Another company in the legendary Hunter Dickinson group has made a potentially game-changing copper-moly-silver discovery in British Columbia.
Amarc Resources (AHR.V) announced a new discovery at their IKE project located 40km northwest of the small town of Gold Bridge. Initial assays from the 9 hole (5,400 metre) drill program show a potentially substantial new copper porphyry in Canada.
"Our Amarc team has made an exciting new bulk-tonnage porphyry copper-molybdenum-silver discovery at IKE in the heartland of British Columbia's producing porphyry copper mines," said Amarc executive chairman Bob Dickinson.
Drill highlights include:
- 247 metres of 0.42% copper-equivalent (CuEq) at 0.28% copper (Cu), 0.030% molybdenum (Mo) and 2g/t silver (Ag);
- 234 metres of 0.43% CuEq at 0.26% Cu, 0.040% Mo and 1.7 g/t Ag;
- 194 metres of 0.49% CuEq at 0.30% Cu, 0.046% Mo and 0.8 g/t Ag;
- 308 metres of 0.41% CuEq at 0.26% Cu, 0.032% Mo and 1.8 g/t Ag;
"The extent, continuity and grade of the mineralization encountered indicate important potential resource volumes. It is very encouraging that long, continuous intercepts at IKE have returned copper-equivalent grades in the range of those for operating copper mines in the province," Mr. Dickinson continued.
The company says that mineralization at IKE remains open in all lateral directions and to depth. Although still in its infancy in terms of development, management believes that IKE has "the potential for important-scale resource volumes".
B.C.'s Highland Valley porphyry copper-molybdenum deposit is a good geological comparable to Ike. The company says IKE "has a similar geological setting within the interior of a felsic batholith, as well as comparable metal assemblage and grades."
Amarc has secured additional mineral claims in the IKE area to cover other targets as well as potential infrastructure sites.
Amarc shares have fallen from the 55 cent level in 2012 to the current price of 10 cents.
Last financials (June 30th) show a cash position of $4.2 million.
The Hunter Dickinson group has been fairly quiet in the past couple years but has tremendous experience with copper-gold porphyry's, being involved in a number of significant development projects, including:
- Mt. Milligan (Thompson Creek Metals)
- Kemess (AuRico Gold)
- Gibraltar (Taseko)
And others which haven't been as successful, including:
- New Prosperity (Taseko)
- Pebble (Northern Dynasty)
It is very early in the IKE project discovery but Amarc has already made several comparisons to the Mt. Milligan project in it's November presentation.
The new discovery at IKE should breathe some life into an Amarc team that has disappointed shareholders over the last several years.
"Amarc is planning an expanded drill program at IKE in 2015, with the goal of fully delineating the copper-molybdenum-silver deposit," say Mr. Dickinson.
Symbol: AHR.V
Share price: $0.10
Shares outstanding: 138.82 million
Market cap: $13.8 million
I have no position in any of the stocks mentioned. This is not investment advice. As always please do your own due diligence.