The Palmer Project: Responsible Mineral Exploration in Southeast Alaska
Responsible Mineral Exploration in Southeast Alaska
Utilizing advanced technology and industry expertise, we are dedicated to preserving Southeast Alaska’s rich natural and cultural heritage and creating a lasting positive impact for generations to come.
Project Details
The Palmer Project is an advanced-stage mineral exploration initiative in Southeast Alaska.
Guided by state and federal permits, our team of local experts is conducting a comprehensive, multi-year evaluation. We are exploring the potential of the area’s volcanogenic massive sulfide (VMS) deposit for copper, zinc, silver, gold, and barite, while thoroughly assessing the project’s potential social, environmental, and economic impacts.
These assessments help us identify potential challenges and opportunities, enabling us to minimize environmental impacts and ensure worker safety. By consulting with local communities, we address their concerns and promote a collaborative environment for long-term success.
Project Geology
The Palmer Project comprises two significant mineral deposits, the Palmer Deposit and the AG Deposit. These were formed over 200 million years ago due to volcanic activity on an ancient seafloor. Subsequent tectonic movements, involving transport, folding, and faulting, have positioned these deposits within the Chilkat Valley’s current landscape, part of the Alexander Terrane.
Core drilling primarily targets the Palmer Deposit, specifically within the RW and South Wall Zones. The AG Deposit, discovered in 2017, will also be a focus of exploration drilling for the next 3-5 years.
The Palmer Project’s expert Geology Team analyzes core samples to reconstruct the original depositional environment. Samples are evaluated immediately upon retrieval during the field season to select those for detailed laboratory analysis. Off-season, the team uses these results to plan future drilling.
Project Deposit
The Palmer Project hosts a NI43-101 mineral resource estimate in the Palmer (RW & SW) and AG Deposits. The total consolidated mineral resource is 4.77 million tonnes of 13.2% zinc equivalent in the indicated category and 12.00 million tonnes of 8.9% zinc equivalent in the inferred category.
(1) Mineral Resources, which are not Mineral Reserves, do not have demonstrated economic viability. The deposits have been classified as Indicated and Inferred based on confidence in the geological model, drill spacing. The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, market or other relevant issues. The quantity and grade of reported Inferred Resources are uncertain in nature and there has not been sufficient work to define these Inferred Mineral Resources as Indicated or Measured Resources. There is no certainty that any part of a Mineral Resource will ever be converted into reserves.
(2) Mineral resources are reported using an assumed NSR which includes prices, recoveries, and payabilities cut-off grade based on metal price assumptions*, variable metallurgical recovery assumptions**, mining costs, processing costs, general and administrative (G&A) costs and variable NSR factors. Mining (US$41.3), processing (US$23.92) and G&A costs (US$11.77) and Sustaining Capital (US$15.92) totaling US$92.9/t for Underground Mining.
(*) Metal price assumptions considered for the calculation of Metal Equivalent grades are: Gold (US$/oz 2,100.00), Silver (US$/oz 28.0), Copper (US$/lb 4.50), Lead (US$/lb 0.95) and Zinc (US$/lb 1.50)
(**) Cut-off grade calculations assume variable metallurgical recoveries as a function of grade and relative metal distribution. Average metallurgical recoveries are: SW/RW Zones: Gold (76.1%), Silver (90.2%), Copper (90.3%), Lead (82.9%) and Zinc (89.2%), AG Zone: Gold (66.0%), Silver (91.0%), Copper (54.8%), Lead (83.4%) and Zinc (94.8%).
(3) NSR Calculation for SW/RW Domains: NSR= $77.25 x %Cu + $20.32 x %Zn + $9.64 x %Pb + $0.64 x g/t Ag + $43.07 x g/t Au
(4) NSR Calculation for AG Domain: NSR = $49.04 x %Cu + $22.25 x %Zn + $10.14 x %Pb + $0.70 x g/t Ag + $37.77 x g/t Au
(5) The resources are considered to have potential for extraction using underground methodology and constrained by mineable shapes. Resources are presented undiluted and in situ and are considered to have reasonable prospects for economic extraction.
(6) Barite as reported is shown for economic potential but has not been used in the NSR value at this stage.
(7) ZnEq defined by equation SW & RW = NSR value per block / $20.32; AG = NSR value per block / $22.25 (Note Barite has been excluded from the ZnEq and NSR calculations)
(8) CuEq defined by equation SW & RW = NSR value per block / $77.25; AG = NSR value per block / $49.04 (Note Barite has been excluded from the ZnEq and NSR calculations)
(9) Mineral Resources are based on validated data, which have been subjected to QA/QC analysis, using capped, composited samples at 2m. Estimation has been completed using a combination of Ordinary Kriging and Inverse Distance estimation methodologies and classified based on confidence in the underlying data and drill spacing. Mineral resource tonnages have been rounded to reflect the precision of the estimate.
(10) The mineral resources were estimated by Benjamin Parsons, BSc , MSc Geology, MAusIMM (CP) #222568 of SRK, a Qualified Person.
