Electra Identifies New Copper Showing in Idaho and Extends Redcastle Agreement
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) has announced a new copper showing near its Iron Creek Project in Idaho and provided updates on its exploration activities. Key highlights include:
1. Discovery of the Malachite Hill Copper Showing on the Redcastle Agreement claims.
2. Extension of the Redcastle Property Agreement's main exploration expenditure commitments by two years.
3. Application for a 10-year exploration permit for drilling activities.
4. Updated Mineral Resource Estimate for the Iron Creek Project, including 18.4 million pounds of cobalt and 71.5 million pounds of copper in the Indicated category.
The company aims to maximize the value of its Idaho assets while focusing on completing its cobalt refinery project in Ontario.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) ha annunciato una nuova scoperta di rame vicino al suo progetto Iron Creek in Idaho e fornito aggiornamenti sulle sue attività di esplorazione. I punti salienti includono:
1. Scoperta del giacimento di rame Malachite Hill sui diritti dell'accordo Redcastle.
2. Estensione degli impegni di spesa per l'esplorazione principale dell'Accordo sulla Proprietà Redcastle di due anni.
3. Richiesta di un permesso di esplorazione di 10 anni per attività di perforazione.
4. Aggiornamento della stima delle risorse minerali per il progetto Iron Creek, che include 18,4 milioni di libbre di cobalto e 71,5 milioni di libbre di rame nella categoria indicata.
L'azienda mira a massimizzare il valore dei suoi asset in Idaho mentre si concentra sul completamento del suo progetto di raffineria di cobalto in Ontario.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) ha anunciado un nuevo hallazgo de cobre cerca de su proyecto Iron Creek en Idaho y proporcionado actualizaciones sobre sus actividades de exploración. Los puntos destacados incluyen:
1. Descubrimiento de la aparición de cobre Malachite Hill en los derechos del acuerdo Redcastle.
2. Extensión de los compromisos de gasto de exploración principal del Acuerdo de Propiedad Redcastle por dos años.
3. Solicitud de un permiso de exploración de 10 años para actividades de perforación.
4. Actualización de la estimación de recursos minerales para el proyecto Iron Creek, que incluye 18.4 millones de libras de cobalto y 71.5 millones de libras de cobre en la categoría indicada.
La empresa tiene como objetivo maximizar el valor de sus activos en Idaho mientras se enfoca en completar su proyecto de refinería de cobalto en Ontario.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM)는 아이다호에 있는 Iron Creek 프로젝트 근처에서 새로운 구리 발견을 발표하고 탐사 활동에 대한 업데이트를 제공했습니다. 주요 내용은 다음과 같습니다:
1. Redcastle 계약 권리에서 Malachite Hill 구리 발견.
2. Redcastle 자산 계약의 주요 탐사 지출 약정이 2년 연장되었습니다.
3. 채굴 활동을 위한 10년 탐사 허가 신청.
4. Iron Creek 프로젝트에 대한 갱신된 광물 자원 추정, 이는 검증된 범주에 18.4백만 파운드의 코발트와 71.5백만 파운드의 구리를 포함합니다.
회사는 아이다호 자산의 가치를 극대화하면서 온타리오의 코발트 정제 프로젝트 완료에 집중할 계획입니다.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) a annoncé une nouvelle découverte de cuivre près de son projet Iron Creek dans l'Idaho et a fourni des mises à jour sur ses activités d'exploration. Les points clés incluent :
1. Découverte de la présence de cuivre à Malachite Hill sur les revendications de l'accord Redcastle.
2. Prolongement de deux ans des engagements de dépenses d'exploration principaux de l'accord de propriété Redcastle.
3. Demande d'un permis d'exploration de 10 ans pour les activités de forage.
4. Estimation mise à jour des ressources minérales pour le projet Iron Creek, incluant 18,4 millions de livres de cobalt et 71,5 millions de livres de cuivre dans la catégorie indiquée.
L'entreprise vise à maximiser la valeur de ses actifs dans l'Idaho tout en se concentrant sur l'achèvement de son projet de raffinerie de cobalt en Ontario.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) hat eine neue Kupferentdeckung in der Nähe ihres Iron Creek Projekts in Idaho angekündigt und Updates zu seinen Explorationsaktivitäten bereitgestellt. Die wichtigsten Highlights sind:
1. Entdeckung der Malachite Hill Kupferlagerstätte im Rahmen der Redcastle Vereinbarung.
2. Verlängerung der Hauptforschungsverpflichtungen des Redcastle Grundstücks um zwei Jahre.
3. Antrag auf eine 10-jährige Explorationsgenehmigung für Bohraktivitäten.
4. Aktualisierte Mineralressourcenschätzung für das Iron Creek Projekt, einschließlich 18,4 Millionen Pfund Kobalt und 71,5 Millionen Pfund Kupfer in der ausgewiesenen Kategorie.
Das Unternehmen zielt darauf ab, den Wert seiner Vermögenswerte in Idaho zu maximieren, während es sich auf den Abschluss seines Kobalt-Raffinerieprojekts in Ontario konzentriert.
- Discovery of new Malachite Hill Copper Showing, indicating potential for additional mineral resources
- Extension of Redcastle Property Agreement, providing more time for exploration activities
- Application for 10-year exploration permit, enabling advanced drilling activities
- Updated Mineral Resource Estimate shows significant cobalt and copper resources at Iron Creek Project
- Strategic focus on completing North America's first cobalt sulfate refinery in Ontario
- Deferral of major exploration programs on the Redcastle Property due to focus on Ontario refinery project
- Exploration activities subject to future financing
The extension of the Redcastle Agreement provides Electra more time to explore and develop the property, which is a positive sign for long-term value creation. However, it also indicates a delay in immediate development plans.
The company's focus on completing its cobalt refinery in Ontario while maintaining exploration potential in Idaho demonstrates a balanced approach to growth. The updated Mineral Resource Estimate for Iron Creek, with 18.4 million pounds of cobalt and 71.5 million pounds of copper in the Indicated category, provides a solid foundation for future development.
Investors should consider the strategic importance of these assets in the context of the growing demand for battery materials. While the immediate focus is on the Ontario refinery, the Idaho properties represent significant long-term potential in a critical mineral belt.
![Figure 1. Location of the Iron Creek Property in east-central Idaho (Graphic: Business Wire)](https://mms.businesswire.com/media/20240725529167/en/2195867/4/Figure_1._Location_of_the_Iron_Creek_Property_in_east_central_Idaho.jpg)
Figure 1. Location of the Iron Creek Property in east-central
Highlights
-
Electra’s 2023 field program discovered a previously unknown copper surface showing, the Malachite Hill Copper Showing, on an unexplored boundary area of the Redcastle Agreement claims portion of the
Idaho properties.
- Electra has signed an amendment to the Redcastle Property Agreement to extend its two main exploration expenditure commitments by two years, to 2026 and 2028 respectively.
“We are taking measured steps to maximize the value of our exploration assets in
Ryan McDermott, CEO, Phoenix Copper Ltd., said, “We are pleased to be continuing our collaboration with Electra Battery Materials through the extension of this agreement. We believe Electra is well-positioned to further advance the Redcastle property’s potential, and we look forward to working with the Electra team as that potential is realized.”
The
Historical underground development at Iron Creek includes 600 metres of drifting from three adits. A road connects Iron Creek to a state highway and the nearby towns of
The Malachite Copper Showing (“MHS”) was discovered in 2023 on the claims within the Redcastle Agreement area of interest, south adjacent to the core claims (Figure 2), in area not previously explored. Malachite occurs here in several outcrops of favourable, fine-grained meta-sedimentary rocks on a hillside. Assay results of outcrop grab samples indicate elevated copper (maximum = 2,660 parts per million copper), and low cobalt values. This finding demonstrates the presence of favourable host rocks at surface in this area of the Redcastle Property; however the extent of the surface mineralization exposure remains to be determined. Interestingly, the MHS appears to be located approximately two (2) kilometres along strike (southeast) of Electra's Ruby cobalt-copper target.
The Redcastle Property Agreement is an earn-in agreement, originally signed in May 2021 with Borah Resources Inc./Phoenix Copper Limited, which was subsequently amended to preserve future optionality for exploration work.
The Redcastle Property is made-up of 30 core claims owned by Borah and
Investment commitments for Electra under the Agreement were a required investment of
More recently, Electra has been strategically focused on completing the construction of North America’s first cobalt sulfate refinery at its property in
In follow-up to the very limited field work completed in 2023 at the MHS, a follow-up field mineral prospecting and geological mapping program has been proposed for the area. The area to be covered by the field program includes the MHS itself and the area between the MHS and the Ruby Deposit. The purpose of the proposed program is four-fold:
- Further confirm Electra's findings in 2023;
- Map and sample the extent and continuity of the mineralization on surface;
- Determine terrain suitability for follow-up geophysical surveys and/or drilling; and
- Trace indications of copper and cobalt mineralization along strike toward Ruby.
Execution of the Electra’s proposed field program will be subject to financing.
The Idaho Properties and Iron Creek
In March 2023, Electra released an updated Mineral Resources Estimate (“MRE”) for the Iron Creek Project. Highlights include:
-
Indicated Mineral Resource of 4.5 million tonnes grading at
0.19% cobalt for 18.4 million pounds cobalt and grading at0.73% copper for 71.5 million pounds of copper; -
Inferred Mineral Resource of 1.2 million tonnes grading at
0.08% cobalt for 2.1 million pounds of cobalt and grading at1.34% copper for 36.5 million pounds of copper; -
As a result of infill and step-out drilling completed to date, Electra upgraded
54% of the Inferred classification of the 2019 MRE to the Indicated classification; - The Mineral Resources of the Iron Creek Project extend approximately 1,100 metres along strike, 500 metres in thickness, and 500 metres to depth below surface.
- Within the Iron Creek Property boundary, there are seven reported occurrences of metallic mineralization exposed on surface or encountered in drilling. Iron Creek is the main mineralized body and Ruby is the second most important body (Figure 3);
-
The 2023 MRE was prepared for a potential underground scenario with a
US net smelter return (NSR) cut-off grade; and$87.00 - Additional drilling was recommended to connect isolated intercepts within or along strike and at depth of the Mineral Resources, and advance Ruby to increase the Inferred Mineral Resources.
Table 1. Mineral Resource Estimate of the Iron Creek Cobalt-Copper Project
Classification |
Tonnes |
Cobalt (%) |
Copper (%) |
Cobalt (lbs) |
Copper (lbs) |
NSR Value/ Tonne (US$) |
Indicated |
4,451,000 |
0.19 |
0.73 |
18,364,000 |
71,535,000 |
123.65 |
Inferred |
1,231,000 |
0.08 |
1.34 |
2,068,000 |
36,485,000 |
118.48 |
Notes:
- The effective date of the 2023 MRE is January 27, 2023.
- The independent and qualified persons for the 2023 MRE are Martin Perron, P. Eng. and Marc R. Beauvais, P.Eng. all of InnovExplo Inc.
- The 2023 MRE follows the CIM Standards.
- These Mineral Resources are not Mineral Reserves, because they do not have demonstrated economic viability. The results are presented undiluted and are considered to have reasonable prospects of economic viability.
- The estimate encompasses one large, mineralized envelope using the grade of the adjacent material when assayed or a value of zero when not assayed. Dilution zones encompassing all mineralized zones were created as part of the mineralized domain to reflect the dilution within the constraining shapes.
-
High-grade capping supported by statistical analysis was done on raw assay data before compositing and established on a per-metal basis, having a limiting value at
1% for cobalt and10% for copper. Composites (1.5 m) were calculated within the zones using the grade of the adjacent material when assayed or a value of zero when not assayed. - The MRE was completed using a sub-block model in Surpac 2022. A 4m x 4m x 4m parent block size was used.
- Grade interpolation was obtained by Inverse Distance Squared (ID2) using hard boundaries. Dynamic anisotropy was used for the interpolation of the mineralized domain.
- A density value of 2.78 g/cm3 was assigned to the mineralized domain.
- The MRE is classified as Indicated and Inferred. The Inferred classification is defined with a minimum of three drill holes within the areas where the drill spacing shows reasonable geological and grade continuity at the maximum range of the modelized semi-variogram. The Indicated classification is defined with a minimum of three drill holes within the areas where the drill spacing shows reasonable geological and grade continuity at half the range of the modelled semi-variogram.
-
The 2023 MRE is locally constrained within Deswik Stope Optimizer shapes using a minimal mining width of 2.0m for a potential underground LH. An NSR-based cut-off grade was calculated using the following parameters: mining cost =
US /t; processing cost =$55.00 US /t; G&A =$22.00 US /t. The cut-off grade should be re-evaluated in light of future prevailing market conditions (metal prices, mining costs, etc.).$10.00 - The number of metric tonnes was rounded to the nearest thousand, following the recommendations in NI 43-101 and any discrepancies in the totals are due to rounding effects. The metal contents are presented in pounds of in-situ metal rounded to the nearest hundred.
- The independent and qualified persons for the 2023 MRE are not aware of any known environmental, permitting, legal, political, title-related, taxation, socio-political, or marketing issues that could materially affect the MRE.
A copy of Electra’s 2023 updated MRE and Technical Report is available under the Company’s profile on www.sedarplus.ca.
Qualified Person Statement
The scientific technical content of this press release that relates to mineral exploration and the 2023 Mineral Resource Estimate has been reviewed and approved by Mr.
About Electra Battery Materials
Electra is a processor of low-carbon, ethically-sourced battery materials. Currently focused on developing North America’s only cobalt sulfate refinery, Electra is executing a phased strategy to onshore the electric vehicle supply chain and provide a North American solution for EV battery materials refining. In addition to building North America’s only cobalt sulfate refinery, its strategy includes integrating black mass recycling, potential cobalt sulfate processing in
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Estimates of Resources
Readers are cautioned that mineral resources are not economic mineral reserves and that the economic viability of resources that are not mineral reserves has not been demonstrated. The estimate of mineral resources may be materially affected by geology, environmental, permitting, legal, title, socio-political, marketing or other relevant issues. The mineral resource estimate is classified in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum's (CIM) "2014 CIM Definition Standards on Mineral Resources and Mineral Reserves" incorporated by reference into NI 43-101. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies or economic studies except for a Preliminary Economic Assessment as defined under NI 43-101. Readers are cautioned not to assume that further work on the stated resources will lead to mineral reserves that can be mined economically. An Inferred Mineral Resource as defined by the CIM Standing Committee is “that part of a Mineral Resource for which quantity and grade or quality are estimated on the basis of limited geological evidence and sampling”. Geological evidence is sufficient to imply but not verify geological and grade or quality continuity. An Inferred Mineral Resource has a lower level of confidence than that applying to an Indicated Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.
Cautionary Note Regarding Forward-Looking Statements
This news release may contain forward-looking statements and forward-looking information (together, “forward-looking statements”) within the meaning of applicable securities laws and the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, are forward-looking statements. Generally, forward-looking statements can be identified by the use of terminology such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “believes” or variations of such words, or statements that certain actions, events or results “may”, “could”, “would”, “might”, “occur” or “be achieved”. Forward-looking statements are based on certain assumptions, and involve risks, uncertainties and other factors that could cause actual results, performance, and opportunities to differ materially from those implied by such forward-looking statements. Among the bases for assumptions with respect to the potential for additional funding. Factors that could cause actual results to differ materially from these forward-looking statements are set forth in the management discussion and analysis and other disclosures of risk factors for Electra Battery Materials Corporation, filed on SEDAR+ at www.sedarplus.com and with on EDGAR at www.sec.gov. Other factors that could cause actual results to differ materially include changes with respect to government or investor expectations or actions as compared to communicated intentions, and general macroeconomic and other trends that can affect levels of government or private investment. Although the Company believes that the information and assumptions used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed times frames or at all. Except where required by applicable law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240725529167/en/
Heather Smiles
Vice President, Investor Relations & Corporate Development
Electra Battery Materials
info@ElectraBMC.com
1.416.900.3891
Source: Electra Battery Materials Corporation
FAQ
What is the new copper showing discovered by Electra Battery Materials (ELBM) in Idaho?
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What are the key findings from Electra's (ELBM) updated Mineral Resource Estimate for the Iron Creek Project?