Power Metallic (TSXV: PNPN) has started work on a preliminary economic assessment for its Nisk project in Québec’s Eeyou Istchee James Bay territory, naming BBA Inc. as lead engineering consultant on a study targeted for completion in the first half of 2027.
The PEA will cover the Lion and Nisk Main deposits. It will look at mining and processing options, infrastructure requirements, capital and operating costs, and preliminary project economics. Mobilization took place in late September, and substantive engineering work begins this month.
Lion will anchor the study. Early work will settle the preferred mining sequence and decide whether, and how, Nisk Main fits into the development plan. That decision hinges partly on new metallurgical testwork at SGS Canada, which is expected before year end. The company said it has not yet selected an initial development configuration.
The work is split three ways. BBA will handle engineering, project economics and coordination of the NI 43-101 technical report. SGS will supply the independent qualified persons for the geology, resource and metallurgy sections and continue its testwork program. GeoVector Management keeps its central geological role.
“Appointing BBA puts strong engineering capability behind our next major milestone,” said CEO Terry Lynch. He said BBA’s multidisciplinary capabilities, Québec presence and experience moving projects through successive study stages make it well suited to lead the PEA. Vice President of Operations Christopher Beal, appointed earlier this year, will direct the study internally.
Mine design will draw on the company’s September resource estimate. That estimate outlined 4.15 million tonnes of indicated resources at Lion grading 3.86% copper equivalent. It also included 601,000 tonnes of inferred resources at 4.01% copper equivalent, for roughly 406 million pounds of contained copper equivalent across both categories.
Drilling continues in parallel. Five rigs were active as of September, testing Lion at depth below the current resource. Results from after the resource’s April data cut-off will be reviewed with SGS and BBA, but the PEA will keep a fixed basis for its mine design.
Power Metallic last traded at $1.13 on the TSX Venture.
