Teck-Hughes Gold Tailings Project

On 30 November 2023, Fulcrum Metals announced that it had entered into a mining option agreement to acquire the Teck-Hughes Tailings Project which is located approximately 1.5 kilometers northwest of the town of Kirkland Lake, Ontario. The Project consists of seven mining claims with non-compliant 43-101 resource estimate of up to 138,460 ounces of gold derived from historic sampling and auger drilling campaigns in 1980 and between 2018 and 2022. 

Since this announcement, Fulcrum has been advancing discussions with Extrakt, a sustainable technology company which uses separation technology to extract metals from tailings without the use of cyanide, about the licensing of its proprietary technology to enhance the recovery of precious metals and the dewatering of tailings. 

Testing 

On 24 January 2024, Fulcrum Metals commenced a phased study and testing program of the Teck-Hughes Tailings Project with Extrakt and is continuing term sheet stage discussions in relation to a wider licensing framework in Ontario. 

In May 2024, Fulcrum Metals announced initial positive results from a first phase sampling and testing program at Teck-Hughes: 

• A proportionate mixed composite sample of all six sites grading 0.723g/t Au was submitted for batch leach testing using Extrakt technology for gold recovery rates (please see announcement dated 7 May 2024). 

• Preliminary leaching results from the “as-received” composite sample achieved strong initial gold recovery rates of up to 59.4% (please see announcement dated 7 May 2024). 

• The optimisation of operational parameters is underway to achieve targeted recovery rates beyond 60%, with a focus on overall efficiency and cost effectiveness. 

Next Steps: 

 Phase 1 – High-Level Gold Recovery Investigation – Completed 

Initial high-level gold recovery investigation will serve as the primary evaluation of the enhanced gold recovery achievable through Extrakt technology. The data collected in this phase will validate and refine the technology and support the planned Phase 2. 

Phase 2 – Conceptual Study 

The conceptual study will provide Fulcrum with a first insight into the project viability using the information developed during Phase 1.  

Phase 3 – Laboratory Test Work 

More detailed test work is required to optimize some of the leach parameters as well as develop necessary scale-up parameters for all the major equipment of the operation. 

Phase 4 – Economic Assessment Study 

The economic assessment study will provide a more accurate insight into the project viability using the more detailed test work results for the whole of the flowsheet. The accuracy of the study is aimed to be at a pre-feasibility level of ± 30% accuracy level.