- Targeting discovery stage, district-scale opportunities
- Alaska is consistently ranked a top tier mining jurisdiction
- Management has track record of value creation
What Tectonic Metals does:
The team behind Kaminak Gold’s C$520 million sale are together again at explorer Tectonic Metals Inc (CVE:TECT), which went public last year and has a portfolio of assets poised for discovery.
Founder Eira Thomas and CEO Tony Reda, both former executives at Kaminak, helped to spearhead the development of Kaminak's Coffee gold project in Yukon before the company was bought in 2016 by Goldcorp - now Newmont Goldcorp.
Having combined forces with Tectonic’s founder Curtis Freeman, the firm is confident its package of assets in Alaska’s prolific Tintina gold belt have the same potential to uncover a new gold deposit that will attract major attention.
The jewel of Tectonic’s crown is the Tibbs project, which lies 35 kilometres (km) from the world-class Pogo mine in the Goodpaster mining district, and where only half the property has been explored. There are 21 gold targets currently known about.
Highlights of the historic drill results include 57.1 grams per ton gold over 1.5 metres and 31.4 grams per ton over 0.3 metres and the high-grade gold hit in historical shallow drilling is now being reinterpreted by Tectonic and is being drilled out.
The firm also boasts the Seventymile and Northway projects, the latter of which lies near Royal Gold’s Peak Gold project, currently valued at nearly US$400 million pre-tax with an internal rate of return of 37%, according to a 2018 prefeasibility study.
Both projects are under partnership with Doyon Limited, which is a huge Alaska Native regional corporation with 12.5 million acres of land and a long history of mineral agreements with junior and senior companies. Doyon is also the group's largest shareholder with an around 22% stake.
Seventymile is a 40km-long gold belt that lies in a newer gold district near the Alaska-Yukon border where Tectonic hopes a geoprobe drill program will generate new drill targets.
How is it doing:
On June 2 this year, Tectonic closed an oversubscribed C$4.9 million financing to advance exploration at the Tibbs and Seventymile properties.
That came just days after the group revealed that it had expanded its ground in Alaska, staking 74 claims, for 4,800 hectares, known as the Maple Leaf property, which lies within the prolific Goodpaster mining district about 15km from Tibbs.
The firm also acquired a comprehensive data set that contains non-public data about the property and the greater Goodpaster district from Rubicon Minerals (TSE:RMX).
The latter explored the area as part of a giant $3 million multiphase exploration program 2007 and Tectonic said this "robust and reliable" data will allow it to fast-track work at Maple Leaf and refine the company's understanding of the geology.
At the Tibbs project, last year, Tectonic carried out its first-ever drill program at the Michigan zone and hit 6.03 grams per ton of gold over 28.95 metres at an area now named the M1 Structure. It was one of the "strongest" results to come out of the Goodpaster mining district in years, the firm said.
In December last year, the firm posted results from the RAB (rotary air blast) drill program on the Northway project, which found anomalous gold values in all eight of the shallow holes.
The 40km long Northway project is bisected by the Alaska Highway on 184,000 acres of land leased from Doyon and Tectonic said it would continue to interpret the results and the larger regional picture over the coming months to determine the next steps for 2020.
- Drill results from Tibbs and Seventymile projects
- Acquisition of more ground
- Gold price moves
What the boss says:
Following the Maple Leaf property news, on June 30, Tectonic's vice-president of exploration Eric Buitenhuis spoke to Proactive and explained the strategic rationale behind acquiring the new ground.
"With the success we had last summer at Tibbs, we knew that there was some obvious potential for intrusion-hosted mineralization and Maple Leaf being on trend with the same structure that hosts Tibbs as well as Northern Star's Brink property to the south, we think it's been underexplored and needs another look," he said.
Buitenhuis said the benefit of having all the 2007 historic data would enable the firm to advance the project more quickly and interpret the data itself without having to go back and take stream sediment and soil samples.
"We already know there's a mineral prospect here," he added.