With many market participants expecting explosive growth in nickel and cobalt demand from the electric vehicle market over the coming decade, RNC continues to be approached by a number of potential strategic investors, offtake partners and financiers who could provide the financing required to begin construction.

RNC Minerals president and CEO Mark Selby said: “The Dumont Nickel-Cobalt Project, one of the world’s premier battery metals projects, contains the world’s largest undeveloped reserves of both cobalt and nickel. It also contains the 2nd largest nickel reserve and the 8th largest cobalt reserve of any deposit in the world.”

“Dumont is the only deposit of this scale that is not currently in operation and not owned by a major mining company (the other eight largest deposits are owned by companies that include Glencore, Vale, Norilsk, Sumitomo Corp, and Jinchuan – see below Tables 1 and 2). Given market concern regarding future cobalt and nickel supply for electric vehicles, and nickel prices at the $12,000-$13,000/t ($5.50-$6/lb) level, RNC believes it is well-positioned to significantly advance Dumont in 2018.”

Selby continued, “In our view, Dumont compares favourably with many Australian nickel-cobalt projects, which have seen significant increases in market value during 2017. Dumont contains larger nickel and cobalt reserves, has completed a feasibility study, is fully permitted, and is a sulphide deposit rather than a laterite deposit, which allows the recovery of nickel and cobalt using proven, conventional milling technology rather than the more technically challenging pressure acid leach (PAL/HPAL) technology.”

As is typical with any mining project, any final construction decision in 2019 would be subject to financing and market conditions at that time.

Dumont Highlights:

Large scale, long life nickel and cobalt production – 33-year life with over 1 billion tonnes of reserves. Potential for much longer life/future expansions from equally large resource.

Initial annual production of 33 ktpa (73 million pounds) of nickel and 1.0 ktpa of cobalt (2.3 million pounds) contained in concentrate

Expanded in year five to an annual average of 51 ktpa (113 million pounds) of nickel and 2.0 ktpa of cobalt (4.3 million pounds)

World’s highest grade (29%) nickel concentrate – suitable for feed to both the stainless steel and battery market.

Dumont proven and probable reserves consist of 1.18 billion tonnes of ore containing 3.15 million tonnes of nickel (6.9 billion pounds) and 126,000 tonnes (278 million pounds) of cobalt.

Shovel-ready: feasibility study and permitting complete. Strong community support.

Conventional open pit, mine-mill operation using proven sulphide flotation.

Structurally low-cost operation: significant infrastructure in place, low strip ratio (1.1:1).

Excellent jurisdiction: Abitibi region of Quebec with significant labour and capital infrastructure.

Significant additional value potential from the roasted nickel concentrate approach advanced by RNC.

RNC currently has a 50% interest in the nickel joint venture (with Waterton) that owns Dumont.