Technical Report on the Chapada Mine, Goiás State, Brazil
Total Page:16
File Type:pdf, Size:1020Kb
LUNDIN MINING CORPORATION TECHNICAL REPORT ON THE CHAPADA MINE, GOIÁS STATE, BRAZIL NI 43-101 Report Qualified Persons: Chester M. Moore, P.Eng. Hugo M. Miranda, ChMC(RM) Andrew P. Hampton, M.Sc., P.Eng. David G. Ritchie, M.Eng., P.Eng., SLR Consulting (Canada) Ltd. October 10, 2019 Effective June 30, 2019 RPA 55 University Ave. Suite 501 I Toronto, ON, Canada M5J 2H7 I T + 1 (416) 947 0907 www.rpacan.com Report Control Form Document Title Technical Report on the Chapada Mine, Goiás State, Brazil Client Name & Address Lundin Mining Corporation 150 King St. W., Suite 2200 P.O Box 38 Toronto, Ontario M5J 1J9 Document Reference Status & FINAL Project #3171 Issue No. Version Issue Date October 10, 2019 Effective Date June 30, 2019 Lead Author Chester M. Moore (Signed) Peer Reviewer Deborah A. McCombe (Signed) Project Manager Approval Hugo M. Miranda (Signed) Project Director Approval Jason Cox (Signed) Report Distribution Name No. of Copies Client RPA Filing 1 (project box) Roscoe Postle Associates Inc. 55 University Avenue, Suite 501 Toronto, ON M5J 2H7 Canada Tel: +1 416 947 0907 Fax: +1 416 947 0395 [email protected] www.rpacan.com TABLE OF CONTENTS PAGE 1 SUMMARY ...................................................................................................................... 1-1 Executive Summary ....................................................................................................... 1-1 Economic Analysis ......................................................................................................... 1-8 Technical Summary ....................................................................................................... 1-8 2 INTRODUCTION ............................................................................................................. 2-1 3 RELIANCE ON OTHER EXPERTS ................................................................................. 3-1 4 PROPERTY DESCRIPTION AND LOCATION ................................................................ 4-1 Land Tenure .................................................................................................................. 4-1 Surface Tenure .............................................................................................................. 4-9 Environmental Considerations ....................................................................................... 4-9 5 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE, AND PHYSIOGRAPHY ............................................................................................................... 5-1 Accessibility ................................................................................................................... 5-1 Climate .......................................................................................................................... 5-1 Local Resources ............................................................................................................ 5-1 Infrastructure ................................................................................................................. 5-2 Physiography ................................................................................................................. 5-2 6 HISTORY ........................................................................................................................ 6-1 Exploration and Development History ............................................................................ 6-1 7 GEOLOGICAL SETTING AND MINERALIZATION .......................................................... 7-1 Regional Geology .......................................................................................................... 7-1 Local Geology ................................................................................................................ 7-5 Property Geology ......................................................................................................... 7-16 Mineralization .............................................................................................................. 7-25 8 DEPOSIT TYPES ............................................................................................................ 8-1 Copper-Gold Porphyry System – Chapada .................................................................... 8-3 Skarn System – Suruca ................................................................................................. 8-3 Brasiliano Orogen Fluids ................................................................................................ 8-4 9 EXPLORATION ............................................................................................................... 9-1 Chapada ........................................................................................................................ 9-1 Suruca ........................................................................................................................... 9-4 Regional Targets ........................................................................................................... 9-5 10 DRILLING .................................................................................................................... 10-1 Chapada ...................................................................................................................... 10-1 Suruca ......................................................................................................................... 10-2 Regional Targets ......................................................................................................... 10-4 11 SAMPLE PREPARATION, ANALYSES, AND SECURITY ........................................... 11-1 Lundin Mining Corporation – Chapada Mine, Project #3171 Technical Report NI 43-101 – October 10, 2019 Page i www.rpacan.com Core Logging ............................................................................................................... 11-2 Bulk Density ................................................................................................................. 11-2 Sample Security ........................................................................................................... 11-4 Laboratory Sample Preparation ................................................................................... 11-5 Sample Analysis .......................................................................................................... 11-5 Historical Sample Analysis and QA/QC ....................................................................... 11-5 Re-Sampling of Santa Elina Core ................................................................................ 11-6 Quality Assurance and Quality Control ........................................................................ 11-6 Conclusions ............................................................................................................... 11-30 12 DATA VERIFICATION ................................................................................................. 12-1 13 MINERAL PROCESSING AND METALLURGICAL TESTING ..................................... 13-1 Chapada ...................................................................................................................... 13-1 Suruca ....................................................................................................................... 13-10 14 MINERAL RESOURCE ESTIMATE ............................................................................. 14-1 Database ..................................................................................................................... 14-2 Geological Interpretation .............................................................................................. 14-5 Raw Assays ............................................................................................................... 14-11 Compositing and Exploratory Data Analysis .............................................................. 14-12 Outlier Treatment ....................................................................................................... 14-14 Density ...................................................................................................................... 14-15 Variography ............................................................................................................... 14-16 Block Model ............................................................................................................... 14-18 Grade Interpolation .................................................................................................... 14-18 Block Model Validation ............................................................................................... 14-22 Cut-Off Grade and Optimized Pit Shell ...................................................................... 14-28 Classification ............................................................................................................. 14-29 Mineral Resources ..................................................................................................... 14-32 15 MINERAL RESERVE ESTIMATE ................................................................................ 15-1 Dilution and Ore Loss .................................................................................................. 15-2 Cut-Off Grade .............................................................................................................