Dugald River
The Dugald River deposit is an undeveloped zinc, lead and silver resource in north western Queensland. A feasibility study completed in 2008 confirmed a resource of 53 million tonnes at 12.5% zinc, 1.9% lead and 36 g/t silver.
Work has determined that Dugald River is a robust project capable of producing approximately 200,000 tonnes of zinc, 25,000 tonnes of lead and one million ounces of silver for a period of 23 years.
The project remains a very attractive zinc deposit for MMG to bring on line in the future. Geological interpretation and permitting are ongoing and the project will be reviewed by the Board this year.
Nunavut Projects
MMG has a suite of polymetallic base metals and gold assets in the Nunavut Territories of northern Canada.
Principal assets include the Izok Lake copper, zinc, lead and silver resource, the High Lake copper, zinc, lead and silver resource, gold resources at Lupin and Ulu, base metal deposits at Gondor and Hood and around 2,000 square kilometres of exploration tenements.
Assets also include gold mining and processing plant and equipment on care and maintenance at Lupin mine The Izok Lake deposit is our current focus with 14.8 million tonnes at 12.8% zinc, 2.5% copper, 1.3% lead and 71 g/t silver.
A key challenge to successfully developing the deposit is moving the concentrates to market from this remote part of Canada with little infrastructure. Consequently, a fresh approach was taken last year to solving these issues with a resulting scoping study completed in December 2009 producing a material improvement in financial return.
The project will now be moved to the next phase with a pre-feasibility study scheduled for 2010.
Izok Lake
High Lake during Fall.