TSX, NYSE-MKT
Symbol: TMQ
VANCOUVER, March 6, 2017 /CNW/ - Trilogy Metals Inc.
(TSX, NYSE-MKT: TMQ) ("Trilogy Metals" or "the Company") is pleased
to announce that the permitting process is advancing on the Ambler
Mining District Industrial Access Project ("AMDIAP"). The Notice of
Intent ("NOI") initiating the permitting process under the National
Environmental Policy Act ("NEPA") for the preparation of an
Environmental Impact Statement ("EIS") on the AMDIAP was published
on February 28, 2017 by the Bureau of
Land Management ("BLM") in the U.S. Federal Register. The BLM is
the lead Federal agency for the EIS. This notice initiates the
public scoping process for the EIS with comments due by
May 30, 2017.
The Notice of Intent states that the various federal and state
agencies intend to prepare an EIS for Federal authorization to
construct and operate an approximately 211-mile long industrial
access road in the southern Brooks
Range foothills of Alaska,
originating at the Dalton Highway and ending at the Ambler River
and providing access to the Ambler Mining District. The BLM has
announced the beginning of the EIS scoping process to solicit
public comments and identify issues. The BLM intends to coordinate
the development of the EIS with the National Park Service ("NPS"),
which is in accordance with the Alaska National Interest Lands
Conservation Act ("ANILCA"). The NPS is developing a separate
environmental and economic analysis ("EEA") solely for the purpose
of determining the most desirable route for that portion of the
proposed road right-of-way that would cross the Gates of the Arctic
National Preserve.
The AMDIAP is anticipated to provide surface access to the
Ambler Mining District, long known to contain significant deposits
of copper, lead, zinc, gold and silver and specifically including
the Company's Upper Kobuk Mineral Projects – Arctic and Bornite.
Through an Exploration and Option to Lease Agreement with NANA
Regional Corporation, Inc. ("NANA"), Trilogy has the exclusive
rights to enter and explore their Bornite Lands and ANSCA Lands.
Further NANA and Trilogy have agreed to certain matters relating to
the exploration and possible development, construction and
operation of a mine on the Bornite Lands, the ANCSA Lands and the
Ambler Lands contributed by the Company. In exchange for these
rights, NANA receives a net smelter royalty, a net profits share,
and the option to participate as an equity owner in a mining
operation. This partnership also provides, among other things,
scholarship funding, contracting preferences for NANA companies and
a focus on local workforce development.
Through a Memorandum of Understanding ("MOU") the Company has
been working with the Alaska Industrial Development Export
Authority ("AIDEA") over the past several years to identify and
select a preferred access route into the Ambler Mining District and
support engineering and environmental studies as well as community
outreach for the AMDIAP. Now that AMDIAP is in the permitting
phase, the Company intends to sign a new MOU with AIDEA that sets
the foundation to work together during this next permitting
phase.
The AMDIAP is modeled on AIDEA's successful DeLong Mountain
Transportation System ("DMTS"), which includes an industrial access
road from the Red Dog Mine to the DMTS port. AIDEA worked with
private investors to finance construction of the DMTS industrial
access road, and the costs of road construction were paid back
through tolls paid by the mine for use of the road. No State of Alaska general funds were used to
construct the DMTS and that is exactly what is anticipated for the
AMDIAP.
Rick Van Nieuwenhuyse, President
and CEO of Trilogy Metals commented, "Having the BLM initiate the
permitting process is a major accomplishment and milestone for
developing the Ambler Mining District. Permitting in the United States under NEPA is a prescribed
process involving five recognized stages: Public Scoping to
identify concerns; Preliminary Draft EIS (draft permitting
document); Draft EIS and Public Comment; Final EIS and Public
Notice; and finally a Record of Decision ("ROD"). This process has
typically taken two to three years to complete. However, with the
issuance of Executive Order # 13766 (entitled: "Expediting
Environmental Reviews and Approvals for High Priority
Infrastructure Projects") under the new Trump Administration which
directs the federal agencies to coordinate an effort to streamline
the permitting process, particularly with respect to important
infrastructure projects, we are hopeful that the permitting
timeline could be shortened. The Company plans to work closely with
AIDEA to accomplish this important objective."
About Trilogy Metals
Trilogy Metals Inc., formerly NovaCopper Inc., is a metals
exploration company focused on exploring and developing the Ambler
mining district located in northwestern Alaska. It is one of the richest and
most-prospective known copper-dominant districts located in one of
the safest geopolitical jurisdictions in the world. It hosts
world-class polymetallic VMS deposits that contain copper, zinc,
lead, gold and silver, and carbonate replacement deposits which
have been found to host high grade copper mineralization.
Exploration efforts have been focused on two deposits in the Ambler
mining district - the Arctic VMS deposit and the Bornite carbonate
replacement deposit. Both deposits are located within the Company's
land package that spans approximately 143,000 hectares. The Company
has an agreement with NANA Regional Corporation, Inc., a Regional
Alaska Native Corporation that provides a framework for the
exploration and potential development of the Ambler mining district
in cooperation with local communities. Our vision is to develop the
Ambler mining district into a premier North American copper
producer.
Cautionary Note Regarding Forward-Looking
Statements
This press release includes certain "forward-looking
information" and "forward-looking statements" (collectively
"forward-looking statements") within the meaning of applicable
Canadian and United States
securities legislation including the United States Private
Securities Litigation Reform Act of 1995. All statements, other
than statements of historical fact, included herein, including,
without limitation, statements relating to the future operating or
financial performance of the Company, planned
expenditures and the anticipated activity at the UKMP
Projects, the potential timing and preparation of a PFS on the
Arctic deposit, and anticipated activity with respect to the
AMDIAP, are forward-looking statements. Forward-looking statements
are frequently, but not always, identified by words such as
"expects", "anticipates", "believes", "intends", "estimates",
"potential", "possible", and similar expressions, or statements
that events, conditions, or results "will", "may", "could", or
"should" occur or be achieved. These forward-looking statements may
include statements regarding perceived merit of properties;
exploration plans and budgets; mineral reserves and resource
estimates; work programs; capital expenditures; timelines;
strategic plans; market prices for precious and base metals; or
other statements that are not statements of fact. Forward-looking
statements involve various risks and uncertainties. There can be no
assurance that such statements will prove to be accurate, and
actual results and future events could differ materially from those
anticipated in such statements. Important factors that could cause
actual results to differ materially from the Company's expectations
include the uncertainties involving the need for additional
financing to explore and develop properties and availability of
financing in the debt and capital markets; uncertainties involved
in the interpretation of drilling results and geological tests and
the estimation of reserves and resources; the need for cooperation
of government agencies and native groups in the development and
operation of properties as well as the construction of the access
road; the need to obtain permits and governmental approvals; risks
of construction and mining projects such as accidents, equipment
breakdowns, bad weather, non-compliance with environmental and
permit requirements, unanticipated variation in geological
structures, metal grades or recovery rates; unexpected cost
increases, which could include significant increases in estimated
capital and operating costs; fluctuations in metal prices and
currency exchange rates; and other risks and uncertainties
disclosed in the Company's Annual Report on Form 10-K for the year
ended November 30, 2016 filed with
Canadian securities regulatory authorities and with the United
States Securities and Exchange Commission and in other Company
reports and documents filed with applicable securities regulatory
authorities from time to time. The Company's forward-looking
statements reflect the beliefs, opinions and projections on the
date the statements are made. The Company assumes no obligation to
update the forward-looking statements or beliefs, opinions,
projections, or other factors, should they change, except as
required by law.
Cautionary Note to United States Investors
The Arctic Preliminary Economic Assessment and the Bornite
Technical Report have been prepared in accordance with the
requirements of the securities laws in effect in Canada, which differ from the requirements of
U.S. securities laws. Unless otherwise indicated, all resource and
reserve estimates included in this press release have been prepared
in accordance with National Instrument 43-101 Standards of
Disclosure for Mineral Projects ("NI 43-101") and the Canadian
Institute of Mining, Metallurgy, and Petroleum Definition Standards
on Mineral Resources and Mineral Reserves. NI 43-101 is a rule
developed by the Canadian Securities Administrators which
establishes standards for all public disclosure an issuer makes of
scientific and technical information concerning mineral projects.
Canadian standards, including NI 43-101, differ significantly from
the requirements of the United States Securities and Exchange
Commission ("SEC"), and resource and reserve information contained
therein may not be comparable to similar information disclosed by
U.S. companies. In particular, and without limiting the generality
of the foregoing, the term "resource" does not equate to the term
"reserves". Under U.S. standards, mineralization may not be
classified as a "reserve" unless the determination has been made
that the mineralization could be economically and legally produced
or extracted at the time the reserve determination is made. The
SEC's disclosure standards normally do not permit the inclusion of
information concerning "measured mineral resources", "indicated
mineral resources" or "inferred mineral resources" or other
descriptions of the amount of mineralization in mineral deposits
that do not constitute "reserves" by U.S. standards in documents
filed with the SEC. Investors are cautioned not to assume that any
part or all of mineral deposits in these categories will ever be
converted into reserves. U.S. investors should also understand that
"inferred mineral resources" have a great amount of uncertainty as
to their existence and great uncertainty as to their economic and
legal feasibility. It cannot be assumed that all or any part of an
"inferred mineral resource" will ever be upgraded to a higher
category. Under Canadian rules, estimated "inferred mineral
resources" may not form the basis of feasibility or pre-feasibility
studies except in rare cases. Investors are cautioned not to assume
that all or any part of an "inferred mineral resource" exists or is
economically or legally mineable. Disclosure of "contained ounces"
in a resource is permitted disclosure under Canadian regulations;
however, the SEC normally only permits issuers to report
mineralization that does not constitute "reserves" by SEC standards
as in-place tonnage and grade without reference to unit measures.
The requirements of NI 43-101 for identification of "reserves" are
also not the same as those of the SEC, and reserves reported by the
Company in compliance with NI 43-101 may not qualify as "reserves"
under SEC standards. Accordingly, information concerning mineral
deposits set forth in this press release or the Bornite Technical
Report may not be comparable with information made public by
companies that report in accordance with U.S. standards.
SOURCE Trilogy Metals Inc.