Abitibi Metals (CSE:AMQ) has announced the addition of a second drill rig to its Phase II drilling program at the B26 polymetallic deposit, located in Quebec, Canada. The company, which has been steadily advancing its efforts at the high-grade deposit, plans to complete a total of 16,500 metres of drilling by the end of 2024. This announcement marks a significant milestone in Abitibi’s exploration efforts, as the company continues to explore two priority targets that have shown promising signs of mineralization.

Jonathon Deluce, CEO and President of Abitibi Metals, commented in a press release: “We are excited to announce the arrival of a second drill for our Phase 2 drill program at the B26 Deposit. The addition of this drill underscores our commitment to accelerating the exploration process and building credibility for our target size of 30 – 50 million tonnes at B26. With Phase 1 having successfully extended mineralization close to surface, this second drill will allow us to further test high-priority targets across the Mid-Level and Western Plunge Targets. Currently the first rig is drilling 1274-24-342 which is an important up to 400 metre step-out to test the western-plunge downdip. The first hole of Phase II (338) is the deepest intercept in the Project’s history. Pending positive assays, we look forward to cost effectively continuing to expand the mineralized zones with additional directional drilling at multiple levels covering the western plunge target. While some shareholders may have concerns about the current drilling depth, it’s important to emphasize that given the size and scale of our target, this depth is still considered shallow for a potential underground mine. When comparing the alteration signature to other significant deposits in the Abitibi region, the potential for B26 suggests a much deeper system, making this drilling phase essential for fully understanding the deposit’s potential.”

The B26 deposit has been a focal point for Abitibi since it entered into an option agreement with SOQUEM Inc. on November 16, 2023. Under the terms of this agreement, Abitibi has the option to earn an 80% interest in the deposit over a seven-year period. SOQUEM, a subsidiary of Investissement Québec, is a key player in the Quebec mining industry, promoting exploration and development in the region.

The Phase II drilling program at B26 focuses on two main targets: the Western Plunge Target and the Mid-Level Resource Growth Target. These areas have seen limited drilling in the past, and Abitibi aims to further define the extent of mineralization within these zones as part of its larger goal to establish a resource base of 30 to 50 million tonnes.

So far, Abitibi has completed three drill holes and a wedge, totaling 3,385 metres. These efforts have been aimed at exploring both the Western Plunge and Mid-Level Resource targets. Two additional drill holes are currently in progress, using the company’s expanded drilling capacity.

One of the ongoing drill holes, labeled 1274-24-342, has a planned total length of 1,500 metres, with 1,400 metres of vertical depth. This hole targets the Western Plunge, a key area of interest due to prior drill results from 1274-16-236, which intercepted 5.08% copper equivalent (Cu Eq) over 7.1 metres. The current drilling aims to further assess this zone and explore step-out sections up to 400 metres from the previous interception. Depending on assay results, this drill hole could be used as a launching point for further wedge or directional holes, providing additional data on the Western Plunge at various levels.

The second drill hole underway, labeled 1274-24-345, is planned to reach 600 metres in total length. This hole targets the Mid-Level Resource, located approximately 100 metres away from a previous drill hole, 1274-13-97, which intercepted 2.86% Cu Eq over 4.7 metres. The goal of this hole is to better define the Mid-Level Resource and provide more information on the mineralization in this area.

Recent core observations from completed drill holes have provided encouraging signs of mineralization. In particular, drill hole 1274-23-338 and its wedge, 1274-23-338-W1, showed strong chalcopyrite stringer mineralization. Chalcopyrite, a key copper-bearing mineral, was found in concentrations ranging from 2% to 20% over intervals of several metres. The wedge hole intercepted a zone of mineralization from 1159.4 to 1230 metres in depth, with significant chalcopyrite concentrations observed over a stretch of 71 metres. These findings are particularly notable as they support the Western Plunge thesis, further validating the potential of this target zone.

Abitibi’s ongoing efforts at B26 are guided by a strategic vision to expand the resource base and build a significant polymetallic deposit. The company’s current drilling campaign is focused on two critical areas with high upside potential. The Western Plunge and Mid-Level Resource targets represent opportunities to uncover substantial mineralization, and Abitibi aims to gather enough data to define a 30 to 50 million tonne resource at B26.

The B26 deposit itself hosts a historical resource estimate of 7 million tonnes at 2.94% Cu Eq in the indicated category, with an additional 4.4 million tonnes at 2.97% Cu Eq in the inferred category. Abitibi’s current exploration efforts are aimed at updating and expanding this resource estimate as drilling progresses.

SOQUEM, Abitibi’s partner at B26, plays a key role in the development of Quebec’s mining industry. The organization, a subsidiary of Investissement Québec, focuses on the exploration and development of mining properties within the province. SOQUEM promotes local economic development through its exploration initiatives and seeks to position Quebec as a leader in the mineral sector, with an emphasis on innovation and strategic mineral resources.

As Abitibi continues its work at B26, the company remains focused on unlocking the deposit’s full potential. The addition of a second drill rig underscores the importance of this phase of exploration, as the company looks to gather the data necessary to advance the project and establish the resource base it envisions.

Highlights from the update are as follows:

• Second Drill Rig Added: Phase 2 drill program is targeting 16,500 metres with the aim of building credibility for an exploration target supporting our vision to define a 30 – 50 million tonne resource at B26.
• Major Step-Out Drilling: The first rig is currently drilling an up to 400-metre step-out hole (1274-24-342) to test the Western Plunge downdip that would expand known mineralization including 5.08% Cu Eq over 7.1 metres in 1274-16-236.
• Significant Mineralization Encountered: Initial drilling from Phase II has shown strong chalcopyrite stringer mineralization over 81 metres, with the deepest intercept in the Project’s history identified in the first hole (1274-23-338, see news release dated September 5, 2024). This coupled with the recently drilled wedge (1274-23-338-W1), which indicates strong mineralization composed of chalcopyrite stringers developed against late-tectonic quartz veining, highlights significant potential for resource expansion.

Abitibi Metals (CSE:AMQ) has provided an update on its 16,500-metre Phase 2 drilling program at the B26 Polymetallic Deposit, located in Quebec. The project is fully funded, with $15.5 million allocated for the completion of the 2024 program, and an additional 20,000 metres of drilling planned for 2025. The results from this drilling program are intended to contribute to a Preliminary Economic Assessment as part of Abitibi’s option to acquire an 80% interest in the deposit from SOQUEM Inc.

Jonathon Deluce, CEO of Abitibi Metals, commented in a press release: “The first hole of Phase 2 has delivered exceptional observations of continuity of visual copper mineralization. This hole supports our expansion thesis of the western plunge and is the deepest intercept in the Project’s history. We are now planning on extending the zone with a wedge 50 metres from the first intersection. The LaRonde Mine (2P reserve of 2.9 Moz Au) located 62 kilometres west of Val-d’Or in Quebec extends beyond 4.0 km highlighting potential size of these deep seeded systems in the Abitibi.”

The company’s latest step-out drilling at the deposit, specifically Drillhole 1274-24-338, has yielded promising results in the western plunge extension of the deposit. The hole, initially planned to reach a depth of 1,250 metres, was extended to 1,422 metres after positive visual indicators of mineralization were observed. This hole was designed to test the extension of a high-grade mineral lens previously identified in drillhole 1274-16-236, which intercepted 5.08% copper equivalent (Cu Eq) over 7.1 metres.

Key Drilling Results and Mineralization Zones

Drillhole 1274-24-338 intercepted the copper-gold zone at a depth of 1,206 metres, extending to 1,287 metres. This intercept occurred 35 metres west of hole 1274-16-236 and 90 metres deeper. Notably, this is one of the deepest western extensions in the history of the B26 project. Continuous chalcopyrite mineralization was observed in the intercept, marking a significant development in the ongoing exploration of the deposit.

The drilling identified three distinct mineralized domains at depth:
1. Copper-Gold (Cu-Au) Zone: Located between 1,206 and 1,287 metres, this zone contained significant quartz veining and chalcopyrite stringers.
2. High-Grade Zone within the Cu-Au Zone: Spanning from 1,262 to 1,272 metres, this section exhibited semi-massive bands of chalcopyrite, with chalcopyrite making up 10% to 60% of the core volume. Quartz veining accounted for 30% of the structure.
3. Volcanogenic Massive Sulfide (VMS) Zone: Found between 1,314 and 1,344 metres, this zone contained notable concentrations of zinc (Zn), silver (Ag), copper (Cu), and lead (Pb).

The 81-metre-long Cu-Au mineralized interval (1,206 to 1,287 metres) included chalcopyrite stringers within strongly altered felsic volcanic rocks. Mineralized bands ranged from 0.4 to 4 metres in thickness, offering further indications of the potential scale of the deposit’s mineralization.

Abitibi Metals has commenced drilling a wedge from Drillhole 1274-24-338, designated as 1274-24-338 W1. This wedge hole aims to intercept the mineralized zone approximately 50 metres west of the original pilot hole, further testing the extension of the deposit at depth. The wedge was initiated at a downhole depth of 900 metres and has reached 1,407 metres, with further drilling planned.

This next phase of exploration is part of the company’s broader efforts to fully assess the potential of the B26 deposit and will inform future development plans.

Abitibi Metals entered into an option agreement on November 16, 2023, to earn up to an 80% interest in the B26 Polymetallic Deposit over a seven-year period. The B26 Deposit is situated within the Brouillan Volcanic Complex in the Abitibi Greenstone Belt, a region well-known for its base and precious metal deposits. The deposit is host to a historical resource estimate of 7.0 million tonnes (Mt) at 2.94% Cu Eq (indicated) and 4.4 Mt at 2.97% Cu Eq (inferred), according to a 2018 report by SGS Canada Inc. However, the company has clarified that this historical estimate has not been verified as current resources or reserves by a qualified person under National Instrument 43-101 standards.

SOQUEM Partnership

SOQUEM Inc., a subsidiary of Investissement Québec, retains a 20% interest in the project as part of the option agreement. SOQUEM is focused on the exploration and development of mining properties across Quebec, contributing to the province’s economic growth. SOQUEM has been a key partner in the development of the B26 project, bringing both technical expertise and local knowledge to the venture.

Abitibi Metals (CSE:AMQ) has announced the successful completion of the first phase of its maiden drill program at the B26 Polymetallic Deposit. The drill program, which is part of a larger, fully funded 50,000-metre campaign planned for 2024 and 2025, aims to advance the understanding of the deposit and test its open-pit potential.

The B26 Polymetallic Deposit is located within the renowned Abitibi Greenstone Belt, a region known for its rich history of base and precious metal production, including the Detour and Casa Berardi Mines. The project comprises 66 claims covering an area of 3,328 hectares in the Eeyou Istchee Baie-James territory. Abitibi Metals secured an option agreement with SOQUEM Inc., a subsidiary of Investissement Québec, on November 16th, 2023, which grants the company the right to earn an 80% interest in the project over a period of 7 years.

Jonathon Deluce, CEO of Abitibi Metals, commented in a press release: “We are thrilled with these initial results of our maiden drill program at the B26 Polymetallic Copper Deposit. We had initially planned to drill 2,750 metres but with the continued success in drilling and support from our shareholders, we expanded our maiden program to 13,500 metres, larger than our initial total program for 2024. The significance of this program cannot be understated. Part of our thesis when we optioned B26 was to assess the potential open-pit component that could be added to the historical underground resource. Our strategy for this maiden program was to primarily concentrate on high-priority targets within the Main Deposit to a depth of 300 metres, and the results from #293, #294, #300 and #301, which identified significant near-surface high metal factor zones, support our thesis of assessing the open-pit potential at B26 further. With the recently completed financing bringing our total treasury to approximately $19 million, we are well-positioned to build on this maiden program with a further 36,500 metres to be drilled into 2025. I look forward to sharing the remaining results in the coming weeks as we prepare for the next phase of drilling in the Spring of 2024.”

Phase 1 of the drill program consisted of 44 diamond drill holes, totaling 13,502 metres. This initial phase is part of a larger, fully funded 50,000-metre program that the company plans to complete between 2024 and 2025. Assay results from the first 10 holes have already been released, with results from the remaining 34 holes expected to be announced in the coming weeks, once the data has been received and compiled.

Abitibi Metals’ strategy for developing the B26 Deposit in 2024 is centered around five key milestones:

1. Expansion of the Drill Program: Building upon the 13,500 metres completed in Phase 1, the company plans to drill an additional 16,500 metres in 2024, contributing to the overall goal of 50,000 metres by 2025.
2. Updating the Internal Resource Estimate and 3D Geological Model: The company recently announced its first 3D model of the project, which integrates data from the maiden drill program with over 115,000 metres of historical drilling conducted by SOQUEM. This updated model represents a significant advancement in understanding the geological controls of mineralization within the deposit and is expected to improve confidence in an updated internal mineral resource estimate currently underway.
3. Conducting a Gravity Survey: To further enhance the understanding of the deposit’s geology, Abitibi Metals plans to conduct a Gravity Survey grid covering extensions of the VMS contact. This survey will help model the mafic-felsic contacts and sulphide-rich environment, aiding in the targeting of new mineralized extensions and satellites at shallow to moderate depths (300 to 600 metres). The company believes that an integrated geophysics approach could lead to additional discoveries on the property.
4. Evaluation of Assay Preparation Protocols: Addressing the recommendations made by SGS in the 2018 resource estimate, Abitibi Metals has implemented a series of assaying protocols to control QAQC issues from the outset of the project. These adjustments include finer crushing of samples (95% passing 1.7 mm) and pulverizing a larger 1 kg split down to 106 µm (150 mesh). The company believes these measures will help to better evaluate higher-grade areas of the deposit, as demonstrated by the results of drillhole 1274-24-293, which highlight the potential for grade increases within specific areas.
5. Assaying Historical Unassayed Core: The 2018 resource estimate by SGS identified 8,300 metres of historical unassayed core within the mineralized corridor. Abitibi Metals intends to assay these identified areas to refine the deposit model and better delineate the boundaries of the mineralization.

In addition to the ongoing work at the B26 Deposit, Abitibi Metals is also conducting drilling at the nearby Beschefer Gold Project, located just 7 km to the northeast. As of April 22, 2024, the company has completed 5 holes totaling 1,679 metres in the East Zone, which has historically yielded high-grade gold intercepts, including 55.63 g/t gold over 5.57 metres and 13.07 g/t gold over 8.75 metres. The company is on track to complete a total of 2,975 metres across 10 holes at the Beschefer Project.

The B26 Polymetallic Deposit represents a significant opportunity for Abitibi Metals to develop a copper, zinc, gold, and silver resource in a region with a rich mining history. The deposit has a strike length of 1 km and a depth extent of 0.8 km, both of which are open to expansion. With year-round road access and a power line running through the project, Abitibi Metals is well-positioned to advance the exploration and development of this promising asset.

As the first public company to have the option to earn into the B26 Deposit, Abitibi Metals is committed to delivering shareholder value through an aggressive exploration approach. The fully financed 50,000-metre drill program, spanning 2024 and 2025, will focus on advancing the historical 2018 resource while simultaneously testing the deposit’s open-pit potential.

With the successful completion of Phase 1 drilling and assay results pending for the remaining 34 holes, Abitibi Metals is poised to make significant strides in understanding the B26 Polymetallic Deposit. The company plans to recommence drilling activities in early June, once the winter break-up concludes and Phase 2 targeting is finalized. As the exploration program progresses, investors and stakeholders can expect regular updates on the company’s advancements and discoveries at this exciting project in the heart of the Abitibi Greenstone Belt.

Highlights from the results are as follows:

• B26 Main Deposit: 36 holes were completed, totalling 10,469.5 metres, to evaluate the open pit potential and potential up-dip near-surface extensions of the Main Deposit to the north and infill gaps in the model.
• Satellite West: 5 holes were completed, totalling 1,716 metres, targeting the geometric continuity of a potential satellite zone 500 metres to the west of the Main Deposit.
• Eastern Extension: 3 holes were completed, totalling 1,317 metres, targeting the expansion of the main deposit to the east where 2.45% Cu Eq over 26.7 metres, including 4.74% CuEq over 11.7 metres (1274-14-167) was intercepted in historical drilling.
• Phase 1 highlight intervals to date include:

• • #1274-24-293: 2.6% CuEq over 37.0 metres beginning at 106 metres depth, including 6.3% CuEq over 10.6 metres
  • #1274-24-294: 2.5% CuEq over 61.3 metres beginning at 128.6 metres depth, including 11.4% CuEq over 10.6 metres
  • #1274-24-300: 5.35% CuEq over 8.1 metres beginning at 251.5 metres depth
  • #1274-24-301: 1.47% CuEq over 97.5 metres beginning at 30.5 metres depth, including 3.9% CuEq over 21.9 metres

• Historical 2018 resource prepared by SGS Canada Inc. for SOQUEM Inc. that includes 254 holes over 115,311 meters, advancing the asset to a significant resource that includes, across all categories, 400 million pounds of copper, 286,000 ounces of gold, and significant zinc silver exposure.
• B26 Historical Resource Summary¹ (2018)

• • Indicated: 6.97 Mt at 2.94% Cu Eq (1.32% Cu, 1.80% Zn, 0.60 g/t Au and 43 g/t Ag)
  • Inferred: 4.41 Mt at 2.97% Cu Eq (2.03% Cu, 0.22% Zn, 1.07 g/t Au and 9 g/t Ag)

• Historical drilling by SOQUEM has established the continuity down to a vertical depth of 800 meters and the deposit remains open at depth and laterally with strong historical intercepts including:

• • 2.32% Cu Eq over 89.5 metres (1274-13-117)
  • 3.05% Cu Eq over 48.1 metres (1274-16-224)
  • 8.95% Cu Eq over 11.5 metres (1274-14-152)

• The B26 deposit is situated within 7 km of the historical Selbaie Mine, a Polymetallic Deposit with a variety of mineralization styles and element combination, that had a historical resource of 56.9 Mt @ 0.87% Cu, 1.85% Zn, 0.55 g/t Au, 39 g/t Ag (CONSOREM 2012). Reference to this nearby property is for information only, and there are no assurances that the Company will achieve the same results at the B26 Deposit.

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a licensed professional for investment advice. The author is not an insider or shareholder of any of the companies mentioned above.