NorthWest Copper Drilling Returns More Broad, Shallow and High-Grade Hits at Kwanika

With the drilling season over, BC companies will be reporting assay results over the next few months. Northwest Copper has reported early results and continues to trace higher-grade copper and gold mineralization over broad intervals at relatively shallow depths at the Kwanika project in north-central British Columbia.

In a series of results releases (Sept. 27, Oct. 12 and Oct. 24), the company reported broad mineralized intervals in the north lobe of the Kwanika deposit’s Central Zone and the middle of the Central Zone.

NorthWest reported hole K-22-242 drilled in the middle of the Kwanika Central Zone returned several plus 1% copper-equivalent (CuEq) hits, confirming the high-grade core of the deposit.

Just like the first two rounds of results had targeted expansion and delineation of near-surface high-grade zones in the southern part of the Kwanika Central Zone, the latest sets of assays intersected mineralization to the north of the mineralized footprint, including the shallow, high-grade mineralization in hole K-22-234. (see Exhibits 1, 2 and 3).

The Kwanika property is located about 140km northwest of the town of Fort St. James in northern B.C., next to NorthWest’s Stardust property and near the Lorraine exploration project 40km to the north.

Exhibit 1. Orientation Map for Kwanika and Stardust Projects in British Columbia.

Source: NorthWest Copper.

Starting with the latest results from the northern lobe of the Central Zone, NorthWest reported that hole K-22-237 returned 364.2m of 0.27% copper-equivalent (CuEq) from 27.8 to 392m, including 24.55m grading 0.86% CuEq from 229.3 to 253.85m depth. Additionally, hole K-22-238 reported 167.85m of 0.32% CuEq from 33.55 to 201.4m downhole.

The results complement those from the Sep. 27 release, with hole K-22-234 returning a notable intercept of 87.7m grading 0.86% (CuEq) from 208.8m depth, including 23.95m grading 2.18% CuEq from 244.8m.

On Oct. 12, the company released hole K-22-242, which returned 304.2m grading 0.79% CuEq from 339.3 to 643.5m depth.

For complete drill results, please see Exhibits 3, 4 and 5.

Exhibit 2. Kwanika 2022 Drill Hole Locations.

Source: NorthWest Copper.

Exhibit 3. Drill Results from the Sep. 27 News Release.

Source: NorthWest Copper.

Exhibit 4. Drill Results from the Oct. 12 News Release.

Source: NorthWest Copper.

Exhibit 5. Drill Results from the Oct. 24 News Release

Source: NorthWest Copper.

The Significance

NorthWest Copper interprets this fifth round of Kwanika results as succeeding in expanding the known resource area and adding higher-grade zones around the known resource. The company has reported results from 20 out of 30 holes drilled to date.

The company interprets the results as confirming that strong copper and gold mineralization continues in Kwanika Central Zone’s northern portion.

The latest drill results show that the Kwanika system contains a cluster of deposits over 3km from the South Zone to these recent holes in the north of the Kwanika Central Zone. Further drilling results are expected from the South Zone at Kwanika and the company’s other projects in the coming weeks.

The highlight result from the Sept. 28 release was the high-grade intercept in hole K-22-234, drilled within a broader intersection centred on a 13.35m massive anhydrite vein with chalcopyrite and minor bornite (see Exhibit 6).

Exhibit 6. Cross Sections of holes K-22-234 and K-22-235.

Source: NorthWest Copper.

According to NorthWest, it also encountered a short interval of monzodiorite with disseminated chalcopyrite in K-22-234, prevalent moderate propylitic alteration and potassic alteration focused along fracture and vein boundaries. Above this zone is a 2.1m fault zone and a fine-grained diorite with irregular veins of anhydrite, calcite and quartz sulphide veins with chalcopyrite and pervasive moderate propylitic alteration and potassic alteration focused along fracture and vein edges.

The company reports that holes K-22-234, 235, 236, 239, 241, 243, 244, and 245 have all demonstrated grade continuity within the current resource, which is about 450m in strike length and is open to the north of the proposed pit.

According to the company’s CEO, Peter Bell, the ongoing drilling supports the thesis that more of this style of mineralization can be located while expanding the volume of near-surface mineralization at Kwanika.

In our view, aside from the encouraging widespread high-grade intercepts, it appears the chalcocite breccia is not isolated and occurs at different locations and elevations. These results represent only half of the data from the 2022 drill program on Kwanika, keeping the market hungry for more good news.

As noted, hole K-22-242 highlights the strong mineralization that forms the core of the high-grade zone at Kwanika. The company reports the core displays consistently high copper and gold grades over long intervals, with mineralization over most of the length of the hole, punctuated by multiple zones of over 3% CuEq. The chalcopyrite and bornite mineralization is typical of this part of Kwanika.

These patterns of rock type, alteration, and style of mineralization are similar to many other holes in this part of the Kwanika deposit, and drilling continues to demonstrate lateral continuity of high-grade Central Zone mineralization, according to the company.

Also, in the northern lobe, NorthWest interprets the most recent set of drill results as confirming that strong copper and gold mineralization continues in the northern portion of the Kwanika Central Zone.

Since the company was created in March 2021 via the acquisition by Sun Metals of Serengeti Resources, NorthWest Copper has focussed on delineating the known high-grade portion of Kwanika and adjacent high-grade Stardust deposits. The deal synergistically married Sun Metals’ Stardust asset with Kwanika to extract greater operating efficiencies at a potentially reduced cost.

Next Steps

The 2022 Kwanika drill program includes holes designed to expand the known resource, add new high-grade zones within and around the known resource, and test for new regional centres of mineralization.

While the new northern holes show that the Kwanika system continues, with long intervals of copper and gold mineralization, NorthWest expects to release a significant amount of drilling results through year-end.

The company reports it is just starting to receive assay results from holes drilled earlier this year at Kwanika (including testing of the high-grade zones and Kwanika South), Stardust, East Niv and Lorraine.

The company released an updated mineral resource estimate on the nearby Lorraine Project, just 40km from the Stardust-Kwanika Deposit, on Jun. 30, underpinned by drilling completed between 1949 and 2009, reporting an Indicated Resource of 12.952 million tonnes containing 156,093,000 lb. copper grading 0.55% copper and 0.66% copper-equivalent.

We expect regular news flow from the issuer as the results from portfolio-wide drilling are received from the assay laboratories, albeit at a slower-than-expected pace.

For more information about NorthWest Copper, please review the company’s corporate website at

Company Highlights

  • A relatively new company focused on unlocking value through the combination of the potential Stardust underground and Kwanika open-pit and underground operations;
  • Stardust has an existing Mineral Resource comprising:
    • Indicated: 96 million tonnes grading 2.59% CuEq, for 112.1 million pounds of CuEq
    • Inferred:84 million tonnes grading 1.88% CuEq for 242.2 million pounds CuEq
  • Kwanika’s large scale complements Stardust’s high grades
    • Measured: 9 million tonnes grading 0.54% CuEq
    • Indicated: 6 million tonnes grading 0.38% CuEq
    • Inferred: 4 million tonnes grading 0.26% Cu Eq
  • Favourable metallurgy for Stardust-Kwanika Project
  • A pipeline of earlier-stage projects:
    • New discovery at East Niv
    • Lorraine – large land package, existing high-grade trends, potential synergy with Kwanika-Stardust
  • New MRE on Lorraine (Jun. 30) comprising:
    • Indicated: 12.95 million tonnes grading 0.65% CuEq
  • Ongoing drilling on all four of NorthWest’s assets in 2022
  • Part of the Oxygen Capital group of companies
  • $25 million in cash on hand as of June 2022
  • Substantial ownership by insiders and associates (over 14%)
  • Strong institutional investment (~10%)

For more details, please refer to:

Legal Disclaimer

This report/article has been prepared for general information purposes only. Any opinions herein reflect the views of the Analyst and/or Author as at the date appearing above, and does not constitute a recommendation or individual investment advice, nor should it be considered a solicitation for the purchase or an offer of securities. Information contained in this report is derived from sources believed to be reliable, but its accuracy cannot be guaranteed. The information provided herein is not intended for distribution to, or use by, any person or entity in any jurisdiction or country including the United States, where such distribution or use would be contrary to law or regulation or which would subject PearTree to any registration requirement within such jurisdiction or country.