technical report on the nechalacho deposit, thor lake project ...

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Table 18-7 Estimated Electrical Load at 2,000 TPD Avalon Rare Metals Inc. – Thor Lake Project Load Description No. Units Unit HP Connected HP Load Factor Load (kW) Utilization Factor Energy/ month (kWh) Surface Plant – Main Shaft Area Air Compressors 2 150 300 67% 150 70% 75,542 Shop Equipment 1 15 15 40% 4 20% 644 Hot Water Heaters 1 25 25 70% 13 60% 5,637 Lighting 1 15 15 90% 10 40% 2,899 Office etc. 1 20 20 40% 6 40% 1,718 Surface Plant -Vent Shaft Area Main Ventilation Fans 1 300 300 95% 213 100% 153,018 Pumps 1 25 25 75% 14 67% 6,745 Lighting 1 10 10 90% 7 50% 2,416 Shops 1 20 20 50% 7 40% 2,148 Portable Welder 1 25 25 80% 15 10% 1,074 Heat Trace 5 30 150 100% 112 40% 32,214 Underground Main Dewatering Pumps 2 50 100 80% 60 40% 17,181 Sump and Mud Pumps 1 13 13 80% 8 40% 2,234 Definition Diamond Drill 1 75 75 90% 50 70% 25,369 Diamond Drill Recirculation Pumps 2 10 20 80% 12 80% 6,872 Stope Fans 4 50 200 70% 104 100% 75,167 Development Duct Fan 4 20 80 90% 54 100% 38,657 Electric-Hydraulic Drill Jumbo 2 150 300 80% 179 60% 77,314 MacLean Roof Bolter 1 100 100 80% 60 60% 25,771 Lunch Room 1 20 20 80% 12 30% 2,577 Underground Lighting 1 15 15 90% 10 100% 7,248 Subtotals 1,828 1,099 562,446 Contingency 10% 10% 10% Total Connected Horsepower (HP) 2,011 Total load (kW) 1,209 Diversification Factor 70% Maximum Demand (kW) 846 Monthly Energy Consumption (kWh) 618,690 Daily Energy Consumption (kWh) 20,623 Technical Report 43-101 – March 13, 2011 Page 18-21 Prepared by Avalon Rare Metals Inc.
VENTILATION The mine ventilation is planned to consist of a fresh air fan atop the fresh air intake raise located to the near the western part of the ore body. The intake system will include the mine air fans and direct fired propane mine air heaters. The intake raise will also serve as a service raise for power lines and as an emergency escape way. The raise is planned to be driven at 50 degree dip such that a continuous ladder from top to bottom can be installed as an emergency egress. The mine ventilation air flow has been based upon the mine equipment fleet with an estimate of utilization and an additional allowance for losses and additional needs. The basis for the estimate of 200,000 cfm (95 m 3 /sec) is summarized in Table 18-8. The NWT Mine Regulations (10.62(2)) require the provision of 0.06 m 3 /sec per KW of diesel powered equipment operating at the site. Scott Wilson RPA has estimated the amount of operating diesel equipment in its estimate of mine ventilation air flow and based on these estimates the 200,000 cfm exceeds the minimum requirements of the regulations. There are additional regulations related to the levels of carbon monoxide and oxides of nitrogen in the vicinity of the operator and in the undiluted equipment exhaust. Technical Report 43-101 – March 13, 2011 Page 18-22 Prepared by Avalon Rare Metals Inc.
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TECHNICAL REPORT ON THE NECHALACHO
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TABLE OF CONTENTS 1. SUMMARY ......
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QUALITY ASSURANCE / QUALITY CONTROL
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Warehouse..........................
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LIST OF TABLES Table 1-1 Summary of
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Table 18-9 Mine Ventilation Quantit
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Table 18-54 Table 18-55 Pine Point
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LIST OF APPENDICES APPENDIX A Block
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Table 1-1 Summary of Mineral Resour
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Royalties. The net revenue generate
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• The products will be shipped in
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• Income taxes and NWT mining roy
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2. INTRODUCTION This report
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Figure 2-2 Project Sites, Thor Lake
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Table 2-1 Rare Earth Element Data A
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LIST OF ABBREVIATIONS Units of meas
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4. PROPERTY DESCRIPTION AND LOCATIO
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The mining leases have a 21-year li
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5. ACCESSIBILITY, CLIMATE, LOCAL RE
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Fort Resolution is located on the s
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producing a tantalum concentrate, b
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Figure 7-2 Detailed Deposit Geology
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The nepheline-sodalite syenite host
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LATE TECTONIC FAULTS Faults are pre
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8. DEPOSIT TYPES The mineral deposi
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The Ore (Nechalacho) Nepheline Soda
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from section to section - this may
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Table 9-1 Average Percent of Ore Mi
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The Nechalacho deposit alteration s
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11. DRILLING Since 1977, diamond dr
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Foraco drill rig was added in Febru
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CORE LOGGING AND CORE RECOVERY The
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A high R 2 (and all regressions had
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12. SAMPLING METHOD AND APPROACH A
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such as Illimausaq in Greenland, a
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13. SAMPLE PREPARATION, ANALYSES AN
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limited set of elements; however, s
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CONCLUSIONS Avalon’s conclusions
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Tb and Dy) were routinely monitored
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As part of the QA/QC program, Avalo
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Table 14-4: Comparison of Niobium,
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shows more deviation, with ALS MS81
Page 85 and 86: 16. MINERAL PROCESSING AND METALLUR
Page 87 and 88: In a typical test, for example CCr-
Page 89 and 90: 17. MINERAL RESOURCE AND MINERAL RE
Page 91 and 92: 9. TREO equivalent is estimated by
Page 93 and 94: Table 17-4 Sample Information Avalo
Page 95 and 96: Figure 17-1 Distribution of REO Com
Page 97 and 98: Assay Statistics for Upper Zone* *
Page 99 and 100: CUT-OFF GRADE A previous public res
Page 101 and 102: underneath for SG measurement purpo
Page 103 and 104: Figure 17-4 Density Measurements AL
Page 105 and 106: was equal to 60 m by 60 m by 30 m a
Page 107 and 108: Table 17-12 Detailed Resource Break
Page 109 and 110: Table 17-13 Indicated Mineral Resou
Page 111 and 112: Figure 17-7 Outline of Area of Indi
Page 113 and 114: The recoveries estimated for the fl
Page 115 and 116: grades were based upon the grades w
Page 117 and 118: Figure 18-1 Thor Lake Site Layout T
Page 119 and 120: Scott Wilson RPA recommends the use
Page 121 and 122: During discussions with the mine de
Page 123 and 124: Figure 18-4 Mine Layout Some of the
Page 125 and 126: Figure 18-5 Mine Development Schema
Page 127 and 128: Table 18-2 Development Tonnage Brea
Page 129 and 130: Until the crusher is in place and t
Page 131 and 132: Lateral Development The access decl
Page 133 and 134: Equipment will be selected based up
Page 135: Table 18-6 Estimated Electrical Loa
Page 139 and 140: for closing unused areas and for ch
Page 141 and 142: Mine Fan Horse Power Using the same
Page 143 and 144: Paste Fill System A paste fill syst
Page 145 and 146: Communications Mine communications
Page 147 and 148: completion of the 30 m to 50 m long
Page 149 and 150: HEALTH AND SAFETY All crew will be
Page 151 and 152: The crushing plant is designed for
Page 153 and 154: Table 18-12 (Cont’d) Principal Pr
Page 155 and 156: Figure 18-9 Hydrometallurgical Plan
Page 157 and 158: The Pine Point hydrometallurgical f
Page 159 and 160: Decant pipeworks have been included
Page 161 and 162: • Development of pre-feasibility
Page 163 and 164: Design Basis The pre-feasibility le
Page 165 and 166: non-woven geotextile) to prevent da
Page 167 and 168: divert surface drainage away from r
Page 169 and 170: A high pressure (200 psi) compresse
Page 171 and 172: Fuel deliveries are assumed to be s
Page 173 and 174: Mill Supplies The key mill supplies
Page 175 and 176: Table 18-15 Surface Equipment Fleet
Page 177 and 178: Figure 18-10 Thor Lake Temporary Ba
Page 179 and 180: • Together with the unloading log
Page 181 and 182: it will be necessary to upgrade the
Page 183 and 184: Table 18-16 Hydrometallurgical Plan
Page 185 and 186: Table 18-17 Surface Mobile Equipmen
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Rare Earth FOB China* FOB China** P
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• loparite and eudialyte in alkal
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Table 18-18 Rare Earth supply - 200
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Table 18-20 Rare Earth Demand by Ap
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Table 18-22 Proposed New REO Projec
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in China. On this basis, Avalon is
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Determine Prices for Avalon’s Pro
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The balance of niobium supply is co
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epresenting about 18% of total zirc
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Table 18-25 Historic Chinese Export
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Figure 18-16 Tantalum Markets - 200
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the price for tantalum chemicals in
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Surface Hydrology The Thor Lake dra
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seven) have occurred more frequentl
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elative to uranium, the overall eff
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interviews conducted for the nearby
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Wildlife Early science-based wildli
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Other environmental permits/approva
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TAXES The NWT diesel tax has been i
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Table 18-31 Mine Capital Cost Estim
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Table 18-33 Surface Infrastructure
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Table 18-36 Indirect Cost Estimate
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Table 18-37 Contingency Allowance A
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Operating Cost Exclusions The opera
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Table 18-40 Underground Mine Cost S
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Table 18-41 Mine Cost Details Avalo
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Thor Lake Surface The Thor Lake sur
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Table 18-45 Sales and Marketing Cos
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Table 18-47 Rail Car Load Limits Av
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there will be no overhauls in the i
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Other supplies and freight will be
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Table 18-55 Hydrometallurgical Plan
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Table 18-56 Cash Flow Summary Techn
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The sensitivity of the base case 8%
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19. INTERPRETATION AND CONCLUSIONS
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• The Mineral Reserves, which hav
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20. RECOMMENDATIONS The authors of
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21. REFERENCES BCC Research (2009):
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MDN Inc (2010): News Release Melvil
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Wardrop Engineering Inc. (2009): Th
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23. CERTIFICATES OF QUALIFIED PERSO
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CERTIFICATE OF QUALIFIED PERSON I,
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CERTIFICATE OF QUALIFIED PERSON I,
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Section 416000 Section 416100 Secti
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Technical Report 43-101 - March 13,
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