British Columbia
Mining, Advanced Projects and Exploration
Gordon Clarke
Mineral Development Office
Sparwood Coal Symposium 2015
REGIONAL GEOLOGIST OFFICES
• Five Regional Geologists
• Eight Natural Resource Regions
OUTLINE
• Mining Overview
• New Mine Projects
• Proposed Mine Projects
• Exploration Overview
• Summary
MINING PRODUCTION
Preliminary Estimated Value of Mineral
Production in BC - 2014
1% 1%
.06%
Coal
2014
5% 4%
7%
6%
Coal
Copper
Gold
Estimated
40% IM Production
Copper Aggregates
36%
Moly
Silver
$7.0 Billion
Zinc
Lead
NRCAN Preliminary Estimate
MINING PRODUCTION 1995-2014
2011 Peak
$9.0 Billion
2014
$7.0 Billion pre est.
BC METAL MINES
Eight Active Metal Mines
• six large producers
• two small producers
Two Suspended Operations
• Mount Polley (tailings breach)
• Myra Falls (temporary)
BC COAL MINES
• 2014 started with nine producers
• 2015 six producers due to drop in
(2013) coal prices
• Temporary shutdowns and layoffs
for current operations
INDUSTRIAL MINERAL
MINES AND QUARRIES
• Significant contributor to
B.C. economy
• 35 operations province wide
NEW LARGE METAL MINE
PROJECTS
• Red Chris (Cu-Au)
RED CHRIS
Imperial Metals Corporation
• Cu-Au porphyry
• Projected capital cost $643 M
• Conventional open pit mine
• Infrastructure Northwest Transmission Line
• Proposed 38,000 t/d, 28 year mine life
• First Cu concentrate shipped April 11, 2015
• Plant commissioning ongoing
Reserves of over 301.5 Mt grading
0.359% Cu and 0.274 g/t Au
PROPOSED COAL MINE PROJECTS
East Kootenay Coal Field
• Crown Mountain
• Coal Mountain Phase II
• Fording-Swift
Peace River Coal Field
• Murray River
West Coast Region
• Raven
PROPOSED COAL MINE PROJECTS
CROWN MOUNTAIN COAL MOUNTAIN PHASE II FORDING-SWIFT
NWP Coal Canada Ltd. (Marten Wheeler) Teck Coal Limited
• 74.9 Mt (M+I) Teck Coal Limited • Pre-application stage of EA
• 1.7 Mt per year (16 year mine life) • 2.25 Mt per year (34 year mine life)
• Open pit operation • Open pit operation
• Pre-application stage of EA • Pre-application stage of EA
PROPOSED COAL MINE PROJECTS
(cont.)
MURRAY RIVER RAVEN
HD Mining International Limited Compliance Energy & LG International Investments Ltd.
• 314 Mt (M+I) • Forecast production 1.9 million tonnes/year
• EA Certificate decision expected in • Expected mine life 15.5 years
2015 • Environmental assessment pre-application (recently
• Completion of 1500 m decline and withdrawn, under revision)
bulk sample expected in 2015
PROPOSED INDUSTRIAL MINERAL
MINE PROJECTS
• Aggregate (Aggregate)
• Giscome (Limestone)
• Kootenay West (Gypsum)
• Wapiti East (Phosphate)
PROPOSED INDUSTRIAL MINERAL
MINE PROJECTS
Giscome (Limestone) Wapiti East (Phosphate)
Graymont Western Canada Inc. Fertoz International Inc.
• Construction planned mid-2015 • Inferred resource 1.54 Mt
• Projected production 2016 (21.6% P2O5)
• Estimated minimum 50 year • Trenching and bulk
mine life sampling will continue in
2015
• Small mine application
submitted (< 75,000 t/y)
PROPOSED INDUSTRIAL MINERAL
MINE PROJECTS (cont.)
Aggregate (Aggregate) Kootenay West (Gypsum)
BURNCO Rock Products Ltd. CertainTeed Gypsum Canada Inc.
• Proposed 1.5 Mtpy • Pre-application stage of EA
• EA application information • Estimated reserve 15 Mt
requirements approved • Proposed 400,000 tpy
• Proposed 2017 start up
• Estimated 38 year mine life
PROPOSED METAL MINE
PROJECTS
19 Proposed
Metal Mines
BRUCEJACK KSM
Pretium Resources Inc. Seabridge Gold Inc.
• 10,302 t bulk sample • Au – Cu – Ag – Mo
• ~ 17.7 g/t Au • BCEAO approval in July
• ~ 14.9 g/t Ag
• Updated feasibility study in
• Federal EA approval in December
June 2014 • Early stage construction permits
• 18 year mine life granted
• Production target 2017 • M+I Resource, 2.78 Bt at 0.55 g/t
• Zijin Mining invests $81 M Au, 0.21% Cu, 2.9 g/t Ag and .006%
in project Mo (0.5 g/t Au eqiv. cut off)
• Recent BCEAO approval
• Recent cooperation and
benefits agreement with
Nisga’a Nation
SILVERTIP TULSEQUAH CHIEF
JDS Silver Inc. Chieftain Metals Corp.
• Cu – Zn – Pb – Ag – Au ; U/G mine
• Ag – Pb - Zn mine
• Positive feasibility study update
• Applications Small Mines Act Permit,
October 2014
Environmental Act Permit
• 1,100 t/d; 11 year mine life
• Concentrator stored in Watson Lake
• Environmental assessment permit in
• Site preparation in progress
effect
GALORE CREEK SCHAFT CREEK
Teck and NovaGold Resources Teck and Copper Fox Metals
• Cu – Au – Mo
• Cu-Au
• Feasibility study released
• 95,000 t/d; 18-year mine life
• 130,000 t/d, P+P Reserve,
• On hold due to costs 941 Mt 0.27% Cu, 0.19 g/t
Au, 0.018% Mo, 1.72 g/t Ag
• 21 year mine life
• Environmental baseline
studies in progress
• $4.8 M work program for
2015
KEMESS UNDERGROUND (KUG)
ALEY
Aurico Gold Inc. Taseko Mines Limited
• Cu – Au
• Positive Feasibility study • Nb
• September 2014, proven and probable
• 24,650 t/d block cave operation
reserves of 84 million tonnes grading 0.50%
• 12-year mine life Nb2O5
• Infrastructure from former • Successful production of a niobium
Kemess South Mine concentrate
• Favourable economics
• Permitting application planned
• Project description submitted to BCEAO
and CEAA
DOME MOUNTAIN BLACKWATER
Metal Mountain Resources Inc.,
Gavin Mines Inc.
New Gold Inc.
• Au - Ag
• Entered EA
• Feasibility study: Proposed 60,000 t/d
• Au – Ag • 17 year mine life
• Mines Act permit amendment • Large, low grade open pit operation
submitted • $8 million program for 2015
• 135,000 t at 11.2 g/t Au
• Up to 250 tpd operation planned
NEW PROSPERITY BLACKDOME (Elizabeth)
Taseko Mines Ltd. Sona Resources Corp.
• Proposed 70,000 t/d Cu – Au mine
• Second Federal permit rejection Feb, 2014 for
project as proposed
• Applications for judicial reviews of federal decision
• Au – Ag (Underground)
• Eight Year mine life 200 tpd operation
• Resource 605,000 t @ 10.4 g/t Au
• Ore mined from Elizabeth will be milled at past-
producing Blackdome Mine (permitted 300 tpd)
BRALORNE SPANISH MOUNTAIN
Avino Silver & Gold Mines Ltd. Spanish Mountain Gold Ltd.
• Au (Past Producer)
• Acquired by Avino October 2014
• Permitted (small mine) but currently on care and • Shale-hosted Au - Ag
maintenance • Preparing for Environmental
• Exploration ongoing to evaluate new mine plan Review
• Prefeasibility study
completed
• M+I Resource 238 Mt 0.46
g/t Au, 0.69 g/t Ag
• 15 year mine life
AJAX HARPER CREEK
KGHM Ajax Mining Inc. Yellowhead Mining Inc.
• Proposed expansion of historic Cu – Au mine • Cu – Au – Ag
to 60,000 t/d • EA accepted for review by
• Environmental Assessment Application BCEAO in Dec, 2014
planned for early 2015 • Amended feasibility study
released
• 70,000 t/d, open pit
Ruddock Creek Morrison
Imperial Metals / Mitsui / Itochu Pacific Booker Minerals Inc.
• Pb – Zn proposed U/G operation
• Pre-application
stage of EA
• Drilling and • Planned ore production rate of 30,000
bulk sampling tonnes/day
programs • Mineable reserve (proven/probable) of
224.25 Mt with an average grade of
0.330% Cu, 0.163 g/t Au and 0.004% Mo
• EA rejected by BCEA in 2012 but PBM
has been allowed to respond and a review
is in progress
KITSAULT PROPOSED METAL MINE SUMMARY
Alloycorp Mining Inc.
• Past producing Mo-Ag mine
• Received amended Mines Act Permit
and EA application accepted by
Federal government PROPOSED METAL MINES
• Road, camp construction and
infrastructure improvements • Substantial inventory of mineral resources
• Proposed 40,000 t/d, 16 year mine life at the proposed mine stage
EXPLORATION
EXPENDITURES 1995-2014
Total for 2014 $338 M
• $233 M – Metal plus other
• $105 M – Coal
Decrease of $138 M
from 2013
EXPLORATION EXPENDITURES
BY STAGE 2014
MINERAL CLAIMS
New Mineral Claims
by Year (Ha)
• 2014 total 942,181 (Ha)
• 2013 total 246,156 (Ha)
COAL LICENSE
APPLICATIONS (Ha)
• 2014 Applications 75,952 (Ha)
• 2013 Applications 197,681 (Ha)
• 2012 Applications 710,368 (Ha)
SELECTED EXPLORATION
PROJECTS
• -Although exploration expenditures have
declined, work was still carried out on
numerous exploration projects in 2014
• -Early stage programs were however
generally scaled back and work was
concentrated on advanced projects
• -For 2015, financing is still limited and
many companies have yet to announce
plans
Selected Metal Exploration Projects
Cirque Project (Zn, Pb, Cu) Akie Project (Zn, Pb, Ag) Kemess East Project (Cu, Au)
(Omineca Region) (Omineca Region) (Omineca Region)
Teck Resources Limited Canada Zinc Metals Corp. AuRico Gold Inc.
Sedimentary Exhalite Target Sedimentary Exhalite Target Porphyry Target
• Drilling, mapping and • 5,000 m drilling program • A minimum 30,000 m drilling
sampling planned for 2015 planned for Cardiac Creek program planned for 2015
deposit in 2015
Selected Metal Exploration Projects
(cont.)
Col-Later Project (Cu, Au, Ag) Blackwater Regional Project (Au, Ag, Zn, Pb, Cu, Mo)
(Omineca Region) (Omineca Region)
Pacific Empire Minerals Corp. New Gold Inc.
Porphyry Target Porphyry Target
• Drilling follow up of IP targets • Continued drilling, trenching and geophysics planned for
planned in 2015 Blackwater South and Key areas in 2015
Selected Metal Exploration Projects
(cont.)
Vine Project (Pb, Zn, Ag, ±Au) Lucky Mike Project (Cu, Au, Mo)
(Kootenay-Boundary Region) (Thompson-Okanagan Region)
PJX Resources Inc. Plate Resources Inc.
Sedimentary Exhalite Target Porphyry Target
• Drilling program planned for • $1 million exploration program planned for 2015
2015
Selected Metal Exploration Projects
(cont.)
Ben Project (Ni) Aspen Grove Project (Cu, Zn, Mo, Ag, Au)
(Thompson-Okanagan Region) (Thompson-Okanagan Region)
Westhaven Ventures Inc. Kaizen Discovery Inc.
Ultramafic Target Porphyry & VMS Targets
• Prospecting, mapping and • 3D IP survey and 7,000 m drilling program
sampling program underway planned for 2015
• Drilling program planned for
2015
Selected Metal Exploration Projects
(cont.)
Eaglehead Project (Cu, Au) KSP Project (Au, Cu)
(Skeena Region) (Skeena Region)
Carmax Mining Corp. Colorado Resources Ltd.
Porphyry Target Porphyry Target
• Re-logging and sampling of historic • Drilling program planned
core planned for 2015
• Some verification drilling planned
Selected Metal Exploration Projects
(cont.)
Hat Project (Au, Cu) Premier Project (Au, Ag)
(Skeena Region) (Skeena Region)
Doubleview Capital Corp. Ascot Resources Ltd.
Porphyry Target Vein/Breccia Target
• Drilling program planned • 2015 drilling program
for 2015 underway
Selected Metal Exploration Projects
(cont.)
Spectrum Project (Au) Tanzilla Project (Cu, Au, Mo)
(Skeena Region) (Skeena Region)
Skeena Resources Ltd. Kaizen Discovery Inc.
Vein/Breccia Target Porphyry Target
• Financing of $8.1 million • Planned 1,500 m drilling
announced secured program for 2015
• Planned 10,000 to 12,000 m
drill program
• Aim to establish 43-101
resource by end of 2015
Selected Coal Exploration Projects
Michel Creek Project Groundhog Project
(Kootenay-Boundary Region) (Omenica Region)
CanAus Coal Limited Atrum Coal NL
• Continued drilling planned for 2015 • High grade and ultra high grade
anthracite coal
• Bulk sample (of up to 100,000 t)
planned for 2015
Selected Industrial Mineral
Exploration Projects
Driftwood Magnesite Project
(Kootenay-Boundary Region)
MGX Minerals Inc.
• Mining lease application made
• Environmental baseline studies underway
• Drilling planned for 2015
SUMMARY
• Estimated value of mine production similar to 2013
(2014 preliminary estimate, $6.98 B vs 2013 revised,
$7.11 B)
• New, large mine development continued, Red Chris
follows Mt. Milligan (2013) and New Afton (2012)
• British Columbia has numerous advanced projects that
should move forward and continue the trend of mine
development
• While venture capital access is limited, a number of
exploration programs expected for 2015
INERNATIONAL EXPOSURE
MDO Office
• British Columbia government profiles
opportunities in the province and the
global reach of the industry
• Cooperates in trade missions and meets
with inbound investors
• The Mineral Development Office may be
able to help you profile your project or
company
Information documents of
various types are available
www.empr.gov.bc.ca/mining/investors
