VANCOUVER, BC, Jan. 16,
2025 /CNW/ - Callinex Mines Inc. ("Callinex" or "the
Company") (TSXV: CNX) (OTCQX: CLLXF) is pleased to provide its 2024
annual letter to shareholders from President and CEO, Max Porterfield:
Dear Shareholders,
I'm grateful for your support over this last year and I'm
excited for what's to come as our team steadily progresses our
high-grade base and precious metals rich deposits, expands our
newest discoveries and hunts for additional opportunities on our
newly expanded land package.
Our achieved objectives in 2024 positioned the Company to
immediately begin moving forward with advanced permitting, which
will cut down on future development timelines, advance our newest
discovery, which could lead to significant resource growth well
beyond what our team has outlined to date, and unlock our newly
acquired land package which could quickly deliver near surface
discoveries. I'd like to thank our shareholders, stakeholders and
our team members for their contributions which collectively made
reaching all of these significant milestones possible.
In 2024, the Company completed critical engineering work on the
Rainbow and Pine Bay deposits as well as baseline studies at the
Pine Bay Project to support submission of an Advanced Exploration
Permit ("AEP"). This work comes on the heels of the 2023 Pine Bay
Project NI 43-101 maiden resource estimate, which included the
high-grade Rainbow deposit with an Indicated Mineral Resource
of 3.44 Mt at 3.59% copper equivalent ("CuEq") and Inferred Mineral
Resource of 1.28 Mt at 2.95% CuEq, as well as the Pine Bay deposit
with an Inferred Mineral Resource of 1.0 Mt at 2.62% Cu (see news
release July 10, 2023).
Callinex's team has worked diligently in conjunction with AECOM,
a consulting firm that's been key in the permitting of numerous
mines in Manitoba including
Hudbay's Lalor and Reed mines. Engineering work on Rainbow has been
completed to build a ramp to the deposit to extract a 10,000 tonne
bulk sample and provide a platform for future underground
exploration. To date, environmental baseline studies including
terrestrial (wildlife and vegetation), water and sediment quality
and species at risk assessment, among others have been completed.
Currently a closure plan is being finalized and once complete will
allow for submission of the AEP application, anticipated to be done
prior to the end of the first quarter 2025.
During the year exploration at the Pine Bay Project continued
unimpeded despite the property being engulfed by the significant
wildfire that impacted approximately 80% of our expanded land
package. The Company's onsite facilities were destroyed and a large
portion of the stored diamond drill core was lost in the event. We
are particularly grateful to the Manitoba government and emergency personnel
who immediately responded to the situation and made sure services
were restored as soon as possible. The unfortunate wildfire has
provided us with a unique opportunity to get a better understanding
of the geology at surface as vegetation has been removed and the
upcoming AEP is planning onsite infrastructure to be located on
areas that have been disturbed by this event.
The Company's exploration focus remained on the Descendent
discovery that has continued to be advanced through geophysics and
step-out drilling, supported by a successful financing in
July 2024. Callinex started the year
by completing a magnetotelluric geophysical survey ("MT") over the
Descendent and other key areas of the Pine Bay Project area. The
results of the MT survey were successful in that they gave further
confidence that the Descendent continued at depth, further
confirmed our exploration model that the deposit is approaching a
fold nose and highlighted a number of additional target areas to be
pursued.
The 2024 drilling campaign was concluded by testing the
Descendent discovery with a 536m
step-out diamond drillhole targeted to intersect vertically below
and slightly to the north of discovery hole DSC-111. The step-out
hole, DSC-113, intersected a broad halo with 800m of volcanogenic massive sulphide ("VMS")
style alteration which included sericite, chlorite, silica, with
disseminated sulphides which increased downhole, with the last
400 metres commonly intersecting highly-altered (sericite and
chlorite schists) before reaching the Descendent horizon, all
assays for DSC-113 are pending. Meanwhile, a borehole pulse
electromagnetic survey ("BPEM") is scheduled to be completed in the
coming days. The Descendent step-out hole was preceded by testing
target area Poseidon where pending assay and BPEM survey results
are also pending.
In May, Callinex announced that it had doubled the Pine Bay land
package through staking and the signing of the Albert's Lake option
agreement. The Pine Bay Project now encompasses approximately 120
square kilometers of highly prospective exploration ground and
completely consolidates both the Baker Patton as well as another
large felsic package. Combined, the Pine Bay Project contains the
largest and most highly altered accumulations of surface exposed
felsic volcanic rocks in the Flin Flon Greenstone Belt, which is
the host rock to the majority of the mines in the region.
On acquisition of our expanded Pine Bay Project area, our team
immediately began permitting the Alberts Lake area and working with
Teck Resources Limited ("Teck") to extinguish an historic back-in
provision that had deterred any significant exploration on the
property for over two decades. By December, we were able to welcome
Teck as a supportive Callinex shareholder together with other
considerations in-lieu of terminating the back-in provision and we
also received a three-year exploration work permit from regulatory
authorities. Callinex is now compiling decades of historic data
through digitization and analysis, which is already yielding
exciting new exploration opportunities.
Looking forward we are eager to complete the work necessary to
submit the Advanced Exploration Permit. We also await results from
our ongoing exploration campaign which will guide our path forward
to delineating a high-grade resource at Descendent as well as our
next steps at Poseidon. On our newly acquired land package, we will
continue to outline exciting exploration opportunities and to
immediately include these new targets in this year's exploration
efforts.
I am pleased that both base and precious metals markets continue
to be resilient and the supply and demand situation indicates a
positive year to come in 2025. Copper has remained buoyant above
$4.00/lb despite potential
macro-economic factors that could dampen demand but remains
supported by potential medium term undersupply and sensitivity to
potential supply disruption. This is highlighted by the
historically low treatment charges, fees paid by miners to smelters
for processing concentrate into refined metal, which are depressed
by a lack of mine supply. Gold meanwhile has several drivers
supporting a strong outlook during this year led by continued
central bank buying and as a safe haven as global uncertainty is
certainly not going away. Both the base and precious metals are
also a safe haven when exposed to short-term weakening of the US
dollar after an exceptionally strong 2024.
Thank you again for your continued support over the last year,
we are eager to advance our objectives and build upon the
milestones we've reached to date.
Sincerely,
"Max Porterfield"
President & CEO
J.J. O'Donnell, P. Geo, a qualified person under National
Instrument 43-101 and Exploration Manager for Callinex, has
reviewed and approved the technical information in this news
release.
About Callinex Mines Inc.
Callinex Mines Inc. (TSXV: CNX)
(OTCQX: CLLXF) is advancing its portfolio of base and
precious metals rich deposits located in established Canadian
mining jurisdictions. The focus of the portfolio is highlighted by
the rapidly expanding Rainbow deposit at its rich VMS Pine Bay
Project located near existing infrastructure in the Flin Flon
Mining District. Callinex prepared an indicated mineral resource on
the Rainbow deposit of 3.44 Mt grading 3.59% CuEq for 272.4 Mlb
CuEq (238.3 Mlb Cu, 56.9 Mlb Zn, 37.6 koz Au, 692.8 koz Ag, 2.3 Mlb
Pb), an inferred mineral resource on the Rainbow deposit of 1.28 Mt
grading 2.95% CuEq containing 83.4 Mlb CuEq (72.1 Mlb Cu, 19.5 Mlb
Zn, 11.1 koz Au, 222.2 Koz Ag, 0.8
Mlb Pb) and an inferred mineral resource at the Pine Bay deposit of
1.0 Mt grading 2.62% Cu containing 58.1 Mlb Cu (see news release
dated July 10, 2023). The second
asset in the portfolio is the Nash Creek Project located in the VMS
rich Bathurst Mining District of New
Brunswick. A 2018 PEA generates a strong economic return
with a pre-tax IRR of 34.1% (25.2% post-tax) and NPV8% of
$230 million ($128 million post-tax) at $1.25 Zinc (see news release dated May 14, 2018). The third asset, 100% owned
Point Leamington Deposit in Newfoundland, is located in one of the richest
VMS and Gold Districts in Canada.
Callinex prepared a pit constrained Indicated Mineral Resource of
5.0 Mt grading 2.5 g/t AuEq for 402 koz AuEq (145.7 koz gold, 60.0
Mlb copper, 153.5 Mlb zinc, 2.0 Moz silver, 1.5 Mlb lead), a pit
constrained Inferred Mineral Resource of 13.7 Mt grading 2.24 g/t
AuEq for 986.5 koz AuEq (354.8 koz gold, 110.2 Mlb copper, 527.3
Mlb zinc, 6.2 Moz silver, 7.0 Mlb lead) and an out-of-pit Inferred
Mineral Resource of 1.7 Mt grading 3.06 g/t AuEq for 168.5 koz AuEq
(65.4 koz gold, 13.3 Mlb copper, 102.9 Mlb zinc, 1.4 Moz Ag, 2.6 Mlb lead) (see news release dated
October 25, 2021).
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Some statements in this news release contain forward-looking
information. These statements include, but are not limited to,
statements with respect to future expenditures. These statements
address future events and conditions and, as such, involve known
and unknown risks, uncertainties and other factors which may cause
the actual results, performance or achievements to be materially
different from any future results, performance or achievements
expressed or implied by the statements. Such factors include, among
others, the ability to complete the proposed drill program and the
timing and amount of expenditures. Except as required under
applicable securities laws, Callinex does not assume the obligation
to update any forward-looking statement.
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SOURCE Callinex Mines Inc.