Osisko Metals acquired the project in February 2018 and on December 6, 2018 released its maiden NI43-101 pit-constrained Inferred Mineral Resource Estimate (IMRE). The IMRE stands at 38.4 Mt grading 4.58% zinc and 1.85% lead (6.58% ZqEq), equating to 3.9 Blbs. of zinc and 1.6 Blbs. of lead at a cut-off grade of about 1.80% ZnEq. The pit-constrained resource is based on Whittle-optimized pit shells using a zinc price of US$1.10/lb and a lead price of US$0.90/lb. The IMRE is divided into five geographic zones and incorporates 42 new pits and 2 historical pit expansions (see IMRE Zones map). Pine Point’s main core (East Mill, Central and North Zones) contains approximately 23.4 Mt grading 6.30% ZnEq. At the deposit scale, the grade and tonnage show little variability at lower cut-off grades.
Ongoing Drill Program
Additional in-fill drilling completed up to the date of this press release and not included in this Inferred MRE consists of 579 drill holes totalling 40,102 metres of drilling. The objective of this ongoing program is to upgrade the Inferred Mineral Resource to the Indicated category by decreasing drill spacing to 30 metres from the current average drill spacing of 40 to 60 metres. The Company expects to drill 900 additional holes totalling approximately 49,000 metres in the remainder of 2018 and in 2019 to meet this objective. The drill database will be further strengthened by incorporating the recent LIDAR topographic survey.
A separate brownfield exploration campaign will investigate high-potential target areas following the analysis of the planned airborne gravity survey that will complement site wide compilation of historical datasets and the recent LIDAR topographic survey.