Abitibi Metals releases resource update for Quebec polymetallic project

Abitibi Metals Corp. [AMQ-CSE, AMQFF-OTC, 4KG-FSE) has announced an updated resource estimate and maiden resource for the B26 Polymetallic Copper Deposit in southwestern Quebec.

The company said indicated resources have increased by 62% from an earlier estimate to 11.3 million tonnes from 6.9 million tonnes. It said indicated resources now grade 1.23% copper, 1.27% zinc, 0.46 g/t gold, 31.9 g/t silver or 2.13% copper equivalent (CuEq). That amounts to 307.9 million pounds of copper, 316.9 million pounds of zinc, 168,200 ounces of gold and 11.6 million ounces of silver or 532.3 million pounds of CuEq.

The company also said inferred resources have increased by 63% to 7.2 million tonnes from 4.4 million tonnes. It said inferred resources now grade 1.56% copper, 0.17% zinc, 0.87 g/t gold and 7.4 g/t silver or 2.21% CuEq. That amounts to 246 million pounds of copper, 27.3 million pounds of zinc, 200,800 ounces of gold and 1.7 million ounces of silver, or 348.8 million pounds of CuEq.

“We are excited to announce this significant resource update, achieved after just one year of focused exploration at the B26 Polymetallic Deposit,’’ said Abitibi CEO Jonathon Deluce. “We believe we are only at the beginning of defining a much larger resource at B26 and will continue to expand it through ongoing drilling, with a goal of unlocking its full value for our shareholders and stakeholders,’’ he said.

Trading in Abitibi Metals was set to resume Thursday. The shares closed at 26.6 cents on November 14, 2024, and trade in a 52-week range of 68.8 cents and 14.5 cents.

Back in November, 2023, Abitibi secured the option to earn an 80% interest in the B26 Deposit from SOQUEM Inc., a subsidiary of Investissement Quebec. Abitibi described the project as one of the most promising mineral discoveries in Quebec, with a current strike length of 1.0 kilometre and depth extent of 0.8 kilometres, open for expansion.

The company said it is fully funded with $13 million to complete the remaining 2024 Phase 2.0 work program and an additional 20,000 metres of diamond drilling in 2025, which will be incorporated into a preliminary economic assessment (PEA) to complete the option.

Meanwhile, the B26 Polymetallic Deposit remains open at depth and laterally. The ongoing 16,500-metre Phase 2.0 drill program has not been included in this resource update and initial results will be announced next week.

The B26 project covers 3,327 hectares and is located 5.0 kilometres south of the Selbaie mine and about 90 kilometres due west of Matagami.

“Following an in-depth evaluation of both open-pit and underground scenarios for the B26 Deposit, we are currently seeing greater value in pursuing an underground-only model,’’ Deluce said. “However, we continue to see strong merit in the open-pit potential, particularly given the promising lower-grade, near surface halo,’’ he said. “We plan to conduct further work to better understand and outline this zone, which could enhance the resource’s versatility and add significant optionality in the future.”