Zinc plays an essential role in the global economy and will continue to be pivotal in the clean energy transition.

Zinc, which is one of the 31 critical minerals identified by Canada as required for a sustainable transition to a low-carbon economy, is used to galvanize iron and steel to protect against corrosion, adding longevity to infrastructure and construction materials that would otherwise deteriorate and have to be rebuilt.

Lead supports the clean energy transition as a component of wind generation and increases solar panel longevity, according to the World Bank. Most importantly, it allows for easier recovery of other metals when recycling electronic waste.

The Pine Point Mining project, located in Canada’s Northwest Territories, has the potential to become one of the world’s largest zinc and lead mines. The site’s major advantages include the significant infrastructure it already has in place, which includes power from the Taltson Hydroelectric dam on site, paved highway access, and 100 kilometres of viable haulage roads.

Zinc metal is produced from the mineral sphalerite and lead metal is produced from the mineral galena. Pine Point has historically produced among the world’s cleanest sphalerite and galena concentrates with very low impurities. This sets the project apart from most current producers.


First discovered in the late 19th century, Pine Point was an active open-pit mining operation between 1965 and 1988, producing and shipping 10,785,000 tonnes of lead and zinc concentrates from high-grade ores.

During its operating period, the town of Pine Point was built by Cominco, and when production ended, the mine closed the town. Today, the time is right to develop and potentially resume mining operations to supply the modern world with the zinc and lead it needs for renewable energy technologies.


Pine Point, looking northward

Pine Point, looking northward


The Pine Point Project, now owned by Pine Point Mining Limited, is located in the Northwest Territories. The 2022 PEA indicated an after-tax NPV of $602M and an IRR of 25%, based on the current Mineral Resource Estimate of 15.7Mt grading 5.55% ZnEq of Indicated Mineral Resources and 47.2Mt grading 5.94% ZnEq of Inferred Mineral Resources, and specifies that the project is amenable to open pit and shallow underground mining. Please refer to the technical report entitled “Preliminary Economic Assessment, Pine Point Project, Hay River, Northwest Territories, Canada” dated July 30, 2022 which has been filed on SEDAR.

The site has key supporting infrastructure including paved highway access, an electrical substation, and 100 kilometres of viable haulage roads.

The global push towards decarbonization to combat climate change has led to an unprecedented shift towards metals required for energy transition such as zinc and lead. Pine Point Mining Limited is well poised to become the leading base metal developer in North America, and we intend to take full advantage of that. The Pine Point Project also has a high potential for mineral resource expansion.
Zinc is a critical metal and Pine Point is a strategic source that offers a secure supply chain.

2022 PEA

The objective of the 2022 PEA Update was to integrate updated long-term prices for zinc and lead, increased mined resources, cost escalations in CAPEX and OPEX as well as reduced life-of-mine water management costs that resulted from the recently completed hydrogeological model. The latter reduced the estimated dewatering volume by 30% compared to the 2020 PEA with potential for a further forecasted reduction of 15% as the project advances to feasibility.

Updated PEA Update Highlight Results

(all figures in CAN$ unless otherwise noted)*

After-Tax Internal Rate of Return (“IRR”) 25%
After-Tax Net Present Value (“NPV”) (Discount Rate 8%) $602M
After-Tax Payback Period (Years) 3.8
Pre-Production CAPEX (including $106.6M Contingency) $653M
Average Annual LOM Production Zinc 329Mlb
Average Annual LOM Production Lead 141Mlb
Life of Mine (“LOM”) 12 Years
Total Mineral Resources Mined 46.9Mt
Average ZnEq Diluted (12%) Grade of Mineral Resources Mined 6.1%
Gross Revenue After Royalty (LOM) $5,625M
After-tax Operating Cash Flow (LOM) $1,279M
C1 Costs over LOM (ZnEq)** US$0.61/lb
All-In Costs (including sustaining CAPEX, ZnEq)*** US$0.80/lb
LOM Zinc Price US$1.37/lb
LOM Lead Price US$0.97/lb
FX Rate (CAD:USD) 1.27


Pine Point deposits are classified as “Carbonate hosted zinc-lead” and they occur in dolomite-altered, early Devonian carbonate rocks characteristic of a barrier reef sequence. Deposits are characterized as “Tabular” and “Prismatic” types based on geometry. Tabular deposits are elongated, laterally extensive over kilometre scales and demonstrate a strata-bound preference to mineralization. Prismatic deposits are characterized by a vertical aspect, often crosscutting multiple stratigraphic units. Both types exhibit Pb and Zn sulphide mineral zonation. The Great Slave Shear Zone, a deep-crustal structure, obliquely transects the Pine Point area and may have provided structural conduits and ground preparation for mineralizing fluids.

Early-stage dissolution of primary carbonates and precipitation of secondary hydrothermal dolomite alteration (HTD) was developed by low-temperature hydrothermal hypogenic fluids. Alteration and mineralization show preference for specific facies within the reef, but new evidence also suggests significant association with, or in proximity to, vertical structures. Sphalerite, galena, and minor marcasite mineralization is associated with on-going dissolution and hydrothermal dolomite precipitation. Alteration, a pathfinder to mineralization, is characterized by various textures and stages of hydrothermal dolomitization.


Mineralization of economic interest consists of sphalerite and galena. Gangue minerals are dominated by secondary dolomite and calcite with minor to trace marcasite. The geological formations that host mineralization are dolomite and limestone with minor shaley limestones and shales in the sequence.

Colloform Sphalerite

Colloform Sphalerite (brown – Sph) with coarse galena (grey – Gn). Gangue is coarse sparry dolomite (white – Dol)

Colloform Brown

Colloform (brown – Sph) and coarse sphalerite (purple – Sph) with coarse galena (grey – Gn). Gangue is coarse sparry dolomite (white – Dol). Host is limestone (light gey – Lst)

Coarse Sphalerite

Coarse sphalerite (purple – Sph) with coarse sparry dolomite (white – Dol)

Current Work


Diamond drilling has continued since the 2020 PEA with the objective of reducing the intercept spacing to approximately 30 metres within current Inferred Mineral Resource areas. This spacing is needed to convert these resources to the Indicated Mineral Resource category. To minimize the impact on the environment, drilling is mostly conducted in winter. The Company expects to complete infill drilling by H2, 2023.


Since taking over the project in 2018, PPML has recovered some 20,000 historical drillholes into a modern and highly functional database. This work includes positioning the dataset using Differential GPS (DGPS) on the basis of drill collars identified in the field. Furthermore, the entire dataset has been registered to elevation control using DGPS and a hyper-accurate LiDAR survey conducted over the property area. Core from approximately 800 drill holes has been recovered and both re-logged and re-assayed.

Data and Data Modelling

An extensive GIS database using MapInfo-Discover™ is combined with GEMS™ and Geoscience Analyst Pro™ to manage and interpret data on a daily basis and as programs evolve with new incoming data and results. Drill hole data, geology, mineralization boundaries, pit wall mapping, geophysics, LiDAR and pit bathymetry have been combined in GoCAD™ software along with detailed interpretation of some 3800 drill sections to produce a robust and dynamic 3D model for the entire property.

Recent structural analyses of all available open pits, combined with 3D drone photography of pit walls was carried out by Terrane Geosciences in 2021. This allowed for the construction of initial structural geology models which are now added to the 3D model to locate specific structural features within in the mine plan areas.

This model greatly enhances and augments mine design, hydrogeological studies and exploration.