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Matagami Overview


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Donner Metals Ltd. is a Canadian base metal exploration company. The Company has a strong management team and advanced exploration projects, which have led to joint ventures with major mining companies TeckCominco and Xstrata plc.

Donner has entered into an Option and Joint Venture Agreement (OJVA) with Xstrata Zinc Canada for the joint exploration of the Matagami  Mining Camp of Quebec for volcanogenic massive sulphide deposits (VMS).  The Matagami Project has an area of mutual interest of 4,750 square kilometres and presently includes 3,350 mineral claims covering 841 square kilometres.  Taking advantage of Xstrata’s extensive historical database, Donner and Xstrata plan to use a combination of 3D data integration, innovative advanced technologies, new concepts and diamond drilling to explore for new deposits in this prolific mining camp.

The Company's other exploration projects include the South Voisey Bay Project, located in Labrador, Newfoundland.

Additionally, Donner, by holding approximately 12.3 million shares of Knight Resources Ltd., has expanded its exposure to a large nickel project in the Raglan area of Quebec, known as the West Raglan Project. 
 

 
 

Matagami, Quebec

The Matagami Mining Camp is a world-class mining district, with 18 known VMS deposits, including 10 past producers of varying sizes, including the giant Mattagami Lake deposit (25.64 million tonnes of 8.2% Zn, 0.56% Cu, 20.91 g/t Ag and 0.41 g/t Au) discovered in 1957 and mined from 1963 to 1988. The area is host to historical production of 8.6 billion pounds of Zn and 853 million pounds of Cu and has established infrastructure including the town of Matagami, a railway, a paved road, and a 2,600 t/day mill owned by Xstrata.

The development of new exploration techniques and concepts has led directly to numerous discoveries in the Matagami Mining Camp.  In 1957, as a result of the newly developed airborne EM system, the Matagami Lake deposit was discovered and within the next two and a half years, six more major deposits were identified.  Between 1985 and 1992, four new deposits were discovered, and in 1999 a new EM system was flown over the Matagami camp, which led to the discovery of the Perseverance deposits in 2000.  Xstrata has published a measured and indicated resource at Perseverance of 5.12 million tonnes of 15.82% Zn, 1.24% Cu, 29.00 g/t Ag and 0.38 g/t Au.

Proximity of the Matagami Project to past producers and existing deposits does not provide any assurance that economic mineralization exists on the Matagami Project, however past production and recent discoveries in the camp demonstrate the potential for additional discoveries.

 
 

South Voisey Bay, Labrador

In 1994, on the north-east coast of Labrador, Canada, one of the world's largest nickel-copper-cobalt deposits was discovered near Voisey's Bay. Since this discovery and its subsequent $4.3 billion purchase by Inco, Donner Metals has been actively exploring the area for similar deposits. The focus of this exploration has been an area 90 km to the south of the discovery, referred to as the South Voisey Bay Project.

To date, over 140 holes have been drilled and in excess of $20 million has been spent on exploration.

 
 

West Raglan Project

Additionally, Donner, by holding an approximate 20% interest in Knight Resources Ltd., has expanded its exposure to a large nickel project in the Raglan area of Quebec, known as the West Raglan Project.   Knight has earned a 49% interest from Anglo American Exploration (Canada) Limited (‘AAEC) in their approximately 720 km2 West Raglan Project, in the Cape Smith Belt of northern Quebec. 


 

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* Cautionary note to U.S. investors - This web site contains information about adjacent properties on which we have no right to explore or mine. We advise U.S. investors that the SEC's mining guidelines strictly prohibit information of this type in documents filed with the SEC. U.S. investors are cautioned that mineral deposits on other properties are not indicative of mineral deposits on our properties.