Projects

Werner Lake Cobalt Project — Ontario, Canada

Location

Kenora, Ontario, Canada

Resource Estimate

Indicated: 57.9kt @ 0.51% Co & 0.25% Cu at a 0.25% Co Cut-off for 653,000 lbs of Contained Cobalt

Inferred: 6.3t @ 0.48% Co & 0.14% Cu at a 0.25% Co Cut-off for 67,000 lbs of Contained Cobalt

Highlights

Growth-stage primary cobalt exploration project in Canada, with excellent potential for additional cobalt mineralisation throughout GEMC’s extensive land package.

Mineralisation remains open at depth and along strike with the potential for undiscovered high grade zones.

Metallurgical studies have shown that excellent cobalt recoveries can be yielded from a standard flotation mill process followed by a low-pressure oxidative hydrometallurgical leach (net recovery 88%), to produce a cobalt carbonate end product.

Project Status

Updated NI 43-101 Resource Report issued May 11, 2018.

Infill and expansion diamon drilling completed 2018/2019:

• Confirmed high grade cobalt mineralisation intersected in numerous drill holes during previous diamond drilling programs.

• Provided additional structural and geotechnical data for ongoing project development studies.

• Increased pierce points within the current block model to enhance the current mineral resource.

• Regained an understanding of the geological controls on mineralisation and advance interpretive theories from the detailed work in the mid 1990’s.

Ownership

Global Energy Metals holds 70% of the project.

Please refer to the Company’s news release dated May 11, 2018 for the updated Technical Report entitled Amended NI 43-101 Resource Estimate for Werner Lake Cobalt Project, Werner Lake, Ontario Canada or visit the corporate SEDAR page at www.sedar.com. Please see links below for all Werner related news announcements made by the Company.

Ownership

The current ownership of the Werner Lake Cobalt Project is GEMC holding 70% and Marquee Resources (ASX:MQR) holding 30%. 

Recent Work

Marquee extensively tested the exploration potential at the Werner Lake project over the last two years and made significant expenditure in advancing the project to where it stands today. The work completed further confirmed the potential for significant exploration and potential future production at the past producing primary cobalt project.

Marquee’s work program of roughly AUD $2 million in project expenditures over the past two years successfully achieved its objectives outlined below, and additionally, identified new areas of mineralisation that open the deposit along strike and at depth.  Amongst other items the program completed the following:

Confirmed high grade cobalt mineralisation intersected in numerous drill holes during previous diamond drilling programs.

• Provided additional structural and geotechnical data for ongoing project development studies.

• Increased pierce points within the current block model to enhance the current mineral resource.

• Regained an understanding of the geological controls on mineralisation and advance interpretive theories from the detailed work in the mid 1990’s.

The Phase 1 exploration campaign at Werner Lake was primarily focused on narrow spaced drilling, which has been designed to increase the existing resource, which remains open in all directions.  

Phase 2 drilling was intended to extend mineralisation beneath the current resource area and test potential down dip and down plunge extensions to the mineralisation at Werner Lake.  In addition to this exploration drilling, five drill holes for metallurgical purposes (452 m) were completed to create a composite bulk sample of approximately 150 kilograms that were sent for metallurgical testing at SGS Laboratories Canada.

The results from the programs are significant because they have intersected high-grade mineralisation within and beyond the constraints of the current Mineral Resource model. This continues to confirm the potential for significant exploration upside to Werner Lake’s existing resource. 

Location

The project is located near the Ontario-Manitoba border in the Kenora Mining District. The Werner Lake Geological Belt hosts numerous cobalt-copper and base metal showings, deposits and past producing mines. The two largest cobalt deposits defined to date are the Werner Lake Minesite Deposit and the West Cobalt Deposit, both controlled by GEMC. The area has seen extensive exploration and development work since the original discovery of cobalt in 1921. There is likely more cobalt mineralization in the Belt.

History

The Werner Lake Cobalt Mine produced cobalt ore in the 1930s and 1940s from the “Old Mine Site” deposit area and with the discovery of the main ore area at the West Cobalt Deposit, was taken to production decision in the late 1990s when prices were below today’s LME spot price of USD $24 per pound. At the time, infrastructure was put in place, including four season road, mill buildings, and tailings settling area. Decline ramp, drifts and raises of over 258 metres were driven into the heart of the deposit.

The most significant work was undertaken by Canmine Resource Corporation (“Canmine”) between 1995 and 2002. During this time Canmine carried out extensive drilling and exploration work leading to the discovery of additional mineralized lenses beneath the old workings, now referred to as the Minesite Deposit (or “Old Mine Site”). The West Cobalt Deposit is located about 500 metres west of the Minesite Deposit and was also discovered during their exploration and development program. In addition to drilling, Canmine carried out diamond drilling, extensive metallurgical testing, underground rehabilitation and development work. A 25 tonne bulk sample was excavated from the Minesite area and submitted to Lakefield Research for analysis and hydrometallurgical testwork. Canmine reported With a high-temperature pressure leach, Lakefield Research Limited extracted greater than 99% of the cobalt into a liquor, which was treated to precipitate cobalt carbonate assaying 35% cobalt with little (0.03%) arsenic and nonhazardous process solid residues ( Canmine Annual Information Form, August 12, 2002 ). From this same 2002 Annual Information Form, Canmine released the following Mineral Resources and Mineral Reserve Estimate for the Mine Site and West Cobalt areas:**

  • Undiluted Proven Reserves of 140,031 tonnes of 0.47% cobalt, 0.26% copper and 0.008 ounces per tonne gold; and
  • Probable Reserves of 40,829 tonnes of 0.25% cobalt, 0.20% copper and 0.003 ounces per tonne gold.

**The historical estimate at Werner Lake is not being treated as a mineral reserve or mineral resource. Key assumptions, parameters, and methods used to prepare the historical estimates are not known. A qualified person has not done sufficient work to classify the historical estimate as a mineral resource or mineral reserve. Additional drilling and testing is required to determine a classification as a mineral resource or mineral reserve under current NI 43-101 standards. The Company is not treating the historical information as a current mineral resource or mineral reserve.

In 2009-2010, GEMC’s predecessor company drilled 7,565 metres of drilling in 31 holes that was used to further investigate the property and the openness of the deposit to depth and to the east. In addition to the findings from the 2009-2010 program, significant resource data is available, including analytical results, business plans, engineering studies and metallurgical reports from previous operators.

Drill results from that previous drilling included a 12.30 metre intercept averaging 1.21% cobalt including a very high‐grade interval grading 12.48% cobalt over 0.90 metres. These high‐grade intercepts are associated with anomalous copper, nickel and gold values ( Puget Ventures release April 19, 2010 ).

Engineering

Detailed engineering studies were undertaken by SNC-Lavelin (“SNC”) to prepare a development plan and determine the most cost effective mining techniques to be employed at Werner Lake. Due to the variability of the mineralised zones, SNC recommended shrinkage mining at the West Cobalt Zone and Lens 1 and 2 at the Old Mine Site, opting for long-hole open-stope mining being employed at Lens 3. Details including fleet requirements, ventilation, ground support, a development plan and other mining details were laid out in a 2002 report authored by SNC. Detailed cost estimations included: shrinkage costs of $12.32 per tonne, long-hole costs of $9.47 per tonne, ramp development costs of $1,121.72 per metre, raise development costs of $945.07 per metre and haul drift, draw point and other access costs of $1,067.31 per metre. A 300 tonne production rate per day over a 5-day week was assumed. From 1997 to 1998 extensive exploration was undertaken through the decline and also through a sub-drift that was driven 107 metres within the ore zone to obtain a 4,094 tonne bulk sample.

Metallurgical studies have shown that excellent cobalt recoveries can be yielded from a standard flotation mill process followed by a low-pressure oxidative hydrometallurgical leach (net recovery 88%), to produce a cobalt carbonate end product. At the time of this work Canmine received written offers or indicative term sheets from companies around the world for the purchase of the cobalt carbonate product, which reportedly averaged 27% cobalt and 6% copper content.

Qualified Person

Mr. Paul Sarjeant, P. Geo., and Director of GEMC, is the qualified person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects and has reviewed and verified the technical information contained herein.

Werner Lake Related News Releases

April 20, 2020: Global Energy Metals Provides Partnership Update with Marquee Resources on Past Producing North American Cobalt Project

January 7, 2019: Global Energy Metals Announces Final Drill Results Continue to Confirm Extension Potential at Werner Lake Cobalt Project

November 27, 2018: Global Energy Metals Announces Metallurgical Drilling Thickens Cobalt-Copper Sulphide Zone of the Werner Lake Cobalt Project

November 14, 2018: Global Energy Metals Announces Offtake Agreement for Werner Lake Cobalt Project with Chinese Battery Cathode Manufacturer

November 5, 2018: Global Energy Metals Announces Partner Marquee Resources Invested $1,000,000 in Project Expenditures at Advancing the Werner Lake Cobalt Project; Earns Initial 30% Interest

October 29, 2018: Drilling Confirms Mineralisation at Depth at the Werner Lake Cobalt Project in Ontario, Canada

October 17, 2018: Metallurgical Testing Commences at the Werner Lake Cobalt Project in Ontario, Canada

September 27, 2018: Global Energy Metals Provides Update on Exploration Drilling Program at its Werner Lake Cobalt Project

August 15, 2018:High Grade Cobalt Mineralisation Continues to be Drilled at the Werner Lake Cobalt Project; Assays Confirm Extension of Mineralisation at Depth

July 19, 2018: Initial Results from Werner Lake Cobalt Project Confirm High Grade Cobalt Mineralisation

June 28, 2018: Global Energy Metals Partner Marquee Resources Commences Extensive Driiling Program Targeting High Grade Cobalt Mineralisation at Past Producing Werner Lake Cobalt Project

May 11, 2018: Global Energy Metals Files Updated Technical Report

April 23, 2018: Contractor Confirmed for Large Drill Program Planned for Resource Update at Werner Lake Cobalt Project

April 11, 2018: Global Energy Metals’ Partner Marquee Resources Appoints Cobalt Experienced Toby Hughes as Chief Geologist to Focus on Werner Lake Cobalt Project

March 19, 2018: Global Energy Metals’ Partner Marquee Resources Appoints Paul Sarjeant to Oversee Upcoming Exploration Program at the Werner Lake Cobalt Project

February 28, 2018: Global Energy Metals and Marquee Resources Team Up to Accelerate Aggressive Exploration and Resource Delineation at the Werner Lake Cobalt Project in Ontario, Canada

November 30, 2017: Global Energy Metals Enters into Option Agreement for Werner Lake Cobalt Project to Advance Past-Producing Primary Cobalt Mine

September 11, 2017: Global Energy Metals Commences Permit Process for Werner Lake Cobalt Project in Ontario

September 6, 2017: Global Energy Metals Completes Initial Resource Report on its Canadian Cobalt Project Supporting High Grade Cobalt Mineralisation

March 20, 2017: Global Energy Metals’ New Work Program for One of Canada’s Most Signficant Cobalt Projects - Werner Lake Cobalt Mine - to Assess Historic Data and Path Forward

Subscribe to our Email List