VANCOUVER, BC, Feb. 11, 2021
/PRNewswire/ - Trilogy Metals Inc. (TSX: TMQ) (NYSE
American: TMQ) ("Trilogy" or the "Company") has provided approval
for Ambler Metals LLC ("Ambler Metals"), the joint venture
operating company equally owned by Trilogy and South32 Limited
(ASX, LSE, JSE: S32; ADR: SOUHY) ("South32"), to enter into an
Ambler Access Development Agreement with the Alaska Industrial
Development and Export Authority ("AIDEA").
The Ambler Access Development Agreement defines how AIDEA and
Ambler Metals will work cooperatively together on the
pre-development work for the Ambler Access Project to address
funding and oversight of the project's feasibility and permitting
activities until the parties reach a decision on the construction
of the project by the end of 2024 at the latest. The cost of the
pre-development work and activities will be paid 50% by AIDEA and
50% by Ambler Metals based on an annually agreed program and
budget.
Under the Ambler Access Development Agreement, Ambler Metals and
AIDEA agree to contribute up to $35
million each for pre-development costs of the Ambler Access
Project through December 31, 2024.
This proposed Development Agreement follows upon and is consistent
with both the Interim Funding Agreement agreed to by AIDEA and
Ambler Metals for pre-development work done on the project in 2020
and with the Memorandum of Understanding (MOU) between the parties
signed on July 3, 2020.
On January 6, 2021, AIDEA signed
agreements for Right-of-Ways for the Ambler Access Project with the
United States Bureau of Land Management ("BLM") and the National
Park Service ("NPS"). The agreements grant a 50-year right-of-way
on federally owned and managed land by the federal agencies for the
future development of the Ambler Access Project.
On July 23, 2020, the BLM issued
the Joint Record of Decision ("JROD") for the Ambler Access Project
that authorizes a right-of-way across federally managed lands to
AIDEA. The northern or "A" route, which is being considered for a
211-mile-long controlled industrial access road in the
southern Brooks Range foothills to
the Ambler Mining District, was selected as part of the decision.
Along with the JROD, a Section 404 Permit, which is governed by the
Clean Water Act ("CWA"), was issued by the United States Army Corps
of Engineers ("USACE") to AIDEA.
Tony Giardini, President and CEO
of Trilogy, commented, "I would again like to commend the
leadership of AIDEA and Ambler Metals for the incredibly hard work
that they have invested in moving the Ambler Access Project
forward. I am also extremely pleased at the commitment by the
State of Alaska and AIDEA in their
determined effort in making this road a reality. The completion of
this agreement marks another step to the eventual construction of
this road which will have a significant benefit to the people of
Alaska."
The Alaska Industrial Development and Export Authority is a
public corporation of the State of
Alaska. AIDEA's purpose is to promote, develop and advance
the general prosperity and economic welfare of the people of
Alaska.
About Trilogy Metals
Trilogy Metals Inc. is a metals exploration and development
company which holds a 50 percent interest in Ambler Metals LLC
which has a 100 percent interest in the Upper Kobuk Mineral
Projects ("UKMP") in northwestern Alaska. On December 19,
2019, South32, which is a globally diversified mining and
metals company, exercised its option to form a 50/50 joint venture
with Trilogy. The UKMP is located within the Ambler Mining District
which is one of the richest and most-prospective known
copper-dominant districts located in one of the safest geopolitical
jurisdictions in the world. It hosts world-class polymetallic
volcanogenic massive sulphide ("VMS") deposits that contain copper,
zinc, lead, gold and silver, and carbonate replacement deposits
which have been found to host high-grade copper and cobalt
mineralization. Exploration efforts have been focused on two
deposits in the Ambler mining district - the Arctic VMS deposit and
the Bornite carbonate replacement deposit. Both deposits are
located within land package that spans approximately 172,636
hectares. Ambler Metals has an agreement with NANA Regional
Corporation, Inc., a Regional Alaska Native Corporation that
provides a framework for the exploration and potential development
of the Ambler mining district in cooperation with local
communities. Our vision is to develop the Ambler mining district
into a premier North American copper producer.
Cautionary Note Regarding Forward-Looking
Statements
This press release includes certain "forward-looking
information" and "forward-looking statements" (collectively
"forward-looking statements") within the meaning of applicable
Canadian and United States
securities legislation including the United States Private
Securities Litigation Reform Act of 1995. All statements, other
than statements of historical fact, included herein, including,
without limitation, statements relating to the permitting and
construction of the Ambler Mining District Industrial Access
Project, the timing thereof and the merits of the UKMP are
forward-looking statements. Forward-looking statements are
frequently, but not always, identified by words such as "expects",
"anticipates", "believes", "intends", "estimates", "potential",
"possible", and similar expressions, or statements that events,
conditions, or results "will", "may", "could", or "should" occur or
be achieved. Forward-looking statements involve various risks and
uncertainties. There can be no assurance that such statements will
prove to be accurate, and actual results and future events could
differ materially from those anticipated in such statements.
Important factors that could cause actual results to differ
materially from the Company's expectations include the
uncertainties involving whether the Alaska Industrial
Development and Export Authority will build the AMDIAP; success of
exploration activities, permitting timelines, requirements for
additional capital, government regulation of mining operations,
environmental risks, prices for energy inputs, labour,
materials, supplies and services, uncertainties involved in the
interpretation of drilling results and geological tests, unexpected
cost increases and other risks and uncertainties disclosed in the
Company's Annual Report on Form 10-K for the year ended
November 30, 2019 filed with Canadian
securities regulatory authorities and with the United States
Securities and Exchange Commission and in other Company reports and
documents filed with applicable securities regulatory authorities
from time to time. The Company's forward-looking statements reflect
the beliefs, opinions and projections on the date the statements
are made. The Company assumes no obligation to update the
forward-looking statements or beliefs, opinions, projections, or
other factors, should they change, except as required by
law.
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SOURCE Trilogy Metals Inc.