QC Copper Announces Pit Constrained Mineral Resource Estimate for the Opemiska
QC Copper Announces Pit Constrained
Mineral Resource Estimate for the Opemiska
Deposit: 81.7M tonnes @ 0.88% CuEq of M&I
Mineral Resources and 21.3M tonnes @ 0.73%
CuEq of Inferred Mineral Resources
TORONTO
,
Sept. 20, 2021
/CNW/ - QC Copper and Gold Inc. ("
QC Copper
" or the "
Company
")
(TSXV: QCCU) is pleased to report the results for its initial Mineral Resource Estimate on the
Opemiska Project located in the
Chibougamau
District of Quebec.
Highlights include:
The Opemiska Deposit consists of
81.7M
tonnes @ 0.88% CuEq
of pit constrained Measured
and Indicated Mineral Resources and
21.3M
tonnes @ 0.73% CuEq
of Inferred Mineral
Resources.
The Mineral Resource is pit-constrained and contains more than 532,000 tonnes or 1.17 billion
lbs of copper and 816,000 ounces of gold in the Measured & Indicated (M&I) classification and
an additional 109,000 tonnes or 240.3 million lbs of copper and 209,000 ounces of gold in the
Inferred classification.
Over 82% of the total Mineral Resource reports to the M&I classification.
Opemiska's initial Mineral Resource includes over 1.05 million metres of drilling completed by
QC Copper and former operators of the Project. Significant drilling density and extensive
records from previous operators have supported a high-confidence Mineral Resource.
Within the larger Mineral Resource, the Company has identified a high-grade potential starter pit
of
10.6M
tonnes of M&I Mineral Resources grading 1.26% CuEq.
The Mineral Resources are pit constrained using pit optimization algorithms and a 0.2% CuEq
cut-off, inclusive of
US$3.50
/lb copper and
US$1,650
/oz gold prices.
The Company has outlined multiple targets for expansion and discovery drilling this coming
winter. These targets include extensional drilling to expand the existing Mineral Resource
envelope, proximal former mines including the adjacent Cooke & Robitaille deposits, and other
prospective targets along the Gwillim and Beaver Lake fault zones.
"We're extremely pleased to report a significant initial Mineral Resource for our flagship Opemiska
project in
Quebec
. Leveraging over 1 million metres of drilling completed by QC Copper and
previous operators, the current Mineral Resource demonstrates a high degree of confidence with
82% of the Mineral Resource in the M&I classification. We emphasize that this is just the initial
Mineral Resource for Opemiska, and that all Mineral Resources we are reporting here are
constrained to an optimized open pit. Given our geologic model and knowledge of existing
mineralization, we see ample room to grow this Mineral Resource with further exploration and
definition drilling. We see few comparable copper-gold deposits that offer this combination of
substantial size, robust grades, and excellent on-site infrastructure all located in the Province of
Quebec
. This initial Mineral Resource firmly establishes Opemiska as a unique and attractive
project backed by a team focused on additional Mineral Resource growth, aggressive exploration of
local exploration targets and advancing Opemiska towards future development," noted
Stephen
Stewart
, Chairman & CEO of QC Copper.
Table
1
: Summary of Pit Constained Mineral Resources in the Opemiska Deposit, 0.2% CuEq
cut-off
(
see footnotes
1-7)
Category
Tonnage
(millions)
Copper
(%)
Gold
(g/t)
CuEq
(g/t)
Contained
Copper
(million
lbs)
Contained
Gold
(k oz)
Contained
CuEq
(million lbs)
Measured
64.94
0.64%
0.32
0.88%
918.2
676.6
1,254.9
Indicated
16.73
0.69%
0.26
0.88%
255.2
139.0
325.8
Total M&I
81.67
0.65%
0.31
0.88%
1,173.40
815.6
1,580.7
Inferred
21.35
0.51%
0.30
0.73%
239.8
209.2
345.8
1.
Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate of Mineral Resources may be materially affected by
environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues, although QC Copper & Gold is not aware of any such issues.
2.
The Inferred Mineral Resource in this estimate has a lower level of confidence than that applied to an Indicated Mineral Resource and must not be converted to a Mineral
Reserve. It is reasonably expected that the majority of the Inferred Mineral Resource could be upgraded to an Indicated Mineral Resource with continued exploration.
3.
The Mineral Resources were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions
(2014) and Best Practices Guidelines (2019).
4.
All historical underground excavations and stopes and vein envelopes were digitized from scanned historical plans and sections. A bulk density of 2.97 metric tonnes per
cubic metre was used for all resources except for the inferred in the Springer pit where 2.94 was used.
5.
The Mineral Resource reported here is based on a pit optimization. All interpolation routines for the block model were constrained by hard boundary domained halos
constructed from the sectional interpretation of the disseminated mineralization surrounding the historical mined veins. Veins were interpolated separately and stope
volumetrics were subsequently subtracted from the vein blocks to report the correct tonnages and metal content of the residual high-grade vein material.
6.
The 0.20% CuEq cut-off grade was derived from the approximate August 2021 Consensus Economics long term forecast Cu and Au prices of US$3.50/lb and US$1,650/oz,
US$ exchange rate of $0.76, 80% Cu process recovery and smelter payable, mining C$2.25/t, processing C$13/t, G&A $3/t.
7.
CuEq% = Cu% + (Au g/t x 0.72) + (Ag g/t x 0.01)
Figure 1: Graphical Depiction of Opemiska Mineral Resources and Constraining Pit Shell (CNW
Group/QC Copper & Gold Inc.)
Next Steps: Ongoing Drilling to Expand Opemiska Mineral Resource & Explore New Targets
Beyond the current Opemiska Mineral Resource, the Company notes considerable potential to add
additional Mineral Resources in the immediate vicinity of the conceptual open pit. Earlier work on the
project by RPA Inc. in 2014 highlighted an exploration target at depth at Perry that spanned a range
between 3 and 11 million tonnes at an average grade of 1.5% to 2.5% copper. To estimate this
Mineral Resource QC Copper and Gold has digitized all the underground workings and veins down
to the bottom of the historical Perry Mine.
To the east of the Perry Pit, there has been some underground mining on the deep extensions of the
K Veins, however, none of the excavations reached surface even though the veins themselves do
outcrop. Drilling by QC Copper and Gold confirmed the presence of veins and disseminated
material near the surface. Based on results obtained, the Company anticipates that with further
drilling, additional Mineral Resources may be outlined in some satellite pits.
Further east, in the vicinity of the historical Cooke and Robitaille mines, the mineralized zones are
aligned with the Beaver Lake Fault Zone which occupies the hinge zone of the Beaver Lake Fold
structure, a conjugate fold to the Springer anticlinal synform. This structural corridor has been drilled
extensively by
Falconbridge
but only for high-grade underground-mineable veins. Sampling was
sporadic to capture the high-grade veins and little or no sampling was done between veins although
in many cases, the historical logs describe lower-grade mineralization that could be economic in an
open pit mining scenario. A significant amount of drilling is required to test the entire corridor, which
is approximately 500 metres wide and 3.5 kilometres in length with strong indications that
mineralization occurs on both sides of the Gwillim Fault.
"The Company has reached an important milestone with this initial Mineral Resource on the
Opemiska Deposit but our exploration team is already pivoting towards growing this Mineral
Resource from continued drilling. Our initial drilling will focus on defining near surface Mineral
Resources proximal to the Springer-Perry pit as well as the definition of underground Mineral
Resources in the Perry Mine at depth beneath the conceptual pit. Looking beyond Springer and
Perry, we will investigate the Beaver Lake Fault corridor over its 3.5km of mineralized trend; this
includes an in-depth assessment of the historical Cooke and Robitaille mines. Like the Opemiska,
Cooke and Robitaille were previously mined in significantly lower metal price environments, host
known mineralization, and benefit from significant historical exploration data from previous operators"
said
Charles Beaudry
, Director and Vice President Exploration for QC Copper & Gold.
He continued, "In addition to these high confidence targets we also plan to explore the Gwillim Fault
trend to the northeast of
Chapais
and we will explore for
Scott Lake
-type volcanogenic massive
sulphide (VMS) targets on the eastern extremity of our land holdings. We are extremely encouraged
by this project and invite all our existing and new investors to accompany us on this amazing journey
of value creation for all stakeholders involved."
Opemiska Infrastructure
The Opemiska Deposit is next to the
Town of Chapais
with a population of 1,609 (2019) and the
Town of Chibougamau
with a population of 7,559 (2020) is located approximately 40 kilometres to
the east. The area has a rich history of mining and the resident population is favorably disposed to
mining activities and hosts locally available skilled labour. Ample electrical power is available from a
nearby substation on the
James Bay
powerlines which cross QC Copper's land holdings. An
operational rail line is located within few kilometers from
Chapais
. Paved highways lead south to Lac
St-Jean and
Quebec City
and southwest to
Val d'Or
and
Rouyn-Noranda
. Finally, the project is
located in
Quebec
, the most mining friendly jurisdiction in
Canada
and north of the 49th parallel and
as such is part of the
Quebec
government's Plan Nord initiative and could benefit from special fiscal
and financial incentives.
Geological Data and Logistics
This Mineral Resource Estimate is based on an optimized open pit shell that encompasses the
surficial part of the historical Springer and Perry mines, two underground operations that together
produced
22.0M
tonnes of ore at 2.40% copper and 0.33 g/t gold between 1953 and 1991 when the
mines were closed and the camp decommissioned. The prevailing mine cut-off grade was
approximately 1.5% copper over a minimum mining width of 5 feet (
1.5m
) and wall rocks contain a
considerable amount of mineralization extending away from the veins, that was not economic for
underground mining during the period of 1953-1991 but forms the bulk of the current Mineral
Resource.
Moreover, the near-surface portions of many of the veins were not mined, with crown pillars left to
prevent open holes from marring the landscape. In the vicinity of the former mill, crown pillars, some
reaching
70m
in thickness, were left to protect the process plant infrastructure. These leftover crown
pillars represent an important opportunity for QC copper as they host a considerable amount of high-
grade mineralization at surface which could drive significant early, cash flows in an open-pit
development scenario. Early cash flows would serve to reduce operating risk, accelerate capital
payback and enhance potential project economics. The image below (Figure 2) depicts two high-
grade starter pits which host 10.6 million tonnes grading 1.26% CuEq, or +45% higher grade than
the overall Mineral Resource.
Figure 2: Plan View of Constraining Pit Shell and Potential High-Grade Starter Pits (CNW Group/QC
Copper & Gold Inc.)
The Mineral Resource Estimate on the Opemiska Deposit is based on a drill hole database
containing 16,570 surface and underground diamond drill holes totaling 1,042,668 metres of core
drilling and 348,492 assays. All mine-era drilling was converted from mine grid to UMT using
transformation equations calculated by a land surveyor based on differential GPS measurements of
many located drill casings.
All historical mine excavations, stopes and veins were digitized in mine grid from numerous maps,
vertical and longitudinal sections and solid wireframes were built and converted to UTM coordinates.
All stopes were digitized down to the bottom of the Perry Mine (circa
820m
depth) and down to a
depth of 715 metres on the Springer Mine.
Sensitivity to CuEq Cut-Off Grades
The estimated block model has been tabulated at various CuEq cut-off grades (Table 2). This
tabulation does not represent a Mineral Resource in any way and only serves to illustrate the nature
of the mineralization and sensitivity to various CuEq cut-offs.
Table
2
: Block Model within the Constraining Pit Shell at Various CuEq Cut-Off Grades
Area
Class
Cut-off
Tonnage
Au
Au
Cu
Cu
Cu
CuEq
CuEq
CuEq
CuEq%
kt
g/t
oz
%
t
lbs
%
tonne
lbs
Springer
Measured
1
14,873
0.91
433,102
1.27
188,565
415,714,454
1.92
285,994
630,507,361
0.5
32,815
0.54
569,638
0.87
285,673
629,799,424
1.26
414,002
912,717,002
0.4
38,949
0.48
598,417
0.79
306,626
675,993,447
1.13
441,502
973,343,765
0.3
46,553
0.42
625,842
0.70
326,801
720,472,670
1.01
467,936
1,031,621,554
0.25
51,132
0.39
639,421
0.66
336,258
741,320,851
0.94
480,501
1,059,321,801
0.2
56,537
0.36
653,492
0.61
345,143
760,909,010
0.87
492,610
1,086,017,178
0
72,287
0.29
683,259
0.50
360,157
794,008,741
0.71
514,488
1,134,251,042
Indicated
1
4,194
0.64
86,617
1.54
64,513
142,225,693
2.01
84,361
185,984,329
0.5
8,855
0.41
116,108
1.02
90,729
200,022,239
1.33
117,383
258,785,097
0.4
10,485
0.36
122,480
0.92
96,553
212,863,231
1.19
124,697
274,909,557
0.3
12,617
0.32
128,965
0.81
102,453
225,869,921
1.05
132,113
291,258,065
0.25
14,000
0.29
132,534
0.75
105,411
232,390,706
0.97
135,908
299,624,493
0.2
15,711
0.27
136,549
0.69
108,298
238,755,694
0.89
139,743
308,080,677
0
21,643
0.21
147,632
0.53
114,451
252,321,060
0.69
148,496
327,376,789
Inferred
1
3,780
1.05
127,314
1.34
50,599
111,551,483
2.10
79,497
175,259,803
0.5
9,188
0.58
170,989
0.85
78,386
172,810,636
1.28
117,385
258,789,455
0.4
11,504
0.49
181,758
0.75
86,205
190,048,827
1.11
127,744
281,626,304
0.3
14,983
0.40
193,932
0.64
95,371
210,257,130
0.93
139,782
308,167,138
0.25
17,477
0.36
200,785
0.58
100,573
221,725,500
0.84
146,615
323,230,779
0.2
21,137
0.31
208,685
0.51
106,853
235,569,682
0.73
154,791
341,256,138
0
149,672
0.07
314,563
0.12
174,254
384,164,935
0.17
247,491
545,624,576
Perry
Measured
1
2,403
0.21
16,021
1.78
42,696
94,127,596
1.93
46,313
102,103,573
0.5
5,074
0.13
20,457
1.20
60,787
134,011,566
1.29
65,427
144,242,749
0.4
5,973
0.11
21,440
1.08
64,588
142,391,912
1.16
69,460
153,132,214
0.3
7,096
0.10
22,317
0.96
68,288
150,549,714
1.03
73,370
161,752,176
0.25
7,710
0.09
22,704
0.91
69,882
154,063,047
0.97
75,057
165,471,824
0.2
8,402
0.09
23,094
0.85
71,344
157,285,566
0.91
76,614
168,904,279
0
10,431
0.07
23,911
0.71
73,808
162,718,961
0.76
79,285
174,792,614
Indicated
1
217
0.21
1,463
1.74
3,788
8,350,125
1.91
4,144
9,136,254
0.5
551
0.11
2,035
1.09
6,000
13,228,245
1.18
6,497
14,322,650
0.4
672
0.10
2,162
0.97
6,511
14,353,376
1.05
7,039
15,517,478
0.3
836
0.09
2,361
0.84
7,031
15,501,154
0.91
7,608
16,772,922
0.25
921
0.08
2,437
0.79
7,245
15,972,249
0.85
7,841
17,286,580
0.2
1,015
0.08
2,489
0.73
7,442
16,406,474
0.79
8,053
17,754,738
0
1,256
0.06
2,588
0.62
7,733
17,048,540
0.67
8,377
18,467,532
1
54
0.17
294
1.75
942
2,075,680
1.88
1,014
2,234,387
Inferred
0.5
158
0.09
448
1.11
1,753
3,864,362
1.18
1,863
4,107,541
0.4
175
0.08
457
1.04
1,829
4,032,173
1.11
1,942
4,280,622
0.3
197
0.07
465
0.97
1,900
4,188,798
1.03
2,015
4,443,043
0.25
204
0.07
468
0.94
1,921
4,234,020
1.00
2,037
4,489,931
0.2
208
0.07
469
0.93
1,930
4,253,947
0.98
2,046
4,510,759
0
251
0.06
484
0.79
1,981
4,367,546
0.84
2,102
4,633,395
Opemiska Deposit Mineral Resource Estimate
The Mineral Resource Estimate is material within the constraining pit shell above a 0.2% Cu-Eq cut-
off grade. The Mineral Resource Estimate has an effective date of
September 20, 2021
(Table 1),
and a corresponding Technical Report disclosing the Mineral Resource Estimate in accordance with
NI 43-101 will be prepared by P&E Mining Consultants Inc. for QC Copper and Gold Inc. QC
Copper and Gold will file the Technical Report on SEDAR under its profile at
www.sedar.com
within
45 days of this news release.
Reasonable Prospects for Eventual Economic Extraction
A Mineral Resource is a concentration of solid material of economic interest near the surface of the
Earth in such form, grade or quality and quantity that there are reasonable prospects for eventual
economic extraction (RPEEE). To satisfy the requirement of RPEEE by open pit mining, a reporting
pit shell was determined based on conceptual parameters and costs (table 1). Copper and gold
recovery will be be achieved using conventional crushing, milling, gravity, and flotation to produce a
copper concentrate that could be shipped to a smelter for processing.
Mineral Resource Classification
Material within the constraining pit shell was classified according to Mineral Resource confidence
classifications defined in CIM Definition Standards for Mineral Resources and Mineral Reserves.
Data quality and quantity, geological and grade continuity, and confidence in the grade and bulk
density estimates, were considered when classifying the Mineral Resource. Mineral Resources are
classified as either Measured, Indicated or Inferred. Measured, Indicated and Inferred Mineral
Resources were determined from respective search ranges of 30, 40 and 120 metres with a
respective minimum of seven, four and one composites.
The estimate of Mineral Resources may be materially affected by risks set forth in any QC Copper
and Gold's Management Discussion and Analysis Reports and other filings made with Canadian
securities regulatory authorities and available at
www.sedar.com
.
About the Opemiska Copper Complex
The Opemiska Copper Complex is located adjacent to Chapais,
Quebec
, within
the Chibougamau district. Opemiska is also within the Abitibi Greenstone Belt and within the
boundaries of the Province of Quebec's Plan Nord, which promotes and funds infrastructure and
development of natural resource projects. The Opemiska Property covers 12,782 hectares and
covers the past producing Springer, Perry, Robitaille and Cooke mines, previously-owned and
operated by Falconbridge between 1953-1991. The project hosts excellent on-site infrastructure,
including a power station and direct access to Highway 113 and the Canadian National Railway.
QP Statement
The technical information contained in this news release has been reviewed and approved by
Charles Beaudry
, P.Geo and géo., Director and Vice President Exploration for QC Copper & Gold,
and
Eugene Puritch
, P.Eng. of P&E Mining Consultants Inc., both Qualified Persons, as defined in
"National Instrument 43-101, Standards of Disclosure for Mineral Projects." Mr. Puritch is
independent of QC Copper & Gold.
QAQC Statement
All drilling performed by QC Copper and Gold was done using NQ sized drill rods and holes were
stabilized to minimized deviations. All core is stored in
Chapais
in a locked yard. All pulps have
been preserved as well as mineralized rejects.
For the exploration undertaken by QC Copper & Gold, all assay batches are accompanied by
rigorous Quality Assurance procedures that include insertion of standards and blanks and verification
assays in a secondary laboratory. Quality Control results, including the laboratory's control
samples, are evaluated immediately on reception of batch results and corrections implemented
immediately if necessary. All drill collars in 2019 and 2021 were positioned in UTM coordinates and
post-drilling surveyed using differential GPS instrumentation. The historical mine holes were
surveyed on surface and underground at the time of drilling by mine personnel using conventional
surveying methods. The collars for 2019 were oriented by compass but in 2021 accurate non-
magnetic orientation of collars was achieved using the gyroscopic Azimuth Aligner by Minnovare.
Downhole deviations surveys were done with Flex-it instrument by Reflex instrument at
30m
intervals, and all erroneous azimuths caused by excessive magnetism were purged from the
database. A systematic bulk density measurement program using the water displacement method
was implemented to measure the bulk density of all rock types. A total of 779 bulk density
measurements were done for the 2019 drilling program and an additional 267 measurements were
done in 2021. No bulk densities are available for the vendor drill holes or for the historical mine
holes. A specific susceptibility measurement protocol was also implemented to estimate the relative
abundance of magnetite in the Ventures Sill's variably magnetic rocks. A focused optical and
acoustic televiewer surveying program was done at the end of the program to obtain correctly
oriented structural measurement.
For the Mineral Resource database additional QAQC measures included core duplicates. For the
historical drilling assay verification measures comprised core resampling for the holes drilled by the
vendor in 2010, 2015 and 2016 and for the historical
Falconbridge
mine era drilling where no core
remains a total of 37 twinned holes were collared and results compared with the assays from the
mine. The results of these measures confirm that the assays from the vendor period are equivalent
to QC Copper assays and that the mine era assays are demonstrably equivalent for the range of
values from the lower detection limit up to about 2.0% Cu which represents over 90% of the assays
in the Mineral Resource database. Above this grade the number of samples in the twinned data is
small and the variance is high such as to be difficult to compare datasets. Nevertheless, for the bulk
of the mine drilling the assays are comparable to modern-day, QAQC controlled assays. After
review of available data, the assays undertaken by QC Copper as well as the vendor and the mine
are judged to be acceptable for the purposes of estimating a Mineral Resource on the Opemiska
Project.
For information and updates on QC Copper and Gold, please visit:
www.qccopper.com
And please follow us on Twitter
@qccoppergold
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
TSX Venture Exchange policies) accept responsibility for this release's adequacy or accuracy.
Certain information in this press release may contain forward-looking statements. This information
is based on current expectations subject to significant risks and uncertainties that are difficult to
predict. Actual results might differ materially from results suggested in any forward-looking
statements. QC Copper and Gold Inc. assume no obligation to update the forward-looking
statements or to update the reasons why actual results could differ from those reflected in the
forward looking-statements unless and until required by securities laws applicable to QC Copper
and Gold Inc. Additional information identifying risks and uncertainties is contained in QC Copper
and Gold Inc. filings with Canadian securities regulators, which filings are available under QC
Copper and Gold Inc. profile at
www.sedar.com
.
SOURCE
QC Copper & Gold Inc.
View original content to download multimedia:
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For further information:
Stephen Stewart, Chief Executive Officer, Phone: 416.644.1567, Email
CO: QC Copper & Gold Inc.
CNW 06:00e 20-SEP-21