American West Metals (ASX: AW1) has unveiled an imposing 117 per cent increase in indicated copper resources at its flagship Storm project in Nunavut, Canada.
The upgrade propels the total resource to 20.6 million tonnes at 1.1 per cent copper and 3.3 grams per tonne (g/t) silver, representing some 229,000 tonnes of copper that will now be plugged into economic mining studies to test the copper play’s feasibility.
Notably, several high-grade discoveries made by American West reconnaissance drilling throughout the 2024 drilling season were not included in the resource update, including the Gap, Squall, Hailstorm and Cyclone Deeps prospects.
The company says all three discoveries are close to surface and will be added to the already considerable resource following resource drilling in the new year.
The bulk of the resource expansion is driven by a sharp rise in the indicated category of resources, which now accounts for 61 per cent of the total metal inventory at some 10.6Mt at 1.3 per cent copper and 4.1g/t silver.
The indicated resource enhances the project’s development potential, with management suggesting Storm should be a prime candidate for low-cost, high-margin open pit mining and could perhaps become Canada’s next camp-scale copper mining operation.
The company notes all its copper resources sit within 200m of surface, with the copper being fresh and chalcocite-dominant, making it highly amenable to simple beneficiation, including ore sorting for a low-cost, open-pit, direct shipping mining scenario.
The updated mineral resource estimate also highlights the strong growth potential of the Storm area with the known copper deposits remaining open with a potential for rapid expansion slated for early next year.
The updated JORC-compliant MRE for the Storm project has delivered what we believe will be the foundations for Canada’s next copper mining camp.
American West Metals Managing Director Dave O’Neill
O’Neill said this year’s drilling program had significantly derisked the Storm resource and moved a lot of the copper metal at the Cyclone and Chinook deposits into the indicated JORC category.
The classification is essential for permitting and the ongoing assessment of the project and allows the company to develop robust mine plans and economic models, he said.
American West’s more than 23,000m of drilling this year has delivered a bounty of high-grade intercepts to sure up its existing resources at the likes of Cyclone and Chinook and thrown up some impressive intercepts at previously untapped prospects, including The Gap, Squall and Hailstorm.
At The Gap, a standout hit of some 8m at 5.3 per cent copper from just 28m depth underscores the quality of the mineralisation at the vast Storm project.
Reconnaissance drilling on greenfield targets has indicated numerous prospects remain wide open, with the company insisting less than 5 per cent of the 100km-long copper belt has been adequately tested by modern exploration.
Recent drilling at Squall has yielded encouraging results that require further inquiry by the drill bit, including a 1.5m whiff at 2.4 per cent copper and 5g/t silver.
Meanwhile, surface reconnaissance at Hailstorm has returned staggering grades of more than 50 per cent copper from chalcocite boulders, making it a high-priority drill target for 2025.
American West maintains the incorporated indicated resources at Storm will be included in fast-tracked economic studies for early next year, including the feasibility of a direct shipping ore operation.
With the luxury of numerous high-grade copper targets to potentially continue its rampant resource expansion at Storm, American West and its strong cash position show no signs of slowing down into 2025.
The project is shaping up as North America’s next potential copper development in the aggressively growing Canadian copper landscape.
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