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Resource World Magazine Volume 18 Issue 3

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12 www.resourceworld.com A P R I L / M A Y 2 0 2 0 NORTHWEST TERRITORIES us to a point where we would be construc- tion ready. At that point, we would make a case to the federal government for a larger investment for construction of those proj - ects. Right now, we are advancing pieces of them at a time. I also envision these three infrastructure projects as a way to keep our Indigenous business, our Indigenous development cor - porations and our communities employed as we start to see the sun setting on the diamond mines in the next decade. Below are profiles of companies active in the Northwest Territories. Arctic Star Exploration Corp. [ADD- TSXV; ASDZF-OTCQB; 82A1-FSE] has been exploring its 40%-owned Diagras property in the Lac de Gras region. The data from last spring's ground geophysical program generated drill targets. Margaret Lake Diamonds Inc. [DIA-TSXV; DDIAF- OTC; M85-FSE], which has other diamond projects in the NWT, has a 60% interest in Diagras. Avalon Advanced Materials Inc. [AVL-TSX; AVLNF-OTCQB] has been advancing the 100%-owned Nechalacho rare earth elements property, located at Thor Lake, 100 km southeast of Yellowknife, Northwest Territories. Based on a positive 2013 feasibility study, the project has potential for economic recov - ery of rare earth elements (REE), lithium, zirconium, beryllium, niobium and tan- talum. Avalon initially focused its work on the heavy REE-rich Basal Zone deposit (2008-2013). Under a co-ownership agreement, Cheetah Resources Pty Ltd. acquired ownership of the near-surface resources on the property (Upper Zone) for $5 million while Avalon retained 100% ownership of the heavy rare earth-rich Basal Zone that was the subject of the 2013 Feasibility Study. Cheetah will assume management of its planned work program to develop the T-Zone resource in 2020, where it intends to utilize sensor-based ore-sorting tech - nology to produce a rare earth mineral concentrate. The company recently reported that the agreement by Canada and the United States, announced December 19, 2019, to co-operate on critical minerals supply chain development (and rare earths in par - ticular), has resulted in new government initiatives in both countries to support the creation of these supply chains. Avalon has been involved in these discussions. Due to the COVID-19 pandemic, staff continue to work from home on a reduced work schedule in anticipation of resuming project field work when it is safe to do so. In the meantime, project planning and per - mitting work continues. Dominion Diamond Corp. (private), affiliated with The Washington Companies, has ownership interests in two produc- ing diamond mines located about 300 km northeast of Yellowknife – Ekati and Diavik. As Canada's largest independent diamond producer, the company sup- plies rough diamonds to the global market through its sorting and selling operations in Canada, Belgium and India. The Ekati Mine recovered 5.2 million carats from 2.9 million tonnes processed in fiscal 2017. Processing volumes were 23% lower as compared to fiscal 2016 due to the extended shutdown following the process plant fire in June 2016. The Diavik Mine (Dominion 40%/Rio Tinto 60%), on a 100% basis, recovered 6.7 million carats from 2.2 million tonnes processed in calen - dar 2016. Carats recovered were 4% lower than the revised calendar 2016 plan of 6.9 million carats, due to lower recovered grade as a result of higher levels of under - ground dilution encountered in the A-418 and A-154 South kimberlite pipes. A program to develop the Jay diamond pipe at Ekati will extend the mine life Equity Metals Corp. [EQTY-TSXV; NNADF-OTC], formerly New Nadina Explorations, has a JV interest in the Monument Diamond Project located on the south shore of Lac De Gras. Diamond- bearing kimberlites of the Monument property form part of the Lac de Gras clusters and occur within 40 km of both the Ekati and Diavik Diamond Mines. The project owners are Equity Metals (57.49%); Chris and Jeanne Jennings (22.11%); and Archon Minerals Ltd. [ACS-TSXV; AHNMF-OTC] (20.4%). Equity Metals is the operator. Evrim Resources Corp. [EVM-TSXV] and Newmont Mining Corp. [NGT-TSX; NEM-NYSE] have been exploring the Astro Project, a new gold discovery within a 10-km long structural corridor along the Yukon-NWT border. The partners have completed a mag/VTEM survey, detailed geologic mapping, chip-channel and talus fine sampling and an 11-hole reverse-circu - lation reconnaissance drilling program. Vertical chip-channel sampling at the Radio prospect returned 3.3 g/t gold over 26 metres (including 12.5 g/t gold over 6 metres) across magnetite-pyrite skarn and overlying siltstone. Drill hole RAD19-01 intersected 1.36 g/t gold over 10.7 metres, including 3.13 g/t gold over 3.05 metres. Additional chip-channel sampling at the Microwave prospect returned 3.6 g/t gold over 18 metres (including 7.2 g/t gold over 6 metres) and 3.1 g/t gold over 8 metres from trenches oriented normal to northwest-striking fractures. Ultraviolet is a new discovery 1 km southeast of the Radio prospect and hosted within a similar stratigraphic horizon. Rock chip channels perpendicular to bed - ding returned 6.1 g/t gold over 4.0 metres. Far Resources Ltd. [FAT-CSE] has a 100% interest in the road-accessible Hidden Lake lithium project located about 45 km east-northeast of Yellowknife. Hidden Lake hosts lithium-bearing peg - matite dykes that are part of the larger Yellowknife Pegmatite District which have been described as the largest lithium resource in Canada with a minimum of 55,000,000 US tons at 1.41% L 2 O primarily as spodumene. Future exploration will focus on drilling the high-grade dykes beneath the initial holes to determine the shape of the dykes and to provide estimates of grade and tonnage. Fortune Minerals Ltd. [FT-TSX; FTMDF-OTCQB] has engaged several con - sultants to advance its 100%-owned NICO cobalt-gold-bismuth-copper project 160 km northwest of Yellowknife. An updated

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