http://www.petroleumnews.com/pntruncate/875728263.shtml "Yukon...

http://www.petroleumnews.com/pntruncate/875728263.shtml

"Yukon Zinc Corp. has invested more than C$500 million in development of Wolverine since it acquired the project in 2008. The mine was commissioned in 2010, but ran into a number of difficulties during its operation.

Australia-based MinQuest Ltd. is examining the potential of utilizing the existing processing and tailings management facilities at Wolverine to fast-track the development of the Kona deposit at its own Fyre Lake copper project, which is located about 28 kilometers (17 miles) to the south.

Jeremy Read, managing director of MinQuest, said: “Using the existing infrastructure at Wolverine could decrease the pre-production capital expenditure for putting Fyre Lake into production by as much as C$150 million to C$200 million, which would substantially improve the economics of the Fyre Lake copper project.”

The Kona deposit has a JORC-compliant indicated and inferred resource of 12.6 million metric tons averaging 1.56 percent copper, 0.09 percent cobalt, 0.30 zinc and 0.63 grams per metric ton gold.
MinQuest is planning an exploration program that it believes will add some 4 million metric tons to the resource at Kona with similar grades.

MinQuest is also working towards earning a 75 percent joint venture interest in the Marg copper-zinc-lead-silver project located some 40 kilometers east of Keno City, in central Yukon. The company is currently working on a scoping study for the VMS project ahead of drilling planned for 2016.

In January, London-based BMC (UK) Ltd. bought the Kudz Ze Kayah and Pelly base metals projects, KZK for short, from Teck Resources Ltd.

Located about 25 kilometers west of the idled Wolverine Mine, KZK hosts a historical inferred resource of 12.8 million metric tons averaging at 0.81 percent copper, 5.9 percent zinc, 1.7 percent lead, 1.38 g/t gold, along with silver credits.

Formed in 2014 as a partnership between management and Barclays Natural Resource Investments Inc., BMC is scouring the globe for base metals deposits, especially those dominated by zinc and have the potential for near-term development.

The company considers Yukon the best place to look for such an asset and KZK as its flagship property.
“We believe that KZK is a quality asset that suits our business model perfectly,” said BMC CEO Scott Donaldson.
This year, the company is carrying out a C$15 million program focused on expanding the historical resource at Kudz Ze Kayah and bringing it up to NI 43-101-compliant standards ahead of a pre-feasibility study planned for 2016."




To sum it up, if we manage to secure a deal with Yukon Zinc, then the odds of Minquest becoming a takeover target are considerably higher.