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 |   | Exploration Outlook
The Corporation will continue to focus on the relatively unexplored Cote-Enid-Massey Mafic Intrusive Complex ("CEMMI"). This area contains untested airborne conductors showing potential for VMS, Cu-Ni-PGM, and, possibly Au mineralization. The Corporation plans to continue systematically exploring this potential with state-of-the-art methods.
The CEMMI and known mineralization on the Enid-Massey Property represents an environment distinctly similar to that found at Falconbridge's Montcalm nickel mine located approximately 20km to the northwest.
According to publicly available information, the Xstrata's Montcalm Project has an estimated resource of 7 million tonnes of nickel copper sulphide, of which an estimated 5.1 million tonnes grading 1.46% nickel and 0.7% copper are in the measured and indicated category and are expected to support a mine life of 8.5 years.
Xstrata's Montcalm project reached its designed production capacity of 750,000 tonnes annually during the fourth quarter of 2004 and is currently evaluating the possibility of increasing the annual mining rate from 875,000 tonnes to one million tonnes per year.
Two concentrates are produced at such mine: a copper concentrate, which is treated at the Kidd Metallurgical complex, and a nickel concentrate, which is transported to the Sudbury smelter for processing into, nickel matte. The Montcalm Project is expected to contribute up to 9,000 tonnes annually to refined nickel output. (Source Xstrata).
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