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

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During Phase 2 of operations the tailings discharge pipeline will be extended around Ring and Buck Lakes. Additional discharge locations will be installed around the perimeter of the Tailings Basin and tailings deposition will be rotated between outlet locations to develop a flat tailings beach around the facility and maintain a supernatant pond in the central portion of the Tailings Basin. A Polishing Pond will be constructed at the southeast side of the Tailings Basin if monitoring and testwork completed during Phase 1 operations indicate that it is required. Operations and Monitoring Proper operations, monitoring and record keeping are a critical part of any waste or water management facility. For the TMF, the requirements for proper operation and monitoring of the facility will be active and ongoing. Operations of the TMF will require full-time personnel, dedicated to managing the facility. Before and during construction, an Operation, Maintenance and Surveillance (OMS) Manual will be developed for the TMF. The following sub-sections provide a preliminary overview of the operations and monitoring requirements. It is recommended that a single person designated as Manager of the TMF be responsible for the ongoing operation of the facility. Special consideration must be given to winter operation to prevent complete freeze up of the available supernatant pond water. Monitoring of the TMF will provide important input for performance evaluation and refinement of operating practices. In addition to the data collection, regular inspections of the TMF and associated structures will be completed. Regular inspections will help identify any areas of concern that may require maintenance or more detailed evaluation. The inspection program would include detailed visual inspection of all embankments and berms, pipelines, pumps, culverts, spillways etc. PINE POINT TAILINGS MANAGEMENT FACILITY The proposed Hydrometallurgical Tailings Management Facility (HTMF) will be located on the site of the Historic Teck Cominco Tailings Pond which is west of the Hydrometallurgical Process Plant. The concept includes construction of a paddock type tailings basin on top of the existing tailings. Knight Piésold prepared the pre-feasibility design for facilities related to tailings and water management for the HTMF based on the following work completed: • Desktop review of available information • Summarization of general site conditions and design criteria Technical Report 43-101 – March 13, 2011 Page 18-45 Prepared by Avalon Rare Metals Inc.
• Development of pre-feasibility level design for the HTMF based on the proposed concept • Development of a schedule of materials and quantities for inclusion in pre-feasibility study economic assessment by others General No site investigations have been completed at this stage of the project. The site characteristics at the Hydrometallurgical Plant site presented below are based on information from a desktop review. The topography of the site can be described as flat to gently sloping, generally to the north. Topography around the HTMF area typically ranges between 190 and 220 MASL and decreases to approximately 160 MASL along the south shore of Great Slave Lake. Seismicity The central region of the Northwest Territories is historically a quiet earthquake zone. A seismic hazard assessment was previously completed for the TLP using probabilistic calculations based on design tables from the 2005 National Building Code of Canada. The maximum acceleration for the project site ranged from 0.007 g for a 1 in 100 year return period to 0.16 g for a 1 in 10,000 year return period. A review the Thor Lake site TMF consequence classification following the Canadian Dam Association 2007 Dam Safety Guideline classified the TMF as ‘Significant’. The resulting earthquake design ground motion is a 1 in 1,000 year event which corresponds to a maximum acceleration of 0.035 g for the Thor Lake Project site. The seismic design criteria and consequence classification previously completed for the Thor Lake site has been assumed to be adequate for the purposes of the HTMF pre-feasibility study. A site specific seismic review is recommended for the HTMF during the next phase of engineering. Tailings Characteristics There is no direct information available concerning the physical characteristics of the Hydrometallurgical tailings stream. Some assumptions regarding the physical characteristics of the tailings have been made and are outlined below: • Specific Gravity: The tailings solids from the proposed milling process are predominantly gypsum (approx. 84%) which are expected to be similar to phosphogypsum tailings in terms of void ratio, dry densities and consolidation properties Technical Report 43-101 – March 13, 2011 Page 18-46 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
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16. MINERAL PROCESSING AND METALLUR
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In a typical test, for example CCr-
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17. MINERAL RESOURCE AND MINERAL RE
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9. TREO equivalent is estimated by
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Table 17-4 Sample Information Avalo
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Figure 17-1 Distribution of REO Com
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Assay Statistics for Upper Zone* *
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CUT-OFF GRADE A previous public res
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underneath for SG measurement purpo
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Figure 17-4 Density Measurements AL
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was equal to 60 m by 60 m by 30 m a
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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 and 136: Table 18-6 Estimated Electrical Loa
Page 137 and 138: VENTILATION The mine ventilation is
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: Decant pipeworks have been included
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
Page 187 and 188: Rare Earth FOB China* FOB China** P
Page 189 and 190: • loparite and eudialyte in alkal
Page 191 and 192: Table 18-18 Rare Earth supply - 200
Page 193 and 194: Table 18-20 Rare Earth Demand by Ap
Page 195 and 196: Table 18-22 Proposed New REO Projec
Page 197 and 198: in China. On this basis, Avalon is
Page 199 and 200: Determine Prices for Avalon’s Pro
Page 201 and 202: The balance of niobium supply is co
Page 203 and 204: epresenting about 18% of total zirc
Page 205 and 206: Table 18-25 Historic Chinese Export
Page 207 and 208: Figure 18-16 Tantalum Markets - 200
Page 209 and 210: 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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