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TORONTO (miningweekly.com) – TSX-listed explorer and developer Talon Metals on Thursday reported that it had appointed internationally recognised sulphide mineralisation expert Dr Tony Naldrett to its board in preparation for forming a technical committee with new joint venture (JV) partner Kennecott Exploration to develop the Tamarack nickel/copper/platinum project in Minnesota.
British Virgin Islands-based Talon last month clinched an earn-in agreement with Kennecott to acquire a 30% interest in the Tamarack project, with a potential pathway to owning 100% of the project.
Since 2012, when Talon underwent a management shakeup, it had evaluated more than 700 exploration and/or mining projects, the majority of which were advertised as having near-term cash-generating potential and/or significant exploration upside.
However, following Talon’s due diligence investigation of such projects, none of them met Talon’s investment criteria.
Earlier this year, Talon became aware of a unique opportunity, whereby Kennecott would consider bringing a JV participant into its Tamarack project. Kennecott made it clear to Talon that it was not looking to sell the Tamarack project. Instead, Kennecott believed that the project had the potential to be of interest for the Rio Tinto group, and as such, was looking to advance and accelerate the project to a decision point for Rio Tinto.
Under the agreement, Talon had to pay Kennecott $7.5-million in instalment payments and incur $30-million in exploration expenditures over three years.
Talon had also agreed to make certain land option payments on behalf of Kennecott, which might also be payable over the earn-in period.
During this time, Kennecott would continue to be the operator of the Tamarack project. The partners had also agreed to form a technical committee with both parties appointing representatives who would provide strategic input regarding ongoing and upcoming exploration programmes.
After Talon had completed the earn-in conditions, Kennecott would choose whether to proceed with a 70/30 JV on the project, or to grant Talon the right to buy its interest for $107.5-million.
The next phase of exploration at the Tamarack project would be designed to extend the current semi-massive sulphide unit (SMSU) to the north and the MSU and the 138 Mixed Zone to the south.
Results from previous drill programmes to the north had already been used to outline a halo of disseminated sulphide with high nickel, copper and platinum tenors within the funnel-shaped portion of the coarse-grained peridotite intrusion. High-grade results from holes to the west, east and south of the 138 Mixed Zone showed that mineralisation was potentially open in these directions.
These holes were drilled after downhole EM in previously drilled holes in the 138 Mixed Zone showed strong anomalies.
It was envisaged that future exploration efforts at the Tamarack project would also focus on the Bowl to assess its potential for hosting a large mineralised zone in the southern part of the Tamarack Igneous Complex.
Naldrett has had a distinguished career. Over the years, his research and on-the-ground experience has covered most of the world's magmatic sulphide deposits, including those at Sudbury, Voisey's Bay, Noril'sk, the Abitibi, the West Australian Widgiemooltha Komatiite deposits, the Zimbabwe nickel deposits, deposits of the Raglan and Thompson Pechenga, Jinchuan, the Duluth Complex, the Bushveld and Stillwater complexes, Zimbabwe's Great Dyke and at the Lac des Îles igneous complex of north-western Ontario.
Naldrett has also consulted for many companies including Chevron Corporation, Falconbridge, Western Mining, BHP Billiton, Rio Tinto, Cominco-American and Voisey's Bay Nickel.
Despite being officially retired from teaching in 1998, Naldrett still retains a position as professor emeritus at the University of Toronto and continues his research on magmatic sulphide deposits, most recently, as honorary professor at the School of Geosciences, University of the Witwatersrand, in South Africa, and as honorary research fellow of the Natural History Museum, in London.
He also continues to be sought after for his expertise and leadership by all facets of the mining industry - from mineral exploration companies to geological societies and associations.
Naldrett has had numerous honours bestowed on him over the years, most recently in 2012 with the Haddon Forrester King Medal, one of the Australian Academy of Science's prestigious career awards for life-long achievement and outstanding contribution to science.