Market cap: $21 million
Cash estimate: $3.4 million
Country: Saskatchewan, Canada
Ownership: 100 percent
Resources: 3.75 MT @ 2.03% Cu, 0.33 g/t Au and 0.53 MT @ 9.26% Zn, 15.9 g/t Ag (historical)
Project status: Resource confirmation
Foran Mining announced results from the final three infill holes on its 100% owned Bigstone VMS project in east central Saskatchewan. The project is located 80 kilometres west of Flin Flon Manitoba and 25 kilometres west of Foran's McIlvenna Bay deposit. The Bigstone project is subject to a 2% NSR. Resource confirmation drilling returned two intervals of 58.0 metres grading 2.49% Cu, 0.14% Zn, 0.17 g/t Au and 7.9 g/t Ag starting at a depth of 331 metres and 53.57 metres of 2.54% Cu, 0.11% Zn, 0.21 g/t Au and 14.7 g/t Ag . Drilling also intersected the high-grade zinc zone situated above the copper zone returning 4.84 metres grading 15.1% Zn, 777 g/t Ag and 0.32 g/t Au. Based on the previous wide spaced exploration drilling outside of the main zone, the Company believes there is room to add additional mineralization along the boundaries of the current model. In 1990, Cameco outlined a historical resource (not considered current) on Bigstone of 3.75 million tonnes grading 2.03% Cu and 0.33 g/t Au using a 1% Cu cut-off. There is also a separate zinc resource of 0.53 million tonnes of 9.62% Zn and 15.9 g/t Ag using a 5% Zn cut-off. The Company believes there may be synergies that would see early high-grade production from Bigstone trucked to their nearby McIlvenna Bay project for processing 25 kilometres to the east. In November 2014, the Company announced the results of a PEA on the nearby McIlvenna Bay project. The PEA estimates an after-tax NPV (7%) of $263 million, with an IRR of 19%. The project is projected to have cash costs (net of by-products) of negative $0.37 per pound Zn or $0.84 per pound Cu. The economic evaluation was based on $3.08 / lb Cu, Cu, $1.06 / lb Zn, $1,238 / oz. Au and $17 / oz. Ag. Total pre-production capital at McIlvenna Bay is projected at $249 million.
Discovery hole: Mineralization in the belt discovered in the 1950′s by Saskatchewan Mineral Development Corporation (later became Cameco). Cameco completed historical resource in 1990. Foran acquired option in 1998.
Current drilling: 58 metres @ 2.49% Cu, 0.14% Zn, 0.017 g/t Au, 7.9 g/t Ag; 4.84 metres @ 15.1% Zn, 0.32 g/t Au, 777 g/t Ag