LAC VIROT PROJECT
LOCATION: NEWFOUNDLAND AND LABRADOR, CANADA
Project Overview
Lac Virot is an iron-ore deposit located in southwestern Labrador, near the border of Québec and Labrador, and just 12 km away from Labrador City. This deposit boasts an identified exploration target of 500-700 Mt iron mineralized formation with open boundaries and an average of 28%-32% total Fe in three out of eight identified targets. The area is part of the Labrador Trough geological belt, known for its abundant iron-ore reserves and well-developed infrastructure, amenities, and low-cost zero-emission hydropower.
The Project is an ESG-compliant mining development and an industrial project that prioritizes zero-carbon emission goals in all aspects of iron ore mining and processing, with a focus on producing zero-emission green steel. Red Paramount aims to design and construct a fully sustainable facility fueled by renewable energy for the Lac Virot project in alignment with global energy and climate objectives.
Project History
Newfoundland and Labrador’s rich mineral potential has been known since the early 19th century, and the province has been the leading iron ore producer in Canada for the past five decades. The Lac Virot area drew the attention of the Iron Ore Company of Canada, which conducted the initial exploration, spurring growing interest in iron ore mining in the region.
The most extensive exploration campaign in the Lac Virot property to date was undertaken by Ridgemont Iron Ore Corporation in 2011. Through successful rounds of geological mapping, airborne geophysical work, and 12,000 meters of drilling between 2011 and 2013, Ridgemont generated promising exploration results. However, the project was put on hold and later sold due to the prolonged downturn in the iron ore market.
Red Paramount has acquired 100% ownership of the Lac Virot project based on improved market fundamentals and intends to build on the positive historical exploration results. The company is committed to advancing the project through the mine development life cycle and ultimately producing zero-emission green steel using sustainable and innovative practices.
Geophysics:
The combined results of the geological investigations and airborne geophysical survey indicate:
- The Sokoman Iron Formation units—similar to those encountered in nearby mines and advanced exploration projects—are on the Lac Virot property.
- The delimiting of the faulted D1 folds and the late northwest-trending fault offsets.
Several geological investigations were conducted in the western Labrador area after the 1950s for nearby mines, and some results can be used for the project, considering their proximity. Airborne magnetic surveys revealed iron-ore mineralization of substantial thickness at or close to the surface. Based on airborne geophysics and surface mapping, a rough estimate of the property’s potential cumulative strike length of iron formation is more than 20 km.
Drilling:
Additional geophysics work was conducted in 2012 on the 12,000 m exploratory drilling program focused on targets in the eastern and southern areas of the project. The exploration identified:
- 16 km of high-magnetic strike iron formation containing iron between 15% and 42%
- The Sokoman Iron Formation maintains the typical 100–140 m actual thickness throughout the district
- The accuracy of the airborne geophysical works in three drilled areas and the other five identified targets, including three high-potential hematite DSO zones (60.50% total Fe), remain to be explored.
- Substantial ore bodies are close enough to the surface to potentially be mined from the surface via a series of open pits. Other, deeper ore bodies, probably related to the ones closer to the surface, have also been encountered during drilling.
Further drone-driven airborne geophysical work and a round of exploratory drilling are planned for a 2022 program. Further planned engineering works should allow the preparation of more detailed mine planning, applying economic parameters and definition of a NI 43-101- and JORC-compliant resource. Between 2022 and 2023, the five previously unexplored drilling targets will be investigated, followed by infill drilling the year after.
Mineral Resource Estimates
The mineral resource estimate is based on results from 43 diamond drill holes totalling 11,713 meters drilled in 2012. To model the geological and mineral resources, wireframes were created from drill hole information, and grades were interpolated using an Inverse Distance estimation technique. Block models (25m x 25m x 10m) were used, and grades for Total Iron (TFe%), Iron Oxide, Manganese Oxide, Silicon dioxide, and Phosphorus pentoxide were modelled.
The samples were analyzed for Total Iron using X-ray fluorescence, and the magnetic component was determined by Satmagan magnetic analysis. Furthermore, the data used for the mineral resource estimate is supported by industry-standard Quality Assurance and Quality Control procedures that were carried out by certified independent analytical laboratories.
The following table sets out the particulars of the mineral resource estimate at 15% cut-off grades for the pit-constrained scenario:
INVEST IN THE BOUNDLESS POTENTIAL OF GREEN MINING
To learn more about Red Paramount Iron and our project, contact us