Kemess Reserves & Resources

Kemess Underground
Classification Quantity Grade Contained Metal
Gold (g/t) Copper (%) Silver (g/t) Gold (koz) Copper (klbs) Silver (koz)
Proven and Probable
Proven - - - - - - -
Probable 107,381 0.54 0.27 1.99 1,868 629,595 6,878
Total P&P 107,381 0.54 0.27 1.99 1,868 629,595 6,878
Measured - - - - - - -
Indicated 246,400 0.42 0.22 1.75 3,328 1,195,300 13,866
Total M&I 246,400 0.42 0.22 1.75 3,328 1,195,300 13,866
Inferred
Total Inferred 21,600 0.40 0.22 1.70 277 104,700 1,179
Kemess East
Classification Quantity Grade Contained Metal
Gold (g/t) Copper (%) Silver (g/t) Gold (koz) Copper (klbs) Silver (koz)
Measured - - - - - - -
Indicated 113,100 0.46 0.38 1.94 1,680 954,000 7,066
Total M&I 113,100 0.46 0.38 1.94 1,680 954,000 7,066
Inferred
Total Inferred 63,800 0.31 0.34 1.90 640 478,000 3,889

Kemess Underground Mineral Reserves and Mineral Resources:

  • Mineral reserves estimated at US$2.50/lb Cu, US$1,200/oz Au and US$16.00./oz Ag, using an exchange rate of 0.75 US$:C$, cut-off NSR Value of C$15.30/t and a shut-off NSR Value of C$17.30/t of ore.
  • Mineral reserve tonnage and mined metal have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding.
  • Mineral resources are inclusive of mineral reserves; only the mineral reserve portion has demonstrated economic viability.
  • Resources stated are contained within a “reasonable prospects for economic extraction solid” above C$15.00/t NSR cut-off. A variable specific gravity value was assigned by domain for all model blocks.
  • NSR calculation of mineral resources are based on assumed copper, gold and silver prices of US$3.20/lb, US$1,275/oz and US$21.00/oz, respectively.
  • Mineral resource tonnage and contained metal have been rounded to reflect the accuracy of the estimate, and numbers may not add due to rounding.
  • Contained metals are in situ and undiluted, and do not include metallurgical recovery losses.
  • SRK completed an 85% audit of the Kemess underground resource database to verify that analytical results have been entered correctly into the drill hole database used to prepare the 2015 mineral resource estimate. All samples were checked against their assay certificates via sample number. The audit showed no significant errors from the resource area regarding the recording of tabulated analytical data.

Kemess East Mineral Resources:

  • NSR cut-off value of C$17.3/t was used to define Indicated and Inferred resources within a reasonable prospects for economic extraction solid.
  • NSR calculation assumed US$3.20/lb copper, US$1,275/oz gold, and US$21.0/oz silver prices, and C$/US$ exchange rate of 0.76.
  • NSR calculation assumed metallurgical recoveries of 91% copper, 72% gold, and 65% silver; as well as a 22% copper grade for concentrate. Molybdenum was excluded from the NSR calculation.
  • Details of the Sample Preparation and Quality Assurance and Quality Control are presented in AuRico Metals’ November 8, 2016, press release reporting on the results of the Company’s 2016 drill program.
  • Resources were generated from 81 holes drilled at Kemess East in 2006, 2007, 2013, 2014, 2015, and 2016.
  • Exploration activities at the Kemess East deposit have been conducted under the supervision of Wade Barnes, PGeo, Kemess Project Geologist, for AuRico Metals. Mr. Barnes is a “Qualified Person” as defined by NI 43-101.
  • Mineral Resources were prepared under the supervision of Marek Nowak, SRK Consulting (Canada) Inc. Mr. Nowak is a “Qualified Person” as defined by NI 43-101.