Murchison Minerals targeting the green energy metal ring
As the green energy revolution begins investors are becoming increasingly aware of the coming demand tsunami expected for green energy metals. One of the better ways to play this thematic is via junior miners with a diversified green metals base and potential to significantly grow their resource. One such junior offers exposure to two projects in Canada with exploration potential for copper, nickel, cobalt, silver, zinc and graphite.
The company is Murchison Minerals Ltd. (TSXV: MUR) (“Murchison”). Murchison’s two 100% owned green energy metal projects in Canada are:
- Brabant‐McKenzie zinc‐copper‐silver project (Saskatchewan)
- HPM nickel‐copper‐cobalt project (Quebec)
Brabant‐McKenzie zinc‐copper‐silver project (Saskatchewan)
The Brabant VMS project is located 175 kilometres northeast of La Ronge, Saskatchewan. The 626.9 km2 property contains a high grade zinc-copper-silver deposit and covers favorable geology, multiple mineralized showings and geophysical conductors. The property can be accessed year round by a provincial highway and is just 1 km from the provincial highway, power, and water.
The current Resource estimate is Indicated 2.1 M t @ 10.97% Zn Eq. and Inferred 7.6 M t @ 6.92% Zn Eq. The deposit outcrops at surface and the mineralization is tentatively correlated over a 1.1km strike length. The mineralization can be further defined into an upper (averages 5.3 m thick) and a lower mineralized zone (averages 6.7 m thick). The deposit remains open at depth and laterally.
Looking at the resource details below it is notable that both the zinc and copper grades would be considered medium grade; however combining the Zn, Cu, Pb, Au, Ag leads to a high zinc grade (>10%) when calculating the zinc equivalent grade. The Brabant–McKenzie Project also has significant graphite potential.
Resource estimate for the Brabant‐McKenzie zinc‐copper‐silver project
Oblique view of drill hole traces and Mineral Resource wireframes with the prospective target areas
Source: Company presentation
Murchison recently announced drilling 9.22% Zn Eq. at their newly acquired Betty Zone.
Murchison President & CEO, Jean–Charles Potvin, stated: “The Betty Zone intersections, in conjunction with the newly discovered geophysical target horizon, are an exciting development on the property. The two drill holes completed at the Betty Zone narrowly missed the primary conductor and yet still intersected mineralization – there is extremely promising potential.”
Next steps involve receiving assay results then further drilling to grow the resource. In particular, at the Betty Zone where downhole geophysics identified a 700m x 200m conductor and new drilling is planned for Q3 2021.
HPM nickel‐copper‐cobalt project (Quebec)
The Haut-Plateau de la Manicouagan (“HPM”) property is located between Baie-Comeau and Fermont, Québec, about 20 kilometres from an all-season road connecting the two communities. The property has a history of exploration notably with findings of high grade nickel-copper-cobalt sulphide mineralization.
At Barre de Fer, hole HPM-08-03, intersected 43.15 metres grading 1.74% Ni, 0.90% Co and 904 ppm Co (5.5% Cu equivalent). There are also numerous other historic drill results resulting in copper equivalent grades ranging from 1.4% to 6.6% with drill lengths up to 43.18 m.
At PYC, an EM conductor was traced for 1,400 m and a single hole drilled intersected 15.3 m @0.28% Ni, 0.14% Cu 0.06% Co (0.84% Cu equivalent). The initial deposits are open in all directions.
Murchison is currently running a VTEM airborne geophysical survey and a satellite remote sensing study with results expected out soon. A desktop compilation of the available technical data will be used to identify targets and plan a ground exploration program.
Murchison’s President & CEO, JC Potvin, commented: “The HPM project continues to show tremendous promise with its numerous gossanous nickel–copper–cobalt–bearing outcrops spatially linked to historical airborne EM anomalies. It is well–known that the prolific Voisey’s Bay Mine, some 620 km from our HPM project, was originally prospected and mapped as a pyritic gossan…”
It is still early days at the HPM Project, but based on the property’s history there looks to be good potential exploration upside with valuable metals such as nickel, copper and cobalt.
HPM Project (Barre de Fer deposit, PYC deposit) major faults, topography, mineral showings & EM conductors
Source: Company presentation
Murchison Minerals trades on a market cap of C$7.6 million. The low market cap reflects the relatively early stage of the exploration, but if either of the projects can produce some great drill results and/or grow the size and quality of the resource then the stock price should potentially move higher.
One to watch in 2021.
Matthew Bohlsen is a Senior Editor for InvestorIntel.com. With a Graduate Diploma in Applied Finance and Investment, and a Graduate Diploma in Financial Planning. He ... <Read more about Matthew Bohlsen>