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Trilogy Metals provides update on Alaskan projects

Published by , Assistant Editor
Global Mining Review,

Trilogy Metals Inc. (Trilogy Metals) has provided an update on its current project activities. Drilling and technical activities have commenced at both the Arctic and Bornite Projects which are within the company's 100%-owned Upper Kobuk Mineral Projects located in Northwest Alaska.

On 28 June 2019, Trilogy Metals announced that all the company's outstanding warrants have been exercised in advance of the expiry date. As a result of the warrants exercised, Trilogy Metals issued a total of 6 521 740 common shares of the company and received cash proceeds of approximately US$9.9 million. Please see the company's press release dated 28 June 2019 for more information.

Bornite Project

Exploration activities commenced at the beginning of June with almost 2000 m of drilling already completed at the Bornite Project with three rigs from Major Drilling America, Inc. currently in operation at site. The main goal of the US$9.2 million programme will be to drill approximately 8000 m within 12 holes and will include both infill and expansion drilling. The results from this drilling campaign are anticipated to be included into a future updated resource estimate. The results from the first few holes of this programme are expected to be released in late summer 2019.

Arctic Project

The US$7.0 million engineering and environmental programme has commenced at Arctic with two rigs from Tuuq Drilling LLC, a subsidiary of NANA Development Corporation (Tuuq). Work at Arctic commenced in late June and is completing feasibility-level geotechnical and hydrological work. The main goal of this year's work program is to complete engineering and environmental studies to prepare a National Instrument 43-101 compliant Feasibility Study. The company expects to complete the feasibility study in the first half of 2020.

Work is also being done to prepare the Arctic project for permitting, which we expect to commence in 2020. The permitting preparation studies that are being carried will address water management, tailings facilities design and waste rock management and containment.

District Exploration

District-wide VTEM and ZTEM helicopter airborne geophysical surveys were completed this past spring along the entire 100 km long belt of the favourable stratigraphy hosting known polymetallic volcanogenic-massive sulphide (VMS) deposits, as well as the area around the Bornite deposit and the surrounding Cosmos Hills area. The surveys were flown by Geotech Ltd. and the data is currently being reprocessed by Resource Potential PTY Ltd. both of which are independent geophysical consulting firms. There are a multitude of high quality VTEM and ZTEM anomalies to follow up on. The new VTEM and ZTEM surveys will be integrated into our extensive dataset encompassing geology, geochemistry, geophysics and over 150 000 m (or approximately 500 000 ft) of historical drilling accumulated over a 40 year period of exploration, all of which has been geo-referenced into an integrated GIS database. This dataset will be analysed to determine and prioritise targets for drill testing later in the summer after the Arctic environmental and geotechnical drill program has been completed.

Ambler Mining District Industrial Access Project (AMDIAP)

The company continues to have regular dialogue with the Bureau of Land Management (BLM) which is the lead agency for the permitting of the AMDIAP. Trilogy participated in several meetings and has provided information and comment on the Proposed and Alternative routes being considered for the Draft Environmental Impact Statement (EIS). According to the BLM website, "The Draft Environmental Impact Statement is scheduled to be available to the public midsummer 2019. A 45 day public comment period is scheduled. Locations of the public meetings, including the ANLICA 810 hearings, are to be determined, based on the analysis. The Final EIS is scheduled to be complete in late fall/early winter 2019."

For more information on the timing of the AMDIAP permitting please visit the BLM website at¤tPageId=111137

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