Alexco Resource Corp.
Alexco Resource Corp. holds the historical high grade Keno Hill Silver District located in Canada's Yukon Territory. Employing a unique business model, Alexco also provides mine-related environmental services, remediation technologies and reclamation and mine closure services to both government and industry clients through the Alexco Environmental Group, its wholly-owned environmental services division.
Keno Hill Silver District
(One Project, Four Deposits: Bellekeno, Lucky Queen, Flame & Moth, and Bermingham deposits)
The Keno Hill Silver District has a rich history as one of the world's highest-grade silver districts. Located 330 kilometers north of Whitehorse in Canada's Yukon, and comprises 233 square kilometers characterized by numerous mineral occurrences and more than 35 mine sites with a history of production.
Today, the Keno Hill Silver District is owned by Alexco and it continues to boast significant mineral resources at grades far higher than most of the world's primary silver producers.
Alexco's Bellekeno silver mine, one of the world's highest-grade silver mines with a production grade of up to 1,000 grams per tonne, commenced commercial production at the beginning of calendar year 2011 and was Canada's only operating primary silver mine from 2011 to 2013. The opening of Bellekeno marked the rebirth and rejuvenation of one of Canada's most famous and prolific historic mining districts.
Following suspension of operations at Bellekeno in 2013 and subsequent discovery of two new high grade silver deposits, Alexco published an updated Preliminary Economic Assessment (PEA) in March 2017 which anticipates the sequential development of four high grade silver deposits (Bellekeno, Lucky Queen, Flame & Moth, and Bermingham deposits) over an eight year mine life to produce more than a million tonnes with an average silver grade of 843 grams per tonne (g/t), 3.3% lead and 4.2% zinc. Silver production is anticipated to be approximately 3.5 million ounces per year. The new PEA reported indicated mineral resources of 58 million ounces of contained silver and inferred mineral resources of 17.9 million ounces of contained silver. These numbers showed a district-wide indicated mineral resource increase of approximately 22%.
Over the last ten years Alexco has maintained a strong and systematic exploration ethic at Keno Hill. Alexco is now focused on moving the Keno Hill Silver District back towards a final production decision and operations start-up before the end of 2018 by completing an advanced underground exploration program at its Bermingham deposit, followed by a decision to complete underground development of the Flame & Moth deposit along with recommissioning of the mill and surface infrastructure.
Summary of Resources
Keno Hill Exploration and Development
In early June the Corporation commenced a surface exploration program of approximately 12,000m surface diamond drilling to further explore potentially mineralized structural targets in the immediate vicinity of the Bermingham deposit. Utilizing three drills, the program is budgeted to cost $3.2M. As at August 10, 2017, Alexco had completed 27 holes for a total of 7,100 meters.
The Corporation is also planning an underground exploration program at the Bermingham prospect, where subject to permitting, an exploration decline will be driven approximately 600m to drill stations to provide access for approximately 5,000m of underground infill and confirmation drilling of the high grade indicated resource zone. The objective of the program is to upgrade the existing inferred resources to indicated resources and to upgrade existing indicated resources to measured resource status through completion of closer spaced drilling that will also increase the confidence in the geological model. The total estimated cost of $8.7M, includes a combination of purchase and rebuilds of underground equipment.
Key Management and Directors
Clynt Nauman, BSc (Hons), Chairman and Chief Executive Officer
Mr. Nauman has over 35 years of diversified experience in the mineral industry, ranging from exploration and business development to operations and business management in the precious metals, base metals and coal sectors. Mr. Nauman is also currently the CEO of Asset Liability Management Group and has held various executive and operations positions with Nerco Minerals and Coal companies (now Rio Tinto), Kennecott and Viceroy Resource Corp.
Brad Thrall, B.Sc., MBA, President
Mr. Thrall has over 25 years of experience and accomplishments in mine operations management, environmental management and mine-closure planning and execution. Mr. Thrall has held a number of operations management positions with Viceroy Resource, Barrick Gold and Goldcorp and is also currently the President of Asset Liability Management Group.
Michael Clark, CPA, Chief Financial Officer
Mr. Clark has over fourteen years of experience, including ten years in senior financial roles within the junior mining sector. Prior to joining Alexco, he was with Goldgroup Mining for five years, and held the position of Chief Financial Officer. Mr. Clark also serves on the Board of the Burnaby Hospital Foundation.
Alan McOnie, B.Sc., M.Sc., Vice President of Exploration
Mr. McOnie has over 30 years' experience as a professional geologist in mineral exploration, government and the precious metal industry. Prior to joining Alexco, Mr. McOnie worked as a geological and GIS mapping consultant in Australia, New Zealand, and North America, including Alexco's Keno Hill Project, and has held management and senior management level positions all through his career.
Richard Zimmer, P.Eng., MBA, Lead Director
Terry Krepiakevich, CPA, CA, ICD.D, Director
Elaine M. Sanders, CPA, CA, CPA (Illinois), Director
Rick Van Nieuwenhuyse, M.SC, Director
Michael Winn, Director
On November 7, 2017, Alexco Resource Corp. released results from its 2017 surface exploration drilling program in the vicinity of the Bermingham deposit in the Keno Hill silver district (KHSD) in Canada's Yukon Territory. Numerous significant silver-rich intercepts have been received from 28 of the 37 holes drilled.
Highlights include 5.15 m grading 1,547 grams/tonne (49.73 ounces/tonne) silver in drill hole K-17-0658 and 5.01 m grading 2,464 g/t (79.23 ounces per ton) Ag in drill hole K-17-0643.
On November 7, 2017, Alexco Resource Corp. announced that it completes 2017 Surface Exploration Program, Expands Bermingham Silver Deposit, and Advances Underground Development.