Silver & PGMs Snapshot: Eight juniors to watch 

Silver remains a prime target for mineral explorers and miners, and platinum group metals (PGM) such as platinum and palladium are of increasing interest due to their use in electric vehicles and fuel cell technologies. Here is a look at eight juniors exploring for and developing silver and PGM projects. 

BRAVO MINING 

Based in Canada and Brazil, Bravo Mining (TSXV: BRVO) is focused on advancing its 100%-owned Luanga platinum group metals-gold-nickel project. The 78.1-sq.-km property lies within the Carajás mineral province of Brazil in the central-eastern region of Pará state, about 500 km south of Pará’s capital city of Belém.  

In September, Bravo reported assay results from the re-analysis of five historic drill holes on Luanga, which the company says continue to correlate closely with the original assay results in both tenor and mineralized thickness. 

Highlights from the re-analysis included PPT-LUAN-FD0014, which intersected 12 metres grading 5.42 grams palladium per tonne, 2.62 grams platinum per tonne, 0.41 gram rhodium per tonne, and 0.04 gram gold per tonne (8.49 grams PGM+gold per tonne) starting from 10 metres downhole. The interval included a shorter 2-metre section of 15.3 grams palladium, 7.51 grams platinum, 1.14 gram rhodium, and 0.08 gram gold (24.03 grams PGM+gold). 

Commenting in a Sept. 13 press release announcing the re-analysis, Luis Azevedo, Bravo’s CEO, said the company was encouraged that the results  correlated well with Vale’s historic results in both thicknesses and grades, “further increasing our confidence in the prior work completed at Luanga.” 

The company said that drilling has already started on the next drill section to the north of the high-grade nickel/copper massive sulphides intersected in a previous hole, DDH22LU047, with six drill rigs operating on the site. A surface fixed-loop transient electromagnetic survey is also expected to start shortly. 

To date, 71 drill holes have been completed, for a total of 11,770 metres (or 46% of the first phase of drilling), including five twin holes and six metallurgical holes, with assay results pending for 38 holes, including 16 historic re-assay drill holes. 

Bravo Mining has a market cap of $171.7 million. 

CANADIAN NORTH RESOURCES 

Ontario-headquartered Canadian North Resources (TSXV: CNRI) is advancing its 100%-owned Ferguson Lake base metal and PGM project in the Kivalliq region of Nunavut, about 250 km west of Rankin Inlet. 

The Ferguson Lake area covers an extension of the Yathkyed greenstone belt and totals 253.8 sq. km, including 96.9 sq. km of mining leases and 156.9 sq. km of exploration claims. The property comprises the South Discovery zone, 119 zone, West zone, West Extension zone, West South zone, Central zone, East zones I and II, the M-zone, and Anomaly 51, which lies along the over 15-km-long magmatic sulphide mineralization belt. 

In September, Canadian North released assay results for the first 28 holes (7,594 metres) of drilling on Ferguson Lake. Highlights included holes FL22-442, which intersected 31 metres grading 1.28% copper, 0.81% nickel, 0.09% cobalt, 2.02 grams palladium per tonne, and 0.29 gram platinum per tonne from 55 metres downhole; FL22-443, which returned 28.5 metres of 0.8% copper, 0.52% nickel, 0.06% cobalt, 1.38 grams palladium, and 0.19 gram platinum from 30 metres; and FL21-436, which hit 10 metres of 1.72% copper, 0.81% nickel, 0.07% cobalt, 2.07 grams palladium, and 0.23 gram platinum from 123 metres. 

The company said that drilling is part of the ongoing 2022 drill program consisting of 15,000 metres in 60 holes and is focused on expanding and upgrading mineral resources along the West and East zones of the main mineralized horizon. Of the 28 holes with returned assay results, eight holes were drilled to infill previous drilling in the West zone, with the holes confirming the continuity of known zones. Canadian North said that the results from these infill holes will be added to the dataset to improve the block model for the resource estimate and to upgrade the mineral resources. 

Ferguson Lake currently contains 24.3 million indicated tonnes grading 0.85% copper, 0.6% nickel, 0.07% cobalt, 1.38 grams palladium per tonne, and 0.23 gram platinum for 455.4 million lb. contained copper, 321.4 million lb. nickel, 37.5 million lb. cobalt, 1.1 million oz. palladium, and 180,000 oz. platinum. Inferred resources add 47.2 million tonnes grading 0.91% copper, 0.53% nickel, 0.06% cobalt, 1.4 grams palladium, and 0.25 gram platinum for 946.9 million lb. copper, 551.5 million lb. nickel, 62.4 million lb. cobalt, 2.1 million oz. palladium, and 380,000 oz. platinum. 

Canadian North Resources has a market cap of $259.2 million. 

CLEAN AIR METALS 

Clean Air Metals (TSXV: AIR; US-OTC: CLRMF) is a Canadian-based platinum and palladium explorer focused on advancing its flagship 100%-owned Thunder Bay North project, located about 50 km northeast of the city of Thunder Bay in northwestern Ontario. 

In August, Clean Air released new assay results from its 2022 drill campaign at both the Escape and Current PGM-copper-nickel deposits on Thunder Bay North.

Three metallurgical bulk sample holes were highlighted in an Aug. 25 press release announcing the results. These included CLM22-007, which intersected 19 metres grading 3.92 grams platinum per tonne, 3.9 grams palladium, 0.98% copper, and 0.56% nickel from 153 metres downhole, including 13.4 metres of 5.06 grams platinum, 5.14 grams palladium, 0.98% copper, and 0.56% nickel. Hole CLM22-008 returned 37.8 metres grading 2.91 grams platinum, 2.8 grams palladium, 0.7% copper, and 0.39% nickel from 107 metres, including 19.2 metres of 4.25 grams platinum, 4.14 grams palladium, 0.99% copper and 0.55% nickel; and CLM22-010 cut 22.6 metres of 2.33 grams platinum, 2.17 grams palladium, 0.62% copper, and 0.41% nickel from 332 metres. 

“The drilling assay results are in line with expectations for peer-leading mill head grade in the first seven years of mining at Thunder Bay North,” said Abraham Drost, Clean Air CEO, in a press release. “Considerable upside exploration potential for massive sulphides outside the [assessment] production area remains at the base of the Escape and Current magma conduits along the Escape Lake fault.”  

The company said that it is expanding its work permit footprint to accommodate a drill program on these targets this winter. In addition to metallurgical drilling, Clean Air is also conducting a 17,000-metre expansion drill program this year at Thunder Bay North and expects to release a prefeasibility study in May or June 2023, with environmental baseline fieldwork, engineering studies, and hydrogeological drilling test work all under way. 

Clean Air Metals has a market cap of $33.4 million. 

DISCOVERY SILVER 

Toronto-headquartered Discovery Silver (TSXV: DSV; US-OTC: DSVSF) is developing its Cordero silver-lead-zinc project in Mexico’s Chihuahua state, roughly 300 km southwest of Chihuahua City and 600 km from the border with the United States. According to the company, Cordero is one of the world’s largest undeveloped silver resources. 

In August, the Canadian junior reported results from metallurgical testing as part of an upcoming prefeasibility study on the property.  

Discovery Silver says that the tests were performed on several types of samples, with the highest-grade recoveries returning 94% to 98% silver, 89% to 97% lead, and 92% to 96% zinc. Medium-grade samples of blended rock types had recoveries of 83% to 92% silver, 84% to 92% lead, and 81% to 89% zinc. When oxide and sulphide samples were blended, it said that oxide-specific recoveries were 60% silver, 40% lead, and 85% zinc via flotation.  

“Our PFS metallurgical test results demonstrate the exceptional metallurgical properties of our Cordero deposit,” said Tony Makuch, the company’s interim CEO, in an Aug. 29 press release. Makuch noted that recoveries typically ranged from 85-95% at an extremely coarse grind size of roughly 210 microns. “On average recoveries came in higher than what was assumed in our PEA and were achieved at significantly reduced reagent consumption highlighting the potential for reduced operating costs for our PFS.” 

He added that the company’s first ever flotation testwork of an oxide-sulphide blend returned “very positive results,” with economic recoveries for oxide mineralization for silver, lead and zinc through flotation. “These results allow for the elimination of the heap leach circuit in our PFS; this will streamline the crushing/grinding circuit, reduce upfront capital expenditures and simplify the permitting process,” Makuch said.    

Discovery Silver has a market cap of $322.9 million. 

MAGNA MINING 

Magna Mining (TSXV: NICU) is an exploration and development company focused on nickel, copper, and PGM projects near Sudbury, Ont.  

The Canadian junior’s flagship asset is the past-producing Shakespeare mine, which is permitted for the construction of a 4,500-tonne-per-day open-pit mine, processing plant, and tailings storage facility and is surrounded by a contiguous 180-sq.-km prospective land package. The project is about 70 km south of Sudbury. 

In September, Magna announced that it had received conditional approval from the TSX Venture Exchange of its proposed acquisition of 100% of Lonmin Canada Inc., whose assets include the Denison project and the past-producing Crean Hill nickel-copper-platinum group elements (PGE) mine, both located in the Sudbury basin and about 37 km east of Shakespeare. 

Magna will pay a total of $16 million for the assets, as per a share purchase agreement between Magna, Loncan, and current Loncan shareholders — being Sibanye UK Ltd. (formerly Lonmin Ltd., and a subsidiary of Sibanye Stillwater [NYSE: SBSW]), Wallbridge Mining (TSX: WM), which holds 16.5% ownership, and certain other minority shareholders. The purchase price for the outstanding shares of Loncan includes a closing payment of $13 million in cash and a deferred payment of $3 million.  

“The Crean Hill mine was a significant producer in the Sudbury basin for more than 80 years and we believe the Denison project has potential to add tremendous value through development of the remaining historical mineral resources and additional exploration on the property,” said Jason Jessup, Magna’s CEO in an Aug. 16 press release announcing the proposed acquisition. He added that the successful closing of the transaction “will be transformative for Magna and has several potential synergies with Magna’s fully permitted, advanced stage Shakespeare project.” 

In early October, the company released results from five holes drilled at Shakespeare that expanded the West zone by 150 metres along strike and downdip of the current resource. The assays also included the project’s highest-grade combined platinum, palladium and gold grades yet, with Hole MMC-22-43 cutting 0.35 metre of 15.5 grams platinum per tonne, 1.46 grams palladium and 1.31 gram gold from 284 metres.

Magna Mining has a market cap of $21.5 million. 

NEW AGE METALS 

New Age Metals (TSXV: NAM; US-OTC: NMTLF) is a Canadian exploration and development company focused on green metals projects in North America. The company has two divisions — one for platinum group metals and one for lithium/rare earth elements. 

The British Columbia-based junior is advancing its flagship 100%-owned, district-scale River Valley palladium project in Ontario, about 100 km northeast of Sudbury. The project is considered one of the largest undeveloped primary palladium projects in North America, says New Age. 

In September, the company announced updated exploration plans for the project. It said that exploration will focus on drill targets ranked and prioritized from drill testing in the fall of 2022 and winter of 2023, with the highest-ranked for testing on the Dana South Zone-Extension target, the Dana South Zone-SET target, Pine zone, and Banshee zone. 

New Age says that a diamond drill rig has been mobilized to site and is set to begin the first phase of drilling at Dana South Zone-Extension, which was recently identified from assays from previously reported drillhole KP21-05. That hole intersected 84 metres grading 1.129 grams palladium+platinum+gold (3E) per tonne and 0.108% copper starting from 197 metres downhole, including 30 metres of 1.918 gram 3E and 0.183% copper and 18 metres of 2.373 gram 3E. 

The company plans to test the target with a five-hole, 1,550-metre drilling campaign during September, and will be completed on two cross-sections to test for presence of the higher-grade mineralization many tens of metres up-dip, down-dip and southeast along strike of the KP21-05 intersection. 

Following completion of the drill program at the Dana South Zone-Extension target, New Age says the drill rig may then be moved to the next priority ranking target, likely the nearby Dana South Zone-SET or the Pine Zone, 1 km to the north, which remains open to expansion down-dip. 

A prefeasibility study for River Valley is also ongoing, and it is expected to be released sometime this year, says the company. 

New Age Metals has a market cap of $14.4 million. 

OUTCROP SILVER & GOLD 

Outcrop Silver & Gold (TSXV: OCG; US-OTC: OCGSF) is a Canadian explorer focused on precious metals in Colombia. The company is advancing its exploration of five silver and gold projects in the historic Santa Ana high-grade silver district, including Santa Ana, Mallama, Antares, Oribella, and Argelia. 

In August, Outcrop announced that it continues to generate new exploration targets through mapping, trenching, and sampling on its 100%-owned Santa Ana high-grade silver project, with the focus of the work along the 8.5-kmlong Frias-La Ye trend south of the Aguilar vein system. 

Highlights from the sampling include three new high-quality targets generated along Frias-La Ye. In the Los Mangos target, dump and outcrop samples returned up to 9,738 and 4,545 grams silver per tonne, respectively; in La Ye, an outcrop sample yielded 5.48 grams gold and 2,141 grams silver, and an associated float sample from trenching returned 11.39 grams gold and 4,043 grams silver; in Frias, a float sample returned 29.63 grams gold and an outcrop sample returned 1,181 grams silver. Three additional targets were generated on the Aguilar, which the company says, may be the northern extension of the Frias vein system. 

“We are thrilled with the results from our comprehensive target generation program, and we are working hard to prepare even more targets to drill later in the year,” said Guillermo Hernandez, Outcrop’s vice-president of exploration, in an Aug. 23 release. 

“As we progress in our efforts to generate our first compliant resource estimation at the end of the year, we continue to advance prospects in the property, with the objective to quickly add more potential resource areas.”  

Outcrop Silver & Gold has a market cap of $32.9 million. 

REYNA SILVER 

Headquartered in Vancouver, Reyna Silver (TSXV: RSLV; US-OTC: RSNVF) has a portfolio of high-grade, district-scale silver projects in North America. These include El Duranzo, Matilde, Batopilas, La Reyna, and Guigui in Mexico; Medicine Springs in Nevada; and the Trudeau gold project in Quebec. 

In September, the Canadian junior reported high-grade silver and gold results from its late 2021 and mid-2022 surface and in-mine sampling program. The program focused on the area surrounding the Silver zone of the historic Batopilas district in Chihuahua state. Reyna says that Batopilas is believed to be one of the highest-grade silver systems in Mexico, having produced more than an estimated 300 million oz. of native silver from ores that averaged over 1,500 grams silver per tonne. 

The company said that out of nearly 1,500 samples, over 10% reported between 1.1 and 32.6 grams gold per tonne, 6% reported between 199 and 14,170 grams silver per tonne, and about 25% reported a combination of gold and silver, with 16 samples returning over 1 gram gold per tonne plus over 100 grams silver per tonne.  

These results, it said, extend several known Silver zone vein structures by 300 metres to 1,200 metres and identify three new silver and multiple new gold-silver veins in the largely unexplored East Belt. Furthermore, the geochemical results appear to indicate that there are two separate gold stages superimposed on the silver mineralization in different parts of the camp, which indicates at least three mineralization stages, and are a hallmark of large, long-lived mineralization systems, said Reyna. 

“Our results from applying modern exploration techniques into the underexplored parts of the historic Batopilas district reinforce our belief that exploration has only scratched the surface in Mexico,” Jorge Ramiro Monroy, the company’s president and CEO, said in a Sept. 13 press release. “We are very excited to see what the drill reveals next, not only in these new additions to the Silver Zone, but in the new East Belt gold zone in the eastern part of the district.” 

Reyna Silver has a market cap of $36 million.