We shall explore and prospect for metals and minerals that can create value for business and society

Standards to establish resources and reserves

Relationship between mineral resources and mineral reserves according to the Canadian National instrument 43-101/Australian JORC Code

 

 

Skiftesmyrs resources have been estimated according to the Canadian National Instrument (NI) 43-101 and are therefore considered to be of high quality.
However, the resources and reserves in Godejord have been estimated by Norsulfid/Grong Gruber, NGU1), and by Braddick Resources in the 1990’s, according to Norwegian, Finnish and Swedish standards at that time. Consequently, the results are of high quality but not according to FRB2) regulations of today, based on the Canadian National Instrument (NI) 43-101.


The policy document, National Instrument 43-101
The terms mineral resources and mineral reserves (ore reserves) are two distinctive and different terms when it comes to classification. These classifications are based on the level of geological knowledge and confidence. The policy document, National Instrument 43-101, is an important basis in this respect. Only qualified persons (QPs), approved by mining associations or similar organizations, may classify deposits. The final necessary level of geological knowledge and confidence for each category is up to the qualified person’s judgement, considering relevant factors like geological and grade continuity.

Mineral resources are classified according to three classes, inferred, indicated and measured, where the level of geological knowledge separates the three classes. Measured mineral resources exhibit a higher level of geological knowledge than indicated mineral resources that have a higher level of geological knowledge than inferred mineral resources.

Mineral reserves (ore reserves), which is an economic term, are classified in order to demonstrate size relative to the level, or density of detailed information as well as whether they can be economically mined. In this case mining plans, including mining dilution and losses as well as economic, technological, environmental and legal conditions, are required and presented in at least a preliminary feasibility study (pre-feasibility study). Mineral reserves are classified according to two classes, probable and proven.

Measured mineral resources exhibit a density of about 25*25 meters between holes. Indicated mineral resources with a lower information density are estimated, using a density of 50*30 meters to 50*50 meters between the holes. Inferred mineral resources are based on a borehole density, varying from 50*30 meters to 100*60 meters.

Mineable ore refers to the part of the ore reserve that can be extracted with a profit, including mining losses and dilution. Proven mineral reserves exhibit a density of about 25*25 meters between holes. Probable mineral reserves exhibit a density of 50*30 meters to 50*50 meters between holes.

1) The Norwegian Geological Survey.
2) FRB = The Fennoscandian Review Board, SweMin/FinnMin/Norwegian Mining Industry.