The 100%-owned South Tally Pond project (subject to a 2% Net Smelter Royalty) is located in central Newfoundland, approximately 90 kilometres southwest of Grand Falls-Windsor and 30 kilometres south of Millertown. The project hosts the Lemarchant Cu-Pb-Zn-Ag-Au volcanogenic massive sulphide (“VMS”) deposit, along with numerous other VMS prospects and occurrences that remain to be further explored. The project area is accessible by maintained logging/hydro roads originating from paved highway at Millertown. Secondary logging roads and logging trails provide good access to various parts of the project, including truck access to the Lemarchant Deposit area. The project is located adjacent to and immediately southwest of Teck Resources recently closed (June 2015) Duck Pond Cu-Zn mine.
The Lemarchant Deposit consists of two stratiform, semi-massive to massive sulphide-barite mineralized zones with underlying footwall stringer mineralization termed the Main Zone and the Northwest Zone. The Main Zone is located approximately 120 to 210 metres below surface, dips gently to the east, and is truncated by the Lemarchant fault down dip. The Northwest Zone is located approximately 250 metres to the northwest of the Main Zone at 300 to 350 metres below surface, dips gently to the west, and is truncated by gabbroic intrusion(s) to the east and by faults to the west. The deposit remains open along strike to the north and south.
For further information on the South Tally Pond Project and Lemarchant Deposit, please refer to the attached 2018 Technical Report.