REG - Fulcrum Metals PLC - Start of Sylvanite tailings Sampling Programme

Fulcrum MetalsAnnouncement

17/06/2024 07:15

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RNS Number : 5860S  Fulcrum Metals PLC  17 June 2024

Fulcrum Metals plc / EPIC: FMET / Market: AIM / Sector: Mining

 

 

17 June 2024

 

Fulcrum Metals plc

("Fulcrum" or the "Company" or the "Group")

 

 

Start of Sylvanite Gold tailings Sampling Programme

 

Initiates first phase testing and study agreement with Extrakt Processing
Solutions

 

Update on proposed sale of Saskatchewan Uranium Projects

 

 

Fulcrum Metals plc (LON: FMET), a company focused on mineral exploration and
development in Canada, is pleased to announce the initiation of the phased
sampling, testing and study programme at the Sylvanite Gold Tailings project
("Sylvanite" or the "Project") in the Kirkland Lake area of Ontario, in
Canada.

 

This programme is designed to confirm the gold content in the tailings and
evaluate the efficiency of Extrakt's processing technology in recovering gold
and other by-products from the tailings at Sylvanite estimated to be
approximately 4.14 million tonnes at 0.47g/t Au for 67,051 ounces contained
Au*.

 

Highlights

·  Eight site locations selected for sampling across the Sylvanite tailings
area designed to obtain a representative sample set for analysis and testing

·    Composite samples of tailing material from each site to be sent to
the Extrakt's testing facility in Kentucky, USA

·  The test work incorporates a full suite of metallurgical
characterisation including ICP (minimum 40 elements, including gold), XRD
mineralogical analysis and batch leach testing using Extrakt's technology

·    Sampling at the selected sites to commence imminently

Ryan Mee, Chief Executive Office of Fulcrum, commented:

"Earlier this month the Company announced the results from initial leach
testing  at the Teck-Hughes tailings project. The testing, which used
Extrakt's technology, recovered up to 59.4% of gold, which is an incredible
achievement, especially when you consider that recovery rates from refractory
gold, without the use of toxic cyanide and pre-treatment, usually recovers
less than 40%. We believe that with further optimisation recovery rates have
the potential to increase to beyond 60%.

"Having seen the important successful results at Teck-Hughes, I am delighted
to announce the commencement of work at Sylvanite with a similar programme and
we now have multiple work programmes underway to develop our tailings assets.

"It is an exciting period of growth for Fulcrum as it sets itself out from its
peers as a sustainable and responsible metals company with a pathway to
transform mine tailings from an environmental liability into a sustainable
cash generative resource by extracting metals from mine waste through
innovative technology.

"I look forward to providing further updates on developing the exciting
potential of Fulcrum's tailings business in Ontario."

Further information

The historic non-compliant resource estimate cited above has not been verified
by Fulcrum and the tailings body requires detailed follow-up sampling along
with appropriate QAQC and estimation by an independent qualified resource
geologist in order to be able to report a resource compliant with established
resource codes.

 

Licensing discussions with Extrakt

 

The Company announced mining option agreements to acquire its first tailings
project, the Teck-Hughes project, on 30 November 2023 and its second tailings
project, the Sylvanite project on 10 April 2024. Since the announcement on 30
November 2023, Fulcrum has been advancing its discussions with Extrakt, a
sustainable technology company which uses separation technology to extract
metals from tailings without the use of cyanide, about the licensing of its
proprietary technology. On 24 January 2024, Fulcrum entered into a phased
study and testing programme for the Teck-Hughes Project and on 12 June 2024
for the Sylvanite project. The company is continuing term sheet stage
discussions with Extrakt in relation to a wider licencing framework in
Ontario.

 

Phased development programme

Phase 1 - High-Level Gold Recovery Investigation

Initial high-level gold recovery investigation will serve as the primary
evaluation of the enhanced gold recovery achievable through Extrakt
technology. The data collected in this phase will validate and refine the
technology and support the planned Phase 2.

 

Phase 2 - Conceptual Study

The conceptual study will provide Fulcrum with a first insight into the
project viability using the information developed during Phase 1. According to
the information available, the accuracy level of the study is approximately ±
50%.

 

Phase 3 - Laboratory Test Work

More detailed test work is required to optimise some of the leach parameters
as well as develop necessary scale-up parameters for all the major equipment
of the operation.

 

Phase 4 - Economic Assessment Study

The economic assessment study will provide a more accurate insight into the
project viability using the more detailed test work results for the whole of
the flowsheet. The accuracy of the study is aimed to be at a pre-feasibility
level of ± 30% accuracy level.

Sylvanite Gold Mine Tailings Project

 

On 10 April 2024 the Company announced that it had entered into an option to
buy 100% of the Sylvanite tailings project located within the Timiskaming
District, approximately 3 kilometres north of Kirkland Lake, Ontario.

 

*A 1986 report filed on the property estimated a tailings resource of 4.52
million tons (4.14 million tonnes) grading 0.015 oz/ton Au (0.47g/t Au)
containing 67,051 ounces of gold.

 

In 2008 a 30m x 25m sampling grid was established with drilling to base of
tailings to obtain samples for assay and recovery test work - 1.22m sample
length in 149 holes totalling 926.6m - with a maximum tailings thickness of
12.2m reported. An average grade of 0.541g/t Au was reported in the 20 holes
fully sampled and assayed.

 

Update on proposed sale of Saskatchewan Uranium Projects to Terra Balcanica
Resources Corp

Further to the Company's announcement on 17 May 2024, Fulcrum confirms that
the transaction for the proposed sale of its uranium projects (the "Uranium
Projects") located in Saskatchewan, Canada to Terra Balcanica Resources Corp.
("Terra") is now expected to be completed shortly. Full details of the
proposed transaction are set out in the Company's announcement on 3 April
2024.

Qualified Person Statement

The technical information in this announcement has been reviewed by Edward
(Ed) Slowey, BSc, PGeo, technical advisor to Fulcrum Metals Plc. Mr Slowey is
a graduate geologist with more than 40 years' relevant experience in mineral
exploration and mining and a founder member of the Institute of Geologists of
Ireland. Mr Slowey has sufficient experience relevant to the style of
mineralisation and type of deposit under consideration and to the activity
which has been undertaken to qualify as a "Qualified Person" in accordance
with the AIM Rules Guidance Note for Mining and Oil & Gas Companies. Mr
Slowey consents to the inclusion in the announcement of the matters based on
their information in the form and context in which it appears.

Glossary

 

 Item    Definition

 "Au"    Gold

 "g/t"   Grams per metric tonne

 "ICP"   Inductively Coupled Plasma - an analytical technique that can be used to
         measure elements at trace levels

 "QAQC"  Quality assurance and quality control

 "XRD"   X-Ray Diffraction analysis - a non-destructive technique that provides
         detailed information about the crystallographic structure, chemical
         composition, and physical properties of a material

 

 

Further information

The various historic non-compliant resource estimates cited above have not
been verified by Fulcrum and the tailings body requires detailed follow-up
sampling along with appropriate QAQC and estimation by an independent
qualified resource geologist in order to be able to report a resource
compliant with established resource codes.

 

For further information please visit https://fulcrummetals.com/
(https://fulcrummetals.com/) or contact:

 Fulcrum Metals PLC
 Ryan Mee (Chief Executive Officer)           Via St Brides Partners Limited

 Allenby Capital Limited (Nominated adviser)
 Nick Athanas / George Payne                  Tel: +44 (0) 203 328 5656

 Clear Capital Markets Limited (Broker)
 Bob Roberts                                  Tel: +44 (0) 203 869 6081

 St Brides Partners Ltd (Financial PR)
 Ana Ribeiro / Paul Dulieu                    Tel: +44 (0) 20 7236 1177

 

 

Notes to Editors

 

FULCRUM METALS - BACKGROUND

 

Fulcrum Metals PLC (LON: FMET) is an AIM quoted exploration and development
company which finances and manages exploration projects focused on Canada,
widely recognised as a top mining jurisdiction. Fulcrum's ambition is to
create an environmentally friendly and sustainable tailings and mine waste
business, driving mining change through combining low discovery risk assets
and jurisdictions with transformative technology capable of near-term cash
flow whilst capitalising on a portfolio of highly prospective exploration
assets.

 

Creating an environmentally friendly and sustainable tailings and mine waste
business

 

Through the adoption of potentially industry disruptive technologies to
deliver near-term cash producing assets. Fulcrum has acquired two gold
tailings projects via option agreements, the Teck-Hughes and Sylvanite gold
tailings projects, in the prolific Kirkland Lake gold camp, Ontario. The
projects are within 3km proximity of each other, with non-compliant estimates
of 138,460 ounces of gold and 67,051 ounces of gold respectively, totalling
205,511 ounces, subject to verification by Fulcrum. In addition, Fulcrum is
working on delivering a licensing framework in Ontario with Technology
partners Extrakt Process Solutions and alliance partners Bechtel Engineering.

 

Growth stage gold projects in Ontario

 

Fulcrum has two drill ready gold projects in Ontario.

 

The Big Bear and Jackfish Schreiber - Hemlo properties have a history of
prospecting and localised extraction since the late 19th century. However,
coherent property-level exploration programmes have been limited or absent,
particularly in recent times. The work completed by Fulcrum at Big Bear has
established a gold corridor of 3km in the Schreiber-Pyramid area with high
grade gold in rock samples of up to 45g/t and historical grades of upto
233g/t, developing multiple drill targets and prospects. This trend is open to
the North, East and South for further discovery. Fulcrum has also completed
high resolution geophysical surveys which now fully cover Big Bear,
identifying a further 5 high priority exploration targets for follow-up
investigation. Big Bear is reported to have the potential to host a large,
structurally controlled, stratabound-style banded iron formation (BIF) gold
prospect similar to the Musselwhite deposit (McNicoll et al., 2016), in
addition to an Archean greenstone, orogenic-style lode gold prospect,
extending past the bounds of known historical mineral occurrences.

 

The Tully property is host to a NI 43-101 compliant resource of 107,000 ounces
of gold with high grades reported in 1997 drilling of up to 2,555.5g/t Au over
0.5 metres within a wider intersection of 322.02g/t over 5.7 metres and 2013
drilling by SGX demonstrating potential extension and depth reporting 9.01g/t
Au over 6.7 metres, and 8.0g/t Au over 6.5 metres. Tully is located 30
kilometres northeast of Timmins within the world class Timmins-Porcupine gold
camp that has produced over 70m Oz of gold to date. Tully is 2 kilometres
southwest of the 1.2Moz Bradshaw Gold Project of Gowest Gold Ltd., currently
in development and within 30km of several multi-million ounce historical
deposits including the producing Hoyle Pond gold deposit. Work undertaken by
Fulcrum has identified several drill target locations with the objective of
extending the deposit along strike and at depth.

 

 

Establish the prospectivity of its wider non-core Ontario and Saskatchewan
portfolio

 

Fulcrum has highly prospective base metal projects in Ontario and Uranium
projects in Saskatchewan for which cost effective exploration methods will be
utilised to evaluate the projects with a view to securing potential joint
venture and/or acquisition interest.

 

Ontario Base Metals - Fulcrum has developed a strong nickel target at Dog Lake
in the Michipicoten Greenstone Belt with several rock samples in excess of
1,000ppm Ni related to a mafic/ultramafic intrusives, a strong copper
exploration target at Carib Creek in the Winston Lake Greenstone belt with
soil sampling surveys returning several strongly anomalous copper samples up
to 737ppm whilst at Tocheri Lake in the Dayohessarah Greenstone belt a
Versatile Time Domain Electromagnetics (VTEM) airborne geophysical survey
conducted over the southwest corner of the property identified a weak
electromagnetic conductor which may indicate buried mineralisation in addition
to several magnetic targets.

 

Saskatchewan Uranium - Fulcrum has amassed a highly prospective uranium
portfolio of over 59,000 hectares across the Charlot-Neely, Fontaine Lake,
Snowbird and South Pendleton claims. All of the projects are outside the
Athabasca basin along major structures, on trend with historic mines and areas
of significant M&A activity. Recent discoveries such as the Arrow
discovery (4.3m tonnes at 0.83% U308) and Triple R discovery (2.7m tonnes at
1.94% U308) have proved the concept of exploring along major structure outside
the Athabasca Basin. Historic records at Charlot-Neely include rock samples of
up to 6.2% U308, trenching samples of up to 2.1% U308 and significant
electromagnetic conductors covering a 16km zone thought to be prospective for
uranium mineralisation. Work completed by Fulcrum at Charlot-Neely and
Fontaine Lake includes hyperspectral data compilation identifying exploration
targets and field work resulting in discovery of high-grade uranium
mineralisation of up to 0.8% U308 and the discovery of new uranium and
radioactive trends.

 

Conclusion

 

Fulcrum's mining assets are a combination of low discovery risk and high
prospectivity in the exploration phase, so Fulcrum stands to be able to add
significantly to the inherent value through exploration and development
success. Fulcrum will continually review opportunities with potential and with
a view to increasing shareholder value. It is the Board's intention to deliver
medium and long-term growth and to establish the Group as a significant
exploration and development company.

 

 

 

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