Australia-based South32 (LON: S32; ASX: S32) has been on the lookout for North American base metal opportunities, and its latest move involves an option agreement with Trilogy Metals (TSX: TMQ; NYSE-MKT: TMQ) on the Upper Kobuk assets in Alaska’s Ambler mining district.
On April 10, the companies announced South32 can invest a minimum of $150 million, plus any expenditures at Trilogy’s Arctic project over the next three years to a maximum of $5 million annually, to create a 50:50 joint venture (JV).
The Ambler district sits in northwestern Alaska and is known for volcanogenic massive sulfide (VMS) and carbonate replacement mineralization. Trilogy’s 1,430-km2 land position hosts the Arctic VMS and bornite carbonate replacement copper deposits. The properties have no current road access or nearby power infrastructure, and lie roughly 470 km due northwest of Fairbanks.
Continue reading at The Northern Miner.