Cu-Au: Southern BC

MC $83 M | S/O 44.8 M | FD 52 M | 52 Wk h/l $3.37/$0.19 | Exploration

Event: Kodiak Copper announced results for the remaining six holes from their 2020 Phase II drill program before market open today. Results are highlighted by significant copper porphyry mineralization intersected as follows:
MPD-20-007: 213 m at 0.65 % Cu and 0.37 gpt Au (1.00 % CuEq)
MPD-20-006: 171 m at 0.62 % Cu and 0.43 gpt Au (1.03 % CuEq)

Impact: Positive:

Drill holes MPD-20-007 and MPD-20-006 extend mineralization up and down dip of previous drilling which now outlines a high-grade Cu-Au core (~0.6%-1.0% CuEq) across a 200 m wide east-west section which is within a broader +300 m wide zone at economic grades. Albeit, all the holes have been drilled along one section, mineralization is consistent across each hole and over a vertical depth of ~500 m. Recall, KDK has only drilled a dozen or so holes of which two were lost and have only tested the northern portion (200 m) of a 1 km long coincident geochemical and geophysical anomaly = considerable room for growth.

Analysis:

Recent drilling continues to show continuity of mineralization up and down dip of previous drilling and has established broader zone of economically viable mineralization over significant widths with a rich copper-gold core.
Mineralization appears be fault bound locally in the northern portion of the gate zone to the east of hole MPD-20-007 but from Figure 1 it looks as if the mineralization is offset to the south and is outlined by the southern soil anomaly.
Kodiak is fully cashed up with $14M in the treasury, and primed to commence a 30,000 m drill program aimed at expanding known porphyry mineralization at the Gate zone but also testing two other targets (Dillard and Dillard East) with a similar geochemical and geophysical signature as the Gate Zone.

We expect 2021 to be catalyst rich year for KDK as drilling is set to commence as field crews have mobilized and drill rigs are on site. We believe the Gate Zone represents a small portion of the main deposit and we will look to this phase III drill program to clearly demonstrate the untapped potential of this property.

About the Company

Kodiak Copper Corp is a Vancouver based junior exploration company focused on advancing their 100% owned MPD copper gold porphyry project located ~50km north of CMMC’s Copper Mountain mine (584 Mt at 0.23% Cu and 0.1 gpt Au) in south-central BC. KDK is backed by John Robins Discovery Group, co-founded by Chairman Chris Taylor (President and CEO of GBR), and led by Claudia Tornquist (former GM at RIO Tinto and former VP Business development at Sandstorm Gold). Kodiak also holds the 100% owned Mohave copper-molybdenum porphyry project in Arizona which is a data rich property with shallow historic drilling but untested at depth.

Catalysts:

Q121: Commencement of fully funded 30,000 m drill program
Q221: Ongoing drill results from phase III drill program

Figure 1: Plan map of the Gate Zone with recent drill holes and historic copper-in soil geochem. KDK drilling has focused on the northern portion of the 1 km long geochemical anomaly while the southern portion remains untested which could be the mineralized offset of the northern portion (source: Kodiak Copper).