Technical Report on the Samapleu Nickel and Copper Deposits Côte D’Ivoire, West Africa
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TECHNICAL REPORT ON THE SAMAPLEU NICKEL AND COPPER DEPOSITS CÔTE D’IVOIRE, WEST AFRICA DECEMBER 2015 TECHNICAL REPORT ON THE SAMAPLEU NICKEL AND COPPER DEPOSITS CÔTE D’IVOIRE, WEST AFRICA Sama Resources Inc. – Ressources Sama Inc. Project no: 121-26251-00 Re-issue date: December 22, 2015 Original Issue Date: August 22, 2013 Resource Effective Date: December 11, 2012 Report Effective Date: July 1, 2013 Prepared by: Mohammed Ali Ben Ayad, Ph.D., Geo Claire Hayek, Eng. MBA Jean Corbeil, Eng. Pierre-Jean Lafleur, Eng. – WSP Canada Inc. 1600, René-Lévesque Blvd. West, 16th Floor Montréal, Québec H3H 1P9 Phone: +1 514-340-0046 Fax: +1 514-340-1337 www.wspgroup.com SIGNATURES Original signed and dated by Mohammed Ali Ben Ayad, Ph.D. Geo 2015-12-22 Mohammed Ali Ben Ayad, Ph.D. Geo Date Associate Geologist of P.J. Lafleur Géo-Conseils Inc. Original signed and dated by Jean Corbeil, Eng. 2015-12-22 Jean Corbeil, Eng. Date Director, Project Management WSP Canada Inc. Original signed and dated by Claire Hayek, Eng., MBA 2015-12-22 Claire Hayek, Eng. MBA Date Mineral Processing Director WSP Canada Inc. Original signed and dated by Pierre-Jean Lafleur, Eng. 2015-12-22 Pierre-Jean Lafleur, Eng. Date Geological Engineer P.J. Lafleur Géo-Conseils Inc. i TABLE OF CONTENTS 1 SUMMARY ...................................................................................... 1 1.1 INTRODUCTION ................................................................................................... 1 1.2 PROPERTY OVERVIEW ....................................................................................... 1 1.3 GEOLOGY ............................................................................................................. 1 1.4 EXPLORATION AND DRILLING .......................................................................... 3 1.5 METALLURGICAL TESTING AND MINERAL PROCESSING ............................ 3 1.6 MINERAL RESOURCES ....................................................................................... 4 1.7 ENVIRONMENT AND PERMITTING .................................................................... 5 1.8 RECOMMENDATION AND FUTURE WORK ....................................................... 5 2 INTRODUCTION ............................................................................. 7 2.1 SCOPE OF THE REPORT .................................................................................... 7 2.2 EFFECTIVE DATES AND DECLARATION .......................................................... 7 2.3 INFORMATION SOURCES ................................................................................... 8 2.4 TERMS OF REFERENCE ..................................................................................... 8 2.5 REPORT RESPONSIBILITY AND QUALIFIED PERSONS ................................. 9 2.6 SITE VISITS ......................................................................................................... 10 2.7 ACKNOWLEDGEMENT ...................................................................................... 10 3 RELIANCE ON OTHER EXPERTS .............................................. 11 4 PROPERTY DESCRIPTION AND LOCATION ............................. 12 4.1 SAMAPLEU EXPLORATION PERMIT (PR 123) ............................................... 12 4.2 ZÉRÉGOUINÉ LICENSE (PR 300) ..................................................................... 14 4.3 TENEMENT AND ENCUMBRANCES ................................................................ 16 4.4 LIABILITIES ........................................................................................................ 16 5 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY ............................... 17 5.1 ACCESS .............................................................................................................. 17 5.2 CLIMATE AND VEGETATION ............................................................................ 17 5.3 LOCAL RESOURCES ......................................................................................... 18 5.4 PHYSIOGRAPHY ................................................................................................ 21 Technical Report on the Samapleu Nickel and Copper Deposits WSP Canada Inc. Sama Resources Inc. No 121-26251-00 ii 6 HISTORY ...................................................................................... 22 7 GEOLOGICAL SETTING AND MINERALIZATION ..................... 25 7.1 REGIONAL GEOLOGY ....................................................................................... 25 7.2 PROJECT GEOLOGY ......................................................................................... 27 7.3 MINERALIZATION .............................................................................................. 37 7.4 MASSIVE CHROMITE MINERALIZATION ........................................................ 50 8 DEPOSIT TYPES .......................................................................... 52 8.1 NICKEL, COPPER AND PGE DEPOSITS MODEL ........................................... 52 8.2 MASSIVE CHROMITE OCCURRENCES OF THE GANGBAPLEU RIDGE .................................................................................................................. 53 9 EXPLORATION ............................................................................ 54 9.1 SAMA EXPLORATION WORK, 2009 TO MARCH 2013 ................................... 54 10 DRILLING ..................................................................................... 62 10.1 SAMA 2010-2012 DRILLING PROGRAM .......................................................... 62 10.2 SAMA 2013 DRILLING PROGRAM ................................................................... 62 10.3 METHODOLOGY ................................................................................................ 63 10.4 DRILLHOLE RESULTS AND INTERPRETATION ............................................. 65 11 SAMPLE PREPARATION, ANALYSES AND SECURITY .................................................................................... 69 11.1 SAMPLES DEPOSITS NICKEL-COPPER EXPLORATION .............................. 69 12 DATA VERIFICATION .................................................................. 88 12.1 QUALIFIED PERSON CHECK SAMPLE ........................................................... 88 13 MINERAL PROCESSING AND METALLURGICAL TESTING ....................................................................................... 91 13.1 SGS CANADA TEST WORK (2010) ................................................................... 91 13.2 CTMP THETFORD MINES TEST WORK (2012) ............................................... 95 13.3 CONCLUSIONS AND RECOMMENDATIONS ................................................. 100 14 MINERAL RESOURCE ESTIMATES ......................................... 101 14.1 SAMAPLEU DEPOSITS ................................................................................... 101 14.2 DATABASE INTEGRITY ................................................................................... 107 14.3 MINING FACTOR .............................................................................................. 107 14.4 METALLURGICAL FACTORS ......................................................................... 107 WSP Canada Inc. Technical Report on the Samapleu Nickel and Copper Deposits No 121-26251-00 Sama Resources Inc. iii 14.5 CUT-OFF GRADES ........................................................................................... 108 14.6 RESOURCE MODELLING ................................................................................ 110 14.7 GRADE ESTIMATION ....................................................................................... 113 14.8 VALIDATION ..................................................................................................... 113 15 MINERALS RESERVE ESTIMATES .......................................... 125 16 MINING METHODS .................................................................... 126 17 RECOVERY METHODS ............................................................. 127 18 PROJECT INFRASTRUCTURE ................................................. 128 19 MARKET STUDIES AND CONTRACTS .................................... 129 20 ENVIRONMENTAL STUDIES, PERMITTING AND SOCIAL OR COMMUNITY IMPACT .......................................... 130 20.1 INTRODUCTION ............................................................................................... 130 20.2 REGULATORY AND ADMINISTRATIVE FRAMEWORK ................................ 130 20.3 PROJECT PERMITTING PROCESS ................................................................ 132 20.4 SUMMARY OF ENVIRONMENTAL AND SOCIAL WORK UNDERTAKEN TO DATE BY SAMA RESOURCES ....................................... 132 20.5 COMMUNITY RELATIONS ............................................................................... 134 20.6 ANTICIPATED ENVIRONMENTAL AND SOCIAL ISSUES ............................ 135 20.7 CONCLUSIONS ................................................................................................ 136 21 CAPITAL AND OPERATING COSTS ........................................ 137 22 ECONOMIC ANALYSIS ............................................................. 138 23 ADJACENT PROPERTIES ......................................................... 139 23.1 SIPILOU EXPLORATION PERMIT PR 219 ...................................................... 139 24 OTHER RELEVANT DATA AND INFORMATION ..................... 140 25 INTERPRETATIONS AND CONCLUSIONS