Nouveau Monde Graphite (NOU.V), the new (and better) name of Nouveau Monde Mining Enterprises has updated its pit-constrained resource model at the Matawinie graphite project in Québec. Whereas the previous resource estimate contained almost 31 million tonnes of rock in a 50/50 ratio between indicated and inferred resources, in excess of 99% of the total resource is now located in the indicated category.
The project now contains a total of 31 million tonnes at an average grade of 4.5% Cg, using a cutoff grade of 2.28% Cg. This new resource estimate will now be used to update the mine plan as well, and this should have a positive impact on the economics in the company’s pre-feasibility study, which should be released right after the summer. It now looks like the 33 million tonne resource should confirm a total mine life of in excess of 25 years at Matawinie.
The company has now awarded Met-Chem Canada the contract to complete a pre-feasibility study on the Matawinie project, which should be completed in September. We would expect the PFS to confirm the economics of the PEA, considering the inferred resources have now been upgraded to the M&I category.