Following an independent review of the Thunder Bay North project by SLR Consulting (Canada) Ltd., Clean Air Metals Inc. has withdrawn its mineral resource estimate and preliminary economic assessment (PEA) for the project. The company said it expects a material reduction in the metal content in the Current deposit, the larger of two mineral deposits comprising the project, which could be in the range of a 20% to 50% reduction from what was previously reported.

Due to an apparent over-estimation of the original mineral resource at the Current deposit, the company said the results of the PEA prepared by Nordmin Engineering Ltd. and used for the project’s NI 43-101 technical report (filed on SEDAR on January 12, 2022) must not be relied upon. The company has retracted the technical report and the PEA.

“The company commenced a normal course review of mineral resource estimates on the Escape and Current deposits in August, 2022,” said Abraham Drost, CEO of Clean Air Metals. “Initial mineral resource update results on the Current deposit are unexpected and disappointing. They may have a material effect on the projected economics of the Thunder Bay North project. The outcome of the new, updated mineral resource expected for the project will guide the next steps.”

Located near Thunder Bay, Ontario, the deposit contains platinum, palladium, copper and nickel. SRL reviewed the historical drill hole database (approximately 750 drill holes) for the Current deposit, plus an additional 6,480 m of infill drilling in 30 holes completed by the company after the initial PEA cut-off date. They identified a discrepancy with the disclosed resource estimate for the preliminary resource model for the Current deposit.

Clean Air Metals said more work needs to be completed before the final determination of the metal content reduction at the Current deposit can be estimated. Updated mineral resource estimates for both deposits will be the basis for a new mineral resource technical report to be authored by SLR.