Power Ore Inc (CVE:PORE) CEO Stephen Stewart said Monday that copper will be the primary beneficiary of the economic fallout from coronavirus.
The CEO’s comments came as part of a webinar hosted by the Toronto-based company called “Copper in a COVID world," which outlined the firm’s belief in the base metal going forward.
“Copper is going to have a new use,” Stewart said in the webinar. “The next boom is going to be (thanks to things like) hospitals, doorknobs, everything -- because viruses simply don’t exist on copper.”
READ: Power Ore strikes blockbuster deal to acquire past-producing mines in Quebec
There is going to be a New Deal 2.0 that will create millions of jobs in the United States and provide a major boon for copper, Stewart said. “People need jobs and America’s infrastructure is totally crumbling. North America is looking for an opportunity to rebuild its infrastructure to be competitive with the East.”
Stewart cited major infrastructure projects already in development, including a C$5 billion program between Quebec’s provincial government and the Cree nation that falls under the massive Plan Nord project, as examples of economic drivers for the metal.
The Canadian developer’s flagship asset is the Opemiska Copper Mining Complex project located near the town of Chapais, Quebec within the prolific Chibougamau region. The project consists of two historically producing mines which were previously owned and operated by mining giant Falconbridge, then bought by Swiss firm Xstrata.
Power Ore is reinterpreting this past underground operation as a high-grade open-pit copper project. Opemiska has excellent infrastructure in place including a power station and direct access to the Canadian National Railway and Highway 113.
READ: Power Ore sells stake in Mann silver project in share deal worth $1.25M
In late February Power Ore inked a blockbuster deal to acquire two past-producing mines next to the firm’s Springer and Perry projects in Quebec.
The transaction for the Robitaille and Cooke mines, which produced copper and gold respectively, increases the Opemiska Copper Complex from 797 hectares to over 9,800 hectares.
The new land package covers nearly 12 kilometres of a key structural feature known to control regional mineralization known as the Gwillim fault, boosting the property’s exploration potential.
Just prior to announcing the expansion, the firm said it was selling its Mann mine to the Rider Investment Capital Corporation, which will become Baselode Energy once it closes the qualifying transaction on the TSX Venture Exchange. Power Ore owns 80% of Rider (Baselode) shares, 22 million of which are outstanding. Noted exploration veteran James Sykes, who helped discover the Arrow uranium deposit in Saskatchewan, will take the helm of Baselode.
The webinar is available to view on YouTube.
Contact Angela at angela@proactiveinvestors.com
Follow her on Twitter @AHarmantas
