EMX’s Espedalen project has similar geology and chemical signature, age, and host rock to other known Ni-Cu-Co systems, like Voisey’s Bay in Labrador for example. The Espedalen Project is hosted in troctolite and anorthosite and is related to a 1.75-1.25 ma intrusion with historic mine grades of 1.8-8.8 % Ni. Espedalen is located in one of central Norway’s most prolific historic nickel mining districts with several historic mines and occurrences in proximity to the land position.
EMX’s claim includes historic Ni-Cu-Zn-Co prospects that produced an estimated 100,000 tonnes at 1.0% Ni, 0.4% Cu and 0.6% Co were produced from 1848 -1918. There are numerous exploration targets on the license and most importantly a high-grade boutique mining opportunity at the Stormyra deposit, which is scalable. There are multiple areas of focused drilling that represent walk up infill drill targets.
EMX believes that application of modern and updated mineral deposit models and new exploration technologies will likely result in new discoveries at Espedalen.
An option agreement with Pursuit Minerals Limited (ASX: PUR) was executed in February 2020. The Agreement provides EMX with an equity interest in Pursuit, a 3% net smelter return (“NSR”) royalty on the project, and other considerations including annual advance royalty (“AAR”) and milestone payments. Pursuit may also issue up to 9.9% of its issued and outstanding share capital to EMX as certain conditions are satisfied. See EMX news release dated February 18, 2020 for more details.
Note: The nearby mines and deposits in the region provide context for EMX’s Project, which occurs in a similar geologic setting, but this is not necessarily indicative that the project hosts similar tonnages or grades of mineralization.
Note: Historic production values quoted above are from the Blackstone Ventures, a publicly traded Canadian Company (TSXV:BLV) and published in: NI43-101 Technical Report on Resource estimates for Ertelien, Stormyra and Dalen Deposits, Southern Norway, 2009, available on www.sedar.com