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Canada

Dumont Project

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Overview

Mine TypeOpen Pit
StagePermitting
Commodities
  • Nickel
  • Cobalt
  • Palladium
  • Platinum
Mining Method
  • Truck & Shovel / Loader
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SnapshotDumont Nickel-Cobalt project is a fully permitted, construction-ready mine, which contains one of the world’s largest undeveloped reserves of nickel and cobalt.

Owners

SourceSource
CompanyInterestOwnership
Waterton Global Resource Management Inc. 100 % Indirect
The Dumont Project and all associated assets, permits and agreements are held 100% and and operated by Magneto Investments Limited Partnership (Magneto).

Nion Nickel Inc. owns the Dumont Project, its flagship property, through its 100% ownership of Magneto Investments Limited Partnership ("Magneto").

Waterton Global Resource Management, Inc. is the advisor to the two private funds (Waterton Precious Metals Fund II Cayman, LP and Waterton Mining Parallel Fund Onshore Master, LP) which jointly own 100% of Nion Nickel and Magneto Investments L.P.

Contractors

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Deposit type

  • Magmatic
  • VMS

Summary:

Magmatic nickel-copper-platinum group element (PGE) deposits occur as sulphide concentrations associated with a variety of mafic and ultramafic magmatic rocks. The magmas originate in the upper mantle, and an immiscible sulphide phase occasionally separates from the magma as a result of the processes occurring during emplacement into the crust. The sulphide phase generally partitions and concentrates nickel, copper and PGE elements from the surrounding magma. The heavy sulphide droplets once concentrated and separated from the magma tend to sink towards the base of the magma, and form concentrated pockets or layers of sulphides that crystallize upon cooling to form mineral deposits.

The Dumont mineral deposit comprises olivine + sulphide cumulates that comprise differentiated layers of the Dumont sill, an Archean komatiitic intrusion contained within the Archean Abitibi Greenstone Belt of northwestern Quebec. As such, it is usually classified (Naldrett, 1989) with its most analogous counterpart, the Mt. Keith mineral deposit located in the Agnew-Wiluna Greenstone Belt within the Archean Yilgarn craton of West Australia.

Nickel-bearing sulphides and a nickel-iron alloy are enriched (grades > 0.35% nickel) in stratiform bands within the dunite subzone and are also broadly disseminated at lower concentrations throughout the dunite and lower peridotite subzones. The number and thickness of these bands varies from place to place in the deposit. Nickel sulphide and alloy concentrations decrease gradationally away from the centre of these bands toward the interband zones where mineralization continues at lower concentrations. The total nickel contained in these rocks occurs in variable proportions in sulphides, alloy and silicates depending on primary magmatic nickel mineralogy and the degree of serpentinization of the rock.

Disseminated nickel mineralization is characterized by disseminated blebs of pentlandite ((Ni,Fe)9S8), heazlewoodite (Ni3S2), and the ferronickel alloy, awaruite (Ni2.5Fe), occurring in various proportions throughout the sill. These minerals can occur together as coarse agglomerates, predominantly associated with magnetite, up to 10,000 µm (10 mm), or as individual disseminated grains ranging from 2 to 1,000 µm (0.002 to 1 mm). Nickel can also occur in the crystal structure of several silicate minerals including olivine and serpentine.

Mineralized zones containing pentlandite, awaruite, and heazlewoodite, are classified into the following mineralization assemblages; sulphide dominant, alloy dominant and mixed.

The sulphide mineralization assemblage occurs in higher-grade bands (grades > 0.35% nickel) that are subparallel to the dip of, and principally in the centre of, the sill. Sulphide mineralization is dominated by pentlandite (Pn) and/or heazlewoodite (Hz) with lesser awaruite (Aw). Pentlandite and heazlewoodite occur as medium to coarse-grained blebs occupying intercumulus spaces in a primary magmatic texture, sometime exhibiting secondary overgrows within magnetic blebs. These blebs are often intimately associated with magnetite ± brucite ± chromite ± awaruite, in intercumulus spaces. Where awaruite is present with sulphides, it often observed to be a secondary overgrowth on pentlandite within the primarily textures intercumulus magnetite blebs. Up to three sulphide bands are found within the dunite where it is the thickest in the central southeast region of the sill.

The alloy mineralization assemblage is characterized by the presence of awaruite with little to no sulphides. Awaruite occurs as fine grains (generally <1 mm) associated with small intercumulus magnetite or chromite blebs. Awaruite can also be observed as a secondary overgrowth on serpentine within the pseudomorphed grain. Alloy mineralization zones occur where primary sulphides are not present and serpentinization is near complete.

The mixed mineralization assemblage typically represents a transition from sulphide to alloy or sulphide (pentlandite) to sulphide (heazlewoodite) mineralization. The mixed mineralization assemblage contains varying amounts of sulphide (pentlandite and heazlewoodite) along with similar quantities of awaruite. Mineralization can occur as coarse sulphide-magnetite blebs associated with awaruite or as finely disseminated discrete grains.

Reserves

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Mining Methods

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Comminution

Crushers and Mills

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Processing

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Production

CommodityProductUnitsLOM
Nickel Payable metal M lbs 2,402
Nickel Metal in concentrate M lbs 2,625

Operational metrics

Metrics
Daily processing capacity 105 kt *
Stripping / waste ratio 1.02 *
Waste tonnes, LOM 1,052 Mt *
Ore tonnes mined, LOM 1,028 Mt *
Total tonnes mined, LOM 2,080 Mt *
Tonnes milled, LOM 1,028 Mt *
* According to 2019 study.

Production Costs

CommodityUnitsAverage
Site cash costs (produced) Nickel USD 3.07 / lb *  
All-in sustaining costs (AISC) Nickel USD 3.8 / lb *  
C1 cash costs Nickel USD 3.22 / lb *  
All-in costs Nickel USD 4.46 / lb *  
Assumed price Palladium USD 1,000 / lb *  
Assumed price Platinum USD 1,000 / lb *  
Assumed price Cobalt USD 25 / lb *  
Assumed price Nickel USD 7.75 / lb *  
* According to 2019 study / presentation.

Operating Costs

CurrencyAverage
OP mining costs ($/t milled) CAD  ....  Subscribe
Processing costs ($/t milled) CAD  ....  Subscribe
G&A ($/t milled) CAD  ....  Subscribe
Total operating costs ($/t milled) CAD  ....  Subscribe
* According to 2019 study.

Project Costs

MetricsUnitsLOM Total
Initial CapEx $M USD  ......  Subscribe
Expansion CapEx $M USD  ......  Subscribe
Equipment leasing costs $M USD  ......  Subscribe
Working capital $M USD  ......  Subscribe
Sustaining CapEx $M USD  ......  Subscribe
Total CapEx $M USD  ......  Subscribe
OP OpEx $M USD  ......  Subscribe
Processing OpEx $M USD 4,009
G&A costs $M USD 419
Total OpEx $M USD  ......  Subscribe
Mining Taxes $M USD  ......  Subscribe
Income Taxes $M USD  ......  Subscribe
Royalty payments $M USD  ......  Subscribe
Gross revenue (LOM) $M USD  ......  Subscribe
Pre-tax Cash Flow (LOM) $M CAD  ......  Subscribe
After-tax Cash Flow (LOM) $M CAD  ......  Subscribe
Pre-tax NPV @ 8% $M USD  ......  Subscribe
After-tax NPV @ 8% $M USD  ......  Subscribe
After-tax IRR, %  ......  Subscribe
After-tax payback period, years  ......  Subscribe

Required Heavy Mobile Equipment

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Personnel

Mine Management

Job TitleNamePhoneEmailProfileRef. Date
....................... Subscription required ....................... Subscription required Subscription required Feb 6, 2024
....................... Subscription required ....................... Subscription required ........... Subscription required ........... Subscription required Subscription required Jul 11, 2019
....................... Subscription required ....................... Subscription required Subscription required Jul 11, 2019
....................... Subscription required ....................... Subscription required Subscription required Dec 11, 2023
....................... Subscription required ....................... Subscription required Subscription required Dec 11, 2023

EmployeesContractorsYear
...... Subscription required ...... Subscription required 2019

Aerial view:

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