Project:
Twin Metals Copper-Nickel-Platinum Group Metals project
Location:
Minnesota, USA
Ownership:
100% owned by Antofagasta plc (LSE: ANTO)
Royalty:
2.4%(1) NSR on copper and nickel that covers approximately 18% of the resources in Maturi and Maturi Southwest Deposits
As of November 30, 2020, Antofagasta reported the following reserves and resources at Twin Metals:
Maturi – Reserves (100% basis)
| Category | Tonnes (millions) | Copper Grade (%) | Contained Copper (bn lbs) | Nickel Grade (%) | Contained Nickel (bn lbs) |
||||||
| Proven | 130 | 0.65 | 1.7 | 0.21 | 0.5 | ||||||
| Probable | 354 | 0.59 | 4.2 | 0.19 | 1.3 | ||||||
| Proven + Probable | 484 | 0.60 | 5.8 | 0.19 | 1.9 | ||||||
| Maturi Southwest – Reserves (100% basis) | |||||||||||
| Category | Tonnes (millions) | Copper Grade (%) | Contained Copper (bn lbs) | Nickel Grade (%) | Contained Nickel (bn lbs) |
||||||
| Proven | - | - | - | - | - | ||||||
| Probable | 43 | 0.48 | 0.4 | 0.17 | 0.1 | ||||||
| Proven + Probable | 43 | 0.48 | 0.4 | 0.17 | 0.1 | ||||||
Maturi – Resources (100% basis)
| Category | Tonnes (millions) | Copper Grade (%) | Contained Copper (bn lbs) | Nickel Grade (%) | Contained Nickel (bn lbs) |
|||||||||
| Measured | 308 | 0.63 | 3.9 | 0.20 | 1.2 | |||||||||
| Indicated | 822 | 0.58 | 9.5 | 0.19 | 3.0 | |||||||||
| Inferred | 531 | 0.49 | 5.2 | 0.16 | 1.7 | |||||||||
| Maturi Southwest – Resources (100% basis) | ||||||||||||||
| Category | Tonnes (millions) | Copper Grade (%) | Contained Copper (bn lbs) | Nickel Grade (%) | Contained Nickel (bn lbs) |
|||||||||
| Measured | - | - | - | - | - | |||||||||
| Indicated | 103 | 0.48 | 1.0 | 0.17 | 0.3 | |||||||||
| Inferred | 32 | 0.43 | 0.3 | 0.15 | 0.1 | |||||||||
(1)The total royalty payable is ½ of the U.S. Government royalty, which was most recently quoted at 4.8%. The U.S. government royalty is subject to change, which would change the royalty payable to Nova. The royalty currently payable to Nova is calculated in the following formula: 4.8% * ½ * 1/3 * ore mined * grade mined * applicable prices of copper and nickel. The royalty is calculated on the basis of contained metal in ore by multiplying ore mined by the grade of the material – and does not subtract the usual deductions due to recoveries, payabilities, TC/RCs, and other applicable operating costs. The 1/3 multiplier in the royalty calculation formula is the mechanism by which those usual costs are captured. In the Technical Report, copper reserves are calculated using recoveries of 94.0% and payabilities of 76.4% and nickel reserves are calculated using recoveries of 60.8% and payabilities of 70.8%.