Canyon Copper Corp. – Advanced Mineral Resource Company
Overview
Canyon Copper Corp. (TSXV:CNC,OTCBB:CNYC), is a resource company with two advanced mineral resource properties in Western USA. Canyon Copper has assembled a management team with the experience and real-world expertise to move its projects forward towards production.
Chief Property
New York Canyon, Nevada, Unites States
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The New York Canyon property is la highly advanced, essentially pre-development stage copper (both oxide & sulphide) and molybdenum project that offers the opportunity for a possible “Fast-Track” copper operation. The Property lies within the famous Walker Lane Structural Belt of western Nevada, in Mineral County, near the town of Luning. Canyon Copper holds 100% interest in over 1300 plus mineral claims representing approximately 26,000 acres.
The most advanced of these mineralized zones is the Longshot Ridge oxide copper skarn deposit, located at the east of the property. The prospect has numerous widespread exposures of copper skarn mineralization, in both surface outcrop and abundant old mine workings. The main focus of recent exploration on the prospect has been on the extensive oxide copper skarn mineralization. The copper mineralization and associated alteration at Longshot Ridge are products of an extensive copper-rich skarn system formed in carbonaceous sediments of the Luning, Gabbs and Sunrise Formations. Small amounts of copper occur also in stockwork veinlets in felsic porphyry intrusive sills and dikes. The copper mineralization consists almost entirely of secondary copper minerals, principally malachite, azurite, chrysocolla and copper wad, in order of abundance. The Longshot Ridge encompasses about 90 percent of the mineralization within the two upper units of the Gabbs Formation. Drilling reveals that the strongest, thickest and most continuous mineralization occurs in a NE-trending zone, 200 feet wide by 1300 feet long, which is crossed by two NW-trending structurally-controlled high grade zones, each about 100 feet wide and from 400 to 700 feet long.
The second of these mineralized zones, the Copper Queen, consists of a copper sulphide skarn and porphyry copper-molybdenum sulphide. The deposit is located approximately three km west of Longshot Ridge. The Copper Queen deposit has had significant historical drilling by previous operators.
The third and final mineralized zone is called the Champion prospect. The prospect is located midway between the Longshot Ridge and the Copper Queen prospect. It consists of both oxide and sulphide copper skarns and has numerous widespread exposures of copper skarn mineralization, both in surface outcrop and in old mine workings.
For the Longshot Ridge target, the Company has obtained an indicated mineral resource estimate, at a cut-off grade of 0.2% copper, of 16,250,000 tons at an average grade of 0.43% Cu, and an inferred mineral resource estimate, at cut-off grade of 0.2% copper, of 2,900,000 tons at an average grade of 0.31% Cu (see National Instrument 43-101 (“NI 43-101″) Technical Report filed on SEDAR on May 6, 2010 and news release dated May 3, 2010).
To date, Canyon Copper has completed 71 drill holes totaling 8,414 m on the Longshot Ridge oxide copper skarn deposit. As a result of Canyon Copper’s drilling program of 38 drill holes in 2004 and 2005 and historical drilling by previous operators, Canyon Copper confirmed an NI 43-101 indicated resource of 16,250,000 tons at an average grade of 0.43% Cu and an inferred resource estimate of 2,900,000 tons at an average grade of 0.31% of Cu at Longshot Ridge. This mineral resource estimate does not include 33 drill holes (7 HQ diamond drill holes and 26 reverse circular drill holes) completed by the Company in 2006. Upon completion of the companies next financing, the company plans to drill and confirm the sulphide deposit to comply with NI 43-101 requirements. Canyon is currently considering production options.
Moonlight Copper Porphyry Project
In November 2011, Canyon Copper entered into an assignment agreement with Metamin Enterprises Inc. to acquire the former Placer Dome Moonlight Project. This property, now the Canyon Copper Moonlight Copper Porphyry Project is a bulk tonnage porphyry copper, gold, silver property. It is located on the Northern end of the Walker Lane Porphyry Trend, south of Hawthorne, Nevada.
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The 2007 Technical Report notes that Placer recognized significant amounts of copper were lost during their drilling and because of this the copper grades estimated from the drilling – which are the grades used in the NI 43-101 resource estimation – are conservative and apparently understated. The Moonlight Copper deposit, which remains open at depth and along strike, is potentially larger than currently known and may also be potentially richer than indicated by the historical drilling.
The Moonlight Copper sulfide deposit, which contains the previously mentioned mineral resources, remains open laterally and to depth. Mineralization extends from the surface to a vertical depth of at least 600 m, which is the length of the deepest hole yet drilled on the target. This hole was mineralized throughout its length (averaging 0.185% Cu) and bottomed in 0.3% Cu. The limits of the deposit are unknown. Additionally, the historical work by Placer, and reconfirmed by Sheffield, indicates that the area also contains substantial near surface oxide copper mineralization, comprising a shallow copper target possibly amenable to low-cost SX-EW extraction. This oxide mineralization was not included in the resource reported in the 2007 Technical Report.
Management
Anthony Harvey – Chairman and CEO
Mr. Harvey has been consulting to companies in the resource industry for over 40 years and has worked on numerous projects with capital costs exceeding $400 million. He has first hand experience with a wide range of technical, commercial, corporate and associated public company activities with considerable interface around the world with government agencies, financial institutions and the media.
From 1959 to 1989 he worked for Wright Engineers Ltd.- Fluor Daniels in various management positions including, Senior Project Manager responsible for the design, construction and start-up of 14 mines world-wide on behalf of major mining corporations.
From 1988 until October 2000, he was a Founder, Director and Senior Executive of Azco Mining Inc., a resource company trading on the Toronto and American stock exchanges. Azco’s principal mineral property was the Sanchez porphyry copper project located near Safford, Arizona. This project was developed through to the bankable feasibility stage and subsequently sold to Phelps Dodge Corporation for US $40 million. Azco’s second project, Piedras Verdes, in Sonora State, Mexico which was joint ventured with Phelps Dodge and was put into production by Frontera Copper Corporation at an initial rate of 70 million lbs. of copper per year.
Mr. Harvey is currently the President and Founder of ARH Management Limited, a management and consulting company to the resource industry. He was also a former Chairman and Director of Oremex Resources Inc., and Lake Shore Gold Corp., a former Director of Cobre Del Mayo, a Mexican copper mining company formed in partnership with Phelps Dodge Corporation, and a Director of Terra Energy Corp.
Ben Ainsworth – President and Director
Benjamin Ainsworth is a senior geologist and mining consultant who has been involved in the mining industry for over forty years. He graduated in 1963 with an honors degree in Geology from Oxford University in England. He joined Placer Development in 1965 and held positions of Senior Geologist, Chief Geochemist, Exploration Manager — Eastern Canada, Exploration Manager — Chile, and President — Placer Chile, South America. Throughout the 1970′s, Mr. Ainsworth was involved in the design, budgeting and implementation of exploration programs that included drill programs, geophysical surveys, geological mapping, geochemical surveys, and a full range of project evaluation studies. He is a registered Professional Engineer in the Province of British Colombia and is a Canadian citizen by naturalization. Mr. Ainsworth is also senior geologist and mining consultant and principal of Ainsworth Jenkins Holdings Inc. and director of several reporting companies including ESO Uranium, Hathor Exploration, Dajin Resources, Columbia Yukon Explorations Inc., and Sultan Minerals Inc.
James Yates – Director
Mr. Yates has over twenty five years experience in the mineral exploration industry and has served as a director and officer of several public mining companies. From 1982 to 1988 he was the Founder, President and Director of Hycroft Resources who successfully brought the Crofoot Mine into production. Mr. Yates has overseen the corporate management and financing of a number of projects in North America including American Bullion Minerals, Zappa Resources, and Jersey Goldfields, having raised in excess of $20 million for mineral exploration development. Mr. Yates is currently a director of ESO Uranium Corp. (TSX-V: ESO), a mineral exploration company focused on uranium exploration, and Nevada Geothermal Power Inc. (TSX-V: NGP), a company engaged in producing geothermal electrical power from geothermal resources in the United States.
Bryan Wilson – Director
Mr. Wilson has enjoyed a varied career in the fields of mining exploration and development for 18 years and financial services for 12 years. He has filled various roles such as Project Geologist/Manager for Shell Canada, Consultant, Financial Advisor for Scotia McLeod, Mining Analyst for C.M. Oliver and Corporate Finance Specialist for Dominick & Dominick and Thames Capital.
Within the mining industry, Mr. Wilson has acquired broad international exposure to a variety of mineral commodities and has worked throughout the world. In 1981, Shell’s East Kemptville Tin Mine with was discovered and developed under his supervision (50.0 million tonnes @ 0.23% Tin).
Kurt Bordian – Chief Financial Officer
Mr. Bordian is a designated Certified General Accountant in Canada, and holds a Bachelor of Commerce (Honors) Degree from the University of Manitoba. He has worked primarily in the mineral exploration and oil and gas industries over the past 10 years, and has held the position of Controller with three public companies exploring and operating in the Solomon Islands, Ghana, Tunisia and Western Canada. Mr. Bordian is also active with other public entities as Operations Manager and Corporate Secretary.
