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Resource World - October-November 2017 - Vol 15 Issue 6

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O C T O B E R / N O V E M B E R 2 0 1 7 www.resourceworld.com 39 >0.1 g/t gold have been discovered at Rajapalot. Gold grades range from 0.1 to 3,870 g/t gold, averaging of 74.9 g/t gold and median of 0.71 g/t gold. The sources of six of nine gold-bearing boulder fields remain to be discovered. Field mapping, prospecting and geophysics have been carried out in prepa- ration for a late 2017/early 2018 drilling program. TMAC Resources Inc.'s [TMR-TSX] Hope Bay gold mine reached the commer- cial production stage in May 2017. That is almost 30 years after initial discoveries that were made by BHP Billiton between 1988 and 1999. Located in the Kitikmeot region of Nunavut, Hope Bay is a high-grade gold deposit with an estimated measured and indicated resource of 4.9 million ounces gold at an average grade of 8.6 g/t gold. Annual production is expected to average 183,000 ounces during the first five years of mining. The all-in sustaining cost is expected to be US $785 an ounce. Aside from Meliadine and the Amaruq satellite deposit, the roster of new mines that are currently in the develop- ment stage include the A21 kimberlite at the Diavik Diamond Mine, which is located about 300 km northeast of Yellowknife. Diavik is operated by a subsidiary of Rio Tinto Plc [RIO-NYSE, ASX], 60%, and joint venture partner Dominion Diamond Corp. [DDC-TSX, NYSE], 40%. The first production from the US $350 million A21 Project is scheduled for late 2018. Dominion Diamond is spending $690 million to develop the Jay deposit at the nearby Ekati Mine. The Jay deposit is expected to add at least 11 more years to Ekati's lifespan. A list of other projects that could become mines in the near future include Peregrine Diamonds Ltd.'s [PGD-TSX] Chidliak Project, located 120 km northeast of Iqaluit. The project hosts 74 kimberlites, eight of which are believed to be poten- tially economic. Two of these kimberlites, the CH-6 and CH-7, form the foundation for phase one diamond development at Chidliak, as recently announced in a pre- liminary economic assessment. Also on potential new mines list is Fortune Minerals Ltd.'s [FT-TSX; FTMDF- OTCQX] NICO cobalt-gold-bismuth deposit 160 km northwest of Yellowknife. The game plan is to mine and concentrate ores in the Northwest Territories and trans- port the material to a proposed processing plant in Saskatchewan. The unique metal assemblage of the deposit also includes more than 10% of global bismuth reserves along with significant gold as a counter cyclical hedge to reduce the exposure to cobalt and bismuth price volatility. Canadian Zinc Corp.'s [CZN-TSX; CZICF-OTCQB] Prairie Creek Mine is an advanced-stage zinc-lead-silver prop- erty located 200 km of Fort Simpson, NWT. With the majority of the required infrastructure in place, including 1,000 tonne-per-day mill and accommodations for 120 miners, the 2016 preliminary fea- sibility study indicates robust economics over the 17-year mine life with annual average production forecast at 86 million pounds of zinc, 82 million pounds of lead and 1.7 million ounces of silver. In tan- dem with further engineering studies the

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