The Fox tungsten property
The Rateria- West Valley property|
Happy Creek Minerals Ltd. (TSX-V: HPY) is engaged in the business of creating wealth for shareholders by making new economic mineral discoveries that are in proximity to infrastructure and existing or past-producing mines in British Columbia, Canada. The Company has made two new discoveries:
1)The Fox tungsten property contains a resource with among the highest grades in the western world and portions are within a shallow open pit for a potentially low-cost start-up. The project is on track towards a quality development project.
2)The Rateria-West Valley property totals over 200 square Km of mineral tenure located in the Highland Valley mining camp where 5 deposits have achieved commercial production. The Rateria has two deposits with near-term resource potential that are 6.5 km from a currently producing open pit.
The Company’s management, Directors and Technical Advisory Board have many years of experience in exploration, development and mining.
The Fox is rare new discovery with high grades of a critical metal that is used mainly in making the tungsten carbide and hard-metal alloy tools which make most of the things we use in our daily lives. With only around 1% of North American tungsten demand currently mined here, the Fox is thought to be in a solid position for advancing to development.
The project is located northeast of 100 Mile house, B.C. 25 km from a past producing mine and has good road access and infrastructure nearby. The Company’s success with the Fox tungsten discovery originated in part from being the “first-mover” in an area having very limited previous work. The Company is the first to explore the 120 square Km Fox property from its earliest stage; from grass-roots surface discoveries to drilling discovery and NI43-101 compliant resource estimates. Most operating tungsten mines in the western world produce concentrates from ores grading 0.18 to 0.25% WO3 (tungsten trioxide). Tungsten (WO3) in concentrate prices are currently around $30.0/Kg, or about five times the price of copper. The Fox project currently contains 582,400 tonnes grading 0.826% WO3 (Indicated-RC Zone) and 565,400 tonnes grading 1.231% WO3 (Inferred-RC-BN-BK zones). A portion of these are within a near-surface, shallow open pit. In addition, the Company has drill results well above cut-off grade from the Nightcrawler, Creek and South Grid zones as well as other under-explored surface prospects within this large scale, 10 km by 3 km tungsten mineral system; these finds in addition to the existing resource areas, are open to continue expanding the project resource base while advancing engineering and other studies towards the goal of development status.
The Rateria and West Valley properties adjoin to the east and west, respectively the southern side of Teck’s Highland Valley Copper mine (HVC), one of Canada’s largest, and longest-lived copper producers. It is thought to be the first time one Company has assembled this 237 square Km mineral tenure position within this district with five major deposits (Bethlehem, Lornex, Valley, Highmont and Craigmont) achieving commercial production. The Company has made two new discoveries:
Zone 1 contains continuous copper mineralization that is approximately 1.2 km in length, 50 to 200 metres in width, and at least 450 metres in depth. Drilling has returned positive results including 95.0 metres of 0.67% copper, 3.6 g/t silver and 250.0 metres of 0.25% copper. Preliminary metallurgical testing of Zone 1 indicate a premium grade concentrate containing 39.6% copper and 396.8 g/t silver could potentially be produced.
Zone 2 is approximately 400 metres by 50-200 metres in dimension and extends to at least 350 metres in depth, within a much larger mineralized area. Zone 2 drilling has returned 152.5 metres of 0.35% copper, that includes 32.5 metres of 0.91% copper, 0.010% molybdenum, 4.0 g/t silver, 0.11 g/t gold and 1.83 g/t rhenium. Starting from 12.2 metres, drill hole R12-01 returned 92.8 metres of 0.30% copper and 0.15 g/t gold. In 2017, additional drilling returned 5.0 metres of 4.4% copper, 0.21 g/t gold, 20.0 g/t silver, 0.03% moly and 6.86 g/t rhenium that is some 200 metres east of Zone 2, and 105.5m of 0.37% copper, 0.14 g/t gold, 1.9 g/t silver, 0.63 g/t rhenium approximately 100 metres south of previous drilling. This success confirms the elevated gold and rhenium content of Zone 2 and increases the footprint of this new discovery.
Both Zone 1 and 2 remain open to further expansion and are thought to have near-term resource potential. Many of the holes ended in mineralization and alteration thought to be signs of a large-scale mineral system. In addition, the property holds numerous copper prospects dating from the 1950’s which remain under-explored and have excellent potential for additional new discoveries.