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SV Rating: Bottom-Fish Spec Value - as of December 29, 2023
What's Next?
Updated April 7, 2021: FPX Nickel Corp was made a Bottom-Fish Spec Value rated 2020 Favorite at $0.16 on December 31, 2019, which was upgraded to a Good Spec Value rating on September 9, 2020 at $0.68 after FPX published a positive updated PEA on Sept 9, 2020 for its Decar nickel project in British Columbia, Canada. FPX was continued as a Good Spec Value rated 2021 Favorite at $0.72 on December 31, 2020, and confirmed on April 7, 2021 @ $0.71 following completion of a $16.1 million bought deal at $0.65 which brings working capital to $21 million, more than enough to fund the estimated $15 million cost to deliver a prefeasibility study by the end of 2022. The Good Spec Value rating is based on a $2-$3 fair value target price range for a project at PFS stage with an after tax NPV of USD $1.4 billion at 8% as defined by the PEA. For FPX Nickel to achieve this target price range in the near term it must overcome market skepticism that putting a 0.12% nickel deposit into profitable large scale production is plausible. The junior's closing of a $16.1 million bought deal at $0.65 (no warrant and immediately free trading) suggests the market is warming up to this idea. SVR Overview Tracker Apr 7, 2021 explains why the stock should be at $2-$3 ahead of climbing into the $4-$6 range at the end of 2022 if a PFS confirms the PEA's number. It also describes the 3 additional vectors that could deliver much higher prices over the next 12 months. With $21 million working capital FPX is more than enough funded to complete a $15 million PFS over the next 20 months. The PFS work will involve infill and geotechnical drilling, larger scale metallurgical studies, and environmental baseline studies. None of this will generate market moving news flow. But Decar is unusual in terms of a feasibility demonstration stage project because it can add value through 3 extra channels. FPX will begin a 3,000 m 10 hole $1 million drill program in June on the Van target located 7 km north of the Baptiste deposit that is the focus of the 2020 PEA mining plan. The 300 m angled holes will test a tonnage footprint of 500-700 million tonnes which is hypothesized to represent a homogenous ultramafic body similar to Baptiste, except that surface sampling at Van suggests a 20%-30% higher grade potential. The program should be done by mid August, with the last assays arriving in October. However, core logging will reveal very early to what extent Van is similar to Baptiste in terms of awaruite grain size distribution, homogeneity and absence of sulphides. Once assays start arriving in August we will also know how grade behaves in the third dimension, allowing back of the napkin resource estimates. Assuming FPX gets enough holes done to fulfill the hole density required for an inferred resource, we can expect a 43-101 resource estimate in Q1 of 2022. Success at Van could boost FPX Nickel's value in two ways: 1) if higher grade it could be prioritized for development which would boost the NPV, and/or, 2) if similar in nature and grade it could become a parallel mine development if FPX subdivides the Decar property and spins Van out as a separate company. The value of such a plan is that it could speed up a buyout decision by a major mining company. The second value channel is the outcome of a metallurgical study on the conversion of the ferro-nickel concentrate into nickel sulphate expected in Q2 of 2021. The question is whether making battery grade nickel sulphate is cheap enough for Decar to serve as a nickel sulphate supplier to the EV market. At this stage we do not know if nickel will be part of the EV battery that eventually becomes standard, but having this option will be of interest to end-users concerned about the ESG status of their inputs. If FPX is successful it will need to report the cobalt grade of Baptiste in its next resource update because cobalt sulphate will be available for extraction from the pregnant liquor after the iron and nickel have been extracted. FPX has cobalt assays but has never reported them because the cobalt, which does end up in the ferro-nickel concentrate, is not payable when it is used as stainless steel feedstock. The PFS requires an indicated resource but only 17% of Baptiste is still in the inferred category; infill drilling this summer would quickly upgrade this portion of the deposit, allowing a resource update later this year which reveals the cobalt content and allows us to see what sort of revenue contribution cobalt could make if nickel sulphate conversion proves viable.The third extra value channel will be the results of ongoing studies about the carbon sequestration potential of the magnesium rich tailings which would support the push for carbon neutrality. Decar already has world class scale; achieving a very high ESG rating would attract institutional audiences, mining majors and big end-users.
Corporate Change History
#Old for New
Last Price
Prior Name
Subsequent Name
Details
Nov 1, 2012
New Exchange Listing
1:1
$0.34
First Point Minerals Corp (FPX-V)
First Point Minerals Corp (FPX-T)
Oct 17, 2016
New Exchange Listing
1:1
$0.09
First Point Minerals Corp (FPX-T)
First Point Minerals Corp (FPX-V)
Aug 25, 2017
Name Change
1:1
$0.09
First Point Minerals Corp (FPX-V)
FPX Nickel Corp (FPX-V)
Recommendation History
Edition
Date
Price
Recommendation
Gain
BF1998
12/1/1997
$0.50
New BF MP Buy $0.50-$0.75
0%
BF1998
11/18/1998
$0.65
Priority Upgrade to Medium
-13%
BF1998
1/11/2005
$0.13
BF Cycle Closeout Sell 100%
-83%
BF2009
11/16/2009
$0.12
New BF TP Buy $0.10-$0.19
-37%
BF2009
4/7/2010
$0.55
New BF Spec Cycle Hold 100%
189%
SV2010
4/7/2010
$0.55
Good Relative Spec Value Buy
0%
SV2010
8/9/2010
$0.67
Confirm Good Relative Spec Value Buy
22%
SV2010
9/22/2010
$0.59
Confirm Good Relative Spec Value Buy
7%
SV2010
12/21/2010
$0.81
Confirm Good Relative Spec Value Buy
47%
SV2010
3/21/2011
$0.74
Confirm Good Relative Spec Value Buy
35%
SV2010
6/20/2011
$0.79
Confirm Good Relative Spec Value Buy
44%
SV2010
8/22/2011
$0.70
Confirm Good Relative Spec Value Buy
27%
SV2010
10/31/2011
$0.49
Confirm Good Relative Spec Value Buy
-11%
BF2009
12/30/2011
$0.41
BF Technical Closeout Hold 0%
116%
SV2010
12/30/2011
$0.41
SV Technical Closeout Hold 0%
-25%
SV2012
12/30/2011
$0.41
Good Relative Spec Value Buy
0%
SV2012
4/16/2012
$0.62
Confirm Good Relative Spec Value Buy @ $0.62
51%
SV2012
5/7/2012
$0.58
Confirm Good Relative Spec Value Buy @ $0.58
41%
SV2012
6/14/2012
$0.56
Confirm Good Relative Spec Value Buy @ $0.56
37%
SV2012
8/22/2012
$0.45
Confirm Good Relative Spec Value Buy @ $0.45
10%
SV2012
10/2/2012
$0.40
Confirm Good Relative Spec Value Buy @ $0.40
-2%
SV2012
12/18/2012
$0.54
Confirm Good Relative Spec Value Buy @ $0.54
32%
SV2012
3/22/2013
$0.34
Good Absolute Spec Value Buy @ $0.34
-17%
SV2012
11/22/2013
$0.16
Confirm Good Absolute Spec Value Buy @ $0.16
-61%
SV2012
12/31/2013
$0.18
SV Edition Rollover Closeout
-56%
SV2014
1/3/2014
$0.18
Good Relative Spec Value Buy @ $0.18
0%
SV2014
7/30/2014
$0.14
Confirm Good Relative Spec Value Buy @ $0.14
-22%
SV2014
9/15/2014
$0.09
Confirm Good Relative Spec Value Buy @ $0.085
-53%
SV2014
1/2/2015
$0.05
SV Technical Closeout Hold 0% @ $0.045
-75%
SV2015
1/2/2015
$0.05
Good Relative Spec Value Buy @ $0.045
0%
SV2015
3/9/2015
$0.05
Confirm Good Relative Spec Value Buy @ $0.05
11%
SV2015
9/10/2015
$0.06
Confirm Good Absolute Spec Value Buy @ $0.06
33%
SV2015
12/31/2015
$0.05
SV Edition Rollover Closeout
11%
SV2016
12/31/2015
$0.05
Good Relative Spec Value Buy
0%
SV2016
3/23/2016
$0.05
Confirm Good Relative Spec Value Buy @ $0.05
0%
SV2016
12/30/2016
$0.09
SV Edition Rollover Closeout
70%
BF2016
12/30/2016
$0.09
New BF Buy below $0.10
-10%
BF2016
12/13/2018
$0.13
BF Technical Closeout 100%
25%
SVF2020
12/31/2019
$0.16
Bottom-Fish Spec Value Favorite
0%
SVF2020
8/18/2020
$0.58
Bottom-Fish Spec Value Favorite Confirmed
263%
SVF2020
9/9/2020
$0.68
Good Spec Value Favorite
325%
SVF2020
12/31/2020
$0.72
Good Spec Value Favorite
350%
SVF2021
12/31/2020
$0.72
Good Spec Value Favorite
0%
SVF2021
12/31/2021
$0.50
SV Technical Closeout 100%
-31%
SVF2022
12/31/2021
$0.50
Good Spec Value Favorite
0%
SVF2022
12/30/2022
$0.43
SV Technical Closeout 100%
-14%
SVF2023
12/30/2022
$0.43
Good Spec Value Favorite
0%
SVF2023
12/29/2023
$0.27
SV Technical Closeout 100%
-38%
Charts & Financing Activity
Most recent 43-101 resource estimate Prior resource estimate PEA PFS FS/BFS/DFS
Private Placement Key
less than $500,000
$1,000,000 - $2,000,000
$5,000,000 - $10,000,000
$20,000,000 - $50,000,000
$500,000 - $1,000,000
$2,000,000 - $5,000,000
$10,000,000 - $20,000,000
over $50,000,000
Private placement financing dates and value ranges are based on transactions reported by the TSXV Monthly Review.
Past Insiders and Reported Shareholders - Current Ownership Status unknown - positions may be pre-rollback
Related Party
Occupation
Related Since
Insider Ended
Director Ended
Capacity
Ownership
Bill Anglin
Broker
5/12/2010
Placee
200,000
Jill Anglin
Broker
5/12/2010
Placee
340,000
Thomas B. Beattie
Broker
1/5/2008
5/25/2017
Advisory Board
0
Thomas W. Beattie
Geologist
6/25/2009
5/12/2016
5/12/2016
Director
150,000
Ronald M. Britten
Geologist
1/1/1997
5/25/2017
7/25/2013
Advisory Board
1,309,829
Cliffs Natural Resources Inc
Public Company
12/15/2009
9/8/2015
Insider
14,353,190
John B. Gammon
Consultant
1/2/2008
5/23/2018
5/23/2018
Director
1,820,000
Stuart Harshaw
Engineer
8/17/2020
11/23/2020
11/23/2020
Director
0
Alexandre N. Heath
Broker
5/12/2010
Placee
10,000
Roderick W. Kirkham
Lawyer
2/2/1995
4/30/2008
Director
579,000
Desiree Kranendijk
Broker
5/12/2010
Placee
20,000
Patrick J. Mars
Consultant
10/17/2001
5/28/2008
Director
220,000
Douglas McDonald
Broker
5/12/2010
Placee
10,000
John A. McDonald
Geologist
1/5/2009
5/26/2022
5/26/2022
Director
530,000
Greg McKenzie
Lawyer
5/12/2010
Placee
100,000
J. Christopher Mitchell
Engineer
5/28/2004
7/21/2023
5/14/2014
CFO
1,075,110
William H. Myckatyn
Engineer
2/16/1999
5/29/2024
5/29/2024
Director
1,108,556
Trevor Rabie
12/11/2015
6/10/2016
VP Exploration
0
Rob A. Robertson
Geologist
2/15/2011
5/25/2017
VP Corp Dev
0
Kerry D. Smith
Analyst
5/12/2010
Placee
50,000
Stephanie Weterings
Broker
5/12/2010
Placee
5,000
John Wheeler
Broker
5/12/2010
Placee
250,000
Share positions of current insiders based on last AGM circular, ownership % based on current Issued. Share positions of past insiders and shareholders have not been adjusted for rollbacks or splits.
A Spec Value Hunter table allows speculators to identify which projects offer poor, fair or good speculative value according to the rational speculation model. The speculative value depends on the project stage, the project's implied value as calculated by the company's fully diluted, stock price and net project interest, and the dream target deemed appropriate for the project. A dream target is what a project would be worth in discounted cash flow terms once in production.
Poor Speculative Value -
Fair Speculative Value -
Good Speculative Value -
Note: narrow arrows indicate IPV is outside the fair value channel but within 25% of the fair value limits
Color Key for Target Outcome Achievability Ranges in millions ranked from most to least achievable
below $25
Should be Private: Artisanal, Placer, Mom & Pop Shop
$25-$50
Tiny Scale: underground mine or quarry - not worth the bother
$50-$100
Small Scale: junior needs to self-develop
$100-$250
Buyout Target: by Lower Tier Producers
$250-$500
Buyout Target: by Mid-Tier Producers
$500-$1,000
Ideal Target for Junior: Buckhorn, Sleeper
$1,000-$2,000
Almost World Class: Ekati, Red Chris, Brucejack, Juanicipio, Stibnite
$2,000-$5,000
World Class: Eskay Creek, Hemlo, Hermosa-Taylor, Oyu Tolgoi, LaRonde, McArthur
$5,000-$10,000
Giants: Escondida, Sullivan, Carlin Trend, Kidd Creek, Orapa, Kamoa-Kakula
above $10,000
Off the Scale District: Wits 1.0, Araxa, Sudbury Basin, Bayan Obo
The target outcome range required for the current implied project value to represent fair speculative value is based on the upper and lower certainty limits associated with the project stage. The color coding is based on the target outcome using the mid-point of the certainty range.
Active Company Projects
Project
Location
Net Interest
Stage
IPV $ MM
Fair Spec Value Required Target Outcome Range
$100
UPV $500
$2000
Target Metals
Deposit Style
Decar
Canada - British Columbia - Central BC
100% WI
7-Permitting & Feasibility
$97
$129 - $194
Nickel
Ultramafic Complex
Klow
Canada - British Columbia - Central BC
40% TC
3-Discovery Delineation
$243
$4,854 - $9,708
Nickel
Ultramafic Complex
Mich
Canada - Yukon Territory - Whitehorse
100% WI
2-Target Drilling
$97
$3,883 - $9,708
Nickel
Ultramafic Complex
SAM
Canada - British Columbia - Central BC
100% WI
1-Grassroots
$97
$9,708 - $19,416
Magnesium
Ultramafic Complex
Orca
Canada - British Columbia
100% WI
3-Discovery Delineation
$97
$1,942 - $3,883
Nickel
Ultramafic Complex
Wale
Canada - British Columbia - Northern BC
100% WI
3-Discovery Delineation
$97
$1,942 - $3,883
Nickel
Ultramafic Complex
Project Stage
Flagship
Secondary
Active
Grassroots (1) & Target Testing (2)
Discovery Delineation (3)
Infill Drilling & Metallurgy (4)
PEA (5) or PFS (6)
Feasibility & Permitting (7)
Construction (8) or Production (9)
Clicking on the project icon will display a popup identifying the company project, its stage and target metals, basic facts, a chart, a link to that project within that company's KRO Profile, a link to the most recent news release, and a link to the most recent KRO comment if one exists.
Net Interest: 100% WI Vested: Yes Uncapped NSR/GOR: 1.00%
Ownership Terms: Acquired by staking in 2008. In November 2009 an option agreement was signed with Cliffs Natural Resources Exploration Inc, where Cliffs can earn up to 75% in Decar. To acquire 51% cliffs must spend $4.5 million over four years, with a firm commitment of $1 million in year one of the agreement. Cliffs can increase its interest to 60% by completing a scoping study, to 65% by completing a prefeasibility study, and to 75% by completing a bankable feasibilty study. Upon Cliffs earning 51% a joint venture will be formed, and First Point will be granted a 1% NSR on any products produced from the Decar property. Deal included a private placement by Cliffs and a standstill deal until Dec 30, 2013. Cliffs vested for only 60% when a dissident shareholder took charge. On Nov 18, 2015 Cliffs sold its 60% stake to First Point for US $4.75 million. The acquisition was funded by a 5 year loan from an undisclosed third party which pays 6.5% and can be repaid anytime. The lendor received a 1% NSR.
Initiated 2,000 m drill program 6-8 holes to 300 m depth on the Baptiste and Sydney target areas where surface grades up to 0.3% Ni with nickel-iron alloy in coarse grained ultramafic rocks was obtained.
Initial Resource Estimate
2012 Q2 Mid April
2012 Q2 Mid April
Initial 43-101 inferred resource estimate for Baptiste published April 16, 2012 at various cutoff grades.
Economic Study - PEA
2012 Q4
2013 Q1 Late March
Scoping study (PEA) on large scale development of Decar nickel project based on initial 43-101 inferred resource estimate delivered by Cliffs on Mar 22, 2013.
Ownership
2015
2015 Q3 Early September
100% acquired Sept 8, 2015 from Cliffs by paying USD $4,750,000 for 60% on which Cliffs spent CAD $20 million to earn by delivering a PEA.
Updated Resource Estimate
2018 Q1 Late February
2018 Q1 Late February
Updated resource estimate for Decar published Feb 26, 2018.
Economic Study - PEA
2020 Q1 Late February
2020 Q3 Early September
Work on updated PEA work began Feb 2020, PEA delivered Sept 9, 2020 for 120,000 tpd open-pit scenario producing 63% ferro-nickel concentrate for direct shipping to stainless steel mills.
Metallurgical Study
2021 Q1 Early January
2021 Q4 Early December
Larger scale met study begun in 2021 on ferro-nickel flowsheet to support PFS, phase 1 results delivered December 8, 2021.
Target Testing
2021 Q2 Early June
2022 Q1 Early January
Initial drilling of the Van target 6 km N of Baptiste began June 9, 2021 and finished with 9 holes (2,689 m) Sept 20, 2021. Final results reported Jan 6, 2022 confirming 750 m long by 400-750 m wide slab whose upper 100 m grade 0.15% DTR nickel plus.
Metallurgical Study
2019 Q4 Late October
2022 Q1 Late March
Met study started Oct 30/19 on using pressure leaching to convert ferro-nickel concentrate into battery grade nickel and cobalt sulphates. Positive bench scale results reported Jan 7/20. In 2021 started scaled up met study, results expected Mar 2022.
Metallurgical Study
2021 Q4 Early October
2022 Q3 Mid July
Third party metallurgical study begun on feasibility of making nickel and cobalt sulphate from 63% nickel-ferro concentrate, results expected early Q3 of 2022. Important milestone for car makers looking for a mine to battery low carbon and clean path.
Delineation
2022 Q2 Early June
2022 Q4 Late December
Potential 10 hole core program to delineate the Van deposit to the south and west from holes 1-7 drilled in 2021. Also RAB style grid drilling campaign to prospect bedrock through overburden cover.
Environmental Study
2021 Q3 Early September
2022 Q4 Late December
Study initiated to assess capacity of Decar tailings to sequester carbon dioxide with the potential goal of achieving zero-carbon status for Decar.
Other
2021 Q1 Early January
2022 Q4 Late December
Marketing study begun to see if the magnetite tailings separated before flotation could be sold and become a payable in the PFS rather than a tailings disposal cost.
Economic Study - PFS
2020 Q3 Early September
2023 Q2 Late June
Following positive PEA at $7.75/lb nickel base case price, FPX began work on PFS expected initially to be done by the end of 2022 but now mid 2023. $16.2 million bought deal at $0.65 closed Apr 7, 2021, which more than funds delivery of the PFS.
Base Case Resource Estimates
Project Resource Estimate - Decar - Baptiste
Nov 14, 2022
NI 43-101
Richard Flynn, PGeo., Nex Mine Contuling Ltd
Cutoff: 0.06% Ni DTR USD $8.50/lb Ni, Ni payability 96%, Ni mining recovery 97%, processing 85%, OpEx USD $9.37/t
Note: indicated based on 200 m x 200 m grid, inferred on 300 m by 300 m grid.
Annual Pre-Tax Cash Flow Base Case and Net CF/FDSH USD:
$486,210,900
$1.36
Pre-Tax Payback:
Annual Pre-Tax Cash Flow Spot and Net CF/FDSH USD:
$370,850,900
$1.01
After-Tax Payback:
6.4 y
Enterprise Value CAD :
$57,936,883
$.17/sh
Share Price:
$0.29
Note: Payable Ni price in concentrate is 75% of long-term $9.39 price, or $7.04.
Comparative Valuations using Life of Mine Averages
Discount Rate:
0%
5%
10%
15%
Base Case Pre-Tax NPV USD:
$9,522,061,600
$4,653,684,024
$2,453,491,354
$1,338,808,251
Base Case Pre-Tax Net NPV/Sh USD:
$28.44
$13.90
$7.33
$4.00
Premium BC PT NPV over EV:
$28.32
$13.78
$7.20
$3.87
Spot Pre-Tax NPV USD:
$6,753,421,600
$3,137,673,246
$1,511,236,745
$693,417,056
Spot Pre-Tax Net NPV/Sh:
$20.17
$9.37
$4.51
$2.07
Premium Spot PT NPV over EV USD:
$20.05
$9.25
$4.39
$1.95
The comparative NPV calculations assume constant annual cash flow based on the life of mine average annual payable production and CapEx spent in year one. The operating cost includes the LOM sustaining capital. Due to details such as ore scheduling these NPV figures may differ from those of the 43-101 economic study.
Net Interest: 40% TC Vested: Yes Uncapped NSR/GOR: 0.00%
Ownership Terms: Acquired by staking in June 2009. Agreement Apr 3, 2023 whereby Jogmec can earn 60% by spending $1 million by March 31, 2026. If either party diluted below 10% it converts to a 1.5% NSR of which 1% can be bought for $3.5 million.
Target Metals: Nickel
Model: Ultramafic Complex
Stage: 3-Discovery Delineation
Notes on Klow Project
The Klow property is located 135 kilometres north of Fort St. James and 55 kilometres north of the Decar project. Klow hosts significant nickel-iron-alloy mineralization and a drill target identified in July 2011 that is comparable at surface in size and grade to the Baptiste zone at First Point's flagship Decar project, measuring at least 950 metres long and 270 metres wide, based on the results of surface rock-chip samples collected from sparse outcrops of bedrock exposed on shallow-to-moderately dipping slopes. Thirteen samples returned values ranging from 455 to 1,075 parts per million (0.05 to 0.11 per cent) nickel in alloy, for an average of 780 parts per million (0.08 per cent). Eleven additional angular rock float samples taken in the same area show a similar range of values, reaching a high of 1,274 parts per million (0.13 per cent) nickel in alloy. This zone exhibits a fine-to-coarse-grained range of nickel-iron-alloy sizes from 50 to greater than 600 microns, similar to Decar. Rock samples from this area also assayed up to 4.9 per cent iron, primarily as magnetite, and 1,272 parts per million (0.13 per cent) chromium, occurring mainly as ferrichromite/chromite. Both of these minerals are also present at Decar.
Net Interest: 100% WI Vested: Yes Uncapped NSR/GOR: 0.00%
Ownership Terms: Acquired by staking in November 2011. Expanded claim package in 2024.
Target Metals: Nickel
Model: Ultramafic Complex
Stage: 2-Target Drilling
Notes on Mich Project
The Mich property, owned 100 per cent by First Point and totalling 1,150 hectares in size, is located 52 kilometres east of Whitehorse. Surface sampling has defined a main zone of disseminated nickel-iron alloy mineralization that extends over a distance of 2,200 metres in length and coincides with a northwest-trending ridge. The anomalous zone is 150 metres wide at the northwest end, expanding to 640 metres in width at the southeast end, where it is covered by overburden and remains open to the south. The newly defined zone at Mich exhibits disseminated coarse-grained nickel-iron alloy ranging up to 200 microns to 500 microns in size.
1,000m drill program to begin, to test the central portion of the key target area, with two angled holes drilled in opposite directions from the same set-up.
Net Interest: 100% WI Vested: Yes Uncapped NSR/GOR: 0.00%
Ownership Terms: Acquired by staking
Target Metals: Magnesium
Model: Ultramafic Complex
Stage: 1-Grassroots
Notes on SAM Project
SAM was staked because it is a brucite-rich serpentinized peridotite which FPX Nickel through its partly owned subdiary CO2 Lock Corp plans to develop as a carbon capture and storage facility. Brucite is a magnesium based mineral which when exposed to water and carbon dioxide undergoes a chemical reaction that creates a carbonate mineral that permanently fixes carbon. Economic studies thus will not be about extracting magnesium or any other element, but about establishing the rock mass as a viable host for carbon capture and storage.
Net Interest: 100% WI Vested: Yes Uncapped NSR/GOR: 0.00%
Ownership Terms:
Target Metals: Nickel
Model: Ultramafic Complex
Stage: 3-Discovery Delineation
Notes on Wale Project
The mineralized footprint at Wale includes a 10-kilometre-long stretch of anomalous grade, disseminated nickel-iron alloy mineralization. This northwest-southeast-trending zone of nickel-iron alloy mineralization measures roughly 3.1 kilometres long and from 670 to 1,060 metres wide. It is defined by 113 bedrock samples that average a grade of 945 parts per million, or 0.09 per cent nickel in alloy, based on a threshold of 500 parts per million. Within this main major zone, First Point has defined two highly prospective drill targets: Head and Eagle -- based on elevated nickel-in-alloy results and coarser nickel-iron alloy grain sizes.