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PolarX derisks Alaska Range Copper-Gold Project with exploration

The project includes the “smoking gun” deposit Zackly which contains 41,200 tonnes of copper, 213,000 ounces of gold and 1.5 million ounces of silver.

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PolarX's team includes discoverers with more than 20 years experience in Alaska

PolarX Ltd’s (ASX:PXX) Alaska Range copper-gold-silver project tenements are within a highly prospective area of Alaska but unlike a number of its well-known neighbours are on state mining claims, making them simpler to develop.

Among its neighbours in this ‘Golden Triangle’ is the world-class Pebble porphyry copper deposit of Northern Dynasty Minerals Ltd (NYSEAMERICAN:NAK) (TSE:NDM) (FRA:ND3) (OTCMKTS:NDMWF) and Anglo American plc’s (LON:AAL) (JSE:AGL) (ETR:NGLB) (OTCMKTS:NGLOY) Pebble Mines Corp.

Pebble, considered one of the world’s largest undeveloped copper-gold resources, hosts a 10.9 billion tonne resource grading 0.34% copper and 0.31 g/t gold for 36.9 million tonnes of copper and 107.6 million ounces of gold.

Despite these attributes, the project has been stalled for about 11 years as proponents trying to get the mine across the line have faced strong to the opposition from resistant stakeholders.

PolarX’s project is a few hundred kilometres to the east on the porphyry copper-gold belt but its managing director Frazer Tabeart told Proactive Investors that it expects to face a smaller pool of stakeholders if it decides to mine.

Visible copper oxides from an interval that assayed 27.3% copper and 2.5 g/t gold

Visible copper oxides from a Zackly interval that assayed 27.3% copper and 2.5 g/t gold.

PolarX actively defines resources

The Australian-listed company was formed 18 months ago when private company Vista Minerals folded into listed play Coventry Resources Limited (then ASX:CYY).

The newly-combined outfit rebadged itself PolarX, reflecting its focus on resources found on the Alaska Range which is also home to the Donlin Gold Project of NovaGold Resources Inc (NYSEAMERICAN:NG) (TSE:NG) (FRA:NGR) (BMV:NGN) and Barrick Gold Corp (USA) (NYSE:ABX) (TSE:ABX) (ETR:ABR) (SWX:ABX).

This is a 1.2 billion tonne resource grading 2.2 g/t gold and containing 78.9 million ounces.

READ: PolarX hits up to 3.2% copper and 9.3 g/t gold below Zackly resource at Alaska Range

Coventry held the JORC resource Caribou Dome on the range while Vista had the nearby Stellar project with its historically-defined deposit of Zackly.

Caribou Dome deposit was a 2.8 million tonne JORC resource grading 3.1% copper for 86,000 tonnes of contained copper, while Zackly’s non-JORC resource was measured as 1.5 million tonnes grading 4.5 g/t gold and 2.9% copper.

The combined company holds 100% of Zackly, controls 80% of Caribou Dome, and has 90% of newer target Senator and 100% of another target, Mars.

READ: PolarX hits high-grade gold and copper, Alaska Range resource increase expected

This March PolarX defined a maiden, inferred resource for Zackly, sizing the deposit at 3.4 million tonnes grading 1.2% copper and 2 g/t gold and 14 g/t silver from surface.

PolarX’s inferred Zackly resource is estimated to contain 41,200 tonnes of copper, 213,000 ounces of gold and 1.5 million ounces of silver.

Caribou Dome remains a 2.8 million tonne JORC resource, consisting of inferred, indicated and measured resources and containing 85,800 tonnes of copper.

Tabeart said of Caribou Dome: “It’s a nice, compact high-grade copper deposit.”

READ: PolarX attracts $3.9 million to accelerate exploration activities at the Alaska Range Project

The company has continued to progress exploration at the Zackly resource this financial quarter, releasing additional results today and earlier this month, finding copper-gold mineralisation extends 100 metres vertically below the resource.

Tabeart said Zackly was also nice and called the deposit the “smoking gun”.

“If we can double the size of that resource at those grades, it’s something that could potentially be studied for a mining operation,” he said.

PolarX targets

PolarX's forward plan includes extension drilling at Zackly and future drilling at Mars and Zackly SE targets.

Porphyry copper proves prospective

PolarX managing director Tabeart believes the results seen at Zackly are telling.

“What it’s really telling us is there’s potential for a much, much larger system of a porphyry copper nature and that really, ultimately is what we want to evaluate,” he said.

“The nature of those deposits is something that could be many hundreds of millions of tonnes to billions of tonnes and we know we are in the right area for that.”

The newer results at Zackly feature highlight interceptions such as 25.5 metres from 261.6 metres grading 0.6% copper, 1.1 g/t gold and 5.5 g/t silver, including 1.4 metres from 285.8 metres grading 3.2% copper, 9.3 g/t gold and 38.2 g/t silver.

Another 4.7 metres in the same hole, from 326.1 metres, graded 1.3% copper, 2.1 g/t gold and 10.6 g/t silver and included 2.5 metres from 326.1 metres grading 2.3% copper, 3.5 g/t gold and 18.5 g/t silver.

Exploration de-risks project

PolarX MD Tabeart said exploration campaigns at the project meant the company was now a “fairly low-risk simple exploration play”.

“The early risk has been removed — we know there’s mineralisation there — we know it’s at grades that are potentially economically viable if we can find enough tonnes to justify an investment,” he said.

“It’s in a really safe jurisdiction in Alaska — it’s both safe for personal safety, but also safe as an investment jurisdiction; it’s one of the handful of states in the US that are really pro-mining and they’ve got world-class deposits there so we know we’re in the land of the giants.

“That means it’s a relatively straightforward exploration play with most of that risk removed.”

PolarX is implementing a systematic extension drilling program at Zackly.

Investors jump on board

PolarX is building a retail investor base in Australia and closed a $3.9 million capital raising last month.

The company’s shareholder base includes JPMorgan Chase & Co. (NYSE:JPM) (ETR:CMC) (SWX:JPM-USD) (BVMF:JPMC34) out of London, which held 8.65% on August 6 after the cap-raise, Milrock and Milrock-controlled entities (6.44%), Orogen Investments Pty Ltd (4.58%) and a Ruffer Investment Company Ltd (LON:RICA) UK fund.

The company draws support from London, Hong Kong, Singapore, New York, and Toronto, especially from high-quality investors.

It is set to appear at a number of upcoming conferences including Mines and Money Americas in Toronto on October 15-17, the 121 Mining Investment event in London on November 20-21 and Mines and Money London on November 26-29.

PolarX plans in play

The company is hoping to increase the size of the Zackly resource with extension drilling.

It is also hoping to become drill-ready at a number of other targets, such as Zackly southeast and Mars, and get started on them later this year.

PolarX has reported both Zackly and Caribou Dome are expected to rapidly expand as they are also progressed to feasibility assessments in the near future.

The company’s project is located near high-quality infrastructure, including roads.

Early environmental baseline survey are underway, with mine-permitting specialists engaged to help with the company’s efforts.

Airborne and ground geophysics surveys are also planned for later this year.

PolarX’s team includes staffers with more than 20 years experience in Alaska, including a number with experience on large discoveries, such as the Pebble and Donlin Creek deposits.

Quick facts: PolarX Ltd

Price: 0.073 AUD

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Market Cap: $30.38 m
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Full interview: PolarX encounters encouraging results in drilling at Alaska...

PolarX Ltd (ASX:PXX) managing director Frazer Tabeart updates Proactive on first drilling results from the Mars and Saturn prospects in the Alaska Range project in Alaska. The drilling at Mars intersected porphyry-style veins containing visible copper and molybdenum sulphides. Tabeart said...

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