Ambler district access road approved in Alaska

Camp at the Bornite project, one of the two most advanced of Upper Kobuk Mineral Projects. (Image courtesy of Trilogy Metals)

The US Bureau of Land Management has approved the development of the northern route to provide access to the Ambler mining district in northwest Alaska.

According to South32 and Trilogy Metals (TSX, NYSE: TMQ), partners in Ambler Metals, the Record of Decision (RoD) approves the development of the northern, or "A" route, which is to be a 211-mile-long gravel private access road in the southern Brooks Range foothills to provide industrial access to the Ambler mining district.

South32 contributed $145 million to the JV and Trilogy all the assets, the two most advanced being the Arctic and Bornite projects

Ambler Metals is a JV between South32 and Trilogy focused on the polymetallic volcanogenic massive sulphide (VMS) style deposits of Ambler. South32 contributed $145 million to the JV and Trilogy all the assets, the two most advanced being the Arctic and Bornite projects.

"The development of the road will unlock the world-class economic potential of the region by allowing greater access to the district and the potential development of the Arctic project, which is in a remote area of northwest Alaska," Trilogy Metals said in a press release.

"We look forward to continuing our partnership with Trilogy to unlock the value of the project's high-quality base and precious metals resources, working together to advance it through the current study phase," South32 CEO Graham Kerr said.

The $799.6 million Arctic project currently has a mine life of 12 years. Its yearly average production is estimated to be 159 million pounds of copper, 199 million pounds of zinc, 33 million pounds of lead, 3.3 million ounces of silver and 30,600 ounces of gold.