en.Wedoany.com Reported - Pivotal Metals (ASX: PVT) has updated the resource estimate for its Horden Lake project in Quebec, Canada, with total indicated and inferred resources increasing by 42% to 52 million tonnes at a copper equivalent grade of 1.05%, containing 549,000 tonnes of copper equivalent, or 292,000 tonnes of copper, 91,000 tonnes of nickel, 549,000 ounces of 3E (gold, palladium, platinum), 17.2 million ounces of silver, and 7,019 tonnes of cobalt. This positions the ASX-listed junior miner as having one of the largest independent copper mines among ASX small caps. Open-pit resources increased by 46% to 45 million tonnes at a copper equivalent grade of 1.07%, containing 485,000 tonnes of copper equivalent.
Pivotal Managing Director Ivan Fairhall stated that the key to this resource is that it is constrained within a single pit shell, making the project scalable with relatively low development risk and cost. He also noted that the company's released resource version is very realistic, so when entering the preliminary study, a high conversion rate from resources to production targets should be expected. The company is conducting a preliminary study for Horden Lake, with results expected by the end of this quarter. Metallurgical test work is particularly critical for this polymetallic deposit. Test results show that through flotation processes, copper recovery rates reached 87-94% in open and closed circuit tests, with nickel recovery at 50%. Approximately 80% of the project's revenue will come from copper concentrate, with about 20% from nickel. Additionally, ore sorting tests completed by the company doubled sample grades, creating options for project development, either as part of an independent process or by accessing a third-party processing plant to simplify operations and transport ore.
The Horden Lake project is located near roads and can utilize Quebec's hydropower resources, which are among the lowest-cost globally. There are no nearby communities, resulting in low social impact. On the exploration front, Pivotal believes the resource still has expansion potential, with multiple high-priority electromagnetic conductors yet to be tested. Electromagnetic (EM) methods are effective targeting tools for the project, as no barren sulfides or graphite have been found on site. The company is quite confident in continuing to expand the resource. Additionally, the company holds the Belleterre project in southern Quebec, covering a 160-square-kilometer greenstone belt. Recent drilling results intersected 21.1 meters at 2.5% copper, 1.7% nickel, and 2.8 g/t gold and platinum group metals, with drilling ongoing.
Fairhall expressed confusion over Pivotal's market capitalization of just under A$23 million, believing the company is undervalued based solely on the Horden Lake project. He practices what he preaches, purchasing A$15,783 worth of Pivotal shares on the market after the resource announcement. The company hopes the preliminary study will demonstrate Horden Lake's value to the market and enhance its appeal to strategic investors. Through discussions with strategic investors, established funds, private equity, other mining companies, and metal streaming companies, the company expects the preliminary study to unlock significant strategic collaboration opportunities.
