Rockcliff Metals Corp. (TSX.V: RCLF) is a company set for success. With royalty revenues just around the corner, RCLF is getting ready to show the world its full potential as its properties in Manitoba are demonstrating excellent results.
What is also intriguing about RCLF is Management’s ability to pick up amazing properties from staking high-quality prospects or from seasoned prospectors or joint-venture opportunities, like they did with a senior base-metal producer Hudbay Minerals who has had continuous mining in the world-class Flin Flon-Snow Lake Greenstone Belt (FF-SL GB) for nearly a century.
Over the past 10 years, RCLF has amassed over 45,000 collective hectares in this camp, spent over $27 million, completed over 80,000 metres of drilling and has grown its collective basemetal resources to over 11 Mt of high-grade copper, gold, zinc and silver, all in one of the richest and most prolific mining camps in the world.
An easy way to understand RCLF’s extensive portfolio of properties is to break the Company down into three sections: (1) advanced high-grade base-metal earn-ins and royalty-generating properties, (2) 100%-owned high-grade base-metal exploration properties and (3) high-grade gold properties.
There is little doubt that RCLF has enormous upside potential hosting some of the highest-grade base-metal Volcanogenic Massive Sulphide (VMS) deposits in the FF-SL GB with potential of their resources becoming new mines.
Another key fact about the FF-SL GB is its diversity of highgrade base-metal (copper, gold, zinc and silver) and primary precious-metal (gold and silver) mineralization associated with world-class geology. Add to that, the belt has excellent infrastructure with an experienced mining workforce, operating rail lines, all-seasoned roads and low-priced electricity.
Royalty Income and Advanced Earn-In Properties
The Company acquired, explored, discovered and then sold the Tower VMS Deposit to monetize its exploration efforts into a riskfree Net Smelter Royalty (NSR). The property is slated for commercial production beginning in 2019 and the Company’s retained 1.5% NSR will generate millions of dollars of risk-free cash flow to its treasury over a minimum seven-year mine life.
This first projectwill be accessed by a ramp that will be located beside a major highway and a leased base-metal mill. Statistically, the FF-SL GB’s mines are so rich that 19 of the 30 mines have gone in production with under 2 million tonnes of resources and the average mine life has grown by 2.5 times from their original resources.
In recent years, RCLF has been focused on earning a 51% interest in the Talbot Property which hosts the gold-rich Talbot Copper Deposit. The deposit has expanded by 300% from a historical 1.4 Mt Resource to an NI 43-101 Resource of 4.2 Mt grading 3.4% Copper Equivalent (CuEq) consisting of high-grade copper, zinc and silver with excellent high-grade gold mineralization scattered throughout the deposit.
The present size of the deposit is noteworthy as only 4 of the 30 mines that have gone into production in the belt started out with an initial resource greater than the present resource at Talbot!
The deposit remains open in every direction and Management believes that a target of +7.5 Mt @ +3.5% CuEq is obtainable. This exciting opportunity at Talbot has legs to become the Company’s second VMS mine with additional drilling!
RCLF’s second earn-in property containing the historical Bur Zinc Deposit hosts 1.35 Mt of 12.8% Zinc Equivalent (ZnEq), remains open in all directions and is associated along the Bur Zinc Corridor. RCLF can earn a 100% interest in the property over 4 years and its recently completed drill program intersected zinc mineralization extending the deposit by 800 metres.
What’s truly exciting is the fact that zinc mineralization has been identified along the favourable Bur Zinc Corridor a total distance of 8 kilometres, so the upside potential on this property could be significant for RCLF.
Also, this exciting surface deposit is only located 22 kilometres by road from a fully functional base-metal mill, so the Bur Zinc Deposit as potential mill feed would help rank this property as a very high priority for additional drill programs.
100%-Owned Base Metal VMS Properties
With so many exceptional properties in RCLF’s portfolio, it is only a matter of time, we believe, that the Company’s stock price trade commensurate with their assets. A lot of excitement surrounds planned drilling programs on their 100%-owned properties to expand high-grade resources such as the Rail (copper), Lon (zinc-copper) and Pen (zinc) Deposits.
The Rail Property is RCLF’s flagship 100%-owned asset. The property hosts the Rail Copper Deposit. It is high grade with excellent upside potential and within trucking distance to an existing base-metal mill. It subcrops near surface, is wide open in every direction and has multiple undrilled VMS anomalies along strike and below the deposit.
The present Rail Copper Deposit Indicated NI 43-101 Resource stands at +800,000 tonnes of almost 4% CuEq and the present target for Rail is +3.0 Mt grading 4% CuEq. At that size and grade Management believes that much attention will be given to this deposit from base-metal miners. RCLF plans on focusing its exploration efforts on resource expansion of the deposit and initiating a significant summer program that will include at least 3,000 metres of drilling.
The district-sized Lon Property, located approximately 15 kilometres north of the Rail Copper Deposit, hosts the near-surface high-grade historical Lon Zinc-Copper Deposit. It is a polymetallic deposit (zinc-copper-gold-silver) of approximately 250,000 tonnes grading almost 14% ZnEq (5.2% zinc, 3.2% copper, 0.6 gpt Au and 18.8 gpt Ag).
The deposit has multiple mineralized lenses with strike lengths between 50-200 metres, plunge extents of at least 600 metres and range up to 3.9 metres wide. It is open along strike and at depth. The Lon Property has additional high priority VMS targets that could become new discoveries with drill programs planned for 2018.
The strategically-located Penex Property staked by RCLF hosts the down-dip continuation of the Pen Zinc Deposit. The deposit is located approximately 5 kilometres from the world-class Lalor VMS Mine owned by Hudbay Minerals and only 20 kilometres by road from an operating base-metal mill.
At a depth of 350 metres vertical, the high-grade (+10% ZnEq) Pen Zinc Deposit dips onto RCLF’s Penex Property where one historical hole intersected the deposit at a depth of 475 metres vertical yielding approximately 7% ZnEq across almost 3 metres.
Geophysical surveys in this area identified a corresponding large conductive geophysical plate to at least 800 metres vertical and strengthening in intensity below the hole that could represent the down-dip continuation of the Pen Zinc Deposit.
Why is the Penex Property strategic, one might ask? Well, Hudbay has publicly stated that that they are examining the deposit above 350 metres vertical for a production scenario. If production is achieved, then RCLF will have the down-dip continuation of a producing mine in the middle of the Snow Lake Mining Camp. The future holds great promise for RCLF’s Penex Property!
RCLF’s Significant High-Grade Gold Assets in the Snow Lake Mining Camp
Who doesn’t love a great gold play? Well, RCLF’s subsidiary Goldpath Resources Corp. has five highly-prospective lode-gold properties within the Snow Lake VMS Mining Camp, a camp that was originally a gold mining camp! Historic lode-gold production in the camp was approximately 2 million ounces and there exists
a 2,000 tpd fully-functional non-operating gold mill within trucking distance to all of RCLF’s gold properties.
RCLF’s flagship Laguna Gold Property hosts the Laguna Gold Mine, Manitoba’s first highest-grade gold mine last drilled in 1944! The other four properties are called the SLG Gold Property, the Lucky Jack Gold Property, the Berry Creek Gold Property and the DSN Gold Property.
On your next trip to the Royal Ontario Museum in Toronto, you will find a wonderful specimen from the Laguna Gold Mine, previously called Herb Lake Mine. The former mine produced +60,000 ounces from approximately 100,000 tonnes intermittently between 1916 and 1939.
The Laguna Gold Property hosts the 5-kilometre-long “Laguna Gold Mine Corridor” which contains 7 known historical high-grade surface quartz stockwork gold zones. Recent exploration has identified surface samples yielding up to 600 gpt gold from surface trenches and significant depth potential from geophysics of known gold zones from surface to greater than 250 metres vertical.
Management believes that the gold target at Laguna is a minimum 3 Mt @15 gpt and that a 2018 first phase drill program, the first scientific and systematic drill program in 74 years, will bring the property into the 21st Century!
The SLG Gold Property is located beside former gold producers with past production of 1.4 million ounces associated with multiple regional gold-bearing fault zones trending onto the SLG Gold Property. Given all the surface sampling done over the years with gold grades as high as 19.58 gpt, it is obviously highly perspective. Management has this property’s gold target at 3 Mt @ 7 to 10 gpt.
Just south of the Laguna Gold Property is the Lucky Jack Gold Property. Here we see gold mineralization associated within goldbearing sulphide-rich quartz veins and fracture zones up to 23 metres wide.
Grab samples historically show up to 66 gpt gold and channel samples boast 44.2 gpt across 1.4 metres. Core drilling typically yielded high-grade assays, the highest being 58.5 gpt across 0.4 metres. RCLF’s gold target here is 3 Mt @ 7 to 10 gpt.
Located 5 kilometres south of the 2,000 tpd gold mill, the Berry Creek Gold Property is seen as a large tonnage, lower-grade gold environment in intrusive rocks. Historical near-surface limited drill assays yielded results like 1.2 gpt gold over 13.4 metres including 3.9 gpt gold over 3.6 metres. RCLF has its sights on a gold target of 10 Mt @ 1 to 3 gpt.
Finally, the DSN Gold Property has the Morton Lake Fault running through the middle of the claim package with assay values up to 104.5 gpt gold. There are multiple gold showings and visible gold across 3 kilometres strike length following the fault, yet there is potential to extend the strike length to over 15 kilometres with much of the ground requiring further exploration. RCLF’s gold target here is 3 Mt @ 7 to 10 gpt.
Over an impressive 10-year period, Management has assembled high-grade copper-rich or zinc-rich VMS properties, spent over $27 million dollars exploring them and drilled over 80,000 metres producing four NI 43-101 Resource estimates. Their first mine (Tower Deposit) will be producing high-grade copper ore in 2019 resulting in a healthy income stream for RCLF, and several other properties are in the advanced stages to determine their economic viability.
Additional discoveries, Management believes, are waiting to be found with more drilling. There is so much blue sky potential for RCLF in this belt! With the many successes the Company has had in 10 short years, imagine what can happen over the next 5 years. Several royalty streams, beginning with the upcoming Tower Deposit, have the potential to make the Company self-funded. The future certainly looks bright for Rockcliff Metals Corp.!