ANNUAL REPORT 2014 ON NORDIC MINING’S MINERAL DEPOSITS;
EXPLORATION RESULTS, MINERAL RESOURCES AND MINERAL
RESERVES
Introduction
The Nordic Mining ASA Group's (“Nordic Mining” or “the Group”) operations currently
comprise the following main subsidiaries with its respective mineral projects:
1.
Nordic Rutile AS (100%): Engebø rutile deposit (titanium dioxide) in Naustdal
municipality in Norway
2.
Nordic Quartz AS (100%): Kvinnherad quartz deposit (quartz) in Kvinnherad
municipality in Norway
3.
Nordic Mining ASA (100%): Exploration project (nickel, copper, cobalt and
palladium-platinum-gold) at Reinfjord on the Øksfjord peninsula in Kvænangen
municipality in Norway
In addition, Nordic Mining has a shareholding of approximately 25% in Keliber Oy
(“Keliber”). The investment in Keliber is classified as shares in an associated company.
Keliber has several spodumene pegmatite deposits (lithium) in the Ostrobothnia region in
Finland. Keliber’s mineral deposits are described in section 4.
Nordic Mining also holds other exploration rights not included in the abovementioned main
mineral projects; ref. section 5.
This report (the "Report") sets out the details of the Group's and Keliber’s exploration
results/prospects, mineral resources and, where applicable, ore reserves in connection to
its mineral projects.
The Report is updated per 8 October 2014. On an annual basis, Nordic Mining issues an
updated report on its mineral projects. Reports/sources of information referred in this
Report related to the Group’s mineral projects are available at Nordic Mining’s webpage
www.nordicmining.com. Information regarding Keliber’s lithium prospects is available at
Keliber’s webpage www.keliber.fi.
In section 1 (Nordic Rutile AS - Engebø rutile deposit in Norway) and section 4 (Keliber Oy lithium in the Ostrobothnia region in Finland) the classification of mineral deposits is based
on the JORC Code reporting standard. The JORC Code differentiates between three different
resource classes: Measured, Indicated and Inferred, depending on the level of geological
knowledge and confidence. A mineral deposit may also be classified into Proven and
Probable ore reserve categories based on considerations of so called “modifying factors”
such as mining, market, economy and environment.
The figure below gives an overview of the JORC Code classification system and the relation
between exploration results, mineral resources and ore reserves.
1
The JORC Code 2012 took effect from 1 December 2013, with exception of the
requirements for a study at the Pre-Feasibility or Feasibility level to be completed in order
to declare an Ore Reserve which do not come into effect until 1 December 2014. For more
information see http://www.jorc.org/docs/jorc_code2012.pdf.
Going forward, Nordic Mining and Keliber will report in accordance with the JORC Code
2012.
Results or estimates that were prepared in accordance with the JORC Code 2004 and
reported before the 2012 Code took effect will, in accordance with the transitional
provisions for the 2012 Code, be referred unchanged unless it is established that there has
been material changes in those results or estimates. This applies to the information in
sections 1 and 4.
Please note that estimates described in sections 2 and 3 of this Report are not in
accordance with the JORC Code.
1.
Nordic Rutile AS - Engebø rutile deposit
1.1
General
In September 2006, Nordic Mining acquired 100% of ConocoPhillips Investments Norge AS’
interest in a rutile deposit at Engebø in Naustdal municipality in Sogn og Fjordane county in
Norway. The Engebø rutile deposit is recognised internationally as a significant deposit
containing approximately 4% of hard-rock rutile. The ore is a large eclogite body stretching
2.5 km across the Engebø mountain.
Nordic Mining's wholly owned subsidiary Nordic Rutile AS holds the following Extraction
Permits for the Engebø deposit:
2
Identifiation number
Extraction Permit no. FU-1/1997-VB
Extraction Permit no. FU-2/1997 VB
Extraction Permit no. FU-3/1997 VB
Extraction Permit no. FU-4/1997 VB
Extraction Permit no. FU-5/1997 VB
Extraction Permit no. FU-6/1997 VB
Extraction Permit no. FU-7/1997 VB
Extraction Permit no. FU-8/1997 VB
Extraction Permit no. FU-9/1997 VB
Name of area
Engebøfjellet 1
Engebøfjellet 2
Engebøfjellet 3
Engebøfjellet 4
Engebøfjellet 5
Engebøfjellet 6
Engebøfjellet 7
Engebøfjellet 8
Engebøfjellet 9
Duration
(extensions can be granted)
23 October 2017
23 October 2017
23 October 2017
23 October 2017
23 October 2017
23 October 2017
23 October 2017
23 October 2017
23 October 2017
The Group’s preliminary mine plan for the Engebø deposit is 10 - 15 years of open pit
mining followed by approximately 35 years of underground mining, producing
approximately 100,000 tonnes of rutile concentrate (TiO2) annually. In addition,
approximately 100,000 tonnes per year of garnet concentrate will be produced as a byproduct.
The rutile concentrate produced from Engebø can serve as feedstock for pigment
production and as feedstock for production of titanium metal. The development of the
Engebø rutile deposit will establish Nordic Mining as a major long-term feedstock supplier
both for the pigment industry and for production of titanium metal.
A high-quality garnet concentrate can be produced as a by-product suitable for applications
such as abrasives and for water-jet cutting purposes. In addition, Nordic Mining is exploring
potential applications for various products from eclogite waste rock and tailings.
The Engebø project is in a pre-commercial stage of development, and Nordic Mining awaits
the final permitting from the Norwegian Ministry of Local Government and Modernisation
related to the industrial area plan, and from the Ministry of Climate and Environment with
regard to the application for waste disposal.
In March 2013, the Ministry of Climate and Environment requested supplementary
information for its final consideration of the permits. The request was related to e.g. water
circulation and particle distribution from the planned sea disposal of tailings, biological
investigations, technical solution for the mineral residue disposal, supply of fresh water etc.
Nordic Mining has since summer 2013 worked intensively to provide the requested
supplementary information. DNV GL has coordinated a 12 months measuring program of
currents and hydrographical parameters in the Førdefjord. Together with SINTEF, DNV GL
has developed a fjord circulation model and a model for simulation of the planned tailings
disposal. Further, DNV GL has carried out ROV surveying of the fjord bottom to investigate
possible rare biological species.
On 30 September 2014, the requested supplementary information was submitted to the
Ministry of Climate and Environment and the Ministry of Local Government and
Modernisation. Nordic Mining expects that the authorities will have a coordinated and
efficient decision process related to the industrial area plan and the waste disposal permit.
Nordic Mining has confidence in the material parameters of the Engebø project, including
the submitted supplementary information, and believes that the documentation provides a
solid base for decision of the subject permits.
No investment commitment has been undertaken and no operational activity has been
started.
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1.2
Preliminary mineral deposit estimate
The Engebø deposit was recognised as a potential rutile deposit in the 1970s. During 1995
to 1997, a large drilling campaign carried out by DuPont documented a deposit estimated
to 383 million tonnes of eclogite ore with an average content of 3.96% titanium dioxide. All
together 15,000 meters of drillcores where drilled from the Engebø mountain and more
than 50,000 analysis were made. The cores are kept at the Norwegian Geological Survey’s
(“NGU”) drillcore storage at Løkken in Sør-Trøndelag county.
In 2009, Nordic Mining commenced a revaluation of the extensive DuPont dataset to make
estimations in accordance with the JORC Code 2004. The estimation was carried out by an
independent Qualified Person (“QP”). The JORC Code requires a certain quality of
information including drilling density for ore to be included and classified as a resource. As
the criteria for the JORC Code resource estimation are stricter and require more detailed
information from core drilling and analysis, the current resource estimates in accordance
with the JORC Code are lower than the historical estimate from the previous owner.
A preliminary resource estimates in accordance with the JORC Code 2004 was published in
a Scoping Study in 2009. The study was executed by QP Adam Wheeler (geologist) and
mining engineer Bob Dowdell. There has been no material change in the results or
estimates subsequent to the Scoping Study.
The table below summarises the preliminary resource estimation of the Engebø rutile
deposit in accordance with the JORC Code 2004 as presented in the Scoping Study:
Resource class
(JORC)
Indicated
Inferred
Resource
(million tonnes)
31.7
122.6
Grade (% TiO2 @ 3% cutoff)
3.77
3.75
Source: Scoping Study on Engebø by QP Adam Wheeler (geologist) and mining engineer Bob Dowdell. The Scoping
Study is available at:
http://www.engeboprosjektet.no/getfile.php/Filer/Operations/Engeb%C3%B8%20in%20english%20%20prospekt/Wheeler_and_Dowdell-08.11_Scoping_Study.pdf
Subject permits are granted for the project; Nordic Mining will execute additional drilling on
the Engebø deposit with the purpose to delineate, increase and upgrade the resource base.
New estimations for the Engebø deposit will be made in accordance with the prevailing
JORC Code.
1.3
Exploration results in 2014
No resource mapping or drilling has been carried out on the Engebø deposit in 2013 and
2014 year-to-date.
2.
Nordic Quartz AS - Kvinnherad quartz deposit
2.1
General
Nordic Mining has entered into agreements with landowners and secured exclusive rights
for investigation and development of a quartz deposit in Kvinnherad municipality in
Hordaland county in Norway. The quartz deposit is an approximately 600 meter long
hydrothermal quartz vein.
4
The Kvinnherad quartz project is developed through Nordic Quartz AS, a wholly owned
subsidiary of Nordic Mining. No investment commitment has been undertaken and no
operational activity has been started for this project.
Analysis show the quartz from the Kvinnherad deposit is of very high purity. Advanced
processing tests show that the impurity level can be reduced by physical and chemical
processing to a level of the best products in the market, comparable with the Iota 4 and
Iota 6 high-purity quartz (“HPQ”) products.
HPQ is quartz which is extremely pure, with very low level of contaminating elements such
as alkalis, iron and heavy metals. HPQ is used in various high-tech applications. There is a
growing demand for HPQ in industry applications such as semiconductors,
telecommunication, optics, electronics and solar silicon. The HPQ world market is currently
limited in volume, but with high value.
The Kvinnherad deposit consists of hydrothermal quartz situated in Proterozoic basement
rocks south of the Hardanger Fault Zone. The quartz vein is exposed on the surface and
detailed mapping was carried out in 2011. The quartz vein is about 600 meter long and on
average 12 -15 meters wide. A cross-cutting of the hillside shows that the deposit in parts
extends to at least 100 meters depth.
A magnetic survey was carried out by Geovista AB in 2012 to get a better confidence for
the size and geometry of the vein. The geophysical data indicated a continuation of the vein
to at least 150 meters depth confirming and increasing the depth observations from the
geological mapping. A further extension of the vein down to 300 meters and a possible
horizontal extension towards the south east are also indicated in the geophysical data.
Removal of vegetation and more detailed mapping is needed to confirm possible wider
parts and drilling must be carried out to prove the depth.
Nordic Mining has carried out comprehensive analysis and an advanced processing test
program at Dorfner Anzaplan’s laboratory in Germany. A suitable processing route for the
quartz has been developed. To confirm that high quality products could be obtained from a
larger part of the deposit three samples of 250 to 500 kg, in addition to an existing 1,000
kg sample, have been blasted from different locations across the vein. Homogeneity of the
quartz has been confirmed by processing of all the samples to high quality products both in
terms of impurity levels and glass qualities.
An independent preliminary evaluation (“Scoping Study”) was carried out by Dorfner
Anzaplan for the Quartz Project in 2012. The Scoping Study described the status for
development of the deposit including a review of previous work and studies (e.g.
exploration, geology, deposit size, processing etc.), proposal of a mining and processing
method for the quartz and a preliminary economic analysis for the project. The Scoping
Study gave principal recommendations and described various risk factors to be considered
in the project development going forward.
The Scoping study estimated a preliminary size of the deposit of 3.45 million tonnes of
quartz down to 150 meters depth. The estimate was based on geological mapping and
geophysical results and is not in accordance with the JORC Code. No drilling of the deposit
has been done so far. Drilling will be a necessary next step to confirm deposit size and
quality.
The Scoping Study indicated an initial mine life of more than 40 years based on mining
down to about 100 meters depth and production of 5,000 tonnes of high purity quartz
concentrate per year. The Scoping Study estimated a preliminary after tax NPV of USD 60
million using 8% WACC based on a 30 years project period.
5
Additional information about the Kvinnherad quartz project including the report from the
geophysical survey and the Scoping Study is available on Nordic Mining’s webpage:
http://www.nordicmining.com/kvinnherad-quartz/category276.html
2.2
Exploration results in 2014
No resource mapping or drilling has been carried out on the Kvinnherad deposit in 2013
and 2014 year-to-date.
3.
Nordic Mining ASA - Reinfjord exploration project (100%) for nickel,
copper, cobalt and palladium-platinum-gold
3.1
General
Nordic Mining holds the Exploration Rights number 0125-0127/2011 named “Reinfjord” for
nickel (“Ni”), copper (“Cu”), cobalt (“Co”) and platinum group elements (“PGE”) in
Kvænangen municipality in Troms county in Norway. The Exploration Rights are valid until
28 February 2018 and can upon application be extended for three more years. The
exploration area is located approximately 5 km from the seaside and the populated area of
Reinfjord, at an altitude of approximately 600 meters above sea level.
Nordic Mining is prospecting for sulphide mineralisation within the area that is hosted by an
ultramafic intrusion, “The Reinfjord Intrusion”. The intrusion has specific characteristics in
terms of ore-forming processes and share geological features with large ore-forming
provinces such as “Bushveld” in South Africa.
Nordic Mining’s prospecting model is that a high-grade base and precious metals deposit is
located within the depths of the central part of the intrusion related to wall rock
contamination and magma replenishment. Geophysical surveys in the area have detected a
large electromagnetic anomaly centrally placed in the intrusion at approximately 100
meters depth. Drilling of two holes in 2012 revealed mineralisation of Ni, Cu, Co and PGE at
about the same depth as the interpreted conductor.
The Øksfjord exploration project is in an early, pre-commercial phase. No mineral deposit
estimates have so far been made. No investment commitment has been undertaken and no
operational activity has been started.
Nordic Mining carried out fieldwork, surface sampling and airborne geophysical surveys
within the Reinfjord Intrusion in 2011. The airborne geophysical survey (electromagnetic
and magnetic measurements) was carried out by the Danish company SkyTem.
An expert review of the SkyTem data by Revelation Geosciences, USA, revealed two
conductive bodies side by side in the Reinfjord Intrusion. Conductivity may indicate metals
contained in the ground and electromagnetic surveys are widely used in prospecting for
base and precious metals.
In early 2012, a ground electromagnetic survey was completed to get a more detailed
picture of the conductors discovered by airborne geophysics. The survey was carried out by
Geovista AB and confirmed a sizeable conductor in Reinfjord at approximate depth of 100
meters. Exploration drilling of two drill holes was carried out in May 2012 to investigate
whether the conductor was related to a mineralisation containing economic metals. This
drilling lead to the discovery of Ni, Cu, Co, PGE and gold (“Au”) enriched sulphide
mineralisation between 86 and 116 meters fitting well with the interpreted conductors.
Two drill holes were drilled to a depth of 243 (RF-1) and 169 (RF-2) meters, respectively.
Drill hole RF-1 intersected a Ni-Cu enriched zone underlain by a more PGE-Au enriched
6
zone. The table below shows the average metal content for the two intersected mineralised
zones in drill hole RF-1:
Hole ID
From
To Meters Nickel Copper Cobalt Gold Palladium Platinum PGE+Au Sulphur
(m)
(m)
(m)
%
%
%
g/t
g/t
g/t
g/t
%
RF-1
86
93
7
0.38
0.12
0.02 0.03
0.03
0.03
0.09
0.61
RF-1*
107.75 117
9.25
0.27
0.06
0.02 0.07
0.20
0.15
0.42
0.58
*including 107.75 113
5.25
0.24
0.05
0.01 0.10
0.31
0.23
0.64
0.41
Drill hole RF-2 showed a more complex lithology with cross-cutting younger intrusive
phases. Disseminated sulphides were found especially between 94 and 116 meters. The
table below shows the average metal content for the mineralised zone in drill hole RF-2:
Hole ID From
(m)
RF-2
94
To
(m)
116
Lenght Nickel Copper
(m)
%
%
22
0.29
0.05
Cobalt
%
Gold
g/t
Palladium
g/t
Platinum
g/t
0.02
0.02
0.02
0.02
PGE+Au Sulphur
g/t
%
0.06
0.36
Additional information about the Reinfjord exploration project and complete drill hole
assays are available on: http://www.nordicmining.com/new-nickel-copper-and-platinum-group-elementdiscoveries-in-north-norway/category139.html
3.2
Exploration results in 2014
In March 2014, a research program coordinated by NTNU, and where Nordic Mining is a
partner, was granted NOK 2 million from NordMin for further exploration in the Reinfjord
area. NordMin is a research network funded by the Nordic Council of Ministers.
A team of Norwegian and Danish geologists has carried out field-mapping studies in the
Reinfjord area in August 2014. Exploration drilling of two new boreholes is planned for
execution in October 2014.
4.
Keliber Oy - Lithium in the Ostrobothnia region in Finland
4.1
General
Nordic Mining’s associated company Keliber has a lithium project located in the Kokkola and
Kaustinen municipalities in the Ostrobothnia region of Finland. Nordic Mining holds
approximately 25.0% of the shares in Keliber.
Keliber has rights to deposits of lithium bearing spodumene mineral at Länttä, Outovesi,
Syväjärvi, Leviäkangas and Rapasaari. Further, the company has exploration rights and
reservation for exploration rights in other areas in the Ostrobothnia region. The mineral
deposits and the exploration areas are located close to roads, electricity grid and other
infrastructure. The distance to the city of Kokkola with high-quality harbor facilities is
around 50 km.
Keliber’s lithium project includes plans for building of a new beneficiation and processing
plant at Kalavesi which is located within a 10 - 20 km distance from the various prospective
lithium deposits. The process plant will consist of an ore dressing plant and an advanced
process plant for direct production of high-purity lithium carbonate. The planned capacity is
approximately 6,000 tonnes of lithium carbonate per year.
7
Lithium carbonate has various application areas, e.g. in batteries, fuel cells, glass industry,
aluminum production and iron coating. Over the last years, the rechargeable battery
segment has had the highest growth. Lithium-based batteries have higher energy density
and lighter weight than i.a. nickel-cadmium and nickel-metal hydride batteries.
Keliber is in a pre-commercial stage of development awaiting verification of additional
mineable lithium deposits resulting from further exploration and drilling in order to prove
that the project is economically feasible. No investment commitment has been undertaken
and no operational activity has been started.
Keliber is currently undertaking a comprehensive environmental impact assessment (“EIA”)
for 5 of its most prospective mineral deposit areas; Länttä, Outovesi, Syväjärvi,
Leviäkangas and Rapasaari in accordance with Finnish laws and regulations. Expected
completion of the studies is around year-end 2014 or early 2015. Subsequent to the EIA
environmental applications for the subject areas will be submitted to the environmental
authorities, tentatively mid-2015.
4.2
Preliminary mineral resources and ore reserves
Two experienced representatives from Outotec (Finland) Oy have been engaged to make
independent classifications of the deposits in Länttä, Outovesi, Syväjärvi and Leviäkangas.
The estimates have been made in accordance with the JORC Code 2004 by Markku
Meriläinen (geologist) and Pekka Lovén (mining engineer). Both are Competent Persons
(“QP”) registered with the Australasian Institute of Mining and Metallurgy (“AusIMM”) and
have long experience in the mining industry.
Keliber holds a mining concession for the Länttä lithium deposit, concession number
7025/1a. The mining concession comprises in total 37.5 hectares in the Länttä mining
district in the municipality of Kokkola. According to the mining concession, mining
operations must be initiated by 23 May 2016. Extensions may be granted. The concession
is maintained and valid in accordance with the general provision of the Finnish Mining Act.
Keliber has environmental permits for the Länttä deposit and its planned processing plant
at Kalavesi in Kaustinen municipality.
In 2012, Keliber acquired the Syväjärvi and Leviäkangas deposits from the Finnish
government. The deposits have previously been investigated by the Geological Survey of
Finland (“GTK”). In total, about 9,400 meters have been drilled in the two deposits by GTK.
From the acquisition, Keliber received the GTK exploration data, including mapping data
and related chemical assays, geological maps, drill core logs and assays and local
geophysical data.
At Syväjärvi Keliber holds four exploration rights based on applications currently in the
process with the mining authority of Finland with code numbers ML2011:0077, 9065/1,
9068/ and 9143/1. The exploration rights comprise in total approximately 315 hectares.
One of the exploration rights is in the process of registration in Keliber’s name. Two of the
exploration rights have been appealed by the Centre for Economic Development, Transport
and the Environment due to environmental concerns.
Keliber holds four exploration rights for the Leviäkangas lithium deposit, with code numbers
8390/1, 9144/1, 9144/2 and 9144/3. The exploration rights comprise in total
approximately 342 hectares. Leviäkangas is still in an early exploration phase and the
current preliminary resource estimate will be updated when new information is available.
In February 2014, Keliber was informed that the Finnish government had accepted the
company’s offer to acquire the Rapasaari deposit which has previously been investigated by
GTK. Completion of the acquisition of the Rapasaari deposit is ongoing.
8
A drilling campaign was executed at Rapasaari in the period March – July 2014. A
preliminary resource estimate in accordance with the JORC Code 2012 is expected in the
fall 2014.
In the following, a summary of the QPs’ preliminary resource estimation is given for each of
the abovementioned deposits:
4.2.1 Länttä
The QPs’ preliminary estimation in accordance with the JORC Code 2004 regarding Länttä is
shown in the table below:
Resources
Reserves
(JORC)
(JORC)
Res. Class
Tonnes
Li2O%
Res. class
Measured
433 000
1.12
Proven
Indicated
868 000
1.06
Probable
Total
1 301 000
1.08
Total
Source: Expert opinion by QPs Markku Meriläinen and Pekka Lovén
Tonnes
472 000
513 000
985 000
Li2O%
0.98
0.96
0.97
Note: Resources are not additional to reserves.
Cut-off grade in the estimates is 0.5% Li2O. Ore reserve tonnage and grade include 95%
mining recovery and 15% waste rock dilution at 0% Li2O grade. The estimated maximum
open pit extends to a bedrock depth of 120 meters with a waste/ore ratio of 6.9. In future
mine planning optimisation, a combination of open pit and underground mining will be
considered to find the most economical mining method.
Over the years, approximately 8,800 meters have been drilled at Länttä.
4.2.2 Outovesi
The QPs’ preliminary estimation in accordance with the JORC Code 2004 regarding Outovesi
is shown in the table below:
Resources
Reserves
(JORC)
(JORC)
Res. class
Tonnes
Li2O%
Res. class
Indicated
289 400
1.49
Probable
Total
289 400
1.49
Total
Source: Expert opinion by QPs Markku Meriläinen and Pekka Lovén
Tonnes
277 000
277 000
Li2O%
1.17
1.17
Note: Resources are not additional to reserves.
The estimates are based on the same cut-off grade, mining recovery and waste rock
dilution as for Länttä. The vertical depth of the estimated open pit is 60 meters.
Over the years, approximately 2,600 meters have been drilled at Outovesi.
9
4.2.3 Leviäkangas
In 2012 and 2013, Keliber has drilled around 30 holes at Leviäkangas to a total length of
approximately 2,100 meters. Over the years, approximately 7,600 meters have been
drilled at Leviäkangas. The spodumene pegmatite veins in the area follow different
structural directions and, most likely, not all of them have so far been detected. The main
vein is striking to north-northwest and dipping 50 - 60˚ to the west. The length of the vein
is approximately 200 meters and the maximum true thickness is about 10 meters. So far
this vein is the only vein where the drilling density qualifies for estimation of an indicated
resource. The spodumene in the pegmatite is light greenish in colour.
The QPs’ preliminary estimation in accordance with the JORC Code 2004 regarding
Leviäkangas is shown in the table below:
Resources
(JORC)
Res. Class
Tonnes
Li2O%
Indicated
190 000
1.13
Total
190 000
1.13
Source: Expert opinion by QPs Markku Meriläinen and Pekka Lovén
The cut-off grade of the estimate is 0.5% Li2O. Reserves have not been estimated.
4.2.4 Syväjärvi
In November/December 2013, Keliber drilled around 50 holes at Syväjärvi to a total length
of approximately 3,700 meters. Over the years, approximately 8,100 meters have been
drilled at Syväjärvi. Spodumene pegmatite is partly outcropping under the shallow lake
Syväjärvi. The pegmatite is structurally quite simple, flat lying plunging to the north with
some smaller parallel and probably also non-parallel veins. The pegmatite is partly parallel
to the host rock bedding, and partly cutting that. The spodumene in the pegmatite is light
greenish in colour and a typical length of the crystals is 3 – 8 cm.
The QPs’ preliminary estimation in accordance with the JORC Code 2004 regarding
Syväjärvi is shown in the table below:
Resources
Reserves
(JORC)
(JORC)
Res. class
Tonnes
Li2O%
Res. class
Indicated
1 550 000
1.23
Probable
Total
1 550 000
1.23
Total
Source: Expert opinion by QPs Markku Meriläinen and Pekka Lovén
Tonnes
1 390 000
1 390 000
Li2O%
1.08
1.08
Note: Resources are not additional to reserves.
Cut-off grade in the estimates is 0.5% Li2O. Ore reserve tonnage and grade include 86%
mining recovery and 15% waste rock dilution at 0% Li2O grade. The estimated maximum
open pit extends to a bedrock depth of about 80 meters with a waste/ore ratio of 3.9.
Keliber is currently undertaking re-analysis of drill cores from Syväjärvi. The new
information is expected to have a positive impact on the resource estimate. However, the
new information is likely to represent a “material change” compared to the previous
information, and thus an ore reserve estimate may not be applicable until a pre-feasibility
study has been completed; ref. Introduction above regarding the JORC Code 2012.
10
4.3
Exploration results in 2014
In 2014, Keliber has executed a drilling program to investigate the Rapasaari deposit. A
preliminary resource estimate in accordance with the JORC Code 2012 is expected in the
fall 2014.
5.
Nordic Mining ASA - Other Exploration Rights
Nordic Mining has additional Exploration Rights which are not comprised in the
abovementioned main mineral projects. The additional Rights are in Norway.
Nordic Mining has not executed exploration work in any of the additional Exploration Rights
areas in 2013 and 2014 year-to-date.
Nordic Mining has the following additional Exploration Rights which are for nickel, copper,
cobalt and PGE:
Claim Name
Lokkarfjord
Stortinden Øksfjord
Right number
0803-0805/2009
0280-0281-1/2013
County
Finnmark
Finnmark
Duration
30.11.2016
02.01.2021
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