Channel Resources (CVE:CHU)
said Monday it continues to define the Mankarga 5 zone on its Tanlouka
gold project, located in Burkina Faso, West Africa, with a 30-metre
intersection grading 1.28 grams per tonne (g/t) gold.
The company reported the assay results of another eight holes from
its 15,000-metre core definition drill program at the deposit.
Significant results included Tan11-DD45, completed on Section 550 SW,
which intersected 30 metres grading 1.28 g/t gold. On that same
section, Tan11-DD52 returned 52.5 metres of 0.74 g/t gold, including 1.9
g/t gold over 10.5 metres.
To date, the results from the drilling program have delineated a
mineralized zone measuring 2.35 kilometres in length, and up to 250
metres in width on the northeast-trending Mankarga 5 structure, which
remains open along strike and to depth, the company said.
Other notable results included Tan11-DD57, drilled on Section 1400
SW, which intersected 12.0 metres grading 1.14 g/t gold, including 17.6
g/t gold over 0.4 metres; and Tan11-DD44, drilled on Section 950 NE,
which returned 10.5 metres at 0.36 g/t gold, 21.0 metres grading 0.43
g/t gold, and 3.0 metres of 2.58 g/t gold.
Meanwhile, Tan11-DD37, drilled on Section 150 NE, intersected 60.0
metres grading 0.81 g/t gold, including 2.07 g/t gold over 6.0 metres.
Tan11-DD36, drilled on Section 100 NE, found 57.0 metres grading 0.61
g/t gold, including 1.3 g/t gold over 6.0 metres. This hole also
intersected 3.0 metres at 2.46 g/t gold, and 9.0 metres at 0.37 g/t
gold.
Channel is pursuing a maiden resource estimate for the Mankarga 5 structure, which it expects to complete in the spring of 2012.
The company also said it will soon start exploration activities on
other targets within the Tanlouka permit area. Regional soil anomalies
in the central and northern regions of the permit indicate obvious
targets, Channel said. It also has a semi-detailed soil survey planned
over several of these target areas, with the objective of generating
drill targets for later this year.
Channel will also investigate the Mankarga 1 area, located just 600
metres west of the Mankarga 5 deposit, which previously encountered 38.0
metres of 3.09 g/t gold in Tan10-RC10, and 12.0 metres of 21.25 g/t
gold in Tan10-RC12.
The company owns a 90 percent interest in the 79-square-kilometre
Tanlouka project, which is located 85 kilometres east of the capital
city of Ouagadougou.
The Tanlouka permit area straddles the Markoye Shear Zone, a crustal
scale structure that extends from northern Ghana to northern Burkina
Faso over a distance of 450 kilometres, and hosts major gold resources
at Essakane, Bomboré, Taporko-Bouroum and Kiaka.
Tanlouka contains gold targets that are hosted in Birimian
Greenstones that are prevalent throughout West Africa, and are well
known as a repository for many world-class gold deposits, including the
40 million ounce Obuasi Gold deposit operated by Anglogold (NYSE:AU) in Ghana, and the 20 million ounce Ahafo Deposit operated by Newmont (NYSE:NEM), also in Ghana.
In recent years, Burkina Faso has seen significant investment from
international exploration and mining companies. Several mines are now in
production and the country currently ranks as Africa's fourth largest
gold producer.
Proactiveinvestors is a leading multi-media news organisation, investor portal and events management business with offices in New York, Sydney, Toronto, Frankfurt and London.
Tuesday, 6 March 2012
Guerrero applies for 86,205-hectare property in Mexico
Guerrero Exploration (CVE:GEX) has applied for the 86,205-hectare Olinala property centred on a volcanic belt, the company said Monday.
The property, which is located in Guerrero state, Mexico, lies to the south of Cerro Dolores, a poly-metallic project owned by Goldcorp (TSE:G).
Toronto-based Guerrero said the Olinala property overlaps two volcanic belts with the potential for volcanogenic massive sulphide deposits.
Guerrero’s chief executive, David Stadnyk, said: "We are pleased with the ongoing extensive efforts of management in staking large surface exploration rights."
"The company is committed to finding a resource base through an aggressive exploration drill program on the Cerro Azul property, and a regional first pass sampling exploration work program on the company's Coatapec, Cibola and Olinala properties in Guerrero state."
Olinala also overlaps the eastern part of the Mixteca Terrane in Guerrero State. The geological area hosts many recent gold and base metal discoveries, including Cayden Resources (CVE:CYD), Torex Gold Resources (CVE:TXG) and the Los Filos Bermejal open pit mine with 248.6 million tonnes of 5.1 grams per tonne gold (g/t) and 40.97 g/t of silver.
Guerrero, which has the smallest market cap among the neighbouring publically trading companies in the area, has one of the largest land ownerships in the state.
Guerrero Exploration is a Canadian-based mineral exploration company with a focus on Mexican gold, copper and silver mining areas known as the Guerrero Gold Belt, Southern Mexican Gold Belt and the Sierra Madre Occidental Belt.
The Guerrero gold belt is located in the state of Guerrero, Mexico and has produced over 15 million ounces of gold to date.
It extends for at least 55 kilometres from the southeast to the northwest and remains open to exploration in all directions.
The company is earning a 70 percent stake in the Chapalota gold project through a joint venture deal with Riverside Resources (CVE:RRI).
Guerrero’s share price rose eight percent to 13.5 cents apiece on Toronto’s junior venture exchange Monday.
The property, which is located in Guerrero state, Mexico, lies to the south of Cerro Dolores, a poly-metallic project owned by Goldcorp (TSE:G).
Toronto-based Guerrero said the Olinala property overlaps two volcanic belts with the potential for volcanogenic massive sulphide deposits.
Guerrero’s chief executive, David Stadnyk, said: "We are pleased with the ongoing extensive efforts of management in staking large surface exploration rights."
"The company is committed to finding a resource base through an aggressive exploration drill program on the Cerro Azul property, and a regional first pass sampling exploration work program on the company's Coatapec, Cibola and Olinala properties in Guerrero state."
Olinala also overlaps the eastern part of the Mixteca Terrane in Guerrero State. The geological area hosts many recent gold and base metal discoveries, including Cayden Resources (CVE:CYD), Torex Gold Resources (CVE:TXG) and the Los Filos Bermejal open pit mine with 248.6 million tonnes of 5.1 grams per tonne gold (g/t) and 40.97 g/t of silver.
Guerrero, which has the smallest market cap among the neighbouring publically trading companies in the area, has one of the largest land ownerships in the state.
Guerrero Exploration is a Canadian-based mineral exploration company with a focus on Mexican gold, copper and silver mining areas known as the Guerrero Gold Belt, Southern Mexican Gold Belt and the Sierra Madre Occidental Belt.
The Guerrero gold belt is located in the state of Guerrero, Mexico and has produced over 15 million ounces of gold to date.
It extends for at least 55 kilometres from the southeast to the northwest and remains open to exploration in all directions.
The company is earning a 70 percent stake in the Chapalota gold project through a joint venture deal with Riverside Resources (CVE:RRI).
Guerrero’s share price rose eight percent to 13.5 cents apiece on Toronto’s junior venture exchange Monday.
Extorre announces high-grade drill results at Cerro Moro
Extorre Gold Mines
(TSE:XG)(AMEX:XG) said Monday it intersected more high-grade drill
results at its Cerro Moro project in the Santa Cruz province of
Argentina, particularly on the Zoe target.
Significant results from the 36 in-fill and step-out drill holes that the company completed at Zoe include MD1434A, which
intersected 2.5 metres grading 41.4 grams per tonne (g/t) gold and 2,234 g/t silver, including 108.1g/t gold and 5,812 g/t silver over 0.35 metres.
MD1447 hit 52.8 g/t gold and 4,299 g/t silver over 3.72 metres, including 1.37 metres at 131.4 g/t gold and 9,521 g/t silver, while MD1498 intersected 1.8 metres grading 13.1 g/t gold and 1,111 g/t silver, including 0.5 metres grading 25.1 g/t gold and 1,641 g/t silver.
The assays are among the latest 83 received by the company from its drilling on Zoe and other veins at Cerro Moro. The Zoe vein drilling is part of a program designed to increase the density of drill holes within the known mineralized envelope.
MD1452, which intersected 4.52 metres at 8.2 g/t gold and 1,819 g/t silver, including 1.18 metres grading 27.9 g/t gold and 5,794 g/t silver, was collared just 60 metres vertically from surface, while MD1457, which intersected 1.5 metres grading 50.7 g/t gold and 6,426 g/t silver, including 137.0 g/t gold and 17,419 g/t silver over 0.54 metres, was collared only 40 metres vertically from surface.
Extorre also completed 47 drill holes throughout 19 prospects on the property. Ten of these prospects will require follow-up.
At the Mosquito prospect, which is located four kilometres north of the Escondida Far West area, MD1392 intersected 0.3 metres grading 8.0 g/t gold and 1,935 g/t silver, while MD1501 hit 1.7 metres at 0.7 g/t gold and 589 g/t silver, including 0.7 metres grading 1.33 g/t gold and 1,270 g/t silver.
Follow-up drilling has started at this prospect, with MD1542 intersecting visual silver and base metal mineralization, though
Extorre still awaits assays. Overall, the Mosquito vein structure is confirmed for over 600 metres in length, and remains open to the southeast.
Meanwhile, on the Carlita vein, MD1404A intersected 3.38 metres at 4.3 g/t gold and 46 g/t silver, while MD1490 on the Belen vein hit 1.3 g/t gold and 84 g/t silver over 4.0 metres.
On the Tres Lomas NW veins, MD1449 intersected 1.0 metre grading 19.4 g/t gold and 7.0 g/t silver, and on the Gabriela SE vein, MD1436 hit 1.75 metres at 14.0 g/t gold and 1,959 g/t silver, including 0.73 metres at 32.6 g/t gold and 4,556 g/t silver.
Extorre has scheduled the release of its preliminary economic assessment (PEA) for March 31. The PEA will include mineral resource estimates for the Escondida-Zoe, Loma Escondida, Gabriela, Nini-Esperanza, Carla and Deborah mineralized zones.
The latest PEA from August, which was based on a resource estimate from April that did not include results from the Zoe discovery, indicated a proposed mine production plan of 1,000 tonnes per day for a total of 206,300 ounces of gold equivalent per year for the first three years of an 8.25 year life, at a cash cost of US$236 per ounce of gold equivalent.
Four rigs remain active at Cerro Moro, devoted to both new resource and mine development-related drilling at the property. At Zoe, infill drilling is continuing to convert the inferred resources to the indicated category. Meanwhile, discovery-stage drilling at the Zoe East, Tres Lomas, Mosquito, Alejandra, and Carlita targets is progressing.
Significant results from the 36 in-fill and step-out drill holes that the company completed at Zoe include MD1434A, which
intersected 2.5 metres grading 41.4 grams per tonne (g/t) gold and 2,234 g/t silver, including 108.1g/t gold and 5,812 g/t silver over 0.35 metres.
MD1447 hit 52.8 g/t gold and 4,299 g/t silver over 3.72 metres, including 1.37 metres at 131.4 g/t gold and 9,521 g/t silver, while MD1498 intersected 1.8 metres grading 13.1 g/t gold and 1,111 g/t silver, including 0.5 metres grading 25.1 g/t gold and 1,641 g/t silver.
The assays are among the latest 83 received by the company from its drilling on Zoe and other veins at Cerro Moro. The Zoe vein drilling is part of a program designed to increase the density of drill holes within the known mineralized envelope.
MD1452, which intersected 4.52 metres at 8.2 g/t gold and 1,819 g/t silver, including 1.18 metres grading 27.9 g/t gold and 5,794 g/t silver, was collared just 60 metres vertically from surface, while MD1457, which intersected 1.5 metres grading 50.7 g/t gold and 6,426 g/t silver, including 137.0 g/t gold and 17,419 g/t silver over 0.54 metres, was collared only 40 metres vertically from surface.
Extorre also completed 47 drill holes throughout 19 prospects on the property. Ten of these prospects will require follow-up.
At the Mosquito prospect, which is located four kilometres north of the Escondida Far West area, MD1392 intersected 0.3 metres grading 8.0 g/t gold and 1,935 g/t silver, while MD1501 hit 1.7 metres at 0.7 g/t gold and 589 g/t silver, including 0.7 metres grading 1.33 g/t gold and 1,270 g/t silver.
Follow-up drilling has started at this prospect, with MD1542 intersecting visual silver and base metal mineralization, though
Extorre still awaits assays. Overall, the Mosquito vein structure is confirmed for over 600 metres in length, and remains open to the southeast.
Meanwhile, on the Carlita vein, MD1404A intersected 3.38 metres at 4.3 g/t gold and 46 g/t silver, while MD1490 on the Belen vein hit 1.3 g/t gold and 84 g/t silver over 4.0 metres.
On the Tres Lomas NW veins, MD1449 intersected 1.0 metre grading 19.4 g/t gold and 7.0 g/t silver, and on the Gabriela SE vein, MD1436 hit 1.75 metres at 14.0 g/t gold and 1,959 g/t silver, including 0.73 metres at 32.6 g/t gold and 4,556 g/t silver.
Extorre has scheduled the release of its preliminary economic assessment (PEA) for March 31. The PEA will include mineral resource estimates for the Escondida-Zoe, Loma Escondida, Gabriela, Nini-Esperanza, Carla and Deborah mineralized zones.
The latest PEA from August, which was based on a resource estimate from April that did not include results from the Zoe discovery, indicated a proposed mine production plan of 1,000 tonnes per day for a total of 206,300 ounces of gold equivalent per year for the first three years of an 8.25 year life, at a cash cost of US$236 per ounce of gold equivalent.
Four rigs remain active at Cerro Moro, devoted to both new resource and mine development-related drilling at the property. At Zoe, infill drilling is continuing to convert the inferred resources to the indicated category. Meanwhile, discovery-stage drilling at the Zoe East, Tres Lomas, Mosquito, Alejandra, and Carlita targets is progressing.
Kincora Copper to spend $5.2 mln for 2012 exploration program
Kincora Copper (CVE:KCC)
Monday announced updated exploration results for last year's
exploration and details of its 2012 drilling campaign for the Bronze Fox
project in Mongolia.
The flagship Bronze Fox project occupies 223 square km of land 140 km northeast of the massive Oyu Tolgoi project, on the same copper belt.
It is divided into five areas of specific interest: West Kasulu, Dunlop Fox, Buchanan Heights, Sophie North, and Leca Pass.
In 2011, Kincora completed a total of 12,435 metres of diamond core drilling. Of the 23 holes drilled, 22 holes hit copper-gold or gold mineralization.
This year's exploration strategy is expected to cost $5.2 million, Kincora Copper said.
The company said that results from its 2011 exploration campaign continued to demonstrate the significant potential of the Bronze Fox project. Encouraged by the extent of mineralization within the license area, the 2012 exploration campaign will continue to define the resource potential, Kincora said.
Kincora Copper's president and CEO Igor Kovarsky said: "These are the final results from the 2011 exploration campaign which continue to demonstrate that Bronze Fox (Buyant License) hosts a large area of copper and gold mineralization, open at depth and in every direction with high grade intersections.
"These results combined with those announced on 20 February are a great development for the project. We are also pleased to announce
our 2012 strategy which aims to define a maiden resource."
Amongst the highlghts, in West Kasulu, hole F27 intersected some small intervals of over 1 gram per tonne (g/t) of gold (up to 2.48 g/t gold) and also 30-40 metres of copper mineralization including 37 metres from 139 metres at an average 0.4% copper equivalent, with up to 3.03% copper and 1.66 g/t gold.
Hole F28 had over 750 metres of consistent copper mineralization, with molybdenum mineralization zones up to 0.9% molybdenum, and ending in a mineralization zone.
Kincora said that six holes were drilled in the Buchanan Heights and Sophie North target areas for initial scout drill testing of a potential gold target zone. Four holes intersected hydrothermal related pyrite and arsenopyrite veins.
Assay results showed 1 g/t to 4.2 g/t gold with associated copper of 1.88%. Those holes include: F32, F33, F34 and F36.
At drill hole F47 in Dunlop Fox, assay results show there is associated copper mineralization, in particular: 18 metres from 29 metres at 0.6% copper equivalent, including 1 metre at 2.07 g/t gold and 1.86% copper and 15 metres from 84 metres at 0.8% copper equivalent, including 1 metre at 8.39 g/t gold.
The key objectives for its 2012 drilling campaign are to define a shallow open pit copper resource potential; continue to search for high grade copper resource potential at depth; define gold targets and resource potential and continue with its bolt-on acquisition strategy.
Kincora's 2012 diamond drilling campaign will begin in March with a total of 16,000 metres planned.
At West Kasulu, the focus will be to drill 10 holes with a total length of 4,000 metres to define open pit potential and target new gold and copper areas identified by soil geochemistry and IP anomalies. At Leca Pass, Kincora plans to drill 5 holes with a total length of 3,000 metres to define the main mineralization zone.
The company said that at Dunlop Fox it plans to drill 6 holes with a total length of 3,000 metres to define the known extension of the mineralization zones and test the new gold soil and IP anomaly area to define new gold targets. At Buchanan Heights, the company plans to drill 5 holes with a total length of 3,000 metres to test new targets and also to define the extension of known mineralization zones.
In terms of new target areas, the company plans to drill outside of the current work concentration zone with 3,000 metres in total length. The work will concentrate in the southern high gold anomaly and chargeability areas.
Kincora also said it plans further geological surveys and an infill soil geochemistry study.
The flagship Bronze Fox project occupies 223 square km of land 140 km northeast of the massive Oyu Tolgoi project, on the same copper belt.
It is divided into five areas of specific interest: West Kasulu, Dunlop Fox, Buchanan Heights, Sophie North, and Leca Pass.
In 2011, Kincora completed a total of 12,435 metres of diamond core drilling. Of the 23 holes drilled, 22 holes hit copper-gold or gold mineralization.
This year's exploration strategy is expected to cost $5.2 million, Kincora Copper said.
The company said that results from its 2011 exploration campaign continued to demonstrate the significant potential of the Bronze Fox project. Encouraged by the extent of mineralization within the license area, the 2012 exploration campaign will continue to define the resource potential, Kincora said.
Kincora Copper's president and CEO Igor Kovarsky said: "These are the final results from the 2011 exploration campaign which continue to demonstrate that Bronze Fox (Buyant License) hosts a large area of copper and gold mineralization, open at depth and in every direction with high grade intersections.
"These results combined with those announced on 20 February are a great development for the project. We are also pleased to announce
our 2012 strategy which aims to define a maiden resource."
Amongst the highlghts, in West Kasulu, hole F27 intersected some small intervals of over 1 gram per tonne (g/t) of gold (up to 2.48 g/t gold) and also 30-40 metres of copper mineralization including 37 metres from 139 metres at an average 0.4% copper equivalent, with up to 3.03% copper and 1.66 g/t gold.
Hole F28 had over 750 metres of consistent copper mineralization, with molybdenum mineralization zones up to 0.9% molybdenum, and ending in a mineralization zone.
Kincora said that six holes were drilled in the Buchanan Heights and Sophie North target areas for initial scout drill testing of a potential gold target zone. Four holes intersected hydrothermal related pyrite and arsenopyrite veins.
Assay results showed 1 g/t to 4.2 g/t gold with associated copper of 1.88%. Those holes include: F32, F33, F34 and F36.
At drill hole F47 in Dunlop Fox, assay results show there is associated copper mineralization, in particular: 18 metres from 29 metres at 0.6% copper equivalent, including 1 metre at 2.07 g/t gold and 1.86% copper and 15 metres from 84 metres at 0.8% copper equivalent, including 1 metre at 8.39 g/t gold.
The key objectives for its 2012 drilling campaign are to define a shallow open pit copper resource potential; continue to search for high grade copper resource potential at depth; define gold targets and resource potential and continue with its bolt-on acquisition strategy.
Kincora's 2012 diamond drilling campaign will begin in March with a total of 16,000 metres planned.
At West Kasulu, the focus will be to drill 10 holes with a total length of 4,000 metres to define open pit potential and target new gold and copper areas identified by soil geochemistry and IP anomalies. At Leca Pass, Kincora plans to drill 5 holes with a total length of 3,000 metres to define the main mineralization zone.
The company said that at Dunlop Fox it plans to drill 6 holes with a total length of 3,000 metres to define the known extension of the mineralization zones and test the new gold soil and IP anomaly area to define new gold targets. At Buchanan Heights, the company plans to drill 5 holes with a total length of 3,000 metres to test new targets and also to define the extension of known mineralization zones.
In terms of new target areas, the company plans to drill outside of the current work concentration zone with 3,000 metres in total length. The work will concentrate in the southern high gold anomaly and chargeability areas.
Kincora also said it plans further geological surveys and an infill soil geochemistry study.
Inovio announces positive animal response in SynCon anti-HPV study
Inovio Pharmaceuticals (AMEX:INO)
said Monday its SynCon vaccine induced a positive T-Cell immune
response in mice with diseases caused by the human papillomavirus (HPV)
types 6 and 11, broadening the company's reach with the synthetic
vaccine.
Inovio's SynCon technology allows it to design synthetic vaccines with the potential to protect against unmatched sub-types and strains of pathogens, including newly emergent, unknown strains of a virus that will periodically emerge through mutation, as in the case of the HPV virus.
The vaccine for these two types joins the company's existing vaccines for types 16 and 18, which is currently in a phase two clinical study.
The results were published in Human Vaccines & Immunotherapeutic, a peer-reviewed paper, titled "Induction of robust cellular immunity against HPV6 and HPV11 in mice by DNA vaccine encoding for E6/E7 antigen".
Inovio president and CEO, Dr. J. Joseph Kim said: "Over a dozen HPV types are recognized as causing cancers and other diseases, with a significant health need and business opportunity for therapeutic vaccines to address these conditions.
"With the best-in-class T-cell responses generated by VGX-3100 in early human studies, our goal is to create a family of therapeutic vaccines targeting most significant diseases caused by HPV infection, including cervical cancer and dysplasia, vulvar dysplasia, head and neck cancer, and other cancers.
"This study demonstrates our ability to readily extend our therapeutic solutions to diseases caused by different HPV types.
"Importantly, our clinical experience with VGX-3100 may also help streamline the regulatory path for these related vaccines."
The new SynCon vaccines were developed to target antigens E6 and E7 of HPV 6 and HPV 11. The vaccines were then modified to increase gene expression and production of the antigenic protein.
The product was administered using the company's proprietary electroporation delivery system, which has proven to boost immune responses by up to 100-fold.
The HPV virus is the potentially deadly virus behind such diseases as head and neck cancers, and genital warts, among others.
Types 6 and 11 in particular are the major cause of recurrent respiratory papillomatosis, which is commonly manifested in warts in the airway, as well as genital warts. The strains are also associated with ear, nose and throat malignancies, carcinoma of the lung, tonsil and larynx, and low-grade cervical lesions.
In addition to the treatment of HPV, Inovio's SynCon vaccines are also undergoing clinical evaluations to treat the influenza virus, cervical dysplasia, leukemia, the hepatitis C virus, and HIV.
On the AMEX, Inovio shares spiked 8.28 percent in premarket trading, to $0.667 per share as of 8:12 am EDT.
Inovio's SynCon technology allows it to design synthetic vaccines with the potential to protect against unmatched sub-types and strains of pathogens, including newly emergent, unknown strains of a virus that will periodically emerge through mutation, as in the case of the HPV virus.
The vaccine for these two types joins the company's existing vaccines for types 16 and 18, which is currently in a phase two clinical study.
The results were published in Human Vaccines & Immunotherapeutic, a peer-reviewed paper, titled "Induction of robust cellular immunity against HPV6 and HPV11 in mice by DNA vaccine encoding for E6/E7 antigen".
Inovio president and CEO, Dr. J. Joseph Kim said: "Over a dozen HPV types are recognized as causing cancers and other diseases, with a significant health need and business opportunity for therapeutic vaccines to address these conditions.
"With the best-in-class T-cell responses generated by VGX-3100 in early human studies, our goal is to create a family of therapeutic vaccines targeting most significant diseases caused by HPV infection, including cervical cancer and dysplasia, vulvar dysplasia, head and neck cancer, and other cancers.
"This study demonstrates our ability to readily extend our therapeutic solutions to diseases caused by different HPV types.
"Importantly, our clinical experience with VGX-3100 may also help streamline the regulatory path for these related vaccines."
The new SynCon vaccines were developed to target antigens E6 and E7 of HPV 6 and HPV 11. The vaccines were then modified to increase gene expression and production of the antigenic protein.
The product was administered using the company's proprietary electroporation delivery system, which has proven to boost immune responses by up to 100-fold.
The HPV virus is the potentially deadly virus behind such diseases as head and neck cancers, and genital warts, among others.
Types 6 and 11 in particular are the major cause of recurrent respiratory papillomatosis, which is commonly manifested in warts in the airway, as well as genital warts. The strains are also associated with ear, nose and throat malignancies, carcinoma of the lung, tonsil and larynx, and low-grade cervical lesions.
In addition to the treatment of HPV, Inovio's SynCon vaccines are also undergoing clinical evaluations to treat the influenza virus, cervical dysplasia, leukemia, the hepatitis C virus, and HIV.
On the AMEX, Inovio shares spiked 8.28 percent in premarket trading, to $0.667 per share as of 8:12 am EDT.
Prophecy Platinum to buy Ursa Major Minerals
Prophecy Platinum Corp. (CVE:NKL) said Friday it has entered into a binding letter of agreement to acquire Ursa Major Minerals (TSE:UMJ) in an all-share transaction.
Prophecy said it will issue one common share for every 25 outstanding common shares of Ursa. Ursa options and warrants will also be exchanged for options and warrants of Prophecy.
The offer represents approximately $0.15 per common share of Ursa based on Prophecy's share price of $3.70 as at March 1, 2012, representing a premium of 130 percent to Ursa's closing price as at March 1, 2012 of $0.065.
Prophecy is also to subscribe for $1 million common shares of Ursa by way of private placement financing at $0.06 per share, subject to regulatory approval. Upon placement completion, John Lee and Greg Hall, current Prophecy directors, will be appointed to Ursa's board.
The acquisition will allow Prophecy to become a mid-tier resource company with a diversified pipeline of Platinum nickel projects, including the fully permitted open-pit Shakespeare Platinum group metals-nickel-copper mine near Sudbury, with near term production capabilities.
The feasibility study by Micon International in January 2006 for Shakespeare and subsequently updated in 2008, defined a probable reserve of 11,828,000 tonnes grading 0.33% nickel, 0.35% copper, 0.02% cobalt, 0.33 grams per tonne (g/t) Platinum, 0.36 g/t palladium and 0.18 g/t gold. The mineral reserve is to a maximum depth of 250 metres below surface
In addition, the deal provides Ursa shareholders with liquidity, sustaining capital and opportunity to participate in exploration and development upside of Prophecy's Wellgreen and Lynn Lake properties.
The Wellgreen project in the Yukon has over 10 million ounces of Platinum-palladium-gold inferred resource. Active drilling is ongoing with a pending preliminary economic assessment study.
Manitoba's Lynn Lake nickel-copper has over 262 million pounds of nickel, and 138 million pounds of copper in the measured and indicated categories.
Following the deal’s close, Prophecy plans to publish a new Shakespeare feasibility and examine project economics and metal prices prior to making a production decision.
At the appropriate time, joint venture partners may be sought to develop Wellgreen, Lynn Lake, and Shakespeare, with Wellgreen set to be Prophecy's focus.
“We believe with this production ready mine, Prophecy would raise its profile, broaden investment appeal, and gain further trading liquidity,” Prophecy’s chairman John Lee said in a statement.
"Ursa's board recognize the synergy and that this deal is potentially accretive to both Ursa and Prophecy shareholders."
The deal includes a break fee of $1.5 million, which is payable to Prophecy should Ursa accept a superior un-solicited bid.
Based on 79.7 million Ursa common shares outstanding, Prophecy is expected to issue 3.19 million shares as part of the transaction.
If required, both companies said they would call a special meeting of shareholders in late May to vote on the transaction. The deal is slated to close on June 15.
President and CEO of Ursa, Richard Sutcliffe, added: "We are very pleased to have reached this agreement with Prophecy which provides an excellent opportunity to advance the Shakespeare Mine.
"Our shareholders will to participate in a combined company with an outstanding portfolio of assets and substantially improved market capitalization and liquidity."
Once the deal is completed, Sutcliffe will be appointed to Prophecy's board.
Earlier in January, Prophecy announced that it would initiate underground drilling at its Wellgreen Platinum group metals (PGM) nickel copper project.
The miner plans to drill about 9,000 metres to target infill areas of its existing resource, as well as the potential expansion of the resource to the south, where a pit area is being designed for the company’s preliminary economic assessment due to finish by the first quarter of 2012.
The company has received drill permits and has mobilized a crew to the site to prepare drill stations. Drilling is expected to continue year-round, covering the one-kilometre strike of the Wellgreen East Zone.
In addition, the results from the underground drilling will potentially upgrade its inferred resource to the measured and indicated categories.
In July 2011, the company reported 289 million tonnes grading 0.38 percent nickel, 0.35 percent copper, and 1.18 grams per tonne (g/t) PGM plus gold in the inferred category, and 14 million tonnes grading of 0.69 percent nickel, 0.62 percent copper and 2.25 g/t PGM plus gold in the indicated category.
The company is a Canadian nickel and Platinum group metals exploration explorer with projects in Canada, Argentina and Uruguay. In Canada, it holds the Lynn Lake project in Manitoba, as well as Wellgreen.
Prophecy said it will issue one common share for every 25 outstanding common shares of Ursa. Ursa options and warrants will also be exchanged for options and warrants of Prophecy.
The offer represents approximately $0.15 per common share of Ursa based on Prophecy's share price of $3.70 as at March 1, 2012, representing a premium of 130 percent to Ursa's closing price as at March 1, 2012 of $0.065.
Prophecy is also to subscribe for $1 million common shares of Ursa by way of private placement financing at $0.06 per share, subject to regulatory approval. Upon placement completion, John Lee and Greg Hall, current Prophecy directors, will be appointed to Ursa's board.
The acquisition will allow Prophecy to become a mid-tier resource company with a diversified pipeline of Platinum nickel projects, including the fully permitted open-pit Shakespeare Platinum group metals-nickel-copper mine near Sudbury, with near term production capabilities.
The feasibility study by Micon International in January 2006 for Shakespeare and subsequently updated in 2008, defined a probable reserve of 11,828,000 tonnes grading 0.33% nickel, 0.35% copper, 0.02% cobalt, 0.33 grams per tonne (g/t) Platinum, 0.36 g/t palladium and 0.18 g/t gold. The mineral reserve is to a maximum depth of 250 metres below surface
In addition, the deal provides Ursa shareholders with liquidity, sustaining capital and opportunity to participate in exploration and development upside of Prophecy's Wellgreen and Lynn Lake properties.
The Wellgreen project in the Yukon has over 10 million ounces of Platinum-palladium-gold inferred resource. Active drilling is ongoing with a pending preliminary economic assessment study.
Manitoba's Lynn Lake nickel-copper has over 262 million pounds of nickel, and 138 million pounds of copper in the measured and indicated categories.
Following the deal’s close, Prophecy plans to publish a new Shakespeare feasibility and examine project economics and metal prices prior to making a production decision.
At the appropriate time, joint venture partners may be sought to develop Wellgreen, Lynn Lake, and Shakespeare, with Wellgreen set to be Prophecy's focus.
“We believe with this production ready mine, Prophecy would raise its profile, broaden investment appeal, and gain further trading liquidity,” Prophecy’s chairman John Lee said in a statement.
"Ursa's board recognize the synergy and that this deal is potentially accretive to both Ursa and Prophecy shareholders."
The deal includes a break fee of $1.5 million, which is payable to Prophecy should Ursa accept a superior un-solicited bid.
Based on 79.7 million Ursa common shares outstanding, Prophecy is expected to issue 3.19 million shares as part of the transaction.
If required, both companies said they would call a special meeting of shareholders in late May to vote on the transaction. The deal is slated to close on June 15.
President and CEO of Ursa, Richard Sutcliffe, added: "We are very pleased to have reached this agreement with Prophecy which provides an excellent opportunity to advance the Shakespeare Mine.
"Our shareholders will to participate in a combined company with an outstanding portfolio of assets and substantially improved market capitalization and liquidity."
Once the deal is completed, Sutcliffe will be appointed to Prophecy's board.
Earlier in January, Prophecy announced that it would initiate underground drilling at its Wellgreen Platinum group metals (PGM) nickel copper project.
The miner plans to drill about 9,000 metres to target infill areas of its existing resource, as well as the potential expansion of the resource to the south, where a pit area is being designed for the company’s preliminary economic assessment due to finish by the first quarter of 2012.
The company has received drill permits and has mobilized a crew to the site to prepare drill stations. Drilling is expected to continue year-round, covering the one-kilometre strike of the Wellgreen East Zone.
In addition, the results from the underground drilling will potentially upgrade its inferred resource to the measured and indicated categories.
In July 2011, the company reported 289 million tonnes grading 0.38 percent nickel, 0.35 percent copper, and 1.18 grams per tonne (g/t) PGM plus gold in the inferred category, and 14 million tonnes grading of 0.69 percent nickel, 0.62 percent copper and 2.25 g/t PGM plus gold in the indicated category.
The company is a Canadian nickel and Platinum group metals exploration explorer with projects in Canada, Argentina and Uruguay. In Canada, it holds the Lynn Lake project in Manitoba, as well as Wellgreen.
PJX Resources finds large gold trend on Zinger property
PJX Resources (CVE:PJX) said Friday it has identified a large gold trend on its Zinger property in British Columbia.
The company announced results to date from the mapping, geochem and geophysics program on the property.
Gold geochem work and mapping included bedrock grab samples that found gold mineralization over an area eight kilometres long and two kilometres wide.
Since 2008, around 1,380 grab samples of bedrock were collected and analyzed. Of these, 750 samples reported analyses above 20 parts per billion (ppb) gold, including 86 samples ranging from 0.5 grams per tonne (g/t) to 1.0 g/t, 101 samples ranging from 1.0g/t to 5.0 g/t, and 37 samples equal to or greater than 5.0g/t.
The highest value reported was a whopping 39.6 g/t gold.
The company said the results from this program indicate that anomalous gold mineralization appears to occur along bedding planes, with higher concentrations of gold in veins, and zones perpendicular to, or at oblique angles to, bedding within quartzites.
Within the geophysics part of the program, Geotech completed a detailed 340 kilometre electromagnetic and magnetic airborne geophysical survey over the entire mineralized area on the Zinger property last November.
The electro-magnetic data identified a large resistive zone at depth that is coincident with and outlines the majority of the gold mineralization.
PJX said this zone may be an intrusive or a large area of more intense silicification and alteration, associated with gold mineralization.
In addition, the magnetic data identified a 5 kilometre long magnetic trend that is coincident with some of the highest grade gold analyses in rock.
Based on these results, PJX's 2012 summer exploration program will focus on the highest concentrations of gold and "best geophysical features", which will include further detailed mapping and a planned drilling program, it said.
"PJX is very encouraged with the development of the Zinger target areas," said president and CEO, John Keating.
"This is the largest virtually untested gold trend that I have seen in my years of exploration. One explanation for why a gold deposit has not been found to date is because the deposit may not come to surface.
"The ability of airborne geophysics to explore at depth helps narrow our search and may be the key to unlocking the location of potential gold deposits."
The road-accessible Zinger property is located 24 kilometres west of Cranbrook, British Columbia and covers 12,400 hectares over a 20 kilometre strike length.
The Zinger target areas, combined with the large gold targets developing on the Dewdney Trail property, increase the company's potential for a discovery, PJX added.
Separately, PJX said that it has flown an airborne geophysical survey over the 14,600 hectare Eddy property in the Cranbrook area, which has both gold and copper potential.
The data is being compiled and results from this work will be announced in the near future, the company said.
PJX's primary properties are located in the historical mining area of Cranbrook and Kimberley, British Columbia.
The company announced results to date from the mapping, geochem and geophysics program on the property.
Gold geochem work and mapping included bedrock grab samples that found gold mineralization over an area eight kilometres long and two kilometres wide.
Since 2008, around 1,380 grab samples of bedrock were collected and analyzed. Of these, 750 samples reported analyses above 20 parts per billion (ppb) gold, including 86 samples ranging from 0.5 grams per tonne (g/t) to 1.0 g/t, 101 samples ranging from 1.0g/t to 5.0 g/t, and 37 samples equal to or greater than 5.0g/t.
The highest value reported was a whopping 39.6 g/t gold.
The company said the results from this program indicate that anomalous gold mineralization appears to occur along bedding planes, with higher concentrations of gold in veins, and zones perpendicular to, or at oblique angles to, bedding within quartzites.
Within the geophysics part of the program, Geotech completed a detailed 340 kilometre electromagnetic and magnetic airborne geophysical survey over the entire mineralized area on the Zinger property last November.
The electro-magnetic data identified a large resistive zone at depth that is coincident with and outlines the majority of the gold mineralization.
PJX said this zone may be an intrusive or a large area of more intense silicification and alteration, associated with gold mineralization.
In addition, the magnetic data identified a 5 kilometre long magnetic trend that is coincident with some of the highest grade gold analyses in rock.
Based on these results, PJX's 2012 summer exploration program will focus on the highest concentrations of gold and "best geophysical features", which will include further detailed mapping and a planned drilling program, it said.
"PJX is very encouraged with the development of the Zinger target areas," said president and CEO, John Keating.
"This is the largest virtually untested gold trend that I have seen in my years of exploration. One explanation for why a gold deposit has not been found to date is because the deposit may not come to surface.
"The ability of airborne geophysics to explore at depth helps narrow our search and may be the key to unlocking the location of potential gold deposits."
The road-accessible Zinger property is located 24 kilometres west of Cranbrook, British Columbia and covers 12,400 hectares over a 20 kilometre strike length.
The Zinger target areas, combined with the large gold targets developing on the Dewdney Trail property, increase the company's potential for a discovery, PJX added.
Separately, PJX said that it has flown an airborne geophysical survey over the 14,600 hectare Eddy property in the Cranbrook area, which has both gold and copper potential.
The data is being compiled and results from this work will be announced in the near future, the company said.
PJX's primary properties are located in the historical mining area of Cranbrook and Kimberley, British Columbia.
Otis Gold increases private placement financing to C$1.5 mln from $0.75 mln
Otis Gold Corp. (CVE:OOO)(OTCQX:OGLDF)
said Friday it has increased its previously announced non-brokered
private placement financing from C$750,000 to C$1.5 million.
The company will now issue up to 7.5 million units at a price of C$0.20 each.
Each unit will consist of one common share and one-half of one transferable common share purchase warrant. Each warrant will be exercisable to purchase one common share of the company for a period of 18 months, at a price of C$0.30 per share.
The net proceeds from this private placement will be used for the continued advancement of the Kilgore gold project in Clark County, Idaho, and for general working capital purposes.
The proposed financing is subject to the approval of the TSX Venture Exchange.
Otis Gold Corp. is a Canadian mineral exploration company focused on the acquisition and development of precious metal deposits in Idaho, USA.
The company will now issue up to 7.5 million units at a price of C$0.20 each.
Each unit will consist of one common share and one-half of one transferable common share purchase warrant. Each warrant will be exercisable to purchase one common share of the company for a period of 18 months, at a price of C$0.30 per share.
The net proceeds from this private placement will be used for the continued advancement of the Kilgore gold project in Clark County, Idaho, and for general working capital purposes.
The proposed financing is subject to the approval of the TSX Venture Exchange.
Otis Gold Corp. is a Canadian mineral exploration company focused on the acquisition and development of precious metal deposits in Idaho, USA.
Neostem to present at 2 conferences in March
NeoStem (NYSE:NBS) said Friday that it will present at two upcoming conferences this month, where it will give corporate updates.
The company, founded in 1980 and with about 611 employees, develops cellular therapies for oncology, immunology and regenerative medicines in China and the United States.
The first symposium, Cowen and Company’s 32nd Annual Health Care Conference, is slated to take place on March 5, at 2:50 p.m. at the Marriott Copley Place, in Boston.
Cowen and Company's symposiums are major industry events attracting top institutional investors and companies in the technology, health care, consumer and retail, aerospace and defence and alternative energy sectors.
Meanwhile, the second conference – Maxim Group’s 5th Annual Growth Conference – will take place on March 26 at 9 a.m. at the Grand Hyatt, in New York.
The second conference is a one-day event that will feature more than 80 presentations across the health care, media and specialty finance sectors.
Earlier this week, JMP Securities reiterated its market outperform rating and $3 price target for NeoStem, after Baxter International (NYSE:BAX) named the stem cell company's Progenitor Cell Therapy unit as the contract manufacturer for a phase three stem cell trial.
On Tuesday, Baxter started a phase three, 450 patient pivotal clinical trial to evaluate the efficacy and safety of an individual's own CD34+ stem cells to increase exercise capacity in patients with chronic myocardial ischemia (CMI), a coronary artery disease.
NeoStem is an international biopharmaceutical company with adult stem cell operations in the U.S., a network of adult stem cell therapeutic providers in China as well as a 51 percent ownership interest in a profitable Chinese generic pharmaceutical manufacturing company.
It is focused on accelerating the development of proprietary cellular therapies and becoming a single source for collection, storage, manufacturing, therapeutic development and transportation of cells for cell-based medicine and regenerative science globally.
The company, founded in 1980 and with about 611 employees, develops cellular therapies for oncology, immunology and regenerative medicines in China and the United States.
The first symposium, Cowen and Company’s 32nd Annual Health Care Conference, is slated to take place on March 5, at 2:50 p.m. at the Marriott Copley Place, in Boston.
Cowen and Company's symposiums are major industry events attracting top institutional investors and companies in the technology, health care, consumer and retail, aerospace and defence and alternative energy sectors.
Meanwhile, the second conference – Maxim Group’s 5th Annual Growth Conference – will take place on March 26 at 9 a.m. at the Grand Hyatt, in New York.
The second conference is a one-day event that will feature more than 80 presentations across the health care, media and specialty finance sectors.
Earlier this week, JMP Securities reiterated its market outperform rating and $3 price target for NeoStem, after Baxter International (NYSE:BAX) named the stem cell company's Progenitor Cell Therapy unit as the contract manufacturer for a phase three stem cell trial.
On Tuesday, Baxter started a phase three, 450 patient pivotal clinical trial to evaluate the efficacy and safety of an individual's own CD34+ stem cells to increase exercise capacity in patients with chronic myocardial ischemia (CMI), a coronary artery disease.
NeoStem is an international biopharmaceutical company with adult stem cell operations in the U.S., a network of adult stem cell therapeutic providers in China as well as a 51 percent ownership interest in a profitable Chinese generic pharmaceutical manufacturing company.
It is focused on accelerating the development of proprietary cellular therapies and becoming a single source for collection, storage, manufacturing, therapeutic development and transportation of cells for cell-based medicine and regenerative science globally.
Silver Bull Resources appoints vice president of metallurgy
Silver Bull Resources (TSE:SVB) said Friday it has appointed chemical engineer George Rawsthorne as vice president of metallurgy.
With over 40 years of experience in the mining sector, Rawsthorne has held a number of positions that include: mill manager, lead process engineer and has worked as an independent consultant to re-view mining operations for companies and banks.
He has worked in the design and development of metallurgical flow sheets, Silver Bull said in a statement, as well as plant startup and optimizing existing processing plants in an operating environment.
Prior work experience includes (Cominco) Teck Corp., Rabbit Lake Uranium, and Placer Development’s Gibraltar Mine, as well as other junior and mid-tier mining and exploration companies.
“We are extremely pleased to have someone with the experience and history of success of Mr. Rawsthorne join our team,” chief executive Tim Barry said in a statement.
“The goal of finding a suitable metallurgical process to extract both the silver and zinc on a large scale basis is one of our main priorities for 2012.”
Earlier this week, the miner unveiled results for another 10 drill holes targeting the Centenario Zone at its Sierra Mojada project in Mexico.
The company's flagship Sierra Mojada project is located 150 kilometres north of the city of Torreon in Coahuila, Mexico and is highly prospective for silver and zinc.
Among the highlights, two drill holes encountered 100-plus metre intercepts of silver oxide mineralization intersecting high grade zones of 417.64 grams per tonne (g/t) silver over 10 metres, 283.89 g/t silver over 13.05 metres and 176.77 g/t silver over 21.5 metres.
Silver Bull’s share price traded steady at 57 cents apiece on the Toronto Stock Exchange on Friday afternoon.
With over 40 years of experience in the mining sector, Rawsthorne has held a number of positions that include: mill manager, lead process engineer and has worked as an independent consultant to re-view mining operations for companies and banks.
He has worked in the design and development of metallurgical flow sheets, Silver Bull said in a statement, as well as plant startup and optimizing existing processing plants in an operating environment.
Prior work experience includes (Cominco) Teck Corp., Rabbit Lake Uranium, and Placer Development’s Gibraltar Mine, as well as other junior and mid-tier mining and exploration companies.
“We are extremely pleased to have someone with the experience and history of success of Mr. Rawsthorne join our team,” chief executive Tim Barry said in a statement.
“The goal of finding a suitable metallurgical process to extract both the silver and zinc on a large scale basis is one of our main priorities for 2012.”
Earlier this week, the miner unveiled results for another 10 drill holes targeting the Centenario Zone at its Sierra Mojada project in Mexico.
The company's flagship Sierra Mojada project is located 150 kilometres north of the city of Torreon in Coahuila, Mexico and is highly prospective for silver and zinc.
Among the highlights, two drill holes encountered 100-plus metre intercepts of silver oxide mineralization intersecting high grade zones of 417.64 grams per tonne (g/t) silver over 10 metres, 283.89 g/t silver over 13.05 metres and 176.77 g/t silver over 21.5 metres.
Silver Bull’s share price traded steady at 57 cents apiece on the Toronto Stock Exchange on Friday afternoon.
New Zealand Energy boosts bought deal financing to $55.2 mln from $35.1 mln
New Zealand Energy Corp.
(CVE:NZ) (OTCQX:NZERF) said Friday morning that it has increased a
bought deal financing announced just yesterday to $55.2 million from
$35.1 million previously.
The latest agreement with Canaccord Genuity, on behalf of a syndicate of underwriters, will see the purchase, on a bought deal basis for resale to the public, of 18.4 million New Zealand Energy shares, at a price of $3.00 each.
The company has also given the underwriters an over-allotment option to purchase, on the same terms, up to an additional 2.76 million common shares for another $8.28 million in proceeds.
The option can be exercised in whole or in part at any time up to 30 days after the offering closes.
The company said it will use the new funds to explore and develop its oil and gas properties, as well as for additional geologic and technical studies, and for other corporate purposes.
The closing of the deal is expected around March 21, 2012, subject to all necessary regulatory approvals, including that of the TSX Venture Exchange.
New Zealand Energy controls two permits covering 169,949 net acres in the Taranaki Basin. The company achieved production in December 2011 from Copper Moki-1, its first discovery well in the Taranaki Basin, and late last month, announced the start of an extended production test from its Copper Moki-2 well and the start of drilling at its Copper Moki-3 well.
The company also said in February that based on its early operational success in the Taranaki Basin of New Zealand's North Island, it has forecast an exit production rate of 3,000 barrels of oil equivalent (boe) per day for 2012.
The company said the guidance was prepared on the back of production results disclosed that week, as well as the planned drilling of eight net additional wells this year.
The forecast also took into account the completion of a natural gas pipeline, and the "continued performance in line with existing oil and natural gas production" from its Copper Moki-1 and Copper Moki-2 wells.
At the Copper Moki-2 (CM-2) well, it is producing 42.0 degrees of API oil, and is currently flowing at a rate of 1,000 barrels of oil per day, and 820 thousand cubic feet (mcf) of natural gas per day, New Zealand Energy said.
The latest agreement with Canaccord Genuity, on behalf of a syndicate of underwriters, will see the purchase, on a bought deal basis for resale to the public, of 18.4 million New Zealand Energy shares, at a price of $3.00 each.
The company has also given the underwriters an over-allotment option to purchase, on the same terms, up to an additional 2.76 million common shares for another $8.28 million in proceeds.
The option can be exercised in whole or in part at any time up to 30 days after the offering closes.
The company said it will use the new funds to explore and develop its oil and gas properties, as well as for additional geologic and technical studies, and for other corporate purposes.
The closing of the deal is expected around March 21, 2012, subject to all necessary regulatory approvals, including that of the TSX Venture Exchange.
New Zealand Energy controls two permits covering 169,949 net acres in the Taranaki Basin. The company achieved production in December 2011 from Copper Moki-1, its first discovery well in the Taranaki Basin, and late last month, announced the start of an extended production test from its Copper Moki-2 well and the start of drilling at its Copper Moki-3 well.
The company also said in February that based on its early operational success in the Taranaki Basin of New Zealand's North Island, it has forecast an exit production rate of 3,000 barrels of oil equivalent (boe) per day for 2012.
The company said the guidance was prepared on the back of production results disclosed that week, as well as the planned drilling of eight net additional wells this year.
The forecast also took into account the completion of a natural gas pipeline, and the "continued performance in line with existing oil and natural gas production" from its Copper Moki-1 and Copper Moki-2 wells.
At the Copper Moki-2 (CM-2) well, it is producing 42.0 degrees of API oil, and is currently flowing at a rate of 1,000 barrels of oil per day, and 820 thousand cubic feet (mcf) of natural gas per day, New Zealand Energy said.
Clifton Star Resources unveils "excellent" metallurgical results from Duparquet
Clifton Star Resources (CVE:CFO) unveiled Friday what it called "excellent" metallurgical results from its Duparquet project in Quebec.
The company said that recent tests from SGS Lakefield Research showed high gold recoveries from mineralization at the project are possible, using a combination of conventional flotation, pressure oxidation and cyanidation.
A significant amount of gold is locked in refractory sulfide minerals, therefore refractory sulfide ores are generally treated by pre-oxidation prior to recovery of gold by cyanidation.
The overall average gold recovery from six metallurgical samples from the Duparquet project gold zones was 93 percent. Six metallurgical samples, with head grades ranging from 1.25 grams per tonne (g/t) gold to 3.58 g/t gold, were provided to SGS Lakefield Research for gold recovery testing.
"It has been commonly considered that the resource at Duparquet may be difficult to treat from a metallurgical stand point, "said president and CEO Michel Bouchard. "Considering the tests results, the uncertainty is largely lifted."
The company said the average sulfide oxidation for the best test for each of the six samples was 98.8 percent.
The core samples were taken from the Beattie, the Donchester North, the Donchester South, and the Central Duparquet Main Zone. A sample of the historical tailings from Beattie was also tested, Clifton Star added.
Arsenic levels were low in all six samples, meaning environmental control of arsenic will be "straightforward" at these levels.
Despite the positive results, in order to determine the most "economical process to treat the mineralization", samples of bulk concentrate were provided to Goldfields of South Africa for testing using the BIOX technology as an alternative to pressure oxidation.
The BIOX process uses bacteria to catalyze the oxidation of pyrite and arsenopyrite prior to gold recovery by carbon-in-leach cyanidation.
Samples of bulk concentrate were also sent to Australia for testing the Albion process, which uses fine grinding and neutral oxidation of pyrite and arsenopyrite prior to gold recovery by carbon-in-leach cyanidation.
Both series of tests have started, with Clifton expecting to have preliminary results in June of this year.
On Thursday, Clifton Star announced the results of its 2011 drill program at its Duparquet project, which is located along the prolific Destor-Porcupine fault in the Abitibi region of Quebec.
In 2011, Clifton Star drilled 85 holes, totaling 26,754 metres. The drill program focused on the Beattie, Donchester, and Central Duparquet properties.
Significant results from the North zone included hole BD10-277, which intersected 2.06 grams per tonne (g/t) gold over 58.3 metres; hole BD10-270, which hit 2.25 g/t gold over 36.0 metres; and hole D11-149, which intersected 32.3 metres grading 1.66 g/t gold.
At the North zone, gold mineralization has been traced along strike in an east-west direction for 2.6 kilometres.
The company said it will incorporate the 2011 data into a comprehensive NI 43-101 compliant resource estimate for the Duparquet project. The report, which is expected for completion in April 2012, is currently being prepared by InnovExplo, a mining consultation firm in Val-d'Or, Quebec.
The report will form the basis of a preliminary economic assessment.
Earlier this week, the company filed an updated NI 43-101 resource report for its Donchester property. A previous technical report on Donchester from June 2011 was deemed non-compliant with the requirements of NI 43-101 by the British Columbia Securities Commission (BCSC), prompting a cease trade order on Clifton Star's stock.
The latest report gave an inferred resource of 11.01 million tonnes with an average grade of 3.06 grams of gold per tonne for 1.05 million contained gold ounces, at a cut-off grade of 1.5 grams of gold per tonne, and using a top-cut of 8.0 grams per tonne.
The company also said Thursday it currently has two active drill rigs at the Beattie and Donchester properties, completing a 20-hole program.
The drilling will primarily focus on the continued surface exploration of the various zones at the Beattie, Donchester, Dumico, and Central Duparquet properties, in order to better define the limits of the known mineralization between 400 and 600 metres below surface, as well as to identify the limits of higher grade sections within the known zones.
The company said that recent tests from SGS Lakefield Research showed high gold recoveries from mineralization at the project are possible, using a combination of conventional flotation, pressure oxidation and cyanidation.
A significant amount of gold is locked in refractory sulfide minerals, therefore refractory sulfide ores are generally treated by pre-oxidation prior to recovery of gold by cyanidation.
The overall average gold recovery from six metallurgical samples from the Duparquet project gold zones was 93 percent. Six metallurgical samples, with head grades ranging from 1.25 grams per tonne (g/t) gold to 3.58 g/t gold, were provided to SGS Lakefield Research for gold recovery testing.
"It has been commonly considered that the resource at Duparquet may be difficult to treat from a metallurgical stand point, "said president and CEO Michel Bouchard. "Considering the tests results, the uncertainty is largely lifted."
The company said the average sulfide oxidation for the best test for each of the six samples was 98.8 percent.
The core samples were taken from the Beattie, the Donchester North, the Donchester South, and the Central Duparquet Main Zone. A sample of the historical tailings from Beattie was also tested, Clifton Star added.
Arsenic levels were low in all six samples, meaning environmental control of arsenic will be "straightforward" at these levels.
Despite the positive results, in order to determine the most "economical process to treat the mineralization", samples of bulk concentrate were provided to Goldfields of South Africa for testing using the BIOX technology as an alternative to pressure oxidation.
The BIOX process uses bacteria to catalyze the oxidation of pyrite and arsenopyrite prior to gold recovery by carbon-in-leach cyanidation.
Samples of bulk concentrate were also sent to Australia for testing the Albion process, which uses fine grinding and neutral oxidation of pyrite and arsenopyrite prior to gold recovery by carbon-in-leach cyanidation.
Both series of tests have started, with Clifton expecting to have preliminary results in June of this year.
On Thursday, Clifton Star announced the results of its 2011 drill program at its Duparquet project, which is located along the prolific Destor-Porcupine fault in the Abitibi region of Quebec.
In 2011, Clifton Star drilled 85 holes, totaling 26,754 metres. The drill program focused on the Beattie, Donchester, and Central Duparquet properties.
Significant results from the North zone included hole BD10-277, which intersected 2.06 grams per tonne (g/t) gold over 58.3 metres; hole BD10-270, which hit 2.25 g/t gold over 36.0 metres; and hole D11-149, which intersected 32.3 metres grading 1.66 g/t gold.
At the North zone, gold mineralization has been traced along strike in an east-west direction for 2.6 kilometres.
The company said it will incorporate the 2011 data into a comprehensive NI 43-101 compliant resource estimate for the Duparquet project. The report, which is expected for completion in April 2012, is currently being prepared by InnovExplo, a mining consultation firm in Val-d'Or, Quebec.
The report will form the basis of a preliminary economic assessment.
Earlier this week, the company filed an updated NI 43-101 resource report for its Donchester property. A previous technical report on Donchester from June 2011 was deemed non-compliant with the requirements of NI 43-101 by the British Columbia Securities Commission (BCSC), prompting a cease trade order on Clifton Star's stock.
The latest report gave an inferred resource of 11.01 million tonnes with an average grade of 3.06 grams of gold per tonne for 1.05 million contained gold ounces, at a cut-off grade of 1.5 grams of gold per tonne, and using a top-cut of 8.0 grams per tonne.
The company also said Thursday it currently has two active drill rigs at the Beattie and Donchester properties, completing a 20-hole program.
The drilling will primarily focus on the continued surface exploration of the various zones at the Beattie, Donchester, Dumico, and Central Duparquet properties, in order to better define the limits of the known mineralization between 400 and 600 metres below surface, as well as to identify the limits of higher grade sections within the known zones.
Mountain Lake unveils latest results from Leprechaun, extends mineralization
Mountain Lake Resources (CVE:MOA)
unveiled Friday the latest batch of 2012 drill results from its
Leprechaun gold deposit, part of the joint venture Valentine Lake
property in Central Newfoundland.
The company said Main Zone intercepts confirmed the extension of the mineralization in the area, down dip from the current resource boundary.
Highlights of these Main Zone intercepts included 8.04 grams per tonne (g/t) gold over 4.25 metres, including 35.71 g/t gold over 0.9 metres and 9.35 g/t gold over 2.6 metres, including 20.33 g/t gold over 0.9 metres in hole VL-12-397.
Hole VL-12-390 also returned 2.67 g/t gold over 12.0 metres, including 11.90 g/t gold over 2.3 metres, while hole VL-12-391 found 2.03 g/t gold over 9.8 metres, including 13.81 g/t gold over 0.8 metres.
In addition, Mountain Lake said that new Footwall Zone intercepts confirmed a high grade lens of mineralization, extending more than 50 metres in strike length and over 80 metres down dip.
Notable Footwall Zone assays included 4.11 g/t gold over 8.0 metres, including 24.76 g/t gold over 0.8 metres in hole VL-12-391. Hole VL-12-388 also returned 5.77 g/t gold over 3.4 metres, including 20.22 g/t gold over 0.85 metres and 2.08 g/t gold over 9.35 metres, including 6.96 g/t gold over 1.7 metres.
The Valentine Lake project, which includes the Leprechaun deposit, is a 50/50 joint venture between Mountain Lake and Marathon Gold Corp (TSE:MOZ).
Marathon is the operator of the venture, with the two parties jointly funding a work budget of $11.5 million in 2012.
Three drills are currently working on the property, focused on expanding the Leprechaun deposit both down dip and along strike to the southeast into the J. Frank Zone and to the northeast into the Sprite Zone.
The companies said that a total of 25 drill holes for 7,675 metres of the planned 40,000 metre 2012 drilling campaign have now been completed.
Valentine Lake Property has a 30 kilometre strike length with the J. Frank Zone and Leprechaun deposit situated at the southwestern end of a gold-bearing mineralized corridor that extends for at least 17 kilometres.
Currently, Leprechaun has an NI 43-101 compliant measured and indicated resource of 3.28 million tonnes grading 2.62 g/t gold for a total estimated 277,000 ounces of gold, and an associated inferred resource of 4.41 million tonnes grading 2.01 g/t gold for 285,000 ounces of gold.
The 2010 resource was estimated using a 0.5 g/t gold minimum cut-off over a three metre minimum width. An open pit resource estimate is expected the current quarter, which will include results from the 25,250 metres of drilling completed in 2011.
Mountain Lake Resources is a junior exploration company, whose current projects, aside from Valentine Lake, include a 100 percent interest in the Glover Island gold exploration property, an option to earn a 100 percent stake in the Little River gold-antimony asset and a 100 percent interest in the Bobby’s Pond base metals property.
The company said Main Zone intercepts confirmed the extension of the mineralization in the area, down dip from the current resource boundary.
Highlights of these Main Zone intercepts included 8.04 grams per tonne (g/t) gold over 4.25 metres, including 35.71 g/t gold over 0.9 metres and 9.35 g/t gold over 2.6 metres, including 20.33 g/t gold over 0.9 metres in hole VL-12-397.
Hole VL-12-390 also returned 2.67 g/t gold over 12.0 metres, including 11.90 g/t gold over 2.3 metres, while hole VL-12-391 found 2.03 g/t gold over 9.8 metres, including 13.81 g/t gold over 0.8 metres.
In addition, Mountain Lake said that new Footwall Zone intercepts confirmed a high grade lens of mineralization, extending more than 50 metres in strike length and over 80 metres down dip.
Notable Footwall Zone assays included 4.11 g/t gold over 8.0 metres, including 24.76 g/t gold over 0.8 metres in hole VL-12-391. Hole VL-12-388 also returned 5.77 g/t gold over 3.4 metres, including 20.22 g/t gold over 0.85 metres and 2.08 g/t gold over 9.35 metres, including 6.96 g/t gold over 1.7 metres.
The Valentine Lake project, which includes the Leprechaun deposit, is a 50/50 joint venture between Mountain Lake and Marathon Gold Corp (TSE:MOZ).
Marathon is the operator of the venture, with the two parties jointly funding a work budget of $11.5 million in 2012.
Three drills are currently working on the property, focused on expanding the Leprechaun deposit both down dip and along strike to the southeast into the J. Frank Zone and to the northeast into the Sprite Zone.
The companies said that a total of 25 drill holes for 7,675 metres of the planned 40,000 metre 2012 drilling campaign have now been completed.
Valentine Lake Property has a 30 kilometre strike length with the J. Frank Zone and Leprechaun deposit situated at the southwestern end of a gold-bearing mineralized corridor that extends for at least 17 kilometres.
Currently, Leprechaun has an NI 43-101 compliant measured and indicated resource of 3.28 million tonnes grading 2.62 g/t gold for a total estimated 277,000 ounces of gold, and an associated inferred resource of 4.41 million tonnes grading 2.01 g/t gold for 285,000 ounces of gold.
The 2010 resource was estimated using a 0.5 g/t gold minimum cut-off over a three metre minimum width. An open pit resource estimate is expected the current quarter, which will include results from the 25,250 metres of drilling completed in 2011.
Mountain Lake Resources is a junior exploration company, whose current projects, aside from Valentine Lake, include a 100 percent interest in the Glover Island gold exploration property, an option to earn a 100 percent stake in the Little River gold-antimony asset and a 100 percent interest in the Bobby’s Pond base metals property.
Southern Arc Minerals says Newcrest will not proceed with Taliwang agreement
Southern Arc Minerals (CVE:SA)(OTCQX:SOACF) said Friday that Newcrest Mining
(ASX:NCM) has notified the company that it will not be proceeding with
an agreement initially announced in November 2010 for the Taliwang
project in Indonesia.
Southern Arc said in a statement that despite "best efforts" by the company, and by Newcrest, "certain conditions precedent under the non-binding Heads of Agreement could not be met in the required timeframe, and accordingly the Heads of Agreement lapsed".
The 31,200 hectare Taliwang property on the island of Sumbawa is prospective for gold, silver and copper with three main prospects: a 1 by 1.5 kilometre gold-silver bearing epithermal vein system confirmed by 56 drill holes; a 5 kilometre-long northeast trending high-sulphidation alteration zone, paralleling the Batu Hijau mineralized trend; and sedimentary gold-hosted targets.
The asset is located to the north of Batu Hijau, which is being mined by Newmont Mining (NYSE:NEM).
Under the lapsed deal, Newcrest was to gain a 63.75 percent majority interest by spending up to US$50 million in exploration expenditures.
Southern Arc Minerals is a Canadian mineral exploration company whose portfolio includes four exploration projects with epithermal gold and copper-gold porphyry prospects on the Lombok and Sumbawa islands in Indonesia, two of which are being advanced in partnership with Vale (NYSE:VALE).
Its key exploration property is its West Lombok project, with several gold-rich copper porphyry and epithermal gold vein prospects.
Last month, the company unveiled phase one drilling results from the Bising target at the Mencanggah prospect on West Lombok.
Results were received for holes MCG028 to MCG035, with a total of eight holes totaling 2,285.7 metres completed to that date in the phase one program at the Bising target.
Highlights of results included hole MCG028, which intersected 51.3 metres at 1.5 grams per tonne (g/t) gold from 35.6 metres, including 5.1 metres at 3.5 g/t gold from 53.4 metres and 3.8 metres of 4.9 g/t gold from 60.2 metres.
Southern Arc said in a statement that despite "best efforts" by the company, and by Newcrest, "certain conditions precedent under the non-binding Heads of Agreement could not be met in the required timeframe, and accordingly the Heads of Agreement lapsed".
The 31,200 hectare Taliwang property on the island of Sumbawa is prospective for gold, silver and copper with three main prospects: a 1 by 1.5 kilometre gold-silver bearing epithermal vein system confirmed by 56 drill holes; a 5 kilometre-long northeast trending high-sulphidation alteration zone, paralleling the Batu Hijau mineralized trend; and sedimentary gold-hosted targets.
The asset is located to the north of Batu Hijau, which is being mined by Newmont Mining (NYSE:NEM).
Under the lapsed deal, Newcrest was to gain a 63.75 percent majority interest by spending up to US$50 million in exploration expenditures.
Southern Arc Minerals is a Canadian mineral exploration company whose portfolio includes four exploration projects with epithermal gold and copper-gold porphyry prospects on the Lombok and Sumbawa islands in Indonesia, two of which are being advanced in partnership with Vale (NYSE:VALE).
Its key exploration property is its West Lombok project, with several gold-rich copper porphyry and epithermal gold vein prospects.
Last month, the company unveiled phase one drilling results from the Bising target at the Mencanggah prospect on West Lombok.
Results were received for holes MCG028 to MCG035, with a total of eight holes totaling 2,285.7 metres completed to that date in the phase one program at the Bising target.
Highlights of results included hole MCG028, which intersected 51.3 metres at 1.5 grams per tonne (g/t) gold from 35.6 metres, including 5.1 metres at 3.5 g/t gold from 53.4 metres and 3.8 metres of 4.9 g/t gold from 60.2 metres.
Globex Mining unveils PEA for Timmins talc-magnesite project, 20% after-tax IRR
Globex Mining Enterprises (TSE:GMX)
(OTCQX:GLBXF) unveiled Friday the "positive" results of a preliminary
economic assessment (PEA) on its large Timmins talc-magnesite project,
located 13 kilometres south of Timmins, Ontario.
The company said the results of the PEA support completing a feasibility study, including a program of infill drilling to upgrade the known resource to reserve status.
Technical studies to permit production at the mine site have been underway for over a year, Globex added.
The economic study, completed by Jacobs Minerals Canada and Micon International, estimated a net present value of $258.0 million, after tax and at a discount rate of eight percent, with a 20 percent internal rate of return and a payback period of 5.8 years.
The model assumes the first 20 years of mining, and a process feed rate of 500, 000 tonnes per year, with strip ratios averaging 2.4 to produce high-brightness talc and magnesium oxide.
The study was constructed around a conceptual open pit mining model assuming contract mining, crushing and haulage to a nearby processing plant.
The average grade for the first 10 years was calculated at 34.6 percent talc and 52.4 percent magnesite, Globex said.
Total operating costs were estimated at $986.5 million for the 20-year mining period or an average of $98.65 per tonne processed.
Total pre-production capital expenditures are seen at $268.4 million over a two year period, excluding working capital. Total sustaining capital was estimated at $64.9 million.
In addition, working capital of $16.0 million, the equivalent of four months of operating costs, has been set to be maintained throughout the production period.
The company said total gross sales over the first 20 years, of a total mine of 60 plus years, were projected at $2.58 billion from talc production of 2.47 million tonnes and magnesia output of 2.38 million tonnes.
These calculations assume a $500 per tonne talc sales price, and a $570 per tonne magnesia sales price.
The cash operating margin averages 61 percent over the initial 20-year period, Globex said.
The PEA report was based on an initial mineral resource report on the project from March 2010, which included 12.73 million indicated tonnes at a grade of 52.1 percent magnesite and 35.4 percent talc in the A Zone Core, with 18.78 million inferred tonnes at a grade of 53.1 percent magnesite and 31.7 percent talc.
In addition, the A Zone Fridge holds another 5.0 million tonnes of inferred resources, grading 34.2 percent magnesite and 33.4 percent talc.
The optimized open pit shell contains a mineral resource sufficient to support a 60-year mine life, with the PEA only considering the first 20 years of this period, Globex said.
Globex also noted that the mangesia leach and decomposition process has not yet been demonstrated at the scale of the proposed commercial production plant.
The company plans to continue to work together with provincial and municipal authorities, and the First Nations and the Métis Nation of Ontario for the project.
The company said the results of the PEA support completing a feasibility study, including a program of infill drilling to upgrade the known resource to reserve status.
Technical studies to permit production at the mine site have been underway for over a year, Globex added.
The economic study, completed by Jacobs Minerals Canada and Micon International, estimated a net present value of $258.0 million, after tax and at a discount rate of eight percent, with a 20 percent internal rate of return and a payback period of 5.8 years.
The model assumes the first 20 years of mining, and a process feed rate of 500, 000 tonnes per year, with strip ratios averaging 2.4 to produce high-brightness talc and magnesium oxide.
The study was constructed around a conceptual open pit mining model assuming contract mining, crushing and haulage to a nearby processing plant.
The average grade for the first 10 years was calculated at 34.6 percent talc and 52.4 percent magnesite, Globex said.
Total operating costs were estimated at $986.5 million for the 20-year mining period or an average of $98.65 per tonne processed.
Total pre-production capital expenditures are seen at $268.4 million over a two year period, excluding working capital. Total sustaining capital was estimated at $64.9 million.
In addition, working capital of $16.0 million, the equivalent of four months of operating costs, has been set to be maintained throughout the production period.
The company said total gross sales over the first 20 years, of a total mine of 60 plus years, were projected at $2.58 billion from talc production of 2.47 million tonnes and magnesia output of 2.38 million tonnes.
These calculations assume a $500 per tonne talc sales price, and a $570 per tonne magnesia sales price.
The cash operating margin averages 61 percent over the initial 20-year period, Globex said.
The PEA report was based on an initial mineral resource report on the project from March 2010, which included 12.73 million indicated tonnes at a grade of 52.1 percent magnesite and 35.4 percent talc in the A Zone Core, with 18.78 million inferred tonnes at a grade of 53.1 percent magnesite and 31.7 percent talc.
In addition, the A Zone Fridge holds another 5.0 million tonnes of inferred resources, grading 34.2 percent magnesite and 33.4 percent talc.
The optimized open pit shell contains a mineral resource sufficient to support a 60-year mine life, with the PEA only considering the first 20 years of this period, Globex said.
Globex also noted that the mangesia leach and decomposition process has not yet been demonstrated at the scale of the proposed commercial production plant.
The company plans to continue to work together with provincial and municipal authorities, and the First Nations and the Métis Nation of Ontario for the project.
New Zeal and Energy announces $35.1 mln bought deal financing
New Zealand Energy Corp. (CVE:NZ) (OTCQX:NZERF) said late Thursday that it has agreed to a $35.1 million bought deal financing.
The agreement with Canaccord Genuity, on behalf of a syndicate of underwriters, will see the purchase, on a bought deal basis for resale to the public, of 11.7 million New Zealand Energy shares, at a price of $3.00 each.
The company has also given the underwriters an over-allotment option to purchase, on the same terms, up to an additional 1.755 million common shares for another $5.265 million in proceeds.
The option can be exercised in whole or in part at any time up to 30 days after the offering closes.
The company said it will use the new funds to explore and develop its oil and gas properties, as well as for additional geologic and technical studies, and for other corporate purposes.
The closing of the deal is expected around March 21, 2012, subject to all necessary regulatory approvals, including that of the TSX Venture Exchange.
New Zealand Energy controls two permits covering 169,949 net acres in the Taranaki Basin. The company achieved production in December 2011 from Copper Moki-1, its first discovery well in the Taranaki Basin, and late last month, announced the start of an extended production test from its Copper Moki-2 well and the start of drilling at its Copper Moki-3 well.
The company also said in February that based on its early operational success in the Taranaki Basin of New Zealand's North Island, it has forecast an exit production rate of 3,000 barrels of oil equivalent (boe) per day for 2012.
The company said the guidance was prepared on the back of production results disclosed that week, as well as the planned drilling of eight net additional wells this year.
The forecast also took into account the completion of a natural gas pipeline, and the "continued performance in line with existing oil and natural gas production" from its Copper Moki-1 and Copper Moki-2 wells.
At the Copper Moki-2 (CM-2) well, it is producing 42.0 degrees of API oil, and is currently flowing at a rate of 1,000 barrels of oil per day, and 820 thousand cubic feet (mcf) of natural gas per day, New Zealand Energy said.
The agreement with Canaccord Genuity, on behalf of a syndicate of underwriters, will see the purchase, on a bought deal basis for resale to the public, of 11.7 million New Zealand Energy shares, at a price of $3.00 each.
The company has also given the underwriters an over-allotment option to purchase, on the same terms, up to an additional 1.755 million common shares for another $5.265 million in proceeds.
The option can be exercised in whole or in part at any time up to 30 days after the offering closes.
The company said it will use the new funds to explore and develop its oil and gas properties, as well as for additional geologic and technical studies, and for other corporate purposes.
The closing of the deal is expected around March 21, 2012, subject to all necessary regulatory approvals, including that of the TSX Venture Exchange.
New Zealand Energy controls two permits covering 169,949 net acres in the Taranaki Basin. The company achieved production in December 2011 from Copper Moki-1, its first discovery well in the Taranaki Basin, and late last month, announced the start of an extended production test from its Copper Moki-2 well and the start of drilling at its Copper Moki-3 well.
The company also said in February that based on its early operational success in the Taranaki Basin of New Zealand's North Island, it has forecast an exit production rate of 3,000 barrels of oil equivalent (boe) per day for 2012.
The company said the guidance was prepared on the back of production results disclosed that week, as well as the planned drilling of eight net additional wells this year.
The forecast also took into account the completion of a natural gas pipeline, and the "continued performance in line with existing oil and natural gas production" from its Copper Moki-1 and Copper Moki-2 wells.
At the Copper Moki-2 (CM-2) well, it is producing 42.0 degrees of API oil, and is currently flowing at a rate of 1,000 barrels of oil per day, and 820 thousand cubic feet (mcf) of natural gas per day, New Zealand Energy said.
Monday, 5 March 2012
Clifton Star unveils 2011 drill results from Duparquet project
Clifton Star Resources (CVE:CFO)
announced the results of its 2011 drill program at its wholly-owned
Duparquet project, located along the prolific Destor-Porcupine fault in
the Abitibi region of Quebec.
In 2011, Clifton Star drilled 85 holes, totaling 26,754 metres. The drill program focused on the Beattie, Donchester, and Central Duparquet properties.
The project consists of the well-defined North and South zones, as well as several smaller east-west trending zones including the West zone, the RW zone, and the RS zone. Most holes were focused on deepening previous 2010 holes in order to reach the North zone at depth.
At the North zone, gold mineralization has been traced along strike in an east-west direction for 2.6 kilometres.
Significant results from the North zone included hole BD10-277, which intersected 2.06 grams per tonne (g/t) gold over 58.3 metres; hole BD10-270, which hit 2.25 g/t gold over 36.0 metres; and hole D11-149, which intersected 32.3 metres grading 1.66 g/t gold.
Gold mineralization was also intersected from shallow infill drilling in the West zone, and along the RW and RS zones.
Notable results included hole BD11-335, which intersected 16.0 metres grading 9.02 g/t gold on the RW/RS zone; and hole BD11-333 on the West zone, which returned 1.69 g/t gold over 78.0 metres, including 31.0 metres at 2.55 g/t gold.
Meanwhile, on the South zone, hole BD11-334 hit 41.0 metres grading 2.08 g/t gold, and on the Main zone, hole CD11-01 intersected 1.79 g/t gold over 37.0 metres, and hole CD11-03 returned 4.86 g/t gold over 19.0 metres.
Clifton Star said it will incorporate the 2011 data into a comprehensive NI 43-101 compliant resource estimate for the Duparquet project. The report, which is expected for completion in April 2012, is currently being prepared by InnovExplo, a mining consultation firm in Val-d'Or, Quebec.
The report will form the basis of a preliminary economic assessment.
Earlier this week, Clifton Star filed an updated NI 43-101 resource report for its Donchester property. A previous technical report on Donchester from June 2011 was deemed non-compliant with the requirements of NI 43-101 by the British Columbia Securities Commission (BCSC), prompting a cease trade order on Clifton Star's stock.
The latest report gave an inferred resource of 11.01 million tonnes with an average grade of 3.06 grams of gold per tonne for 1.05 million contained gold ounces, at a cut-off grade of 1.5 grams of gold per tonne, and using a top-cut of 8.0 grams per tonne.
The company also said Thursday it currently has two active drill rigs at the Beattie and Donchester properties, completing a 20-hole program.
The drilling will primarily focus on the continued surface exploration of the various zones at the Beattie, Donchester, Dumico, and Central Duparquet properties, in order to better define the limits of the known mineralization between 400 and 600 metres below surface, as well as to identify the limits of higher grade sections within the known zones.
In 2011, Clifton Star drilled 85 holes, totaling 26,754 metres. The drill program focused on the Beattie, Donchester, and Central Duparquet properties.
The project consists of the well-defined North and South zones, as well as several smaller east-west trending zones including the West zone, the RW zone, and the RS zone. Most holes were focused on deepening previous 2010 holes in order to reach the North zone at depth.
At the North zone, gold mineralization has been traced along strike in an east-west direction for 2.6 kilometres.
Significant results from the North zone included hole BD10-277, which intersected 2.06 grams per tonne (g/t) gold over 58.3 metres; hole BD10-270, which hit 2.25 g/t gold over 36.0 metres; and hole D11-149, which intersected 32.3 metres grading 1.66 g/t gold.
Gold mineralization was also intersected from shallow infill drilling in the West zone, and along the RW and RS zones.
Notable results included hole BD11-335, which intersected 16.0 metres grading 9.02 g/t gold on the RW/RS zone; and hole BD11-333 on the West zone, which returned 1.69 g/t gold over 78.0 metres, including 31.0 metres at 2.55 g/t gold.
Meanwhile, on the South zone, hole BD11-334 hit 41.0 metres grading 2.08 g/t gold, and on the Main zone, hole CD11-01 intersected 1.79 g/t gold over 37.0 metres, and hole CD11-03 returned 4.86 g/t gold over 19.0 metres.
Clifton Star said it will incorporate the 2011 data into a comprehensive NI 43-101 compliant resource estimate for the Duparquet project. The report, which is expected for completion in April 2012, is currently being prepared by InnovExplo, a mining consultation firm in Val-d'Or, Quebec.
The report will form the basis of a preliminary economic assessment.
Earlier this week, Clifton Star filed an updated NI 43-101 resource report for its Donchester property. A previous technical report on Donchester from June 2011 was deemed non-compliant with the requirements of NI 43-101 by the British Columbia Securities Commission (BCSC), prompting a cease trade order on Clifton Star's stock.
The latest report gave an inferred resource of 11.01 million tonnes with an average grade of 3.06 grams of gold per tonne for 1.05 million contained gold ounces, at a cut-off grade of 1.5 grams of gold per tonne, and using a top-cut of 8.0 grams per tonne.
The company also said Thursday it currently has two active drill rigs at the Beattie and Donchester properties, completing a 20-hole program.
The drilling will primarily focus on the continued surface exploration of the various zones at the Beattie, Donchester, Dumico, and Central Duparquet properties, in order to better define the limits of the known mineralization between 400 and 600 metres below surface, as well as to identify the limits of higher grade sections within the known zones.
Southern Silver says drilling started at Dragoon, unveils Oro assays
Southern Silver Exploration Corp. (CVE:SSV) said Thursday that drilling has been started at the Dragoon project southeast of Tucson, Arizona by the company's optionee, Freeport-McMoRan Exploration Corp.
The current drill hole follows two previous deep holes on the project by Freeport, which tested a gravel covered area of prospective stratigraphy along the main range-front fault at the base of the Dragoon Mountains.
The current hole, DS-12-03, is located approximately 175 metres to the north of hole DS-11-02 and is expected to test to depths of about 1000 metres, Southern Silver said.
Previous hole DS-11-02 intersected more than 500 metres of variably altered and mineralized Paleozoic marbles and porphyritic Laramide intrusive.
The company said quartz veining and variable amounts of copper and molybdenum sulphides occured through much of the target interval, which averaged 0.06% copper over 527 metres in the lower part of the drill hole.
Only four previous drill holes tested the property below 600 metres, and the mineralizing system remains open below that depth.
Southern Silver said it believes that these results, together with other historical data, suggest the presence of a large, deep-seated copper porphyry system disrupted by post-mineral faulting.
The Dragoon property is a contiguous block of 12.8 square kilometres that consists of 68 unpatented mining claims and four state leases located in southeast Arizona.
The property contains areas of exposed copper-molybdenum mineralization, Laramide-age porphyry and "leached capping" in the eastern part of the property.
Southern Silver has the right to earn a 100 percent interest in the property by paying $300,000 by August 2012 and Freeport has the right to earn a 70 percent stake, by spending $3 million in exploration and development expenses by December 31, 2012.
Separately, Southern Silver also reported Thursday assay results from four core holes on its Oro copper-gold property in southwest New Mexico.
Two holes were drilled near the central, highly altered portion of the Oro property, and the third and fourth holes were drilled on the periphery of the five by 2.5 kilometre alteration zone.
Hole OR11-006 intersected 9.1 metres of 0.37% copper, within a 43 metre interval averaging 0.14% copper. A second 50 metre interval averaging 0.1% copper was intersected deeper in the hole.
Meanwhile, hole OR11-007 was drilled 520 metres northwest of OR11-006 and encountered anomalous arsenic and gold, with a high value of 0.90 grams gold per tonne over 0.8 metres.
The other two holes contained only anomalous metal values.
Southern Silver is evaluating the results and is planning an IP geophysical survey to further delineate drill targets.
Mapping and sampling outside the main altered area at Oro has identified the Stockpond disseminated gold target, which was recently staked by Southern Silver. This new shallow gold target is defined by 14 samples, all of which returned anomalous gold assays from 0.062 to 4.8 g/t gold. Eight of the 14 samples contained more than 0.4 g/t Au.
The outcrops are within an area measuring approximately 250 by 150 metres. Permitting of this target is nearly complete, the company said, with an initial phase of trenching anticipated on the project followed by drilling in 2012.
The Oro project comprises a contiguous block of Federal, State and Private land totaling 17.2 square kilometres in the historic Eureka mining district in southwest New Mexico.
Southern Silver has the right to earn a 100 percent interest in the property by paying a total of $225,000 to private vendors by December 2012.
The current drill hole follows two previous deep holes on the project by Freeport, which tested a gravel covered area of prospective stratigraphy along the main range-front fault at the base of the Dragoon Mountains.
The current hole, DS-12-03, is located approximately 175 metres to the north of hole DS-11-02 and is expected to test to depths of about 1000 metres, Southern Silver said.
Previous hole DS-11-02 intersected more than 500 metres of variably altered and mineralized Paleozoic marbles and porphyritic Laramide intrusive.
The company said quartz veining and variable amounts of copper and molybdenum sulphides occured through much of the target interval, which averaged 0.06% copper over 527 metres in the lower part of the drill hole.
Only four previous drill holes tested the property below 600 metres, and the mineralizing system remains open below that depth.
Southern Silver said it believes that these results, together with other historical data, suggest the presence of a large, deep-seated copper porphyry system disrupted by post-mineral faulting.
The Dragoon property is a contiguous block of 12.8 square kilometres that consists of 68 unpatented mining claims and four state leases located in southeast Arizona.
The property contains areas of exposed copper-molybdenum mineralization, Laramide-age porphyry and "leached capping" in the eastern part of the property.
Southern Silver has the right to earn a 100 percent interest in the property by paying $300,000 by August 2012 and Freeport has the right to earn a 70 percent stake, by spending $3 million in exploration and development expenses by December 31, 2012.
Separately, Southern Silver also reported Thursday assay results from four core holes on its Oro copper-gold property in southwest New Mexico.
Two holes were drilled near the central, highly altered portion of the Oro property, and the third and fourth holes were drilled on the periphery of the five by 2.5 kilometre alteration zone.
Hole OR11-006 intersected 9.1 metres of 0.37% copper, within a 43 metre interval averaging 0.14% copper. A second 50 metre interval averaging 0.1% copper was intersected deeper in the hole.
Meanwhile, hole OR11-007 was drilled 520 metres northwest of OR11-006 and encountered anomalous arsenic and gold, with a high value of 0.90 grams gold per tonne over 0.8 metres.
The other two holes contained only anomalous metal values.
Southern Silver is evaluating the results and is planning an IP geophysical survey to further delineate drill targets.
Mapping and sampling outside the main altered area at Oro has identified the Stockpond disseminated gold target, which was recently staked by Southern Silver. This new shallow gold target is defined by 14 samples, all of which returned anomalous gold assays from 0.062 to 4.8 g/t gold. Eight of the 14 samples contained more than 0.4 g/t Au.
The outcrops are within an area measuring approximately 250 by 150 metres. Permitting of this target is nearly complete, the company said, with an initial phase of trenching anticipated on the project followed by drilling in 2012.
The Oro project comprises a contiguous block of Federal, State and Private land totaling 17.2 square kilometres in the historic Eureka mining district in southwest New Mexico.
Southern Silver has the right to earn a 100 percent interest in the property by paying a total of $225,000 to private vendors by December 2012.
Pressure BioSciences inks another distribution deal for PCT products in Benelux region
Pressure BioSciences (NASDAQ:PBIO) said Thursday that it has inked another distribution deal with Netherlands-based life sciences company LA Biosystems BV.
Shares gained more than 2.1 percent Thursday, to trade at 66 cents as of 1:35pm ET.
Under the terms of the agreement, LABio will have the exclusive right to market and sell Pressure BioSciences' pressure cycling technology (PCT) sample preparation instruments and consumables in Belgium, the Netherlands, and Luxembourg.
In addition, LABio will have the non-exclusive right to market and sell the company's recently released, patent-pending, mechanical homogenization device, the Shredder SG3, and its associated consumables, in the same three countries.
Pressure BioSciences' CEO Schumacher said earlier this month that the company is now focused on aggressively commercializing its products based on its key patented PCT platform, which uses rapid and repeating cycles of hydrostatic pressure at controlled temperatures to extract cell components in the preparation of a biological sample, such as DNA, RNA, and proteins from humans, animals and plants, for further study.
The applications of the company's PCT-based products are endless - from the key $2 billion target market of mass spectrometry, an analytical technique used to determine the characteristics of molecules, to biomarker discovery, forensics and counter-bioterrorism, among other uses.
Since Pressure BioSciences began commercial operations in the middle of 2007, it has come a long way, releasing a number of PCT-based products geared towards the $6 billion sample preparation market, including three pressure-generating instruments named Barocyclers, a patent-pending sample homogenization device (The Shredder SG3), five types of single-use processing containers and six different, application-specific reagent kits.
Already, the company has installed around 200 of its PCT Barocycler instruments plus required consumables in laboratories. The sample preparation system has been proven to be safer, more accurate, reproducible, and much faster than current cell extraction methods - with up to 48 samples able to be processed from a wide variety of cells and tissues within minutes.
“We have an aggressive commercialization plan for our PCT-based and other products for 2012. Integral to this plan is the expansion of our sales reach into the thousands of biological research laboratories outside the US," said vice president of marketing for the company, Dr. Nate Lawrence.
"We believe the best way to achieve this goal is to partner with established, well-respected distribution leaders with close, existing relationships with the research laboratories who are potential customers of our enabling product line.
"We believe that LABio is one of the top life sciences distributors covering Benelux, and has the staff, contacts, and capabilities to successfully market the PBI product line in this region of Europe. We are expecting great things from LABio.”
Last month, Pressure BioSciences also saw its shares surge after it announced the signing of a co-marketing and selling agreement with Digilab.
LA Biosystems works closely with IUL Instruments, a large life sciences distributor based in Germany. Pressure BioSciences announced a partnership with IUL in December 2011, in which IUL became the exclusive distributor for the company's PCT product line for Germany and Switzerland.
Co-founder and general manager of LA Biosystems, Louis Spierings, said: “We are pleased to have the opportunity to partner with PBI, and to represent their impressive product line – including their powerful PCT Platform - to our base of existing customers in Benelux.
"We understand all too well the importance of good quality sample preparation in the research laboratory, and so do our many customers. Because of this, we believe that the PBI product line will be well received by our customer base, and that we will be successful in generating revenue for both PBI and LABio in 2012, and beyond.”
LA Biosystems specializes in microbiology, cell biology, and biotechnology applications. It also markets, sells, and supports equipment for microbiological food control, analytical devices, and process technology for fermentation, cell culture, and life cell imaging.
Shares gained more than 2.1 percent Thursday, to trade at 66 cents as of 1:35pm ET.
Under the terms of the agreement, LABio will have the exclusive right to market and sell Pressure BioSciences' pressure cycling technology (PCT) sample preparation instruments and consumables in Belgium, the Netherlands, and Luxembourg.
In addition, LABio will have the non-exclusive right to market and sell the company's recently released, patent-pending, mechanical homogenization device, the Shredder SG3, and its associated consumables, in the same three countries.
Pressure BioSciences' CEO Schumacher said earlier this month that the company is now focused on aggressively commercializing its products based on its key patented PCT platform, which uses rapid and repeating cycles of hydrostatic pressure at controlled temperatures to extract cell components in the preparation of a biological sample, such as DNA, RNA, and proteins from humans, animals and plants, for further study.
The applications of the company's PCT-based products are endless - from the key $2 billion target market of mass spectrometry, an analytical technique used to determine the characteristics of molecules, to biomarker discovery, forensics and counter-bioterrorism, among other uses.
Since Pressure BioSciences began commercial operations in the middle of 2007, it has come a long way, releasing a number of PCT-based products geared towards the $6 billion sample preparation market, including three pressure-generating instruments named Barocyclers, a patent-pending sample homogenization device (The Shredder SG3), five types of single-use processing containers and six different, application-specific reagent kits.
Already, the company has installed around 200 of its PCT Barocycler instruments plus required consumables in laboratories. The sample preparation system has been proven to be safer, more accurate, reproducible, and much faster than current cell extraction methods - with up to 48 samples able to be processed from a wide variety of cells and tissues within minutes.
“We have an aggressive commercialization plan for our PCT-based and other products for 2012. Integral to this plan is the expansion of our sales reach into the thousands of biological research laboratories outside the US," said vice president of marketing for the company, Dr. Nate Lawrence.
"We believe the best way to achieve this goal is to partner with established, well-respected distribution leaders with close, existing relationships with the research laboratories who are potential customers of our enabling product line.
"We believe that LABio is one of the top life sciences distributors covering Benelux, and has the staff, contacts, and capabilities to successfully market the PBI product line in this region of Europe. We are expecting great things from LABio.”
Last month, Pressure BioSciences also saw its shares surge after it announced the signing of a co-marketing and selling agreement with Digilab.
LA Biosystems works closely with IUL Instruments, a large life sciences distributor based in Germany. Pressure BioSciences announced a partnership with IUL in December 2011, in which IUL became the exclusive distributor for the company's PCT product line for Germany and Switzerland.
Co-founder and general manager of LA Biosystems, Louis Spierings, said: “We are pleased to have the opportunity to partner with PBI, and to represent their impressive product line – including their powerful PCT Platform - to our base of existing customers in Benelux.
"We understand all too well the importance of good quality sample preparation in the research laboratory, and so do our many customers. Because of this, we believe that the PBI product line will be well received by our customer base, and that we will be successful in generating revenue for both PBI and LABio in 2012, and beyond.”
LA Biosystems specializes in microbiology, cell biology, and biotechnology applications. It also markets, sells, and supports equipment for microbiological food control, analytical devices, and process technology for fermentation, cell culture, and life cell imaging.
Prophecy Coal announces $9 mln private placement financing
Coal miner Prophecy Coal
Corp. (TSE:PCY) reported Thursday it has arranged a non-brokered
private placement financing worth $9 million as it seeks to advance
development of its thermal coal plant project in Mongolia.
The company plans to sell 20 million shares for 45 cents each. Prophecy Coal said insiders and existing shareholders have subscribed for a majority of this offering.
Prophecy said finder's fees may be paid in connection with the financing in accordance with TSX Exchange policies. The offering is slated to close on March 7.
Prophecy said it will use funds for technical work to bring its Chandgana thermal coal power plant project, found in Mongolia, toward development. The proceeds will also be used for general working capital.
Additionally, the company also announced on Thursday that the credit facilities of $7 million announced on December 30, 2011 have been closed out. The $800,000 balance has been paid off and Prophecy remains debt free.
In November 2011, Prophecy Coal, a Vancouver-based company, received a license from the Mongolian government to build a 600 megawatt power plant at its Chandgana Tal thermal coal deposit.
The company has over 1.4 billion tonnes of near surface thermal coal resources on two coal properties in Mongolia. Prophecy Coal's Chandgana 600 MW mine mouth power plant has been permitted and its Ulaan Ovoo coal mine is now in production.
The company plans to sell 20 million shares for 45 cents each. Prophecy Coal said insiders and existing shareholders have subscribed for a majority of this offering.
Prophecy said finder's fees may be paid in connection with the financing in accordance with TSX Exchange policies. The offering is slated to close on March 7.
Prophecy said it will use funds for technical work to bring its Chandgana thermal coal power plant project, found in Mongolia, toward development. The proceeds will also be used for general working capital.
Additionally, the company also announced on Thursday that the credit facilities of $7 million announced on December 30, 2011 have been closed out. The $800,000 balance has been paid off and Prophecy remains debt free.
In November 2011, Prophecy Coal, a Vancouver-based company, received a license from the Mongolian government to build a 600 megawatt power plant at its Chandgana Tal thermal coal deposit.
The company has over 1.4 billion tonnes of near surface thermal coal resources on two coal properties in Mongolia. Prophecy Coal's Chandgana 600 MW mine mouth power plant has been permitted and its Ulaan Ovoo coal mine is now in production.
Temex Resources hits 14.67 g/t gold over 3.8 metres near surface at Whitney project
Temex Resources Corp. (CVE:TME)
unveiled Thursday the first batch of results from a resource definition
drilling program targeting the Upper Hallnor Mine Zone, which is on the
eastern portion of the company's Whitney gold project in northeastern
Ontario.
Highlights included 2.83 grams per tonne (g/t) gold over 11.5 metres, including 11.60 g/t gold over 1.00 metre in hole TW11-164, and 6.10 g/t gold over 4.00 metres, including 11.05 g/t gold over 1.17 metres in hole TW11-166.
In addition, hole TW11-167 intersected 2.06 g/t gold over 21.00 metres, including 9.28 g/t gold over 1.00 metre, while hole TW11-169 hit 3.18 g/t gold over 4.00 metres and 14.67 g/t gold over 3.80 metres.
Temex is in the midst of an aggressive program designed to define near-surface gold resources typical to what has been mined at the adjacent Pamour and Hoyle mine sites.
The past-producing Hallnor Mine was previously the highest grade, multi-million ounce gold mine in Timmins, which remains Canada's largest gold producing area.
The company said the results reported Thursday are from five holes drilled on the eastern portion of the Upper Hallnor Mine area.
"We are very pleased with these results which continue to support our expectation that significant amounts of high-grade, near surface gold mineralization remains to be found at the Upper Hallnor Mine area," said president and CEO, Ian Campbell.
"Given the robust gold price, Timmins is experiencing a renewed focus on open pit gold mining, particularly in areas containing historic underground gold mining sites and Hallnor is one of many promising exploration targets located on the large Whitney property."
The company said drilling intersected multiple zones of vein and vein stockworks which occur primarily in Timiskaming sedimentary rocks - the same rock package from which commercial mining has occurred directly on strike to the east at both the Hoyle and Pamour mine sites.
The holes reported today, together with prior results, now define a strike length of 230 metres, with multiple zones of gold mineralization open in all directions.
Notable results from previous drilling include 3.29 g/t gold over 30.20 metres, including 66.0 g/t gold over 0.8 metres in hole TW10-112.
The current drill program is focused on providing sufficient data to establish an initial NI 43-101 compliant resource estimate. A total of 47 holes for 14,200 metres have been drilled to date in the campaign, with additional drill results expected over the next several months, Temex said.
Whitney is an advanced gold project that includes four kilometres of the prolific Timmins gold trend. It has several near-surface gold targets including Upper Hallnor, Upper Broulan Reef, C Zone, and Q Zone.
The drill campaign is being conducted under a joint venture between Temex, which holds 60 percent, and Goldcorp (TSE:G), which holds the remainder.
The company's Juby gold project in Ontario has NI 43-101 compliant resources of 22.3 million tonnes at a grade of 1.30 g/t gold for 934,645 ounces of gold in the indicated category and 28.2 million tonnes at a grade of 1.00 g/t gold for 905,621 ounces of gold in the inferred category, both at a cut-off grade of 0.40 g/t gold.
Highlights included 2.83 grams per tonne (g/t) gold over 11.5 metres, including 11.60 g/t gold over 1.00 metre in hole TW11-164, and 6.10 g/t gold over 4.00 metres, including 11.05 g/t gold over 1.17 metres in hole TW11-166.
In addition, hole TW11-167 intersected 2.06 g/t gold over 21.00 metres, including 9.28 g/t gold over 1.00 metre, while hole TW11-169 hit 3.18 g/t gold over 4.00 metres and 14.67 g/t gold over 3.80 metres.
Temex is in the midst of an aggressive program designed to define near-surface gold resources typical to what has been mined at the adjacent Pamour and Hoyle mine sites.
The past-producing Hallnor Mine was previously the highest grade, multi-million ounce gold mine in Timmins, which remains Canada's largest gold producing area.
The company said the results reported Thursday are from five holes drilled on the eastern portion of the Upper Hallnor Mine area.
"We are very pleased with these results which continue to support our expectation that significant amounts of high-grade, near surface gold mineralization remains to be found at the Upper Hallnor Mine area," said president and CEO, Ian Campbell.
"Given the robust gold price, Timmins is experiencing a renewed focus on open pit gold mining, particularly in areas containing historic underground gold mining sites and Hallnor is one of many promising exploration targets located on the large Whitney property."
The company said drilling intersected multiple zones of vein and vein stockworks which occur primarily in Timiskaming sedimentary rocks - the same rock package from which commercial mining has occurred directly on strike to the east at both the Hoyle and Pamour mine sites.
The holes reported today, together with prior results, now define a strike length of 230 metres, with multiple zones of gold mineralization open in all directions.
Notable results from previous drilling include 3.29 g/t gold over 30.20 metres, including 66.0 g/t gold over 0.8 metres in hole TW10-112.
The current drill program is focused on providing sufficient data to establish an initial NI 43-101 compliant resource estimate. A total of 47 holes for 14,200 metres have been drilled to date in the campaign, with additional drill results expected over the next several months, Temex said.
Whitney is an advanced gold project that includes four kilometres of the prolific Timmins gold trend. It has several near-surface gold targets including Upper Hallnor, Upper Broulan Reef, C Zone, and Q Zone.
The drill campaign is being conducted under a joint venture between Temex, which holds 60 percent, and Goldcorp (TSE:G), which holds the remainder.
The company's Juby gold project in Ontario has NI 43-101 compliant resources of 22.3 million tonnes at a grade of 1.30 g/t gold for 934,645 ounces of gold in the indicated category and 28.2 million tonnes at a grade of 1.00 g/t gold for 905,621 ounces of gold in the inferred category, both at a cut-off grade of 0.40 g/t gold.
Rare Element Resources' PFS for Bear Lodge shows "solid economics"
Rare Element Resources (TSE:RES)(AMEX:REE) Thursday unveiled a positive Pre-Feasibility Study (PFS) for its Bear Lodge rare-earth project in Wyoming.
The results of the PFS show that the Bear Lodge project is technologically feasible with robust returns on invested capital, the company said.
Total 19-year life-of-mine capital costs for the project have been estimated at $445.9 million including a 25 percent contingency of $89.2 million. The initial capital cost is $375.1 million. On a nominal case basis based on a rare earth oxide (REO) concentrate price of $17.36, Bear Lodge would have an internal rate of return of 44.9 percent, a net present value (at an 8 percent discount) of $1.7 billion and a payback period of two years.
Rare Element said that the mine will be operated as a conventional truck-shovel open pit mine. The PFS determined that the scope of the development of the Bear Lodge project should consist of two components: the open-pit mine operations, a PUG (physical upgrade) plant on-site at the Bull Hill mine and the Hydromet plant (hydrometallurgical) at Upton, Wyoming, adjacent to the railway line.
Upton is located approximately 40 miles from the Bull Hill mine.
The PUG plant is designed to process up to 1,000 tpd (tons per day) of high-grade oxide material and 1,000 tpd of oxide carbonate and stockwork material, which will be blended to meet mine pit production plans and market demands.
The life of mine operating costs on a nominal basis have been estimated at a total of $254.73.
Rare Element president and CEO, Randall Scott, said: "We are very encouraged with these results. The PFS was designed to provide an engineering and economic assessment of the viability of the Bear Lodge project and, more specifically, the Bull Hill Rare-Earth Element (REE) open pit mine, and these results clearly demonstrate the solid economics of this project.
"We feel that conservative economic data were utilized in this report so to receive such positive results clearly shows the merit of the Bear Lodge project and we will continue on with the development of a bankable feasibility study.
"Additionally, we will be finalizing a National Instrument 43-101 technical report in the near term and that report will be filed with regulatory agencies. The NI 43-101 technical report will include the updated mineral reserve and resource estimates that will encompass those drill results from the 2011 exploration season for which we already have received assay results."
Rare Element has been and continues to negotiate with some highly recognized companies for potential off-take partnerships, it said.
Rare earths are critical and enabling metals for the green technologies. Some of the major applications include hybrid automobiles, plug-in electric automobiles, advanced wind turbines, computer hard drives, compact fluorescent light bulbs, metal alloys in steel, additives in ceramics and glass, petroleum cracking catalysts, and many others.
China currently produces more than 96 percent of the 124,000 tonnes of rare-earths consumed worldwide annually, and has been reducing its exports of rare earths each year. The rare-earth market is projected to grow rapidly as these green technologies are implemented on a broad scale.
In January, the company announced the results of an updated NI 43-101 compliant resource estimate of rare-earth elements plus yttrium contained in three deposits at its Bull Hill deposit. However, this interim estimate included less than half of the new assay results from holes drilled in 2011, the company said, and therefore expects to update the resource again by the end of this year using all 2011 drill holes.
The latest resource estimate in January consisted of 6.8 million tonnes with an average of 3.75 percent rare-earth oxide (REO) in the measured and indicated categories. That was up from 4.9 million tonnes with an average of 3.77 percent REO a year-earlier – both used a 1.5 percent cut-off grade.
The results of the PFS show that the Bear Lodge project is technologically feasible with robust returns on invested capital, the company said.
Total 19-year life-of-mine capital costs for the project have been estimated at $445.9 million including a 25 percent contingency of $89.2 million. The initial capital cost is $375.1 million. On a nominal case basis based on a rare earth oxide (REO) concentrate price of $17.36, Bear Lodge would have an internal rate of return of 44.9 percent, a net present value (at an 8 percent discount) of $1.7 billion and a payback period of two years.
Rare Element said that the mine will be operated as a conventional truck-shovel open pit mine. The PFS determined that the scope of the development of the Bear Lodge project should consist of two components: the open-pit mine operations, a PUG (physical upgrade) plant on-site at the Bull Hill mine and the Hydromet plant (hydrometallurgical) at Upton, Wyoming, adjacent to the railway line.
Upton is located approximately 40 miles from the Bull Hill mine.
The PUG plant is designed to process up to 1,000 tpd (tons per day) of high-grade oxide material and 1,000 tpd of oxide carbonate and stockwork material, which will be blended to meet mine pit production plans and market demands.
The life of mine operating costs on a nominal basis have been estimated at a total of $254.73.
Rare Element president and CEO, Randall Scott, said: "We are very encouraged with these results. The PFS was designed to provide an engineering and economic assessment of the viability of the Bear Lodge project and, more specifically, the Bull Hill Rare-Earth Element (REE) open pit mine, and these results clearly demonstrate the solid economics of this project.
"We feel that conservative economic data were utilized in this report so to receive such positive results clearly shows the merit of the Bear Lodge project and we will continue on with the development of a bankable feasibility study.
"Additionally, we will be finalizing a National Instrument 43-101 technical report in the near term and that report will be filed with regulatory agencies. The NI 43-101 technical report will include the updated mineral reserve and resource estimates that will encompass those drill results from the 2011 exploration season for which we already have received assay results."
Rare Element has been and continues to negotiate with some highly recognized companies for potential off-take partnerships, it said.
Rare earths are critical and enabling metals for the green technologies. Some of the major applications include hybrid automobiles, plug-in electric automobiles, advanced wind turbines, computer hard drives, compact fluorescent light bulbs, metal alloys in steel, additives in ceramics and glass, petroleum cracking catalysts, and many others.
China currently produces more than 96 percent of the 124,000 tonnes of rare-earths consumed worldwide annually, and has been reducing its exports of rare earths each year. The rare-earth market is projected to grow rapidly as these green technologies are implemented on a broad scale.
In January, the company announced the results of an updated NI 43-101 compliant resource estimate of rare-earth elements plus yttrium contained in three deposits at its Bull Hill deposit. However, this interim estimate included less than half of the new assay results from holes drilled in 2011, the company said, and therefore expects to update the resource again by the end of this year using all 2011 drill holes.
The latest resource estimate in January consisted of 6.8 million tonnes with an average of 3.75 percent rare-earth oxide (REO) in the measured and indicated categories. That was up from 4.9 million tonnes with an average of 3.77 percent REO a year-earlier – both used a 1.5 percent cut-off grade.
Gold Resource Corp posts record 2011 results, profit of over $58 mln
Gold Resource Corporation (AMEX:GORO)
reported late Wednesday record annual results, with 2011 marking its
first full year of production from its El Aguila operations in Oaxaca,
Mexico.
The gold company, which began commercial production from its El Aguila project in Oaxaca, Mexico in July 2010, posted net income of $58.37 million, or $1.10 per share in the year to December 31, 2011, versus a loss of $23.07 million, or 46 cents per share in 2010.
Shares of Gold Resource rallied 5.5 percent on Thursday, to trade at $25.79 as of 12:29pm ET.
El Aguila is located 120 kilometres southeast of the state capital city of Oaxaca, Mexico and has yielded several strong metal samples, including 36.0 grams per tonne (g/t) gold, and 3,100 g/t silver.
Last March, the company announced that it had begun the transition from processing lower grade, open pit ore, to processing underground ore from the high grade La Arista deposit at El Aguila.
Combined open pit and underground operations in 2011 yielded 66,159 ounces of gold equivalent production. This compares to the 10,493 gold equivalent ounces produced from the six months of open pit El Aguila operations in 2010.
As underground development continues, Gold Resource management said on a conference call this morning it expects to mine more efficiently with greater tonnages and less dilution.
Cash costs in 2011 were $136 per ounce of gold equivalent, excluding royalty expense, 37 percent lower than $217 per ounce in the six month period in 2010.
This led to record annual revenue of more than $105 million in 2011 as the company realized much higher gold and silver prices for its combined operations of $1,596 per gold ounce, and $35 per silver ounce. Revenues in 2010 stood at $14.75 million.
The company's gross profit from the mine came in at $87.2 million, way up from $9.8 million the prior year.
Gold Resource Corp returned $26.5 million in dividend distributions in 2011, which as a percentage of its gross profit from the mine, is "very close" to its 33 percent target, said the company on a conference call this morning.
The company also said Thursday that February production has been its best month yet, with the Aguila mill now back online. In January, Gold Resource said that as part of its normal operating procedure, the Aguila mill was shut down during the last 10 days of 2011 and the first five days of 2012 for routine maintenance, holidays and the installation of an expanded cleaner flotation circuit.
The new circuit is part of the gold producer's ongoing mill optimization, which is expected to provide opportunities for future expansion, the company added. Mill optimization continues as the company ramps up daily production to an estimated average 900 tonnes per day for 2012, with 1,200 tonnes per day targeted next year.
Average gold recovery in 2011 was 87 percent.
“We are very pleased with our first full year of production and proud of our good people in Oaxaca that made it possible," said president of the company, Jason Reid, in a prepared statement.
"Ramping up a mining operation, particularly an underground mine, is not an easy task. The results for the year underscore our ability to execute as a company, as much was accomplished in 2011.”
"These results allowed management to continue our shareholder friendly and focused philosophy by distributing 2011 record dividends of $26.5 million, or $0.50 per share.”
In the fourth quarter, production from the El Aguila project totaled 19,934 gold equivalent ounces at a cash cost of $120 per ounce. Average realized sales prices were $1,691 per ounce gold and $30 per ounce silver.
The company paid $7.9 million to shareholders in dividends in the latest period, and repurchased 53,251 shares at an average share price of $18.39, after which the it increased its bank account by $7.0 million over the previous quarter, to $52 million.
Gold Resource Corp also has a physical gold and silver treasury of $2.5 million, with the company "very close" to launching its gold/silver dividend program.
The company reiterated its 2012 outlook for production in the range of 120,000 to 140,000 ounces of gold equivalent, with cash costs between $50 to $150 per ounce.
Gold Resource is also looking forward to its formal NI 43-101 resource report, in consideration for a possible secondary listing in Canada. The report is being prepared by
engineering firm Pincock Allen and Holt of Denver and is expected to be completed in March, but could also push into April, the company said.
At its operations, mine development at La Arista is progressing well, the gold producer added, with the primary decline ramp approaching Level 11.
The company is also developing an additional decline ramp south from Level 7 to access the southern part of the ore body. By developing off the veins, it anticipates the Level 7 decline ramp will allow for more "expedited access" for future mine development along the entire strike length of the deposit.
In 2012, Gold Resource is planning an aggressive exploration program, with a "great deal of exploration potential along the company's mineralized trend".
A total of four exploration drills are currently at the company’s properties, with a fifth drill expected to arrive shortly.
Gold Resource Corp has a 100 percent interest in six potential high-grade gold and silver properties in Mexico’s southern state of Oaxaca.
The primary focus for drilling in 2012 will be to test the extension of the Arista deposit, which remains open on strike and depth. The company added it could add additional drills as it expects to boost the size of its exploration program. It recently hired an exploration manager for the Oaxaca mining unit, and another core logging geologist.
At the Alta Gracia property, the company has budgeted around $1 million for exploration this year, with the 2011 program encountering 33 intercepts grading more than 200 grams per tonne of silver.
At Las Margaritas, Gold Resource is constructing a new road that will allow year-round access to the property, with a drill program planned for this year to test high-grade targets identified from surface mapping and sampling. It expects to spend $700,000 in this area in 2012.
The gold miner is also planning a 2012 regional airborne geophysical survey for five of its contiguous properties, which span a mineralized structural corridor over 48 kilometres. This will be the first wide-scale exploration program to cover the company’s entire mineralized trend.
The company also said on the conference call earlier today that it will look globally for a second project to acquire as it anticipates the El Aguila project can keep it in production for the next 20 years.
The gold company, which began commercial production from its El Aguila project in Oaxaca, Mexico in July 2010, posted net income of $58.37 million, or $1.10 per share in the year to December 31, 2011, versus a loss of $23.07 million, or 46 cents per share in 2010.
Shares of Gold Resource rallied 5.5 percent on Thursday, to trade at $25.79 as of 12:29pm ET.
El Aguila is located 120 kilometres southeast of the state capital city of Oaxaca, Mexico and has yielded several strong metal samples, including 36.0 grams per tonne (g/t) gold, and 3,100 g/t silver.
Last March, the company announced that it had begun the transition from processing lower grade, open pit ore, to processing underground ore from the high grade La Arista deposit at El Aguila.
Combined open pit and underground operations in 2011 yielded 66,159 ounces of gold equivalent production. This compares to the 10,493 gold equivalent ounces produced from the six months of open pit El Aguila operations in 2010.
As underground development continues, Gold Resource management said on a conference call this morning it expects to mine more efficiently with greater tonnages and less dilution.
Cash costs in 2011 were $136 per ounce of gold equivalent, excluding royalty expense, 37 percent lower than $217 per ounce in the six month period in 2010.
This led to record annual revenue of more than $105 million in 2011 as the company realized much higher gold and silver prices for its combined operations of $1,596 per gold ounce, and $35 per silver ounce. Revenues in 2010 stood at $14.75 million.
The company's gross profit from the mine came in at $87.2 million, way up from $9.8 million the prior year.
Gold Resource Corp returned $26.5 million in dividend distributions in 2011, which as a percentage of its gross profit from the mine, is "very close" to its 33 percent target, said the company on a conference call this morning.
The company also said Thursday that February production has been its best month yet, with the Aguila mill now back online. In January, Gold Resource said that as part of its normal operating procedure, the Aguila mill was shut down during the last 10 days of 2011 and the first five days of 2012 for routine maintenance, holidays and the installation of an expanded cleaner flotation circuit.
The new circuit is part of the gold producer's ongoing mill optimization, which is expected to provide opportunities for future expansion, the company added. Mill optimization continues as the company ramps up daily production to an estimated average 900 tonnes per day for 2012, with 1,200 tonnes per day targeted next year.
Average gold recovery in 2011 was 87 percent.
“We are very pleased with our first full year of production and proud of our good people in Oaxaca that made it possible," said president of the company, Jason Reid, in a prepared statement.
"Ramping up a mining operation, particularly an underground mine, is not an easy task. The results for the year underscore our ability to execute as a company, as much was accomplished in 2011.”
"These results allowed management to continue our shareholder friendly and focused philosophy by distributing 2011 record dividends of $26.5 million, or $0.50 per share.”
In the fourth quarter, production from the El Aguila project totaled 19,934 gold equivalent ounces at a cash cost of $120 per ounce. Average realized sales prices were $1,691 per ounce gold and $30 per ounce silver.
The company paid $7.9 million to shareholders in dividends in the latest period, and repurchased 53,251 shares at an average share price of $18.39, after which the it increased its bank account by $7.0 million over the previous quarter, to $52 million.
Gold Resource Corp also has a physical gold and silver treasury of $2.5 million, with the company "very close" to launching its gold/silver dividend program.
The company reiterated its 2012 outlook for production in the range of 120,000 to 140,000 ounces of gold equivalent, with cash costs between $50 to $150 per ounce.
Gold Resource is also looking forward to its formal NI 43-101 resource report, in consideration for a possible secondary listing in Canada. The report is being prepared by
engineering firm Pincock Allen and Holt of Denver and is expected to be completed in March, but could also push into April, the company said.
At its operations, mine development at La Arista is progressing well, the gold producer added, with the primary decline ramp approaching Level 11.
The company is also developing an additional decline ramp south from Level 7 to access the southern part of the ore body. By developing off the veins, it anticipates the Level 7 decline ramp will allow for more "expedited access" for future mine development along the entire strike length of the deposit.
In 2012, Gold Resource is planning an aggressive exploration program, with a "great deal of exploration potential along the company's mineralized trend".
A total of four exploration drills are currently at the company’s properties, with a fifth drill expected to arrive shortly.
Gold Resource Corp has a 100 percent interest in six potential high-grade gold and silver properties in Mexico’s southern state of Oaxaca.
The primary focus for drilling in 2012 will be to test the extension of the Arista deposit, which remains open on strike and depth. The company added it could add additional drills as it expects to boost the size of its exploration program. It recently hired an exploration manager for the Oaxaca mining unit, and another core logging geologist.
At the Alta Gracia property, the company has budgeted around $1 million for exploration this year, with the 2011 program encountering 33 intercepts grading more than 200 grams per tonne of silver.
At Las Margaritas, Gold Resource is constructing a new road that will allow year-round access to the property, with a drill program planned for this year to test high-grade targets identified from surface mapping and sampling. It expects to spend $700,000 in this area in 2012.
The gold miner is also planning a 2012 regional airborne geophysical survey for five of its contiguous properties, which span a mineralized structural corridor over 48 kilometres. This will be the first wide-scale exploration program to cover the company’s entire mineralized trend.
The company also said on the conference call earlier today that it will look globally for a second project to acquire as it anticipates the El Aguila project can keep it in production for the next 20 years.
eResearch starts Papuan Precious Metals at "speculative buy"
Independent research firm eResearch has initiated coverage on Papuan Precious Metals (CVE:PAU) with a "speculative buy" rating and $0.30 target price.
Papuan Precious Metals has interests in four copper-gold, gold, nickel and platinum group exploration projects in Papua New Guinea (PNG): Mt. Suckling, New Hanover, Earia River and Bewani Mountains. The country is already host to numerous copper and gold projects.
In a research note, eResearch analyst Yuri Belinsky said: "We expect that Papuan will be able to delineate mineralizations at the Mt. Suckling and New Hanover projects in 2012-2013, and that one, or both, projects will obtain a resource estimate by 2014.
"The most compelling part of Papuan’s story is its drill program: drilling is conducted on its projects located in areas that have received little exploration activity in the past, but which exhibit the same geology as that of Papua New Guinea’s existing prolific gold and copper belts.
"Success in delineation of mineralization would inevitably lead to a higher corporate valuation."
Papuan is strategically located in Papua New Guinea, whose geology provides plentiful gold and copper deposits. The country's Central Range and Lihir-Tabar alkaline volcanic belts are hosts to numerous giant gold-copper porphyries and gold deposits.
The company is exploring parts of the Central Range and Lihir-Tabar alkaline volcanic belts which exhibit similar geology to those of the prolific parts, but where exploration has been limited.
Papuan expects to delineate and define world-class deposits and is currently drilling several targets.
Indeed, earlier this month Papuan unveiled partial results from the uppermost 79 metres of the discovery hole at the Urua Creek prospect at Mt. Suckling.
Hole URD002 intersected 70.00 metres grading 0.10% copper from 8.00 to 78.00 metres, and returned 6.65 metres of 0.77% copper and 1.84 grams per tonne (g/t) gold from 208.85 to 215.5 metres, including 1.10 metres of 2.16 % Cu and 9.60 g/t gold.
The company said the hole "successfully" tested both gold and copper soil anomalies and long intervals of gold and copper trench values in trenches one and two on Line 10 of the Urua Creek grid.
The eResearch report also highlighted that Papuan's management has a successful track record in discovering and developing similar copper-gold and gold projects in PNG and that the company is well funded to continue active exploration.
The company’s cash position currently is around $4.2 million.
Papuan Precious Metals has interests in four copper-gold, gold, nickel and platinum group exploration projects in Papua New Guinea (PNG): Mt. Suckling, New Hanover, Earia River and Bewani Mountains. The country is already host to numerous copper and gold projects.
In a research note, eResearch analyst Yuri Belinsky said: "We expect that Papuan will be able to delineate mineralizations at the Mt. Suckling and New Hanover projects in 2012-2013, and that one, or both, projects will obtain a resource estimate by 2014.
"The most compelling part of Papuan’s story is its drill program: drilling is conducted on its projects located in areas that have received little exploration activity in the past, but which exhibit the same geology as that of Papua New Guinea’s existing prolific gold and copper belts.
"Success in delineation of mineralization would inevitably lead to a higher corporate valuation."
Papuan is strategically located in Papua New Guinea, whose geology provides plentiful gold and copper deposits. The country's Central Range and Lihir-Tabar alkaline volcanic belts are hosts to numerous giant gold-copper porphyries and gold deposits.
The company is exploring parts of the Central Range and Lihir-Tabar alkaline volcanic belts which exhibit similar geology to those of the prolific parts, but where exploration has been limited.
Papuan expects to delineate and define world-class deposits and is currently drilling several targets.
Indeed, earlier this month Papuan unveiled partial results from the uppermost 79 metres of the discovery hole at the Urua Creek prospect at Mt. Suckling.
Hole URD002 intersected 70.00 metres grading 0.10% copper from 8.00 to 78.00 metres, and returned 6.65 metres of 0.77% copper and 1.84 grams per tonne (g/t) gold from 208.85 to 215.5 metres, including 1.10 metres of 2.16 % Cu and 9.60 g/t gold.
The company said the hole "successfully" tested both gold and copper soil anomalies and long intervals of gold and copper trench values in trenches one and two on Line 10 of the Urua Creek grid.
The eResearch report also highlighted that Papuan's management has a successful track record in discovering and developing similar copper-gold and gold projects in PNG and that the company is well funded to continue active exploration.
The company’s cash position currently is around $4.2 million.
inShare Pdf Rodinia Lithium receives BLM conditional approval for Clayton Valley drilling
Toronto-based Rodinia Lithium (CVE:RM)
(OTCQX:RDNAF) said Thursday that the Bureau of Land Management (BLM)
has conditionally approved the company's plan of operations for its
Clayton Valley lithium-brine project in Nevada.
The conditional approval permits additional drilling at the Clayton Valley project, which is strategically located next to the Silver Peak operation that is owned by Chemetall Foote, and has been a lithium-brine producer since the 1960s.
Rodinia’s drill program will target the southern trench that is believed to be an extension of the productive Silver Peak aquifers further north, where the company has had previous drilling success, it said.
The goal of the drill campaign is to produce the first 43-101 compliant lithium-brine resource for a North America asset.
"We are extremely pleased to have received this confirmation from the BLM and to once again be in a position to start planning and moving ahead with our much anticipated exploration program in Clayton Valley," said president and CEO William Randall.
"We intend to resume drilling once the Environmental Assessment and public comment period are complete with the intention of delineating a lithium brine resource in the southern trench that extends the length of our southern claim package."
Rodinia said it has commissioned environmental consultants EPG, Inc., to complete an environmental assessment, as required under the National Environmental Protection Act. As part of this, there will be a 30-day public comment period that will address public concerns.
A meeting to discuss the requirements of the National Environmental Protection Act has been scheduled for Rodinia on Tuesday March 6.
Earlier this month, Rodinia Lithium said that it has started the construction and operation of a pilot production facility at its Salar de Diablillos lithium brine project in Salta Province, Argentina.
The purpose of the pilot production facility is to confirm the proposed process outlined in the recent preliminary economic assessment for the project, with results to be included into a feasibility study.
The facility is to produce battery-grade lithium carbonate on site, including production of by-products potash and boric acid, giving a glimpse of how a potential final production facility would operate.
In November 2011, the company's preliminary economic assessment for Diablillos indicated a potentially low cost operation with a net present value as high as US$964 million, and a mine life of greater than 20 years.
The conditional approval permits additional drilling at the Clayton Valley project, which is strategically located next to the Silver Peak operation that is owned by Chemetall Foote, and has been a lithium-brine producer since the 1960s.
Rodinia’s drill program will target the southern trench that is believed to be an extension of the productive Silver Peak aquifers further north, where the company has had previous drilling success, it said.
The goal of the drill campaign is to produce the first 43-101 compliant lithium-brine resource for a North America asset.
"We are extremely pleased to have received this confirmation from the BLM and to once again be in a position to start planning and moving ahead with our much anticipated exploration program in Clayton Valley," said president and CEO William Randall.
"We intend to resume drilling once the Environmental Assessment and public comment period are complete with the intention of delineating a lithium brine resource in the southern trench that extends the length of our southern claim package."
Rodinia said it has commissioned environmental consultants EPG, Inc., to complete an environmental assessment, as required under the National Environmental Protection Act. As part of this, there will be a 30-day public comment period that will address public concerns.
A meeting to discuss the requirements of the National Environmental Protection Act has been scheduled for Rodinia on Tuesday March 6.
Earlier this month, Rodinia Lithium said that it has started the construction and operation of a pilot production facility at its Salar de Diablillos lithium brine project in Salta Province, Argentina.
The purpose of the pilot production facility is to confirm the proposed process outlined in the recent preliminary economic assessment for the project, with results to be included into a feasibility study.
The facility is to produce battery-grade lithium carbonate on site, including production of by-products potash and boric acid, giving a glimpse of how a potential final production facility would operate.
In November 2011, the company's preliminary economic assessment for Diablillos indicated a potentially low cost operation with a net present value as high as US$964 million, and a mine life of greater than 20 years.
Loewen, Ondaatje, McCutcheon says Clifton Star's new Donchester resource "positive" for stock price
Institutional equity firm Loewen, Ondaatje, McCutcheon & Co. (LOM) said that an updated NI 43-101 report on Clifton Star Resources' (CVE:CFO) Donchester property "should be positive for the stock price" once shares resume trading.
Clifton Star Resources is a Canadian junior mining exploration company with a focus on properties that have had historic production of gold, silver, copper and nickel.
Its portfolio consists of seven properties, six of them near the Porcupine-Destor Fault in Quebec and one on the Manitoba/Ontario border.
Earlier this week, Clifton Star filed an updated NI 43-101 report for its Donchester property, part of the company's Duparquet project in Quebec.
A previous technical report on Donchester from June 2011 was deemed non-compliant with the requirements of NI 43-101 by the British Columbia Securities Commission (BCSC), prompting a cease trade order on Clifton Star's stock.
The latest report gave an inferred resource of 11.01 million tonnes with an average grade of 3.06 grams of gold per tonne for 1.05 million contained gold ounces, at a cut-off grade of 1.5 grams of gold per tonne, and using a top-cut of 8.0 grams per tonne.
In a research report, LOM analyst Michael Fowler said the latest resource estimate was "...within our expectations and should be positive for the stock price once the initial swoon has taken place when the cease trade order is lifted."
"The announcement shows that the suspension of the stock was not due to an impairment of Clifton Star's asset base, but more to do with disclosure issues," LOM's Fowler said.
LOM's Fowler remarked that the latest report used a higher than usual cut-off grade "probably to satisfy the BCSC".
"It is very rare to see such high bottom cut-offs used for a potentially partially open-pit scenario and a top cut of just 8 grams per tonne is the lowest we have ever seen."
The analyst pointed out that on the adjacent Beattie deposit at the project, a company contracted to carry out a resource estimate used a cut-off grade of 0.67 grams per tonne "on what is the extentsion of the same deposit".
"The effect of the bottom cut-off grade used [in Clifton Star's report] has a severe effect on the resource estimate," Fowler said.
"In our opinion, the company has the potential of proving up a resource of plus 5 million ounces at a 0.5 grams per tonne cut-off grade."
Clifton Star Resources is a Canadian junior mining exploration company with a focus on properties that have had historic production of gold, silver, copper and nickel.
Its portfolio consists of seven properties, six of them near the Porcupine-Destor Fault in Quebec and one on the Manitoba/Ontario border.
Earlier this week, Clifton Star filed an updated NI 43-101 report for its Donchester property, part of the company's Duparquet project in Quebec.
A previous technical report on Donchester from June 2011 was deemed non-compliant with the requirements of NI 43-101 by the British Columbia Securities Commission (BCSC), prompting a cease trade order on Clifton Star's stock.
The latest report gave an inferred resource of 11.01 million tonnes with an average grade of 3.06 grams of gold per tonne for 1.05 million contained gold ounces, at a cut-off grade of 1.5 grams of gold per tonne, and using a top-cut of 8.0 grams per tonne.
In a research report, LOM analyst Michael Fowler said the latest resource estimate was "...within our expectations and should be positive for the stock price once the initial swoon has taken place when the cease trade order is lifted."
"The announcement shows that the suspension of the stock was not due to an impairment of Clifton Star's asset base, but more to do with disclosure issues," LOM's Fowler said.
LOM's Fowler remarked that the latest report used a higher than usual cut-off grade "probably to satisfy the BCSC".
"It is very rare to see such high bottom cut-offs used for a potentially partially open-pit scenario and a top cut of just 8 grams per tonne is the lowest we have ever seen."
The analyst pointed out that on the adjacent Beattie deposit at the project, a company contracted to carry out a resource estimate used a cut-off grade of 0.67 grams per tonne "on what is the extentsion of the same deposit".
"The effect of the bottom cut-off grade used [in Clifton Star's report] has a severe effect on the resource estimate," Fowler said.
"In our opinion, the company has the potential of proving up a resource of plus 5 million ounces at a 0.5 grams per tonne cut-off grade."
Thursday, 1 March 2012
Solitario intersects 36.61% zinc & lead over 5.8 metres at Bongará
Solitario Exploration & Royalty Corp. (TSE:SLR)(AMEX:XPL) Thursday announced "outstanding" drilling results on its high-grade Bongará zinc project in Peru.
In total, 17 out of the 19 newly reported drill holes intersected significant mineralization, the company said.
Amongst the highlights, drill hole V-245 intersected 36.61% zinc & lead (Zn+Pb) and 53.48 grams per tonne (gpt) silver over 5.8 meters, hole V-255 intersected 17.21% Zn+Pb and 41.94 gpt silver over 15.5 meters and drill hole V-257 which encountered 10.86% Zn+Pb and 31.4 gpt silver over 31.4 meters.
The underground drilling program began in the fourth quarter of 2011 and will continue through much of 2012, Solitario said. In total, 67 core holes are planned from eight different underground drill stations.
Solitario president and CEO Chris Herald said: "Bongará continues to deliver outstanding drilling results. Results are certainly demonstrating thick high-grade continuity in the San Jorge zone.
"Votorantim continues to aggressively advance the project on a number of fronts, including detailed reserve drilling, additional step-out drilling, road construction, new plans for underground tunneling, additional metallurgical testing, and other pre-feasibility related work."
The Bongará project hosts the high-grade Florida Canyon zinc deposit where zinc mineralization has been intersected over a four square kilometer area. Underground drill stations are situated about 40 meters apart and are designed to drill test in detail approximately 350 meters of strike length of the San Jorge zone, situated in the southwestern part of the Florida Canyon deposit.
Anywhere from 4 to 12 core holes will be fan-drilled from each drill station.
Surface drilling is focused on the Karen-Milagros zone located in the northeastern part of the Florida Canyon mineralized system.
Votorantim, Solitario's partner at Bongará, is planning a new tunnel to access the Karen-Milagros zone. Planning and permitting for the tunnel is in its initial stages and the start of construction will occur in 2013.
Upon completion of the new Karen-Milagros tunnel, detailed underground drilling will take place similar to the program currently being conducted on the San Jorge zone.
Solitario is a gold, silver, platinum-palladium, and base metal exploration and royalty company actively exploring in the United States, Brazil, Mexico, and Peru.
Shares were up 4 percent to $1.45 Thursday afternoon.
In total, 17 out of the 19 newly reported drill holes intersected significant mineralization, the company said.
Amongst the highlights, drill hole V-245 intersected 36.61% zinc & lead (Zn+Pb) and 53.48 grams per tonne (gpt) silver over 5.8 meters, hole V-255 intersected 17.21% Zn+Pb and 41.94 gpt silver over 15.5 meters and drill hole V-257 which encountered 10.86% Zn+Pb and 31.4 gpt silver over 31.4 meters.
The underground drilling program began in the fourth quarter of 2011 and will continue through much of 2012, Solitario said. In total, 67 core holes are planned from eight different underground drill stations.
Solitario president and CEO Chris Herald said: "Bongará continues to deliver outstanding drilling results. Results are certainly demonstrating thick high-grade continuity in the San Jorge zone.
"Votorantim continues to aggressively advance the project on a number of fronts, including detailed reserve drilling, additional step-out drilling, road construction, new plans for underground tunneling, additional metallurgical testing, and other pre-feasibility related work."
The Bongará project hosts the high-grade Florida Canyon zinc deposit where zinc mineralization has been intersected over a four square kilometer area. Underground drill stations are situated about 40 meters apart and are designed to drill test in detail approximately 350 meters of strike length of the San Jorge zone, situated in the southwestern part of the Florida Canyon deposit.
Anywhere from 4 to 12 core holes will be fan-drilled from each drill station.
Surface drilling is focused on the Karen-Milagros zone located in the northeastern part of the Florida Canyon mineralized system.
Votorantim, Solitario's partner at Bongará, is planning a new tunnel to access the Karen-Milagros zone. Planning and permitting for the tunnel is in its initial stages and the start of construction will occur in 2013.
Upon completion of the new Karen-Milagros tunnel, detailed underground drilling will take place similar to the program currently being conducted on the San Jorge zone.
Solitario is a gold, silver, platinum-palladium, and base metal exploration and royalty company actively exploring in the United States, Brazil, Mexico, and Peru.
Shares were up 4 percent to $1.45 Thursday afternoon.
Redhill unearths work program for Nyakagwe properties, Tanzania
Junior gold miner Redhill Resources Corp. (CVE:RHR) unveiled its planned exploration program for its Nyakagwe properties in Tanzania, East Africa.
Redhill said the work program will include geological mapping, satellite imagery for structural trends, rock and soil chemistry, trenching and geophysics as well as follow-up drilling.
The miner has retained consultants with extensive experience and knowledge of the Bulyanhulu gold deposit and regional geology to help with the exploration program, it added.
The consultants are based in Mwanza, the second largest city in Tanzania, and logistical supply center for gold mining operations in the Lake Victoria Gold Fields.
The properties are strategically situated in the Bulyanhulu regional trend just within six kilometres of Barrick Gold's (TSE:ABX) 12 million-ounce Bulyanhulu gold mine.
The acreage consists of 46 main mining licenses in three adjacent groups and one prospecting license which encompassing a combined area of about 500-hectares.
These licenses are surrounded entirely by prospecting licenses and applications owned and now being explored by Tembo Gold Corp (CVE:TEM).
Recently, Tembo announced it had found an area between the Nyakagwe Hill and the Bulyanhulu river as a "prominent domain of identifiable artisanal gold mining."
Three mineralized trends have been identified, of which two trend onto Redhill’s acreage, the company said in a statement.
The Nyakagwe Properties had exploration work completed in 2008 by Africa West Minerals Corp. This work comprised soil sampling, trenching, and ground magnetic geophysics, followed by a program of Reverse Circulation and Air Core drilling.
This historical drilling crossed mineralization as shallow as 20 metres and returned gold values ranging from 0.32 grams per tonne (g/t) over one metre to 7.03 g/t over four metres including 17.75 g/t over one metre.
Separately, Redhill also announced the appointment of Paul DiPasquale to its board of directors to take effect immediately.
DiPasquale has been in the securities industry since 1969 and has held many executive positions with responsibility for sales and trading operations for many brokerage firms.
He has worked for Brink, Hudson & LeFever Ltd, Yorkton Securities, Haywood Securities and Cannacord Genuity where he served as executive vice-president and branch manager. He is now an independent advisor.
Redhill’s share price traded steady at 10.5 cents apiece on Toronto’s junior venture exchange Thursday afternoon.
Redhill said the work program will include geological mapping, satellite imagery for structural trends, rock and soil chemistry, trenching and geophysics as well as follow-up drilling.
The miner has retained consultants with extensive experience and knowledge of the Bulyanhulu gold deposit and regional geology to help with the exploration program, it added.
The consultants are based in Mwanza, the second largest city in Tanzania, and logistical supply center for gold mining operations in the Lake Victoria Gold Fields.
The properties are strategically situated in the Bulyanhulu regional trend just within six kilometres of Barrick Gold's (TSE:ABX) 12 million-ounce Bulyanhulu gold mine.
The acreage consists of 46 main mining licenses in three adjacent groups and one prospecting license which encompassing a combined area of about 500-hectares.
These licenses are surrounded entirely by prospecting licenses and applications owned and now being explored by Tembo Gold Corp (CVE:TEM).
Recently, Tembo announced it had found an area between the Nyakagwe Hill and the Bulyanhulu river as a "prominent domain of identifiable artisanal gold mining."
Three mineralized trends have been identified, of which two trend onto Redhill’s acreage, the company said in a statement.
The Nyakagwe Properties had exploration work completed in 2008 by Africa West Minerals Corp. This work comprised soil sampling, trenching, and ground magnetic geophysics, followed by a program of Reverse Circulation and Air Core drilling.
This historical drilling crossed mineralization as shallow as 20 metres and returned gold values ranging from 0.32 grams per tonne (g/t) over one metre to 7.03 g/t over four metres including 17.75 g/t over one metre.
Separately, Redhill also announced the appointment of Paul DiPasquale to its board of directors to take effect immediately.
DiPasquale has been in the securities industry since 1969 and has held many executive positions with responsibility for sales and trading operations for many brokerage firms.
He has worked for Brink, Hudson & LeFever Ltd, Yorkton Securities, Haywood Securities and Cannacord Genuity where he served as executive vice-president and branch manager. He is now an independent advisor.
Redhill’s share price traded steady at 10.5 cents apiece on Toronto’s junior venture exchange Thursday afternoon.
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