Corazon Mining has expanded its mineral portfolio with the acquisition of three zinc-copper-gold deposits near its Lynn Lake Nickel-Copper-Cobalt Sulphide Project in Manitoba, Canada.
This acquisition bolsters Corazon’s existing footprint of seven zinc-copper-gold deposits within the Lynn Lake tenure, with zinc and copper considered potential high-value feedstock for future mineral processing at Lynn Lake.
Inclusion of the new high-grade zinc-copper-gold deposits is expected to position Lynn Lake as a regional polymetallic processing hub, aligning with Corazon’s focus on critical metals.
Conducted via Corazon’s Canadian subsidiary 5918139 Manitoba, the deal involves a payment of C$153,600 ($111,780) for full mineral tenure.
The vendor, PC Dunlop, will maintain a 2% net smelter royalty (NSR) on the property, while Corazon secures the option to buy up to 1% of the NSR for C$500,000 per 0.5%.
This agreement strengthens the long-standing relationship between Corazon and Dunlop, with the latter already holding a royalty over areas within the Lynn Lake Project.
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Completion of the deal is subject to Corazon’s payment to Dunlop and the subsequent recording of the Mineral Claim title transfer to 5918139 Manitoba by the relevant government agencies.
The Lynn Lake region has a rich history of mining and exploration activities dating back to the late 1940s, with notable operations such as the Lynn Lake nickel sulphide mining centre, the Fox Lake copper-zinc mine and the MacLellan-Gordon gold deposits.
Corazon’s dual focus on exploration and development at Lynn Lake includes finalising mining and metallurgical studies for the historical Lynn Lake Nickel Sulphide Mining Centre.
The flotation processing techniques for nickel-copper mineralisation, similar to those used for zinc-copper volcanogenic massive sulphide (VMS) mineralisation, suggest potential operational synergies.
Corazon chairperson Terry Streeter said: “Our strategy for the Lynn Lake mining studies is to deliver low operational costs.
“The knock-on effect of this is that with lower costs, there are lower cut-off grades, resulting in a much larger mining inventory for consideration, within the existing resource areas. We don’t need more tonnes. This VMS concept is about value.
“The grade we see in some of these zinc-copper deposits is very good, and we will seek to establish if this is value we can exploit upfront for a restart of mining at Lynn Lake. Alternatively, we will explore whether the VMS deposits are better suited to mining later in the project’s mine plan.”
