Osisko Metals releases 2019 Pine Point mineral resource estimate
13 November 2019
Osisko Metals Incorporated is pleased to announce the 2019 Mineral Resource Estimate Update for its 100% owned Pine Point Project, located near Hay River, in the Northwest Territories of Canada. The 2019 MRE was prepared by BBA Inc. Cut-off grades are based on estimated long-term metal prices, mining costs, metal recoveries, concentrate transport, and smelter costs.
- The Pine Point MRE now totals 52.4 Mt grading 4.64% zinc and 1.83% lead (6.47% Zinc Equivalent (“ZnEq”)) containing approximately 5.3 billion pounds of zinc and 2.1 billion pounds of lead in-situ.
- Compared to the previous MRE (see press release dated December 6, 2018), the tonnage of the 2019 MRE increased by 36% with a minor 0.11% drop in the ZnEq grade. Tonnage increase is attributable to the 2018-2019 drilling campaign, historical resources on newly acquired claims and the inclusion of newly modelled underground resources.
- Underground mineral resources were incorporated into the 2019 MRE and totaled 4.5 Mt grading 5.76% zinc and 2.43% lead (8.19% ZnEq). For the underground resource, a cut-off of 5% ZnEq was used.
- The central core of the Project (East Mill, Central and North Zones) now contains approximately 31.9 Mt grading 6.22% ZnEq or 3.1 billion pounds of zinc and 1.1 billion pounds of lead in situ.
- Even though drill density in certain portions of the Project would have permitted resource classification in the Indicated category, management decided to classify the entire resource as Inferred until such time as the entire historical database can be validated, including an ongoing resampling of the historical drill core from Cominco Limited era.
- Metallurgical test work completed to date continues to highlight Pine Point as potentially producing among the cleanest high-grade zinc and lead concentrates globally.
- An updated MRE is planned to accompany an upcoming Preliminary Economic Assessment (“PEA”) in Q2-2020 with the aim of continuing to increase the mineral resource base.
- A Technical Report supporting this 2019 MRE will be filed within the next 45 days.