 2022 and there will be plenty of news for investors to keep their eyes on.
Haut-Plateau de la Manicouagan nickel-copper-cobalt project
Murchison Minerals owns 100% of the Haut-Plateau de la Manicouagan (HPM) nickel-copper-cobalt project, located 275km north-north-east of Baie-Comeau and 135km south of Fermont, Quebec (Figure 1).
Murchison recently increased the size of the project in December 2021 from 139km2 to 576km2, following the intersection of sulphide mineralization in all holes completed at the PYC Target.
The HPM Project currently contains over 50 EM defined targets just within the historic claim area, which represents around 20% of the recently expanded claim area (Figure 2).
The recently expanded claim area is also considered to be highly prospective and an additional VTEM survey is planned to commence in the spring, the results of this survey could prove to be very exciting.
Figure 1 - HPM location
Source: Murchison Minerals
Figure 2 - VTEM targets
Source: Murchison Minerals
Figure 3 - Defined mineralisation
Source: Murchison Minerals
Figure 4 - Location of drilling
Source: Murchison Minerals
Figure 5 - M to SM sulphide
Source: Murchison Minerals
Figure 6 - Sulphide breccia
Source: Murchison Minerals
Prospecting within the HPM Project has demonstrated the presence of numerous Ni-Cu-Co occurrences and historic drilling at the Barre de Fer Target and recent drilling at the PYC Target (assays pending) supports the view that the conductive EM anomalies are bodies of sulphide mineralization (Figure 3).
Once the results of the expanded VTEM survey have been received and interpreted, Murchison plans to ground-truth the new targets, completing mapping and geochemical sampling in order to help rank the targets ahead of a summer 2022 drill program.
Of the 50 targets to date, three are considered the highest priority: PYC, Barre de Fer and Syrah.
PYC Target
The PYC Target is located within the southwestern portion of the historic licence area (Figure 3). The target is centred on a 1.95 km long EM anomaly that trends northwest to southeast. Nickel, copper, cobalt mineralisation has been mapped at surface occurring coincidently with the EM anomaly over a strike length of 1.7km.
During December, Murchison completed eight drill holes totalling 1,781 meters on a 550-metre section of the anomaly (Figure 4). All holes intersected sulphide mineralization and a portable Niton X-ray fluorescence (XRF) spectrometer analysis confirmed the presence of nickel, copper and cobalt within the sulphide intervals. Murchison has now received assay results from the first two holes with assays for the remaining six holes still pending.
The mineralizations consist of half a metre to metre-scale semi-massive (SM) to massive (M) sulphides (Figure 5), as well as intermittent sulphide breccias (Figure 6) and disseminated sulphides over tens of metres within a dark fine-grained gabbroic rock unit (Figures 5 & 6).
Results from the first two holes include:
- 25.5 meters at a grade of 0.30% Ni Eq from 72.5 meters, including 8.6 meters at a grade of 0.49% Ni Eq from 78.4 meters and 1.57 meters at a grade of 0.96% Ni Eq from 85.43 meters (PYC21-007).
- 27.41 meters at a grade o 0.23% Ni Eq from 3.24 meters, including 1.8 meters at a grade of 0.52% Ni Eq from 3.8 meters (PYC21-007)
- 39.5 meters at a grade of grading 0.24% Ni Eq from 5.5 m, including 7.6 meters at a grade of 0.37% Ni Eq from 25.4 meters and 0.58 meters at a grade of 1.26% Ni Eq from 43.08 meters (PYC21-008)
- 13.0 meters at a grade of 0.27% Ni Eq from 75.0 meters, including 0.7 m at a grade of 1.47% Ni Eq from 76.6 meters (PYC21-008)
Outstanding assay results from this drill program are expected to be received in Q1 2022.
Barre De Fer Target
The Barre De Fer Target, is located just 1.5 km northeast of where drilling intersected nickel-copper-cobalt mineralization at the PYC Target (Figure 3).
Around 6,500 meters of drilling conducted at Barre De Fer between 2001 and 2008 defined a body of copper-nickel mineralization along a 300-metre strike length, and down to a depth of about 280 metres (Figure 7).
Previous drill results include:
- 43.15 metres at a grade of 1.74% Ni, 0.90% Cu and 0.09% Co (HPM-08-03)
- 15.06 metres at a grade of 1.72% Cu, 0.66% Ni and 0.08% Co (HPM-08-04)
- 5.47 metres at a grade of 0.97% Cu, 2.34% Ni and 1.23% Co (HPM-08-01)
- 7.47 metres at a grade of 0.76% Cu, 1.59% Ni and 0.08% Co (HPM-08-02)
- 7.20 metres at a grade of 0.69% Cu, 1.44% Ni and 0.07% Co (HPM-08-17)
Syrah Target
The Syrah Target is located adjacent to the Barre de Fer Target (Figure 3) and has a similar geophysical signature, with outcropping Ni-Cu-Co mineralization that grades up to 0.82% Ni Eq. Murchison has now mapped sulphide mineralization over a strike length of approximately 370 metres at the Syrah Target.
Syrah was drill tested in 2008, but based on the latest VTEM modelling the target was missed and another round of drilling is required to test this exciting target.
Murchison believes that the Syrah and Barre de Fer targets are potentially connected at depth.
Geology
The HPM Project is located within the Manicouagan Metamorphic Complex, which is dominantly composed of granulitic gabbro, orthogneiss and is intruded by gabbroic, ultramafic and anorthositic bodies.
The mineralisation at the project is associated with late intrusives lithologies, including the gabbroic Toulnustouc massif and Gabbro East intrusion. Mineralization has some primary magmatic features/textures, and appear to be partly structurally controlled or remobilized.
Milestones
- Q1 2022: Assay results from the December 2021 drill programme
- Spring 2022: VTEM survey is planned to commence
- Post Spring 2022: Ground-truthing and ranking new targets
- Summer 2022: Drill program on new targets
Figure 7 - Drilling at BDF
Source: Murchison Minerals
Figure 8 - Brabant-McKenzie Project
Source: Murchison Minerals
Brabant-McKenzie zinc-copper-lead-silver-gold project
Murchison Minerals also owns 100% of Brabant-McKenzie, which is a zinc-copper-lead-silver-gold project 148 km northeast of La Ronge, Saskatchewan (Figure 8) and covers an area of 627km2.
At Brabant-McKenzie, Murchison has established a NI 43-101 compliant indicated mineral resource estimate of 2.1 million tonnes at an average zinc equivalent grade of 9.98% and an inferred mineral resource estimate of 7.6 million tonnes at an average zinc equivalent grade of 6.29%.
What is unusual about this is that the Brabant-McKenzie deposit is the only known significant VMS deposit in the area, and VMS deposits normally occur in clusters.
Murchison has completed 1,950-line kilometres of geophysical surveys since January 2019. These surveys have defined over 100 discreet electromagnetic anomalies and ground-based prospecting and exploration drilling has helped defined 10 high-priority exploration targets.
Initial metallurgical studies at the deposit indicate that a simple flotation test using a coarse grind with a rougher and scavenger circuit was able to upgrade the zinc grade from 9.13% to 27 with a 98% recovery.
A further four-stage cleaner flotation test resulted in a zinc concentrate of 50.2% with an 85.06% recovery. The recycling of cleaner tails is expected to result in an overall net zinc recovery of at least 90%.
Precious metals were concentrated in the fourth stage cleaner tail material with a grade of 180 g/t silver and 1.13 g/t gold. While these results are preliminary they are very encouraging, and it is assumed they can be improved through further optimisation.
Betty Zone Target
The Betty Zone Target is located 1 km northeast of the Brabant-McKenzie Deposit (Figure 9). Previous drilling at the project intersection what appears to be VMS style mineralization, including:
- 1.5 metres at a grade of 5% lead and 0.6% copper (BETTY-3)
- 2.7 metres at a grade of 1.60% zinc, 0.07% copper, 0.04% lead and 4.88 g/t silver from 396.63 meters (BZ21-004)
- 0.92 metres at a grade of 4.40% zinc, 1.33% copper and 12.95 g/t silver from 280.73 metres (BZ21-002)
Figure 9 - Betty Zone Target
Main Lake Target
The Main Lake Target is located 10 km southwest of the Brabant-McKenzie Deposit (Figure 8). The Main Lake Target consists of a small, poorly-exposed outcrop of sphalerite-chalcopyrite-rich massive sulphide at the base of a large cliff.
Previous drilling at the target returned:
- 3.59 metres at a grade of 0.83% Cu, 0.61% Zn and 11.8 g/t Ag from 139.65 meters and 6.62 meters at a grade of 0.09% Cu, 1.62% Zn and 41 g/t Ag from 169.80 metres (ML-20-004)
- 1.75 metres at a grade of 0.28% Cu, 1.50% Zn and 6.97 g/t Ag from 151.4 meters and 1.01 meters at a grade of 0.04% Cu, 4.71% Zn and 21.2 g/t Ag from 179.58 metres (ML-21-002)
Extensive metamorphic VMS- type garnet-anthophyllite alteration was observed in all four recently drilled holes and appears more extensive than what is observed at the Brabant-McKenzie Deposit.
Geology
The Brabant-McKenzie Deposit is associated with the Reindeer Zone of the Early Proterozoic Trans-Hudson Orogen.
The host rocks are dominantly biotite gneisses with semi-contiguous bands and intercalated amphibolite and calcsilicate gneisses of the McLennan Group covered by a thick blanket of sediments.
The Brabant-McKenzie Deposit occurs within a northeast-trending, northwest dipping homocline that may represent the eastern limb of an overturned synform.
There are two distinct mineralized zones:
- The Upper Mineralized Zone extending down-dip to 1,000 metres
- The Lower Mineralized Zone extending down-dip to 800 metres
Pyrrhotite, sphalerite, pyrite, chalcopyrite, and galena occur within lenses of disseminated- to massive-sulphide, sulphide-rich breccias, and veins.
Milestones
- Winter 2022: Comprehensive desktop study on results to date to improve targeting for future drill programmes
- 2022: Expand high-grade domains by testing along strike and down dip from current areas of defined mineralisation
- 2023: Continue exploration drilling at Main Lake and Betty Targets