Canada's rich and varied landscape has made it a historically vital country for the production of metals and minerals. From the gold-rushes of past centuries to the industrial demands for metallurgic coal to the increasing need for commodities used in clean energy technologies - mining specialists have for hundreds of years come to Canada for the vast riches and resources lying beneath its surface.
In 2016 it was reported that 200 mines and 7,000 quarries were in operation across the country, producing more than 60 kinds of minerals and metals at a total value of $41 billion. Canada is in the top five producing countries for 13 major minerals and metals, including first in potash; second in uranium and niobium; third in nickel, cobalt, aluminium and platinum group metals; and fifth in gold and diamonds.
Canada’s mining industry employs thousands of workers every year.
So if you’re looking for your next mining opportunity, where should you start looking? Well, as with all industries, the Covid-19 pandemic has hit Canada’s mining operations. But as operations begin to start up again we can look at a few upcoming projects that are starting to once again look positive and are likely to drive significant job creation in the coming years.
These are the mining projects to watch in Canada in 2020.
(Image via GT Gold)
Tatogga Project
Copper and Gold mine - GT Gold
British Columbia
Located in British Columbia’s “Golden Triangle” on the Klastline Plateau in the Stikine region, the region of the Tatogga Project has seen sporadic exploration since 1959 by various operators. In August 2016 it was confirmed that a considerable number of base and precious metals were located in the region - particularly in the Saddle prospect which was only identified in 2013. The nearest and only historically known samples to the site of the Saddle discovery were five rock samples with elevated values of gold taken in 1991 by Brooklyn Resources from a site in the valley bottom about 1.5 km up-valley from the Saddle North geochemical anomaly, and never followed up.
GT Gold acquired the property in June 2011, under their subsidiary New Chris Minerals Ltd. Initial mapping took place the following year and systematic geochemical soil and rock sampling followed. Two significant copper-gold & gold discoveries with growth potential were confirmed, with additional world-class copper-gold porphyry deposits at Saddle North. An initial resource estimate for Saddle North will be published in July 2020, with a preliminary economic assessment to follow later in the year.
On 24th June 2020, GT Gold Corp. announced that they would be mobilising fo rthe commencement of the 2020 exploration season at the Tatogga property, having re-evaluated fieldwork to safely conduct operations in compliance with the company’s newly stated COVID-19 prevention plan. This years exploration program will initially focus on diamond drill-testing new greenfield exploration targets in the Quash Pass area, where two large-scale anomalous trends and several adjacent individual targets have been identified.
“We’re very pleased to be initiating our 2020 field program at Tatogga,” commented Paul Harbidge, President and CEO.
“Our primary goal is to keep everyone safe and we will be conducting our work with utmost commitment to the protection of our employees and local communities.”
(Image via First Mining)
Goldlund Project
Gold mine - First Mining
Ontario
Covering an area of 280 square kilometres, the Goldund Project is an Archean lode-gold project that was taken over by First Mining following a merger with Tamaka Gold Corporation in 2016.
It is an advanced stage exploration project with an indicated resource of 12.86 Mt grading, 1.96g/tAu containing 809,200 ounces of gold with considerable exploration upside potential. It has an inferred resource of 876,954 ounces.
In June 2020 the firm announced that they would be merging the Goldlund project with Treasury Metal Inc.’s Goliath project - a 1.2 million ounce resource located just 25km away. The merger will establish a district-scale, multi-million ounce gold project.
In the meantime, First has reported “strong” drilling reports from Goldlund this year, with drilling having continued to define mineralisation in the eastern portion of the already defined “Main Zone” and supporting the potential for a resource expansion. The firm reports 59 holes or around 8,588 metres has been completed at the Main Zone as part of the 2019-2020 drill program.
"Drilling at Goldlund continues to return strong results, supporting the potential for resource growth at the Main Zone," said Dan Wilton, CEO of First Mining in a statement.
"We are excited to continue to showcase the asset's potential as it will soon become part of a district-scale opportunity within Treasury Metals. These results demonstrate the growth potential from the regional consolidation of this multi-million ounce gold district in Ontario."
(Image via Riversdale Resources)
Grassy Mountain Project
Coal mine - Riversdale Resources
Alberta
Currently awaiting approval, a proposed open-pit coal mine is set to bring much-needed foreign investment to the Canadian economy and will create hundreds of jobs in Alberta - if it goes ahead.
The project is being put forward by Australian mining company Riversdale Resources, and will be owned by their subsidiary, Benga Mining Ltd. Plans are for a 2,800 hectare open-pit mine near the town of Blairmore, at a cost of $700 million. It’s intended to produce up to 4.5 million tonnes of coal per year over a 25 year lifespan.
The region was once the largest coal producer in the province, but for nearly 40 years has been virtually nonexistent - with only the rubble of abandoned coal towns like Lille left to suggest the profitable industry that once stood there. But Riversdale want to change that, picking up production of steelmaking coal and creating up to 400 jobs at peak times, with some paying over 6 times the median income of the region (currently under $35,000 according to CBC news - senior positions could run up to $200,000 not including a performance bonus).
The company has been seeking federal and provincial approval since 2014 and has already put out calls for high level positions. The project has passed its environmental assessment and has now moved on to the stage of public input. Though this has been delayed by the Covid-19 pandemic, public hearings are currently planned for October.
(Image via BHP)
Jansen Project
Potash mine - BHP
Saskatchewan
Approximately 140km east of Saskatoon is the proposed Jansen Potash Project, a 9,600 square km mine owned by BHP. Potash is a potassium-rich salt used in fertiliser to improve the quality and yield of agricultural production. As global demands on the food supply chain increase, potash is becoming a more and more valuable commodity.
The Jansen Project will be one of the world’s largest potash mines, with an underground development operating at depths of 900-1,000 metres. It is expected to produce around eight million tons of marketable potash at full capacity with lifespan of 70 years.
So far BHP has approved $144 for engineering work to support the project planning and ports olution finalising required to make a Final Investment Decision (FID) which is expected in 2021. An addition $201 million has been approved to further de-risk the project, focusing on the mine’s scope of work, advancing other procurement and engineering activities and preparation works for underground infrastructure.
It’s thought that the company will have to invest a further $5.3-5.7 billion on top of the $2.7 billion they have already invested to finish phase one construction. As of the end of FY2019 the company have safely excavated two 7.3 metre diameter service and production shafts to thief full depths and prepared temporary liners for the final watertight composite concrete and steel liners. A port option on the North American west coast is due to be selected from which potash will be exported.
(Image via KoBold Metals)
KoBold Metals project
Cobalt mine - KoBold Metals
Quebec
This is very early days, but one to watch for the future. A startup backed by several billionaire investors led by Bill Gates, plan to mine for cobalt in an area roughly the size of New York City in northern Quebec.
The startup is San Francisco-based KoBold metals and they’ve acquired rights to the 1,000 km2 area located south of the Raglan nickel mine owned by Glencore. The company, founded in 2018, plan to use data analytics and advanced mapping to collect geophysical data that will help them locate cobalt deposits. In their words, they want to build a “Google Maps for the Earth’s crust.”
Cobalt is necessary for battery storage and electric vehicles, but can be extremely difficult to locate.
“The subtleties in the geophysical signals are really only evident when you have all of the data and can evaluate it in a systematic, statistically rigorous way,” said CEO Kurt House.
“It’s just too much for the human brain to handle.”
The area is “highly prospective” for cobalt, nickel and platinum-group metals, which are often found along nickel deposits. The company hope to start collecting geophysical data in the next three to six months and drill within the next two years.
Shareholders of KoBold Metals include Norwegian oil major Equinor, Silicon Valley venture capital firm Andreessen Horowitz and Breakthrough Energy Ventures - a fund backed by Gates and the likes of Jeff Bezos, Ray Dalio and Michael Bloomberg.
Will this tech-focused startup usher in a new generation of smart mining? We’ll keep watching to see.
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