Pacific North West - River Valley

President's Message

Nov 7, 2014
Dr. William Stone, President & COO
On behalf of the Board of Directors, I am pleased to update you on the accomplishments of Pacific North West Capital Corp (PFN or the Company) to date in 2013 and its plans for 2014. 
 
PFN's activities and plans for the calendar year 2013 focused on advancement of its 100% owned flagship River Valley platinum group metal (PGM) Project, located 60 km to the east of Sudbury, Ontario. In the first part of 2013, PFN completed its Phase 1 Metallurgical Study with SGS Canada Inc, which demonstrates potential for a sulphide concentrator to effectively process PGM mineralized material from the River Valley deposit. The Company also reassessed its massive geoscience database for new exploration opportunities to grow the resource base for the River Valley Project.
 
The main activities planned for the remainder 2013 and 2014 are: 1) a drill program planned to add high grade along strike of and immediately adjacent to the current resource; 2) conduct a Phase 2 Metallurgical Study; and 3) complete optimized mineral resource estimation. Successful completion of these three activities would form a strong basis for a Preliminary Economic Assessment Study later in 2014 or 2015. However, all of our development and exploration plans are subject to outcomes and funding in the market and (or) by an Option-Joint Venture Partner. 
 
PFN's Technical Team used the opportunity afforded by the market downturn to reassess the potential exploration upside of the River Valley PGM Project. Compilation and integration of high quality geophysical and drilling datasets produced quality drill-ready targets along strike, down-dip and in the adjacent footwall to the current PGM resources. A first-pass drill program has been designed to add high grade. A formal application for the drill program received approval from the provincial government, with input for local communities and Aboriginal Peoples (as mandated under the new mining laws of Ontario). Discussions are underway with experienced geophysical consultants for down-drillhole surveys to detect off-hole anomalies. 
 
The Phase 1 metallurgical study of River Valley was completed in April 2013 (see Press Release dated April 10, 2013). The highlights of that study are: 1) production of concentrate grading 16% Cu, 2% Ni and 189 g/t PGM; 2) confirmation of pentlandite as the primary nickel sulphide mineral; 3) potential expansion of the payable metal package to include rhodium, cobalt and silver, in addition to platinum, palladium, gold, copper and nickel; and 4) lack of deleterious metals, particularly magnesium and arsenic. The concentrate grades are similar to those produced at the Lac des Iles PGM Mine from 2001-2005, which is when North American Palladium Ltd were operating their big open pit mine. These metallurgical results represent a strong start, but follow-up work is required. A detailed proposal from SGS Canada Inc for Phase 2 Metallurgical Studies is under review. The proposed program is designed to improve recoveries of nickel and PGM and carry out grade variability testing. 
 
Subsequent to successful completion of the proposed exploration and metallurgical programs, an optimized mineral resource estimation study is planned. In addition to being the first in-pit resource for the River Valley PGM Project, the estimation would form a basis for a Preliminary Economic Assessment later in 2014 or in 2015, depending on outcomes and funding. 
 
On behalf of the Board of Directors, and the Company's management, I wish to thank you for your continued interest and support.
 
Yours sincerely,

 
William (Bill) E. Stone, Ph. D., M. Sc., B. Sc.
President and COO

Source: http://www.pfncapital.com/s/PresidentsMessage.asp