BIG COPPER || BIG NICKEL || BIG POTENTIAL
The Frontier project in Greenland is our maiden incubator project. And we think it is phenomenal. It is ~20 times larger than its peers, and is a 3-for-1 play of the greatest copper and nickel deposit types. It’s not just us that think Frontier is a cracker, the large mining company Independence Group has joined us in our hunt for a major mineral deposit and is prepared to put in $10M to earn 80% of the mineral rights. What is neat about this deal is that we can still do deals on parts of the Frontier project - many hands make light work.
Let's start with copper. There are two great copper bearing regions on Earth. The Frontier contains a direct extension of one of them - called the Kupferschiefer Basin in Poland/Germany. And right next to this, is another sequence of rocks that shares similarities with the other great copper bearing region - the Central African Copperbelt in the DRC and Zambia. We don't know anywhere else on Earth that has such rocks existing right next to each other.
The above alone was reason enough to make us very excited. But, what equally appealed to us...is that the Frontier also has world class potential for other deposits.
In fact, it could one of the few remaining places in the world to find a nickel-copper-platinum-palladium deposit comparable to the Noril'sk-Talnakh deposit in Russia - which is arguably the greatest combined source of nickel, copper, platinum and palladium on Earth.
And remember, on top of all this, is that Greenland has a high level of transparency, low corruption, business friendly regulatory environment, and a welcoming government.
Two of the best copper deposit types, and THE best nickel deposit type all wrapped up in one project located in a safe, stable and ethical jurisdiction - this is awesome!
Greenland has an outstanding pedigree. Internationally, it ranks as one of the best places on Earth for low corruption, high human development and freedom. This is a country in which we are more than happy to do business, as we know that normal business practice is ethical and 'clean' and that the rule of law prevails.
Greenland's mineral royalties are less than half those of Western Australia. Similarly, as in the case of the Frontier licences, the holding cost is about half that of a similar project in Western Australian.
At 12,975 km2, as a single project, the Frontier would be easily larger than the area most other exploration companies are working on - e.g. it is 20x larger than the median project listing for exploration companies on the ASX over the last year or so. All else being equal, the Frontier gives us the equivalent land size as more than twenty ASX-listed explorers. We like those odds.
Big is beautiful. In this case, we can leverage substantial economies of scale. Furthermore, as there is no modern regional data covering much of the area, we can carry out cost-effective, basic work to identify and pick the low-hanging fruit. Given the incredible geology and that few have looked at Frontier, we suspect the fruit will be particularly large and juicy.
The Frontier has many anomalies and its hard to cover them all. However, we know it contains evidence of copper, cobalt, zinc, lead, tungsten, antimony and gold.
Our initial target is sediment hosted copper (+cobalt). These deposit types usually leave a lot of copper staining. So exploring for them is a bit like following smoke to find a fire. We have over 275 line kilometers of copper in one basin, which includes grades of up to 6% copper! The other basin has grades up to 15% copper, and 0.15% cobalt.
We are also very interested in nickel sulphides. In this case, the fire burns so intensely that it leaves no smoke. Based on the Frontier's geological qualities, we think it has nickel potential - analogous to the greatest nickel deposits on Earth. And it appears no one has investigated this possibility in any meaningful way. Given the size of the prize, we'd be mad not to go hunting for nickel.