Midnight Sun Mining Corp. (TSXV: MMA) (OTCQB: MDNGF) (the "Company" or "Midnight Sun") is pleased to release the initial results from drilling conducted on its Solwezi Licences during 2022. The Solwezi Licences are located immediately southwest of First Quantum's Kansanshi Copper Mine, the largest copper mining complex in Zambia.
Exploration Highlights
Overview
Midnight Sun's 2022 exploration program was designed to validate and confirm new structural control models for upgraded stratabound copper mineralization in different areas of known mineralization on the Solwezi Licences. The new structural control models were developed in-house following a review and re-interpretation of past exploration work and new high-resolution geophysical data over the project area.
During the 2022 Solwezi field season, Midnight Sun has completed 12 drill holes totaling 2,639 metres of core with two additional drill holes currently in progress. Drilling has been on the Mitu Trend and on the Crunch Zone Prospect. The Company intends to continue field work as long as weather conditions permit. For the balance of the 2022 field season, the Company's work will focus on gaining a better understanding of the newly identified Kansanshi-style mineralization on the Mitu Trend.
Al Fabbro, President and CEO of Midnight Sun, stated, "The start of our 2022 program has accomplished precisely what we hoped for, which is proof of concept. The work completed has revealed a new, prolific style of mineralization at Mitu which is a very exciting find and adds to the already known mineralized potential in the area."
Targets Tested and Results
Mitu Trend
The Mitu Trend targets were developed based on the interpretation of airborne magnetic data which highlighted a corridor of intense deformation, about 8 - 10 kilometres wide, that includes numerous northeast-trending structures which are also key to mineralization at the Kansanshi Mine.
Five widely spaced diamond drill holes were completed on the Mitu Trend targeting northeast-trending mineralization settings at two localities within the wider Mitu Trend (Figure 1).
Drill holes MTDD-044 and MTDD-045 are located approximately 500 metres apart and intersected structurally controlled Cu-Co mineralization (Figure 1 & 2) including:
Holes drilled to test the continuity of the historic intercept in hole MDD-17-15 which measured 4.23% CuEq over 11.6m (see the Company's news release dated July 4, 2017) achieved a technical success, encountering sulphide minerals in fault breccia and the associated alteration zones broadly within the target depth interval. A detailed assessment is underway to assess the complexity of the setting in which this discovery was made.
Crunch Zone
The Crunch Zone exploration target is situated between the Kazhiba Dome in the northwest and the Solwezi Dome in the southeast (Figure 1). Based on geophysical data, it appears a northeast trending wedge of Copperbelt strata is 'crunched' between the domes showing interference fold patterns that abruptly terminate against the domal structures. An analysis of the VTEM electromagnetic survey suggest mineralized fluids may have migrated along major faults or thrusts which occurred where the Copperbelt strata encountered the dome structures.
An initial drill program consisting of several drill traverses to test for mineralization as well as determining the rock succession in the contact zones is underway at the Crunch Zone with seven holes completed. No assays from these holes have been received yet.
Figure 1: Geology of Midnight Sun's Solwezi Licences showing the locations of drill holes completed.
To view an enhanced version of Figure 1, please visit:
https://images.newsfilecorp.com/files/2553/143247_59a37415a4169bab_001full.jpg
Figure 2: Drill cores from MTDD-044 (above) and MTDD-045 (below) illustrating the style, setting and alteration associated with copper mineralization at Mitu.
To view an enhanced version of Figure 2, please visit:
https://images.newsfilecorp.com/files/2553/143247_midnightsunfigure2.jpg
Mitu Trend Drilling - Significant Downhole Intercepts
| Hole | From (m) | To (m) | Interval (m) | Cu (%) | Co (%) | Nickel (%) | Cu Eq (%) |
| MTDD043 | 32.00 | 34.80 | 2.80 | 0.12 | 0.01 | 0.20 | 0.77 |
| MTDD044 | 9.00 | 12.00 | 3.00 | 0.10 | 0.00 | 0.01 | 0.16 |
| MTDD044 | 13.15 | 16.00 | 2.85 | 0.12 | 0.01 | 0.02 | 0.24 |
| MTDD044 | 18.95 | 31.00 | 12.05 | 0.14 | 0.00 | 0.02 | 0.23 |
| MTDD044 | 51.00 | 55.00 | 4.00 | 0.19 | 0.02 | 0.01 | 0.35 |
| MTDD044 | 60.00 | 64.85 | 4.85 | 0.46 | 0.02 | 0.02 | 0.69 |
| MTDD044 | 98.00 | 110.00 | 12.00 | 0.18 | 0.01 | 0.02 | 0.29 |
| MTDD044 | 113.50 | 117.65 | 4.15 | 1.29 | 0.13 | 0.05 | 2.28 |
| MTDD044 | 119.20 | 125.00 | 5.80 | 1.86 | 0.07 | 0.02 | 2.41 |
| MTDD045 | 52.00 | 57.00 | 5.00 | 0.18 | 0.01 | 0.09 | 0.49 |
| MTDD045 | 146.30 | 149.00 | 2.70 | 0.14 | 0.01 | 0.01 | 0.27 |
| MTDD045 | 149.00 | 156.30 | 7.30 | 0.58 | 0.02 | 0.02 | 0.79 |
| MTDD045 | 157.00 | 168.00 | 11.00 | 0.23 | 0.01 | 0.01 | 0.36 |
| MTDD045 | 171.30 | 174.00 | 2.70 | 0.18 | 0.05 | 0.01 | 0.53 |
Notes:
Location of Reported Drill Holes
| Hole | East | North | RL | Dip | Azimuth | EOH |
| CRZDD_001 | 424175 | 8647400 | 1376 | -55 | 100 | 238.1 |
| CRZDD_002 | 424257 | 8647385 | 1376 | -55 | 100 | 160.5 |
| CRZDD_003 | 424077 | 8647417 | 1367 | -55 | 110 | 205 |
| CRZDD_004 | 423892 | 8652334 | 1392 | -60 | 330 | 168.6 |
| CRZDD_005 | 423996 | 8647432 | 1359 | -60 | 100 | 281.5 |
| CRZDD_006 | 423955 | 8652167 | 1398 | -60 | 330 | 211 |
| CRZDD_007 | 418120 | 8648817 | 1352 | -60 | 315 | 276.55 |
| MTDD_042 | 431035 | 8636307 | 1372 | -60 | 315 | 242 |
| MTDD_043 | 431105 | 8636378 | 1372 | -60 | 315 | 215.7 |
| MTDD_044 | 428016 | 8638405 | 1373 | -60 | 315 | 217 |
| MTDD_045 | 427611 | 8638095 | 1357 | -60 | 315 | 224.5 |
| MTDD_046 | 428322 | 8638090 | 1370 | -60 | 315 | 245.1 |
Quality Control/Quality Assurance
Core samples obtained from diamond drilling were transported directly to SGS Inspection Services in Kalulushi, Zambia by Midnight Sun personnel for sample preparation. There the samples were sorted, dried, crushed, and pulped before final chemical analysis using ICP42S method which encompasses a 3 or 4 acid digest followed by an AAS multi-element scan. All samples returning >10,000 ppm Cu were automatically re-assayed for higher level concentrations by SGS, which is a fully accredited laboratory. Standards and blanks were inserted regularly in the sample stream and checks were done for Cu.
Qualified Person: Richard Mazur, P.Geo., a Director of the Company anda Qualified Person under NI 43-101, has reviewed and approved the technical data and contents of this release.
ON BEHALF OF THE BOARD OF Midnight Sun Mining Corp.
Al Fabbro
President & CEO
For Further Information Contact:
Al Fabbro
President & CEO
Tel: +1 604 351 8850
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEW RELEASE.
This news release includes certain statements that may be deemed "forward-looking statements." All statements in this release, other than statements of historical facts, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include, changes in market conditions, unsuccessful exploration results, changes in commodity prices, unanticipated changes in key management personnel and general economic conditions. Mining exploration and development is an inherently risky business. Accordingly, the actual events may differ materially from those projected in the forward-looking statements. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/143247
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Midnight Sun Mining Corp. (TSXV: MMA) (OTCQB: MDNGF) (the "Company" or "Midnight Sun") is pleased to report a second diamond drill rig from ATL Drilling Services Ltd. has been secured and mobilized to join the Company's current drill program on the Solwezi Licences in Zambia (see the Company's news release dated August 15, 2022).
Al Fabbro, President and CEO of Midnight Sun, stated, "I am excited for this drill program and it is important to me that we get as much exploration done as possible this field season. The addition of a second rig will expedite our work to ensure we maximize Dr. Dorling's technical plan."
ON BEHALF OF THE BOARD OF Midnight Sun Mining Corp.
Al Fabbro
President & CEO
For Further Information Contact:
Al Fabbro
President & CEO
Tel: +1 604 351 8850
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEW RELEASE.
This news release includes certain statements that may be deemed "forward-looking statements." All statements in this release, other than statements of historical facts, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include, changes in market conditions, unsuccessful exploration results, changes in commodity prices, unanticipated changes in key management personnel and general economic conditions. Mining exploration and development is an inherently risky business. Accordingly, the actual events may differ materially from those projected in the forward-looking statements. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/137740
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Midnight Sun Mining Corp. (TSXV: MMA) (OTCQB: MDNGF) (the "Company" or "Midnight Sun") is pleased to report all preparations have been completed and drilling has commenced on the Company's Solwezi Licences in Zambia.
Highlights
Midnight Sun has contracted ATL Drilling Services Ltd. to perform the diamond drilling program previously announced by the Company (see the Company's news release dated June 14, 2022). This drill program was designed based on a review and re-interpretation of data generated by Rio Tinto Mining and Exploration Limited ("Rio Tinto") under the terms of a now terminated earn-in and joint venture agreement.
Dr. Simon Dorling, a specialist in sedimentary-hosted copper deposits, conducted the review, which included assessing the targeting rationale for the exploration work completed, evaluating the effectiveness of the work completed with regards to the proposed targeting concepts, and commenting on the remaining prospectivity of the Solwezi Licences. The review culminated in a set of drill targets that include both a new interpretation at known targets as well as newly defined targets.
Al Fabbro, President and CEO of Midnight Sun, stated, "Our Solwezi Licences are located in an area of world-class copper mines and have so far shown many of the hallmarks of such deposits. We are of the view that this revised technical approach will provide the Company with an opportunity to catapult the project to a new level."
Target Type and Location
Midnight Sun has committed to up to 4,500 metres of drilling at its Solwezi Licences for the 2022 field season. The drill meterage has been allocated to 4 targets (Figure 1) which include the known Mitu and Dumbwa prospects and two new targets at North 22 Zone and the Crunch Zone.
New Look at Existing Prospects
Figure 1: Geological map and planned drill holes on the Solwezi Licences as well as lineaments and trend lines interpreted from recent geophysical data.
To view an enhanced version of Figure 1, please visit:
https://images.newsfilecorp.com/files/2553/133786_figure1.jpg
Mitu Cu-Co Prospect
The interpretation of high-resolution airborne magnetics shows multiple structures cross cutting the Solwezi Dome margin and the overlying Copperbelt sediment succession. The displacement occurs primarily along northeast trending structures which are key to mineralisation at the nearby Kansanshi Mine, owned by First Quantum Minerals. A reassessment of drill cores confirms a structural overprint on stratiform mineralisation and provides justification to revisit existing prospects including the proposal of structural corridors controlling mineralization around the Mitu area as intercepted in hole MDD-17-15 which measured 4.23% CuEq over 11.6 metres (see the Company's news release dated July 4, 2017). Five diamond drill holes have been planned for the Mitu area, targeting northeast-trending structures.
Dumbwa Cu Prospect
The Dumbwa Prospect is geologically located over basement rock with mineralisation which resembles that of Barrick Gold's Lumwana Mine, located approximately 60 kilometres west of Solwezi. The Dumbwa Prospect is marked by a north-south soil anomaly that extends for more than 20 kilometres. Previous drilling has intersected copper mineralisation but follow up drilling was unable to determine the source of this large anomaly. New magnetic data shows that the southern area of the Dumbwa anomaly is underlain by a major lineament and two east-west drill hole traverses totalling nine holes have been planned to target the source of the surface anomaly.
New Targets
22 Zone North & Crunch Zone
The 22 Zone North & Crunch Zonetargets are concepts derived from a combination of structural interpretation, subtle geochemical anomalism, and new insights into the genesis of mineralisation in the Zambian-Congo Copperbelt. The primary objective of this drilling is to assess the structural control on mineralisation in the area. The selected locations show apparent structural displacements of several hundreds of meters and are oriented in a favourable direction for fluid flow during compressional deformation, potentially leading to areas which trap and concentrate copper-bearing fluids.
Qualified Person: Richard Mazur, P.Geo., a Director of the Company anda Qualified Person under NI 43-101, has reviewed and approved the technical data and contents of this release.
Investor Relations & Stock Option Grant
The Company has extended the investor relation services agreement with Kaye Wynn Consulting Inc. ("Kaye Wynn"). Kaye Wynn has been engaged for an additional one year period at a rate of $3,000 (plus GST) per month. The Company will also grant Kaye Wynn stock options to purchase 350,000 Common Shares at an exercise price of $0.165 per share for the term of their engagement. The stock options shall vest in accordance with TSX Venture Exchange policies relating to the granting and vesting of Investor Relations Stock Options. The options are granted pursuant to the Company's Stock Option Plan and the contract may be cancelled by either party with 30 days' notice.
Additionally, Midnight Sun has granted stock options to purchase an aggregate of 3,300,000 Common Shares of the Company, at an exercise price of $0.165 per share, to certain directors, officers, employees, and consultants. The stock options are granted pursuant to Midnight Sun's 10% rolling stock option plan, are fully vested upon issuance, and shall expire five years from the date of issue.
ON BEHALF OF THE BOARD OF Midnight Sun Mining Corp.
Al Fabbro
President & CEO
For Further Information Contact:
Al Fabbro
President & CEO
Tel: +1 604 351 8850
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEW RELEASE.
This news release includes certain statements that may be deemed "forward-looking statements." All statements in this release, other than statements of historical facts, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include, changes in market conditions, unsuccessful exploration results, changes in commodity prices, unanticipated changes in key management personnel and general economic conditions. Mining exploration and development is an inherently risky business. Accordingly, the actual events may differ materially from those projected in the forward-looking statements. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/133786
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Midnight Sun Mining Corp. (TSXV: MMA) (OTCQB: MDNGF) (the "Company" or "Midnight Sun") is pleased to report that Zambian-Congo Copperbelt expert, Dr. Simon Dorling, has agreed to accept and maintain an engagement with the Company. Simon has reviewed the data and results obtained by Rio Tinto Mining and Exploration ("Rio Tinto") on Midnight Sun's Solwezi Licences in Zambia and integrated this information with the data created by Midnight Sun and previous operators as well as incorporating recent research in the region to build a comprehensive database and inclusive interpretation of the structural-geological settings for mineralisation for future targeting.
Dr. Dorling's work has generated several new targets and justification to revisit existing prospects on the licences, including the proposal of structural corridors controlling mineralization around both the Mitu discovery area as well as hole MDD-17-15 on the Mitu Trend which measured 4.23% CuEq over 11.6 metres (see the Company's news release dated July 4, 2017). These corridors suggest a fault-control on mineralisation through re-mobilisation into late northeast-trending faults which leave these mineralized areas open along strike.
"I am very pleased that Dr. Dorling has agreed to work with us. He already has a high degree of familiarity with the Solwezi Licences and is an expert in this region," commented Al Fabbro, President & CEO. "Dr. Dorling's integration of the newly collected information, particularly the geochemical and geophysical surveys, into our existing exploration data has formed the basis of a very compelling exploration campaign for Midnight Sun to undertake once we formally receive control of the licences from Rio Tinto. We are well funded and well situated to capitalize on this opportunity, as well as others that may arise from our work in the region."
Rio Tinto's exploration drilling was interrupted by the COVID-19 pandemic and, ultimately, did not achieve the amount of work expected. Rio Tinto generated highly valuable data sets for the project and its future exploration, but, in the Company's view, did not capitalise on the newly collected information. Rio Tinto's drilling completed on the 22 Zone, Dumbwa, and the Mitu Trend have been incorporated into the Company's database and evaluation study ahead of the 2022 work program and drill targets are refined in preparation of Midnight Sun's return to the field, which is anticipated to be in August 2022 and include 4,000-5,000 metres of drilling.
Newly Identified Target - "Crunch Zone"
One of Dr. Dorling's immediate findings, based on a structural interpretation of new high-quality airborne magnetic data, is the identification of a previously undocumented "high strain" structural zone running between the edges of the Kazhiba Dome in the northwest and the Solwezi Dome in the southeast where the Roan strata have heavily been compressed and faulted and abruptly terminate along faults against the basement domes. This wedged fan of tight geological folds and faults links to the orientations and structures documented in the dome underlying First Quantum's Kansanshi Mine (~10 kilometres away) through a succession of sedimentary host rocks. The hypothesis is that the highly folded and possibly faulted strata could provide pathways and traps for concentrating copper-bearing fluids running between these three domes.
Qualified Person: Richard Mazur, P.Geo., a Director of the Company anda Qualified Person under NI 43-101, has reviewed and approved the technical data and contents of this release.
ON BEHALF OF THE BOARD OF Midnight Sun Mining Corp.
Al Fabbro
President & CEO
For Further Information Contact:
Al Fabbro
President & CEO
Tel: +1 604 351 8850
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEW RELEASE.
This news release includes certain statements that may be deemed "forward-looking statements." All statements in this release, other than statements of historical facts, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include, changes in market conditions, unsuccessful exploration results, changes in commodity prices, unanticipated changes in key management personnel and general economic conditions. Mining exploration and development is an inherently risky business. Accordingly, the actual events may differ materially from those projected in the forward-looking statements. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/127512
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Midnight Sun Mining Corp. (TSXV: MMA) (OTCQB: MDNGF) (the "Company" or "Midnight Sun") has received notification of Rio Tinto Mining and Exploration Limited's ("Rio Tinto") intention to terminate the previously announced Earn-In and Joint Venture Agreement (the "Earn-In Agreement") (see the Company's news release dated April 27, 2020). Termination will be effective June 28, 2022.
Under the terms of the Earn-In Agreement, Rio Tinto has not earned any ownership of the Solwezi Licences, and control will be returned to Midnight Sun, along with all samples and data collected while Rio Tinto acted as the project operator.
Al Fabbro, President & CEO commented, "While Rio Tinto were not satisfied with the results generated by their work on our properties, I do not share their feelings. From the outset of this Agreement, Rio Tinto made it clear to me they were looking for a 'Rio sized deposit.' Falling short of their parameters does not mean we don't have the makings of an economic orebody on our hands. They have generated excellent databases of geochemical and geophysical information that tell me the Solwezi Licences are very much still alive and warranting further work."
2021 WORK PROGRAM
Midnight Sun has received the 2021 Solwezi exploration report from Rio Tinto. All of the work in this field season was focused on license 12124-HQ-LEL and total expenditures for the 2021 program were approximately USD $2.95 million.
The work consisted of 5,968 meters ("m") of drilling divided into: 2,483 m of diamond drilling ("DD") over 8 holes, 1,050 m of Reverse Circulation drilling ("RC") and 2,682 m of air core drilling ("AC"). There were also 668 new soil samples taken and 1,200 AC samples from Mitu reanalyzed.
A total of five target areas were examined: Gameno, Likoko, Sanda, Mawemba and Dumbwa.
Gameno
There were three DD holes at Gameno totalling 1,300 m. The program was designed to test a Cu-Bi anomaly that was upgraded by two AC holes in 2020 that returned 18 m of 0.21% Cu and 14 m of 0.23% Cu. The three best intercepts were 2.1 m of 0.68% Cu from 360 m, 1.5 m of 0.79% Cu from 188.5 m, and 1.42 m of 8.3% Cu from 164 m.
No further work is recommended due to lack of strike continuity and thickness. It is also the most populous part of the licenses, running into the town of Solwezi, which hampers further exploration and potential development.
Likoka
Two DD holes, totalling 461 m tested the Mitu extension to the southeast over a moderate copper soil anomaly coincident with a strong Versatile Time Domain Electromagnetic ("VTEM") anomaly and an audiomagnetotelluric ("AMT") conductor. Neither diamond drill hole intersected Cu mineralisation, indicating further geological and structural modelling of the Mitu Trend is required to understand the controls of mineralisation and the fluid focusing mechanism along this target area.
Sanda
Two DD holes totalling 499 m tested a weak soil geochemical anomaly and a large VTEM anomaly similar to Mitu. Weak mineralisation was encountered in each hole.
Mawemba
One diamond drill hole was completed to test a Cu in soil anomaly on the north-west edge of a large mafic intrusive body. This diamond drill hole intercepted 20 m of 0.19% Cu from 27.3 m.
At Mawemba NE, 18 air core holes were drilled across three fences, testing a Cu in soil anomaly and along a linear magnetic anomaly. The strongest result was 1 m of 1.13% Cu from 26 m, terminating in mineralization.
Dumbwa
Rio Tinto performed a full review of the diamond drilling previously performed by Midnight Sun on the area to get an understanding of the geology and mineralisation of the area. A 200 m x 200 m infill soil geochemical grid confirmed the continuity of the anomaly and seven reverse circulation holes were drilled.
NEXT STEPS
Midnight Sun engaged an independent Copperbelt expert, Dr. Simon Dorling, to review the data generated by Rio Tinto's work and prepare recommendations for Midnight Sun's 2022 work program.
QUALITY ASSURANCE/QUALITY CONTROL
All samples collected by Rio Tinto including soil samples and all drilling were sent to ALS Global Ndola facility for preparation and on turn ALS Vancouver for analysis. The prepared samples was provisionally analysed by ALS certified pXRF at Ndola and in turn by ICP-AES/MS method in Vancouver. One duplicate sample and one certified standard sample were inserted by Rio Tinto in every 20 samples analysed for quality control/quality assurance purposes.
Qualified Person: Richard Mazur, P.Geo., a Director of the Company anda Qualified Person under NI 43-101, has reviewed and approved the technical data and contents of this release.
ON BEHALF OF THE BOARD OF Midnight Sun Mining Corp.
Al Fabbro
President & CEO
For Further Information Contact:
Al Fabbro
President & CEO
Tel: +1 604 351 8850
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEW RELEASE.
This news release includes certain statements that may be deemed "forward-looking statements." All statements in this release, other than statements of historical facts, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include, changes in market conditions, unsuccessful exploration results, changes in commodity prices, unanticipated changes in key management personnel and general economic conditions. Mining exploration and development is an inherently risky business. Accordingly, the actual events may differ materially from those projected in the forward-looking statements. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/127225
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Following a two-year study, Glencore to scale the use of Ceibo's sulfide leaching technology that significantly improves copper recovery
Ceibo , a clean copper extraction technology company, and Glencore ‘s (GB:GLEN) Lomas Bayas Mining Company have entered into a partnership to deploy Ceibo's proprietary leaching technologies that enable a more effective extraction of copper from low-grade sulfides at one of Chile's leading mines. Lomas Bayas has validated Ceibo's technology and is moving toward scaling up to assess this as an alternative to extend the life of their mining operations. This partnership follows two years of testing by Glencore, an important contributor to Chile's position as the world's largest copper producer.
Under the terms of the memorandum of understanding, Ceibo's technology will scale up with on-site testing through the Lomas Lab, a Glencore world-scale test site, and the company's research and development branch. This agreement opens a significant commercial avenue for Ceibo, demonstrating its unique approach with a major mining company and affirming the value that Ceibo's advanced leaching technologies bring to copper assets globally.
Lomas Bayas is known for its focus on innovative and efficient new solutions. Through this partnership, they will be able to further capitalize on their copper reserves by increasing and optimizing extraction. It also positions Lomas Bayas at the vanguard of sustainable mining by increasing the volume of copper while simultaneously minimizing the impact. Lomas Bayas strives to maximize technologies that allow the production of copper cathodes from sulfide species containing chalcopyrite, with the goal of extending the life cycle of their mine.
Ceibo's leaching processes extract copper in all sulfides using existing leaching plants. This process more quickly and effectively catalyzes the oxidation in the ore through electrochemical reactions, resulting in higher recovery rates in shorter operational cycles. In recent industrial testing on over 20 chalcopyrite-rich ores, the technology has recovered over 75% of copper, a significant increase compared to traditional leaching. Ceibo's technologies can be used in many ways, including increasing the output of existing operations, extending the life of a mine, and enabling new brownfield and greenfield projects.
"We are excited to expand our partnership with Ceibo to scale an innovative technology that can transform the copper industry. Ceibo's ability to produce copper from sulfide-rich ores brings a huge value for assets like Lomas Bayas to sustain production while transitioning from oxides to sulfides," said Pablo Carvallo, General Manager of Lomas Bayas. "This increase will help us maximize our production to service growing worldwide demand."
"The copper industry is facing increased demand alongside environmental standards," said Cristobal Undurraga, co-founder and CEO of Ceibo. "We are thrilled to have such an innovative partner in Glencore's Lomas Bayas, who is at the forefront of adopting new technologies. Together, we are proving that our advanced leaching technologies are allowing the extraction of even more copper from the existing operation while significantly improving sustainability – all while we meet the urgent global need for copper in the clean energy transition."
With demand for copper surging worldwide, this partnership provides a mining industry template for how to immediately increase copper production by significantly extending the life and capacity of mine operations. Ceibo's technologies greatly reduce the implementation time and resource consumption of traditional production methods such as concentrators and smelting, which require many years to build and secure permit approvals and are burdened by an extreme reliance on water and energy.
About Ceibo
Ceibo is accelerating access to copper with its clean, innovative technologies that bridge the supply-demand gap to further the energy transition. Founded in 2021, with dual headquarters in the US and Chile, Ceibo brings together a diverse team of scientists, metallurgists, engineers, and operators with a common passion for using technology to advance net zero goals. For more information, please visit www.ceibo.tech . Media enquiries: ceibo@consortpartners.com
About Glencore in Chile
Glencore is engaged in the production and marketing of raw materials such as copper, sulfuric acid, and molybdenum. In Chile, it operates in the Antofagasta region, including Compañía Minera Lomas Bayas and the Altonorte Metallurgical Complex, and holds a 44% stake in Compañía Minera Doña Inés de Collahuasi.
About Glencore
Glencore is one of the world's largest diversified natural resource companies, with more than 150,000 employees and contractors in over 35 countries. The company produces, processes, recycles, and markets more than 60 commodities that support decarbonization and meet current energy needs.
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He went on to note that during the third quarter, all of the cobalt grades Benchmark follows sank to their lowest levels since the company began tracking prices for the battery metal in 2017.
Cobalt metal price chart, Q3 2024.
Chart via Trading Economics.
“Prices for cobalt metal approached US$10 per pound, and cobalt hydroxide, a feedstock for cobalt metal and battery chemicals, approached US$6 per pound due to weak buyer interest and bearish market outlook,” he said.
“Cobalt sulfate prices had initially held a floor of RMB 27,500 per MT (US$3,857.23)," continued Aubry.
"However, as the quarter came to an end, cheap recycled cobalt sulfate in China undercut prices from the virgin market and has led to a further decrease in prices.”
The cobalt price pressure seen during the third quarter was largely due to a combination of oversupply and weakening demand, particularly from the electric vehicle (EV) battery sector.
The market is grappling with the effects of cobalt's diminishing role in battery chemistries as manufacturers increasingly turn to lithium-iron-phosphate (LFP) batteries, which contain no cobalt, or opt for nickel-based alternatives with lower cobalt content. This shift has been fueled by efforts to mitigate the environmental and ethical issues associated with cobalt mining in the Democratic Republic of Congo (DRC), the largest cobalt-producing nation.
Additionally, as cobalt production capacity expands in countries like Australia and Angola, oversupply pressures are expected to persist, keeping prices relatively low in the near term.
Industry experts predict that unless there is a significant surge in demand from emerging technologies or battery innovations, cobalt prices will remain suppressed, reflecting a structural change in market dynamics.
“The supply of cobalt has proven to exceed what the market has been able to absorb, and weak buyer interest and full stocks have led to prices being incapable of recovering,” noted Aubry. “Overall, a bearish market is expected through 2025 as participants speculate on what is the lowest price cobalt can fall to.”
For Project Blue’s Jack Bedder, the most prevalent trend weighing on the cobalt market in Q3 was oversupply.
“Refined cobalt metal producers in China kept on increasing production volumes for an increased metal premium dampening prices even further,” Bedder told the Investing News Network (INN).
“(London Metal Exchange) off-warrant stockpiled cobalt metal has been rising, and trade data indicated an increase in China’s cobalt metal exports to the European market," the expert added.
Bedder, who is the co-founder and director of the critical metals consultancy, also pointed to higher output in the DRC and Indonesia as a headwind to cobalt price growth.
“Oversupply of cobalt intermediate continues, underpinned by increased production from the DRC’s cobalt hydroxide and Indonesian Ni-Co MHP (nickel-cobalt mixed hydroxide precipitate),” he said.
While Bedder explained that declining prices have caused companies to reschedule production plans and reduce their production guidance, there is still promise on the development side.
In mid-August, Electra Battery Materials (TSXV:ELBM,NASDAQ:ELBM) received a US$20 million grant from the US Department of Defense to support its cobalt refinery project in Ontario, which it says is set to be North America's first producer of battery-grade cobalt sulfate. Located in Temiskaming Shores, the C$250 million facility aims to strengthen the EV supply chain and reduce US reliance on foreign sources for critical minerals.
The funding aligns with the US' strategy of securing essential minerals for defense and technology sectors.
Less than a month later, the company garnered another funding infusion.
“Electra received ample financial backing from the US government to develop its cobalt sulfate refinery in Canada,” said Bedder. “The company has received a total of US$40 million in Q3 2024.”
Electra’s Department of Defense funding wasn’t the only news on the development side.
In late June, Nth Cycle commissioned a 21,000 square foot facility designed to refine metal scrap, e-waste and refinery waste into high-purity critical metals like nickel and cobalt.
“Nth Cycle commenced commercial production of Ni-Co MHP from its refinery in Fairfield, Ohio,” Bedder explained to INN. “The refinery will recover metal from electronic waste and scrap processing up to 3,100 MT per year of scrap materials to produce up to 900 MT per year MHP.”
In addition to building domestic cobalt mining and refining capacity, the US and Canada are working to reduce purchases of Chinese EVs. Both countries have implemented steep tariffs on EVs originating in China.
At the end of August, the Canadian government levied a 100 percent tariff on Chinese EVs. The heightened tariff followed a similar announcement out of the US in May. America also added smaller tariffs on strategic goods necessary for EV production, such as solar cells, semiconductors and lithium batteries.
While the spirit of the new EV taxes aims to spur on domestic production and EV sales, both Aubry and Bedder said they don’t see the tariffs supporting cobalt price growth.
“It is unlikely to have any effect in the short term, as Chinese EVs still remain much cheaper than their western counterparts, even with the tariffs in place, so there is limited incentive for North American producers to build domestic capacity as they are not cost competitive,” said Aubry.
Expressing a similar sentiment, Project Blue’s Bedder said he sees the taxation as a potential catalyst for North American production in the long term. “I don’t see (tariffs) impacting the cobalt market in the short term. Chinese EVs in the US do not currently sell well,” he commented to INN. “However, in the long term, tariffs and the ban on Chinese-connected vehicles may give some support to cobalt demand, as China will likely be targeting LFP EVs.”
As North America looks to bolster ex-China supply, the Asian nation continues to build its cobalt presence.
“In August, GEM (SZSE:002340) commenced commercial production of a 10,000 MT per year refinery in Hubei province, China. The refinery will be using recycled material to produce standard-grade cobalt metal 99.8 percent,” Bedder said.
He also noted that Tengyuan Cobalt (SZSE:301219) has announced plans to build a new nickel-cobalt refinery in Ganzhou province, China. Commercial production is planned for the fourth quarter of 2025.
“Last year, the company produced 15,400 MT of cobalt metal after completing expansions in December 2022,” he said.
Some of that increased output could be earmarked for China’s strategic cobalt reserve. In late May, reports surfaced that the country’s State Reserve Bureau planned on purchasing 15,000 MT from domestic producers.
While Benchmark’s Aubry sees the move as largely supportive of China’s cobalt sector, he told INN that doesn’t see the purchase adding tailwinds to prices for the critical battery material.
“Although this purchase was significantly bigger than previous years, the increased tonnage of the purchase is largely believed to have been a measure taken by the Chinese State Reserve Bureau to offset the significant ramp up in Chinese cobalt metal production capacity,” he said. “As a result, it did not have the strengthening effect that many hoped it would, as Chinese metal production still exceeds what the market is able to absorb.”
As the end of 2024 approaches, INN asked both experts what cobalt investors should watch heading into 2025.
Benchmark’s Aubry advised monitoring cobalt contracting.
“The price floor for cobalt hydroxide is currently set due to long-term contracts that are set to expire early in 2025, and as a result we may see further price erosion moving into next year,” he said.
While he cautioned that the supply/demand story is still very weak moving forward, he noted that cobalt’s future is heavily correlated to copper. “If prices come off further, we may see margins squeezed due to an increasing oversupply next year,” he said. “If the copper market stays strong, producers in the DRC will be incentivized to continue mining copper and cobalt, even if the price of cobalt hydroxide declines below US$6 per pound.”
Moving into to 2025, Bedder is tracking cobalt stockpiling from China's State Reserve Bureau.
High quantities of Chinese cobalt flowing into European markets, coinciding with existing London Metal Exchange warehouse inventories, is another development he is monitoring.
Elsewhere, Bedder noted the ongoing dispute between Glencore (LSE:GLEN,OTC Pink:GLCNF) and the DRC government.
“Much like the situation with CMOC Group (OTC Pink:CMCLF,SZSE:603993) in 2022, the DRC government has alleged that Glencore’s subsidiary, Kamoto Copper, owes the state 800 million euros (US$894 million) related to royalty payments,” said Bedder. “As we approach Q4 and 2025, we are eager to see how this might impact cobalt prices, particularly if significant evidence supports the claim. Notably, this also comes after Glencore’s recent decision to halt cobalt hydroxide stockpiling in the DRC.”
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Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
HIGHLIGHTS
Sonu Cheema, Executive Director, commented:
"It is a pleasure to update the market on quarterly activities of High-Tech’s, specifically the Werner Lake cobalt, nickel, and PGE Project. Over the last 18 months High-Tech has generated significant data from the successful sampling and drilling programs. Through the compilation of the available historical data and the data derived from our successful exploration, I believe we will unlock the true value of Werner Lake.”
Desktop Review – Werner Lake
HTM commenced a desktop review of Werner Lake in the previous quarter aimed at delineating future exploration programs based on all available historical data and newly acquired data. The data derived from the successful Drilling Program, which focused on high priority drill targets, adds to the extensive data available on Werner Lake (refer ASX announcement – Drilling Results at Werner Lake – released 27 November 2023).
High-Tech’s Exploration at Werner Lake
From the outset of the 2023 campaign, focus was on testing new targets away from the Werner Lake deposit. Two areas were selected for a comprehensive evaluation and assessment of the potential to locate economic cobalt, nickel, and PGE targets. These are shown below, essentially, the ‘East’ and ‘West’ blocks or grids.
The objective was to test cobalt, copper and nickel targets on a portion of the Werner Lake Property. The drill program was planned and carried out by the in-country geological consultants, Apex Geoservice (APEX). The program was completed on time and under budget.
Targets were based on a comprehensive appraisal and evaluation of historical geological and production data covering exploration and production on and around the Property, and on the somewhat limited geological and production data from the Gordon Lake Cu-Ni mine.
Table 1 – Total of 798 metres of NQ core was drilled over six holes.
Figure 1 – Werner Lake final DDH locations and access.
The results from the ground-based magnetometer survey, lithogeochemical sampling, and prospecting provided additional focus with the primary targets all located on the east block, east of Gordon Lake and the Gordon Lake mine (refer ASX announcement – WERNER LAKE SAMPLING DISCOVER HIGH GRADE Ni SULPHIDE & Cu-Co – released 30 August 2023).
Click here for the full ASX Release
This article includes content from High-Tech Metals, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.