DD-Moby Dick Properties

Location

The road accessible DD and Moby Dick properties are close to rail, power and a local workforce, and are located approximately 35 km southwest of Cranbrook, British Columbia. The properties are comprised of the DD claims, 2340 ha of land, that PJX owns 100% of the mineral rights, and the Moby Dick property (50% PJX, 50% DLP Resources).

The properties are also located approximately 120 km east of Teck’s Trail Metallurgical Complex that produced some 8 million tonnes of zinc, 9 million tonnes of lead, and over 285 million ounces of silver from processing Sullivan Mine concentrate. The Sullivan Mine produced concentrate for over 90 years before being closed in 2001.

Exploration Potential

The DD and Moby Dick properties occur within a sedimentary basin called the Panda Basin that is geologically similar to the Sullivan Basin hosting the Sullivan deposit located about 45 km to the north.

The Company believes that the DD Property in particular has similar potential to the Company’s Vine and West Basin Properties for hosting a Sullivan type (Sedex) zinc-lead-silver deposit.

The Sullivan Deposit occurs at a geological horizon called the LMC (Lower-Middle Aldridge Contact).

Historic holes drilled to test the LMC horizon in vicinity of the properties have encountered geology that supports the potential for a Sullivan Type Deposit. The thickness, alteration and anomalous zinc-lead mineralization of the LMC horizon progressively increases in intensity the closer holes are drilled to the DD Property (see cross section “Panda Basin Geology adjacent to DD Property”).

In June 2021, drill hole DD21-02 on the DD property intersected an unusually thick section of fragmentals and Sullivan muds over 168 metres with anomalous zinc mineralization at the base of the section.

Historic drill hole IR07-01, drilled 2300m east of DD21-02, intersected approximately 149m of moderately to highly hydrothermally altered Sullivan sediments at 1365m with up to 0.5% Zn and up to 0.3% Pb.

Magnetotelluric (MT) geophysics has identified large conductive targets on strike with hole DD21-02. Parts of the Sullivan deposit consist of massive sulphide mineralization that is conductive.

Recent drill holes (Pan18-01ext, DD21-01, DD21-02) and historical holes (Irish05-01 and IR07-01) support that the vector towards a vent and possible massive zinc-lead-silver mineralization may be further to the northeast on the DD property.

In May 2022, hole MD22-01 drilled on the Moby Dick Property was not completed as it became stuck in a fault at about 1300 m deep before it could test an MT geophysical anomaly at a target depth of about 1700 m.

Additional MT anomalies at target depths of about 1700 metres occur on the DD and part of the Moby Dick Properties.

DD and Moby Dick Property Ownership
DLP Resources Inc. (“DLP”) had an option to earn up to a 75% interest in the DD Property. DLP notified PJX of their intention to return the DD Property to PJX effective February 24, 2023. PJX Resources retains a 100% interest in the DD Property. PJX has a 50% interest in the Moby Dick Property which is adjacent to the DD Property. Both Properties are adjacent and on strike with the NZOU Property that DLP Resources has optioned to earn a 100% interest from a third party.

Next Steps

PJX management believe that the DD Property has potential to host a massive sulphide deposit. This potential is based, in part, on drilling results on the DD Property and historical drilling in the area around the property.

DLP Resources is drilling to test Sullivan deposit type massive sulphide potential on the NZOU Property that is adjacent to the DD and Moby Dick Properties. Mobile MT (EM) anomalies being tested on the NZOU Property are on strike with similar Mobile MT (EM) anomalies on the DD Property that have not been fully drill tested. Results of the DLP drilling will be used to assess next steps for the DD and Moby Dick Properties.