The mining newspaper for Alaska and Canada's North
The mining newspaper for Alaska and Canada's North
TSX: CFB
Chairman, President and CEO: Victor Wyprysky
Chief Operating Officer: Keith Boyle
Executive Vice President, Corporate Development: Peter Chodos
Chieftain Metals Inc. remains focused on re-opening the Tulsequah Chief Mine, a precious metals-rich volcanic massive sulfide deposit on British Columbia's western border about 65 kilometers (40 miles) northeast of Juneau.
The Tulsequah deposit has an indicated resource of 6 million metric tons grading 1.42 percent copper, 6.44 percent zinc, 1.23 percent lead, 2.63-grams-per-metric-ton gold and 96 g/t silver.
In addition, the deposit contains an inferred resource of 1.1 million metric tons grading 0.94 percent copper, 5 percent zinc, 0.93 percent lead, 1.63 g/t gold and 72 g/t silver.
Big Bull, a deposit about 8 kilometers (5 miles) southeast of Tulsequah contains a smaller resource.
In April the company undertook an internal reorganization aimed at gaining more flexibility with project financing, potential partnerships and in positioning assets, including Tulsequah Chief.
For fiscal 2013 Chieftain budgeted about C$8.2 million, of which it has spent C$6.9 million by June 30.
The company acquired more than 16,000 hectares (39,536 acres) of additional claims, bringing its holdings to more than 30,000 hectares (74,130 acres) and more than doubling the strike length of the Tulsequah camp to 43 kilometers (27 miles).
The enlarged camp is called the Tulsequah Shazah Camp.
In May Chieftain reported completion of the first phase of an extensive five-month geological, geochemical and geophysical re-interpretation of the exploration potential associated with the Tulsequah project.
Some 50 years of exploration data was compiled and analyzed, including nearly all historic drilling, geological mapping, soil sampling, trenching and geophysical surveying (mostly composed of induced polarization and magnetic surveys) from both the original Tulsequah property and the adjacent region.
From this work, the company identified at least two new, strong and largely untested induced polarization chargeability high anomalies occurring in relative close proximity with the existing known Tulsequah Chief deposit.
Chieftain President and CEO Victor Wyprysky said the geological model under development for the Tulsequah Shazah camp "strongly indicates that the Tulsequah Chief project is just the beginning of a major mine development." Chieftain also outlined an exploration program consisting of further geophysics and 10,000 meters of drilling in about 20 drill holes that can be completed in a field season.
In August, the junior raised C$2.22 million with which it plans to test the new exploration targets in 2013.
Part of the financing involved a private placement with West Face Capital Inc., which also agreed to purchase debentures valued at C$1 million from Chieftain.
The deal brings West Face's interest in the explorer to almost 25 percent.
Cash and short-term deposits: C$3.5 million (June 30, 2013)
Working capital: C$1.3 million (June 30, 2013)
Market capitalization: C$10.4 million (Sept. 27, 2013)
2 Bloor Street West
Suite 2000
Toronto, Ontario
Canada M4W 3E2
Tel: 416-479-5410
Fax: 416-479-5420
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