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Saskatchewan Geological Survey: “It All Starts with the Rocks!”

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Saskatchewan Geological Survey: “It All Starts with the Rocks!” 70th Anniversary of the Saskatchewan Geological Survey: “It all starts with the rocks!” Gary Delaney Chief Geologist Saskatchewan Geological Survey Ministry of Energy & Resources Presentation Outline • Saskatchewan Geological Survey (SGS) – History – Current projects in northern Saskatchewan • Status of Saskatchewan’s Mineral Sector – Mining – Exploration • Mineral Development Strategy – Targeted mineral exploration incentive/geoscience • Other Mineral Investment Attraction Activities History of the SGS: Early Work on the Geology and Mineral Resources by Government of Saskatchewan • 1920 Saskatchewan Bureau of Labour and Industries established to survey and promote industrial resources: – U of S engaged and began pioneering work on the geology of Saskatchewan • Clay deposits (W.G Worcester • In 1929 Department of JB Mawdsley FH Edmunds Geology established: – JB Mawdsley northern SK – FH Edmunds sedimentary strata in south 1930: Saskatchewan Department of Mineral Resources Created • October 1, 1930: – Mineral resources transferred from Dominion of Canada to the Province – Department of Natural Resources (DNR) created; administrative body = Mines Division • Petroleum well cores and samples sent to U of S for logging, analyses and storage 1947: Mineral Resources Branch • 1947: – Mines Division of DNR became Mineral Resources Branch – Prospectors School established in La Ronge and Prospectors Assistance Program introduced Prospector’s School class of 1953 1948: Saskatchewan Geological Survey (SGS) Established • Original mandate of SGS: “to map the northern mineral areas as well as carry out geological surveys of potential gas and oil areas and other economic mineral resources of southern Saskatchewan” • 1949: Four field parties in northern Saskatchewan – work undertaken in conjunction with U of S. 1960’s: Evolution of the Saskatchewan Geological Survey (SGS) • Airborne geophysical surveys in northern and southern Saskatchewan* in partnership with Geological Survey of Canada • Continuation of 1:63,360 mapping in the north • 1964: Precambrian Geological Laboratory established in La Ronge – Core repository – Resident Geologist – Mining Recorder *The Fort a la Corne diamond-bearing kimberlite bodies were discovered from maps produced from a joint provincial-federal aeromagnetic survey flown in the 1960s. Snapshot : 1970s and early 1980s - Contributions of Saskatchewan Geological Survey in Support of Early Exploration in the Athabasca Basin • Beginning in 1974 work on understanding the geological architecture of the Western Churchill (Lewry and Sibbald , 1977, 80). • Mapping by Ray, in 1976, demonstrated that Key Lake deposits at unconformity between basement graphitic pelitic gneisses in the Wollaston Group and sandstones of overlying Athabasca Group (Reeves and Beck, 1982). • Development of Model for Unconformity Type Uranium Deposits, Athabasca Basin, Northern Saskatchewan (Hoeve and Sibbald, 1978) • Athabasca Group stratigraphic studies(Ramaekers, 1980, 81) • Collection and archiving of technical exploration reports submitted for assessment purposes A Model is Born for Unconformity-Type Uranium Deposits in Northern Saskatchewan Diagenetic-hydrothermal-metallogenic model Hoeve and Sibbald (1978): • U-bearing solutions from the sandstone percolated into graphite-bearing fault zones (Wollaston Supergroup) • Hot oxidizing fluids penetrate basement along faults/fractures reduced by reactions with graphitic sediments. Solutions containing methane/carbon dioxide • Deposition of uranium deposits controlled by interaction of oxidizing and reducing fluids • Episodes of fault reactivation • Shapes of ore bodies attributed to hydrodynamic flux Hoeve and Sibbald (1978) 1980’s to 2000’s: Enhanced Geological Map of Saskatchewan 2000-2010: Regional Airborne Magnetic and Radiometric Surveys in Partnership with the Geological Survey of Canada Largest area of modern contiguous airborne magnetic and radiometric surveys in Canada Saskatchewan Geologic Survey 2018 • Mandate: To provide high quality, easily accessible geosciences information to encourage and facilitate the responsible exploration for and development of Saskatchewan’s mineral and petroleum resources, thereby advancing Saskatchewan’s natural resource advantage Current Structure of the SGS Chief Geologist 40 Staff Petroleum Geology Data Management Minerals and Northern Geology • Geology of the Western Canada • Administration of GeoAtlas • Geology of the Precambrian Shield of Sedimentary Basin • Management of geoscience data Northern Saskatchewan • Nature and context of petroleum • Generation of maps and other • Mineral resources: uranium, base metals and other resources in the WCSB (ie GIS products gold, coal, industrial minerals oil, gas, helium and potash • Client support and Precambrian • Land use planning • Core and samples collections core collection in La Ronge SGS Minerals and Northern Geology • Key Projects: – Ongoing studies of the Surficial and Bedrock Geology of the Precambrian Shield of Northern Saskatchewan • Adoption of new technologies – Mineral deposit related studies: new strategic focus: base and precious metals and diamonds SGS: 2018 Northern Field Projects Arin Kitchen: Deformation bands in along the C1 trend as a proxy to uranium mineralized structures. Charles Normand: Investigating Colin Card: Basement mineralogical setting of “green geology interpretative map metals” (cobalt, vanadium, etc..) for NTS sheet 74F. Michelle Hanson: Quaternary Geology and heavy mineral potential Sean Bosman: Distribution of the Reindeer Lake area. and thickness of Phanerozoic stratigraphy in Patterson Lake South area. \ \ \ \\ \ \ \ Samantha Van De Kerckhove and \\ \ \ \ \ \ \ \ \ \\ \ \ \ \ Svieda Ma: Central Glennie bedrock \\ \ \ \\ \ \ \ \ \ \ mapping project \ Ralf Maxeiner and Omid Mahmoodi: Sub-Phanerozoic basement geology project SGS Data Management Key Functions: • Administration of Mining and Petroleum GeoAtlas • Archiving of historic • Generation of maps & other GIS products • Client support and Precambrian core and mineral collections in La Ronge • Airborne Geophysical Surveys/Interpretation SGS: 3D Geological Modeling Status of Mining in Saskatchewan • World’s largest potash producer and 2nd largest uranium REE producer • Canada’s 2nd largest oil producer and 3rd largest natural gas Uranium producer Athabasca •Significant untapped potential as highlighted by recent uranium Basin and diamond discoveries Precambrian Gold & base metals Oil Sands Shield Map shows general areas of potential for Diamonds various minerals and petroleum resources Oil Western Canada Sedimentary Basin 2 651,036 km Natural Gas Potash Oil Clay Ranked 1st in Canada and 2th overall out of 91 jurisdictions in terms of Helium Investment Attractiveness (composite measure of geologic attractiveness and effects of government policy on attitudes toward exploration Coal investment) in Fraser Institute’s 2017 Survey of Mining Companies. Saskatchewan Value of Mineral Sales Value of 2017 Mineral Sales = $6.6 2008 - 2017: Cdn Billion • Low of $4.6 B in 2009 from High of $0.37 $1.4 $9.5 B in 2008 • Production: Potash, uranium, coal, gold, base metals, silver, salt, sodium sulphate, potassium $4.8 sulphate, bentonite, and kaolin; Potash Uranium Other 2017: Value of Saskatchewan Mineral Production • Sales: ~$6.6B $ Cdn B, 2008-15 • Potash: slight uptick in price; strong $10 sales volumes; • Uranium: continued depressed price $5 $0 Jobs $ Cdn Billion 2008 2009 2010 • 30,000 direct, indirect and induced 2011 2012 2013 2014 2015 2016 jobs 2017 Potash Mining Saskatchewan Potash Mines NORTH BATTLEFORD SASKATOON Saskatchewan PCS Cory PCS Patience Lake Potash Mines Agrium Vanscoy Mosaic Colonsay PCS Lanigan PCS Allan Shaft Solution YORKTON Mosaic Esterhazy K+S Bethune K-1 and K-2 Potash zone REGINA MOOSE JAW PCS Rocanville Mosaic Belle Plaine CANADA U.S.A. 0 25 50 100 150 200 MEXICO Kilometres ESTEVAN • 8 conventional (underground) and 3 solution mines • Recent investments increased capacity at established mines • K+S Bethune Mine commenced production spring 2017 • Merger of PCS and Agrium = Nutrien 1942: Potash discovered in petroleum exploration well in south-central Sask (near Radville) at depth of 2332m Uranium Mining Source : www.cameco.com Uranium Production to Dec. 31, 2017: 1015.9 M lb U3O8; 87.4% from Eastern Athabasca Basin 2017 Production *#*# *#*#**# *# *# *# *# *#*#**#*# *#*#*# *# *# *# *# *# *# # *# *#*#*#* *#*# *# *#*# * *# 19.1 *# *# *#*#*# *# 18 *# *#*# *#* *#*# *#*#*# *#*# *# *# *# *# *# *# *#*#*#**#*#*#*#*#*#*#*#*#**# *# *# *#*# *# #*#**#*#*#*#*#*#*#*#**#*#*#*#*#â!*#**#*#*#*#*# *#*#*# *# *#*# *#*# #*# *##*#*#*#â*#!*#*#* â!*#*#*#*#**#*#â!*#*#*â!#*#*#**#*#*# *# *# *# **# *#*#*#*#*#**#*#*#*#â!â*!#*#*#**# *#â!â!*#â*#!*# *# *# *# *#**# *# *# *# *#*#**#**#â! *#**#*#*#* *#* * â*!#*#*#*#*#*#*#*#*# *#*# *# *##*#**#*# *# *# *#*#*#*#*# *#*#*#**#*#**#*#*#*#*#*#**##*# *#*#**# *#*# *# *#*# *# *#*#â!*#*#*#*#*#*#*#*#*#*#*# â!*#* #*#*# *#*#**#*# *#*#*#*#*# *#*#*# *# *# *#*#*#*#**#*#*#*# **# *# *# *# *# *# *#*#*# *# *#*# *#â! *#*# *# *# *#*#*# *# *#**#*#*#*# *# *# *# *#*#*# *# *# *# *#*#*#*#*#*# *# *# *#*#*#*# *# *#*#*#*# *# *#*#*#*# *# 65.6 *# *# *#*# *# *#*#*# Production*# in Millions (M) lbs U3O8 *# # Recent# Production *# #**# *# Total* 2015 Production: 34..6 M lb U3O8 (13,309 tU) *#*# *# *#*#* * *##*# *#*# *# Total2017: 2014 Production: 34.1 23.6MM lb lb U3O8U (9,093O tU) **# *# *# 3 8 *# *#*# *# Total 2013 Production: 24.3 M lb U3O8 (9,347 tU) Production forecast for *#*#*#*#*# 2016: 36.5 M lb U O *# *# *# Total
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