Voyageur Pharmaceuticals Ltd. (TSX-V: VM) has taken a significant step forward in developing its Frances Creek barite project by submitting a Multi-Year Area-Based Notice of Work application to the British Columbia Ministry of Mining and Critical Minerals. The application seeks a five-year permit for advanced exploration on a 76.8-hectare area, including trenching, access trails, a processing area, and a mine rock storage facility, primarily on previously disturbed forestry land.
The proposed Year 1 program includes extraction of 2,000 tonnes of high-grade barite ore (specific gravity 4.5) from two zones, within regulatory limits of 1,000 tonnes per cell per year. The barite will be processed on-site using dry densimetric technology to produce concentrate, which will be shipped to Voyageur's future facility for validation of its proprietary process to meet USP specifications for pharmaceutical-grade barium contrast agents.
Brent Willis, CEO of Voyageur, called the submission a "significant de-risking milestone" that will generate material for process development and validation, while the accompanying geotechnical drilling program will provide data needed to complete a NI 43-101 Final Feasibility Study. The company previously released a Preliminary Economic Assessment in 2022 and is currently working on a Pre-Feasibility Study.
The project hosts an indicated and inferred mineral resource of 132,000 tonnes of pharmaceutical-grade barium sulfate. Recent testing confirmed average purity of 98.8% BaSO4, exceeding the pharmaceutical grade threshold of 97.5%. Voyageur aims to become the first vertically integrated company in the radiology contrast media drug market, controlling all primary input costs from raw material to final production.
The PEA outlined a low-cost open-pit development scenario with a 10-year horizon, total capital of $36 million over three years, and an 11-month payback period. Average operating gross margins were estimated at approximately 75%. The company noted that recent increases in imported pharmaceutical-grade barite costs could positively impact updated economics.
All activities will comply with British Columbia's Mines Act and Health, Safety and Reclamation Code, with progressive reclamation planned. The application includes comprehensive technical studies such as terrain stability, acid rock drainage assessment, soil surveys, and management plans for dust, weeds, and emergency response.
Voyageur's strategy centers on its Frances Creek resource, which it believes can replace synthetic barium sulfate products with higher-quality, lower-cost imaging agents. The company has developed five barium contrast products with Health Canada licenses and plans to partner with third-party GMP manufacturers before transitioning to domestic production.
The NI 43-101 PEA is preliminary and includes inferred mineral resources that are too speculative to be categorized as mineral reserves. There is no certainty that the PEA results will be realized. The pending Pre-Feasibility Study will provide updated information.
For more information, visit voyageurpharmaceuticals.ca.
