Marimaca Copper Corp T.MARI

Alternate Symbol(s): MARIF

Metals & Mining Copper

Marimaca Copper Corp. is a Canada-based exploration and development company focused on base metal projects in Chile. The Company’s principal asset is the Marimaca Copper Project, located in the Antofagasta Region of northern Chile. The Marimaca Copper Project is situated at a low altitude in Chile’s Coastal Copper Belt, 25 kilometers (km) east of the port of Mejillones and 45 km north of Antofagasta, Marimaca has access to water and power, road and rail networks supplying sulphuric acid and other consumables, as well as deepwater ports. The Marimaca Copper Project comprises a set of concessions (the 1-23 Claims), properties 100% owned and optioned by the Company, combined with the adjacent La Atomica and Atahualpa claims, over which Marimaca Copper has the right to explore and exploit resources. The Company also has an option agreement to acquire the Pampa Medina project (Pampa Medina), which consists of four mining concessions totaling 144 hectares.

TSX:MARI - Post by User

Marimaca Copper Corp > MARI : new oxide discovery at Mercedes, thoughts ...

<< Previous

Bullboard Posts

Next >>

Comment by 0checkeron Sep 19, 2021 5:41pm

155 Views

Post# 33884893

RE:MARI : new oxide discovery at Mercedes, thoughts ...

Brecknock wrote: From the same contact as before.
Enjoy,
B
---------------------

Hello,

Last Wednesday (September 8th) Marimaca Copper announced a new shallow oxide copper discovery at their Mercedes Target. For the full news release Click Here.

A couple of thoughts:

Slight negative, not a new MOD : as with the Cindy oxide discovery, the results do not indicate a deposit that will match the scale and grade of the Marimaca Oxide Deposit (MOD). However to flip the perspective of this comment on its head, I believe this helps in continuing to demonstrate how rare, and therefore valvable, deposits such as the MOD are.

Positive, new discovery, bigger resource : although potentially not another MOD, this Mercedes discovery in itself is very positive news. Out of 17 drill holes, 12 holes intersected near-surface copper oxide mineralisation. This delineated a potential structure of 400m x 300m from surface down to at least 150m, with grades averaging c.0.4%CuT (keeping in mind the cut-off grade for the MOD resource was 0.22% CuT, using US$3.15 Cu). Several research analysts speculated this indicates a potential additional resource of c.45mt.

Positive, higher grades to come at Mercedes? : it is worth re-stressing that this is first pass exploration, and the Company believes there could well be further higher grade material to be found at Mercedes. Underground mapping of the greater area has shown continuous grades close to 0.5%CuT, including results showing 66m at 0.8% CuT and 60m at 0.7CuT. More work will be done, and with each pass I believe we can hope for higher grade material to be delineated.

Summary - 1) The economics of the PEA around the MOD hasn't changed (at $4.00 Cu price, post tax NPV8 of C$1.06bln, and an IRR of 46%. NAV of C$12.00 / share), 2) The current MOD in pit resource is 113mt of ore. The Cindy discovery indicates a new oxide orebody of c.30-60mt, the new Mercedes oxide discovery is indicating potential of an additional 45mt, and we believe more resources will be found below the existing pit (news release May 5th, 2021). This feels like it is pointing to a future resource of c.200mt plus. 3) What does this all mean ? It means a bigger mineral resource will drive a bigger production profile. If the production profile increases to 50,000 tons pa of copper, or even 60,000 tons pa, then the value and rarity of this project will jump up again. I believe the only real criticism of this asset can be that it isn't of a scale to attract the larger companies. It feels as if the Company is on the road to solving this.

p.s. also ... yesterday Marimaca's CEO Hayden Locke did a very good video presentation / interview with Crux Investors. It is about 20 minutes long. It provides a very good overview of the current state of play, and is well worth a watch. Clink HERE for the video.