Technical Report on the Storie Molybdenum Deposit
The Mineral Resource Estimate (MRE) for the Storie deposit has an effective date of October 28, 2022. The resource estimate is summarized in the Table below with the base case cut-off grade of 0.035g/t Mo highlighted. The resource estimate has been confined to an open pit with “reasonable prospects of eventual economic extraction”. The base case cut-off grade covers the Processing + General and Administrative (“G&A”) costs of CDN$14.00/tonne processed using the prices and smelter terms as detailed in the Notes to the Table. The Property consists of 4 mineral tenures owned 100% by B.C. Moly, which encompass the resource pit area as well as surrounding ground.
Notes to the MRE Table:
1. The Mineral Resource estimate has been prepared by Sue Bird, P.Eng., an independent Qualified Person.
2. Resources are reported using the 2014 CIM Definition Standards and were estimated in accordance with the CIM 2019 Best Practices Guidelines.
3. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
4. The Mineral Resource has been confined by a “reasonable prospects of eventual economic extraction” pit using the following assumptions:
· Mo price of US$18/lb at an exchange rate of 0.75 US$ per CDN$;
· 84% metallurgical recovery, Offsite costs of CDN$0.8/lb, Payables of 99%, Royalties of 2.5%
· Mining Costs of CDN$1.75/tonne;
· Processing Costs of CDN$12/tonne and G&A of CDN$2.00/tonne processed;
· Pit slopes of 45 degrees.
5. The resulting NSR equation is: NSR (CDN$) = 84%*Mo Grade*22.366$CDN/lb.
6. The bulk density used is variable with an average value of 2.6.
7. Numbers may not add due to rounding.
The Storie Molybdenum Deposit is situated in the Liard Mining Division, about 6 km southwest of the Town of Cassiar, British Columbia. Cassiar is 540 km from tidewater at Stewart, British Columbia, 125 km north of Dease Lake, B.C., and 137 km from the Alaska Highway west of Watson Lake, Yukon Territory. Cassiar is 1,190 air km from Vancouver.
Cassiar is connected to Highway 37 by a 15 km macadamized paved road. Highway 37, a two-lane paved road in very good condition, provides access to the Alaska Highway (120 km from the Cassiar cut-off), Watson Lake, Yukon (143 km), and Dease Lake, British Columbia.
The BC Moly Property is in the vicinity of three main domains: 1) the Cassiar Terrane; 2) Paleozoic to Mesozoic rocks of the Sylvester Allochthon; and 3) to the west, the mid- Cretaceous Cassiar Stock, a 7 km x 30 km body along the eastern margin of the regional mid-Cretaceous Cassiar Batholith.
The Storie Deposit is located within the Cassiar Stock, a discrete, 33 km x 7 km intrusion emplaced along the eastern margin of the Cassiar Batholith.
The Storie Deposit is one of the low-fluorine porphyry molybdenum type (e.g. Sinclair, 1995), where intrusive rocks generally contain <0.1% F).