Exhibit 99.1
AMARC: Surging global copper demand through 2030 to benefit
Canadian explorers and producers
Wind, solar, EVs expected to drive strongest demand growth for the
‘red metal’ in history
May 26, 2021, Vancouver, BC – Amarc
Resources Ltd. ("Amarc" or the "Company") (TSX-V: AHR; OTCBB:
AXREF) President & CEO Dr. Diane Nicolson reports that North
American and global demand forecasts for refined copper, largely
driven by a worldwide surge in renewable energy and electrification
technology deployments, create a clear market opportunity for
Canadian copper explorers and developers over the next
decade.
“It’s
an exciting time to be an established mineral exploration and
development company in a progressive, strategically located
jurisdiction like British Columbia, and the 100% owner of three
expansive and confirmed porphyry copper-gold districts,”
Nicolson said. “The surging demand for copper metal to meet
the United States’ and the world’s resolve to
fundamentally address climate change and achieve carbon-neutrality
within our lifetime is truly a once-in-a-lifetime opportunity.
Copper mining can now be considered an essential and critical
global industry.”
Nicolson
said a number of factors have coalesced to create the current
market conditions for copper, in which experts believe the forecast
gap between supply and demand will reach unprecedented levels over
the next decade. These factors include:
●
the global push to
adopt renewable energy, electrification and other no- and
low-carbon technologies to address climate risks – notably
wind and solar power generation, electric vehicles
(“EVs”) and associated charging
infrastructure;
●
given the unique
characteristics of copper as a conductor of electricity, it
currently has no cost-effective replacement in most renewable
energy and electrification applications; and
●
limitations on
global copper production, as producers face exhausted orebodies,
falling grades, growing geopolitical risk and a paucity of new
copper mines in the pipeline.
“Goldman
Sachs Commodities Research recently reported the global
copper supply gap could reach 8.2 million tonnes by 2030 –
the largest deficit on record, and one that will necessitate a 40%
increase in production in less than 10 years,” Nicolson said.
“Even more compelling is that society’s transition to
‘carbon-neutrality’ is absolutely dependent on the
mining and metals sector’s ability to address that
gap.”
Goldman
Sachs’ April 2021 research paper, entitled Green Metals: Copper is the new oil
1,
makes clear the fastest growing segment of U.S. and global
copper demand is renewable energy and electrification. Findings
include:
●
global copper
demand from wind, solar, EVs and battery applications will increase
by 600% to 900% by 2030 to as much as 8.7 million tonnes, an
increase that could exceed the 8.2 million tonne supply gap
forecast for that year; and
●
global copper
demand from EVs and charging stations alone will increase by more
than 1,000% by 2030, and by 1,900% in the United
States.
Nicolson
said U.S. President Joe Biden and his Democratic allies in Congress
have made the transition to renewable energy and low-carbon
technologies a public policy priority. Even beyond wind, solar,
EVs, battery technology and charging stations, America’s
climate change agenda will drive still greater demand for copper to
upgrade the nation’s power grid, to retrofit factories,
commercial and residential buildings, and modernize industries from
agriculture to transportation.
Currently,
the United States relies on foreign producers for more than
35%2 of its annual copper needs. This import
reliance is expected to grow in future as the world’s largest
economy increasingly invests in renewable energy and
electrification, and as President Biden pursues his
‘American Jobs
Plan’ to enhance domestic manufacturing in the green
energy sector.
“We’re
certainly aware of the United States Department of Commerce and its
efforts to work with mining and metals interests in Canada to
secure a reliable supply chain to meet America’s climate
change goals,” Nicolson confirmed. “I think it’s
symptomatic of the market conditions we’re going to see for
copper for many years to come – both here in North America,
but also in Asia, Europe and around the world. We couldn’t be
better positioned.”
Amarc
holds a 100%-interest in three major copper-gold porphyry districts
in BC – including the 482 km2
JOY District in
north-central BC, the 462 km2
IKE District in
south-central BC and the 704 km2 DUKE
District in central BC. The properties collectively host four known
copper-gold deposits that remain wide-open to expansion, and 10
drill-ready porphyry copper-gold deposit targets with potential to
support the type of low-cost, bulk tonnage, long-life mining
opportunities in demand by major mining companies.
“As investor, government and public interest in copper as
part of the solution to climate change continues to build momentum,
Amarc will be working to advance resource delineation and
district-wide exploration on all our properties,” Nicolson said. “The
recently announced alliance with Freeport-McMoRan Mineral
Properties Canada Inc. on our JOY district (see release May 12,
2021) is just the first step of what will be an active and exciting
period of time for Amarc and its shareholders.”
Amarc’s President & CEO added that the high-value JOY,
IKE and DUKE copper-gold districts have all been acquired,
assembled and advanced with an intrinsic understanding of the
assets major copper producers will seek in the coming
years.
About Amarc Resources Ltd.
Amarc
is a mineral exploration and development company with an
experienced and successful management team focused on developing a
new generation of long-life, high-value porphyry copper-gold mines
in BC. By combining high-demand projects with dynamic management,
Amarc has created a solid platform to create value from its
exploration and development-stage assets.
Amarc
is advancing the 100%-owned IKE, DUKE and JOY porphyry
copper±gold districts located in different prolific porphyry
districts in southern, central and northern BC, respectively. Each
of the three districts is located in proximity to industrial
infrastructure – including power, highways and rail.
Importantly, each district represents significant potential for the
development of multiple and important-scale, porphyry
copper±gold deposits.
Amarc
is associated with HDI, a diversified, global mining company with a
30-year history of porphyry discovery and development success.
Previous and current HDI projects include some of BC’s and
the world’s most important porphyry deposits – such as
Pebble, Mount Milligan, Southern Star, Kemess South, Kemess North,
Gibraltar, Prosperity, Xietongmen, Newtongmen, Florence, Casino,
Sisson, Maggie, IKE and Pine. From its head office in Vancouver,
Canada, HDI applies its unique strengths and capabilities to
acquire, develop, operate and monetize mineral
projects.
Amarc
works closely with local governments, Indigenous groups and other
stakeholders in order to advance its mineral projects responsibly,
and in a manner that contributes to sustainable community and
economic development. We pursue early and meaningful engagement to
ensure our mineral exploration and development activities are well
coordinated and broadly supported, address local priorities and
concerns, and optimize opportunities for collaboration. In
particular, we seek to establish mutually beneficial partnerships
with Indigenous groups within whose traditional territories our
projects are located, through the provision of jobs, training
programs, contract opportunities, capacity funding agreements and
sponsorship of community events. All Amarc work programs are
carefully planned to achieve high levels of environmental and
social performance.
Qualified Person as Defined Under National Instrument
43-101
Mark Rebagliati, P. Eng., a Qualified Person as defined under
National Instrument 43-101, has reviewed and approved the technical
content in this release.
For
further details on Amarc Resources Ltd., please visit the
Company’s website at www.amarcresources.com or
contact Dr. Diane Nicolson, President and CEO, at (604) 684-6365 or
within North America at 1-800-667-2114.
ON
BEHALF OF THE BOARD OF DIRECTORS OF AMARC RESOURCES
LTD.
Dr.
Diane Nicolson
President
and CEO
Neither
the TSX Venture Exchange nor any other regulatory authority accepts
responsibility for the adequacy or accuracy of this
release.
Forward Looking and other Cautionary Information
This
news release includes certain statements that may be deemed
"forward-looking statements". All such statements, other than
statements of historical facts that address exploration drilling,
exploitation activities and other related events or developments
are forward-looking statements. Although the Company believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ
materially from those in the forward-looking statements.
Assumptions used by the Company to develop forward-looking
statements include the following: Amarc's projects will obtain all
required environmental and other permits and all land use and other
licenses, studies and exploration of Amarc's projects will continue
to be positive, and no geological or technical problems will occur.
Factors that could cause actual results to differ materially from
those in forward-looking statements include market prices,
potential environmental issues or liabilities associated with
exploration, development and mining activities, exploitation and
exploration successes, continuity of mineralization, uncertainties
related to the ability to obtain necessary permits, licenses and
tenure and delays due to third party opposition, changes in and the
effect of government policies regarding mining and natural resource
exploration and exploitation, exploration and development of
properties located within Aboriginal groups asserted territories
may affect or be perceived to affect asserted aboriginal rights and
title, which may cause permitting delays or opposition by
Aboriginal groups, continued availability of capital and financing,
and general economic, market or business conditions, as well as
risks relating to the uncertainties with respect to the effects of
COVID-19. Investors are cautioned that any such statements are not
guarantees of future performance and actual results or developments
may differ materially from those projected in the forward-looking
statements. For more information on Amarc Resources Ltd., investors
should review Amarc's annual Form 20-F filing with the United
States Securities and Exchange Commission at www.sec.gov and its
home jurisdiction filings that are available at
www.sedar.com.