Copper Fox Metals Inc. [CUU-TSXV, CPFXF-OTC] has released an update on the 2024 exploration plan for the Schaft Creek copper-molybdenum-gold-silver project in northwestern British Columbia.
The program is budgeted at $18.7 million and is anticipated to allow the project to progress toward the start of the prefeasibility study stage.
The Schaft Creek deposit is one of the largest undeveloped porphyry copper deposits in North American and is known to contain significant gold-molybdenum-silver byproducts.
The project is managed through the Schaft Creek joint venture, with Teck Resources Ltd. (TECK.B-TSX, TECK.A-TSX, TECK-NYSE), acting as operator and owning a 75% interest, and Copper Fox holding a 25% carried interest.
The project covers 55,779.56 hectares of mineral concessions, located in Tahltan territory approximately 60 kilometres south of Telegraph Creek, near existing transportation and energy infrastructure.
In January, 2013, Copper Fox released the results of a feasibility study for Schaft Creek. The study concluded that a 130,000 tonnes-per day conventional open pit mine could be developed at the site at a cost of $3.26 billion and would produce copper and separate molybdenum concentrates over a lifespan of 21 years.
However, in a preliminary economic assessment (PEA) released back in September, 2021, the initial capital cost was reduced to US$2.65 billion. The estimated sustaining capital cost was also cut to US$848.7 million from US$1.2 billion. Other key changes included a reduced strip ratio, and a relocation of the milling facility closer to the pit.
Total mine production is estimated at 1.03 billion tonnes of mill feed and 1.03 billion tonnes of waste rock, resulting in a life of mine 1:1 strip ratio. Average grades are estimated at 0.26% copper, 0.16 g/t gold, 0.017% molybdenum, and 1.23 g/t Ag.
The proposed Schaft Creek open pit is approximately 3.1 kilometres long and 1.7 kilometres wide, with proposed open pit slopes in excess of 1,200 metres high. The mine plan is based on a conventional truck-and-shovel operation.
Key components of the 2024 program include the following;
- Upgrades to the camp facilities, including installation of solar array to supply clean, renewable electrical power.
- The geotechnical drilling program is advancing with two drill rigs to collect additional data in key areas identified in the 2023 geotechnical investigation.
- Metallurgical studies that are expected to be completed in the third quarter of 2024. Preliminary results are showing opportunities to optimize the processing flowsheet.
- Archaeological surveys in areas of proposed infrastructure to progress toward final site layout.
- Strengthening collaboration and engagement with the Tahltan Nation through the support of educational opportunities, youth athletics and cultural training.
On Tuesday, Copper Fox shares were unchanged at 24.5 cents. The shares trade in a 52-week range of 65 cents and $0.08.
