Commander Partners Fjordland and Ivanhoe Electric Announce 2,500 Metre Drill Program at South Voisey’s Bay, Labrador
Commander is pleased to report that project partners Fjordland Exploration Inc. (“Fjordland") (TSX.V: FEX) and Ivanhoe Electric Inc. (“IE”) have announced a 2,500 metre drill program on its South Voisey’s Bay (“SVB”) nickel copper cobalt project in Labrador. Targets to be tested were derived from extensive processing of historical and recent geophysical data including a significant property wide gravity inversion study and the recently completed Low Temperature (“LT”) Superconducting Quantum Interference Device (“SQUID”) Moving Loop Transient Electromagnetic (“MLTEM”) survey performed in 2021.
- Fjordland and Ivanhoe Electric targeting a 2,500 metre drill program at South Voisey’s Bay Property.
- Targets derived from reprocessing of historical geophysics data and from recent LT Squid MLTEM survey.
- Earn-in currently stands at 75% Fjordland and 25% Commander. Fjordland must spend approximately $5,000,000 to vest at 100%.
The South Voisey’s Bay property (29,400 hectares) is located in central Labrador approximately 80 km due south of the operating Voisey’s Bay nickel mine and covers parts of the Pants Lake gabbro complex in the South Voisey’s Bay area. The Pants Lake Complex contains host rocks with alteration and nickel mineralization styles that are geologically similar to the Voisey’s Bay host rocks.
Fjordland has a vested 75% interest in the SVB Property and may acquire up to a 100% interest by paying Commander additional combined cash payments of $250,000, completing an additional $5.0 million in exploration expenditures (approximately $3,000,000 spent to date) and issuing to Commander an aggregate of 3.0 million shares of Fjordland (see Fjordland’s news release dated June 5, 2017 for details). Upon Fjordland acquiring a 100% interest in the project, Commander will retain a 2% NSR (Fjordland having the right to buy down 50% of the Royalty for a payment of $5,000,000 as a cash payment, or a cash payment equal $2,500,000 plus the issuance of shares having a fair market value of 50% of the buy down amount). Commander will also receive a $10.0 million advance royalty payment at the commencement of commercial production. Separately, Fjordland and Ivanhoe Electric have an agreement whereby Ivanhoe Electric funds Fordland’s earn-in obligations in return for future 65% property interest upon Fjordland vesting.
The Company gratefully acknowledges the Newfoundland and Labrador Ministry of Natural Resources' Junior Exploration Assistance (JEA) Program for its financial support that aided the 2021 LT Squid MLTEM survey.
Robert Cameron, P. Geo. is a qualified person within the context of National Instrument 43-101 and has read and takes responsibility for the technical aspects of this release. Preliminary review of the survey data has indicated the presence of conductors that may warrant drill testing however final data processing is still in progress by survey contractors Discovery International Geophysics Inc. under the supervision of project partner Ivanhoe Electric Inc.
On behalf of the Board of Directors
Robert Cameron, P. Geo.
President and CEO
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This news release may include forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required under the applicable laws.