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Cypress Development Corp.: 12,000 Feet Drill Program to Begin on Gunman Zinc Project in Nevada
Thu Mar 8, 1:29 PM
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 8, 2007) - Cypress Development Corp. (TSX VENTURE: CYP.V) and Bison Gold Exploration Inc. are pleased to announce they have contracted out a diamond drill program on the Cypress (73.13%) / Bison (26.87%) owned Gunman zinc project located in White Pine County, northeast Nevada. The program will consist of up to 12,000 feet of diamond drilling in Phase 1 2007. A Bureau of Land Management (BLM) exploration permit was commenced in November 2006 in preparation of the 2007 diamond drill program.
Cypress Development, as operator, completed a Titan electric survey, followed by a detailed gravity survey in late 2006. Both surveys were centered on the high-grade zinc-silver oxide/sulfide RH Zone area and extended a total of 1.2 miles to cover the known alteration / mineralization in the host carbonate section within the RH Trend. The survey was designed to map conductive bodies beneath and lateral to the strongly oxidized RH Zone deposit. A series of strong discrete conductors are apparent along the RH Trend. Detailed geologic control from surface mapping indicates that these conductors occur within north-south striking RH Zone carbonate stratigraphy.
The Gunman RH Zone zinc oxide, sulfide, & silver mineralization highlights encountered to date are partially illustrated below.
---------------------------------------------------------------------------
Silver In Oxides
Hole ID From To Width % Zinc oz/ton or Sulfides
---------------------------------------------------------------------------
GM-01 115 ft 215 ft 100 ft 4.91% 1.1 oz oxide
---------------------------------------------------------------------------
Incl 165 ft 195 ft 30 ft 19.62% 3.5 oz oxide
---------------------------------------------------------------------------
GM-01 355 ft 385 ft 30 ft 10.03% 2.6 oz sulfide
---------------------------------------------------------------------------
Incl 355 ft 375 ft 20 ft 15.20% 3.5 oz sulfide
---------------------------------------------------------------------------
Gm-09 120 ft 345 ft 225 ft 4.01% 1.0 oz oxide
---------------------------------------------------------------------------
Incl 175 ft 190 ft 15 ft 14.67% 2.6 oz oxide
---------------------------------------------------------------------------
GM-09 220 ft 330 ft 110 ft 4.00% 1.0 oz sulfide
---------------------------------------------------------------------------
Incl 240 ft 280 ft 40 ft 8.10% 1.5 oz sulfide
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GM-26 0 ft 250 ft 250 ft 11.04% 2.7 oz oxide
---------------------------------------------------------------------------
Incl 130 ft 205 ft 75 ft 26.88% 7.1 oz oxide
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GM-32 50 ft 170 ft 120 ft 9.10% 1.5 oz oxide
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Abare predicts zinc prices to increase on higher demand
Source: Hoovers
http://metalsplace.com/metalsnews/?a=10571
Prices of zinc are expected to increase 7% on year to an average of $3,500 a metric ton in 2007 as demand continues to outstrip supply, a report by the state-run Australian Bureau of Agricultural & Resource Economics, or Abare, said Tuesday.
With global zinc demand expected to outstrip output for the fourth year in a row in 2007, there may be a further drawdown in global zinc stocks.
The report added that toward the end of 2007, zinc prices, in real terms, may fall as increased production from mining projects such as San Cristobal in Bolivia boosts supply.
The report said increases in global output in 2007 will come from a number of mine expansions and new projects.
Among the major projects, San Cristobal in Bolivia, with a capacity of 167,000 tons a year, and Cerro Lindo in Peru (110,000 tons/year) are both due to be commissioned in the third quarter of 2007.
Over the medium term, four large confirmed projects in Canada, Mexico, the Russian Federation and Indonesia are projected to come on line, adding 700,000 tons to global production.
In Canada, three projects are due to start in 2007, which will boost Canadian output in the short-term by around 120,000 tons.
However, the report added that a lot of the new zinc mining projects are being developed in countries with relatively high sovereign risks, such as where operating rules or taxation arrangements may be altered after a project has started.
Such risks are creating greater uncertainty about returns for mining companies exploring in these countries.
Turning to Australia, it said mined zinc output in 2006-07 is estimated to be 1.38 million tons, following the expansion of the Mount Isa zinc concentrator and the Golden Globe project. There was no comparative figure.
It said a slew of new mining projects is expected to raise zinc output in Australia at an average of 9% on year until the financial year ending June 30, 2012.
The largest of these projects is Xstrata's Lady Loretta in Queensland, expected to commence production in the fiscal year ending June 30, 2010.
HudBay Second Half 2006 Exploration Update
Friday March 2, 8:57 pm ET
http://ca.us.biz.yahoo.com/ccn/070302/200703020376160001.html?.v=1
WINNIPEG, MANITOBA--(CCNMatthews - March 2, 2007) - HudBay Minerals Inc. (TSX:HBM - News; HudBay) announces results from its second half 2006 exploration in northern Manitoba and Saskatchewan. Illustrations and previously released data are available at www.hudbayminerals.com.
During the second half of 2006, approximately 23,738 meters of diamond drilling in 39 surface drill holes was completed, with a focus on mineral deposit targets and structural targets. HudBay's subsidiary, Hudson Bay Exploration and Development Company Limited (HBED) managed the exploration in the Flin Flon Greenstone Belt and the majority of the exploration was funded by flow-through financing.
"Drill results continued to be encouraging at the Bur deposit and at the Talbot Lake deposit where one intersection was 12.44% copper over 9.65 meters," said Peter Jones, President & CEO. "For 2007 we have increased our total exploration program expenditure plans to $37 million, making it one of the largest in Canada."
Exploration results reported in this release exclude results from exploration within HudBay operating mines and exploration at locations other than northern Manitoba and Saskatchewan. HudBay recently announced that its January 1, 2007 aggregate estimated mineral reserves and mineral resources increased compared to those at January 1, 2006, after taking into account 2006 ore production.
Mineral Deposit Targets
Bur Deposit
The Bur deposit is 22 kilometres from the Snow Lake concentrator. Drilling at the Bur deposit in the second half of 2006 improved the definition of mineralization. As a result of earlier drilling, HudBay announced in December 2006 plans to invest approximately $8.5 million at the Bur deposit for additional in-fill diamond drilling, underground excavations to extract a 10,000 tonne ore sample, obtaining production permits as well as completion of a feasibility study. During the second half of 2006, 1,150 meters of drilling were completed. Notable intersections included:
- 3.25% Cu, 17.65% Zn over 1.21 meters in drill hole BZS015;
- 5.34% Cu, 4.99% Zn over 1.47 meters in drill hole BZS022;
Drilling will continue in 2007 as part of the $8.5 million planned investment.
Talbot Lake Deposit
The Talbot Lake deposit is located 83 km from the Snow Lake concentrator.
In the second half of 2006, 7,084 meters were drilled in eleven holes. Ten of those holes intersected mineralization.
The last drill hole of the program - hole TLS020, made a very encouraging intersection which assayed 11.16 grams/tonne gold, 184.37 grams/tonne silver, 12.44% copper and 3.50% zinc over 9.65 meters.
Other main zone intersections were:
- 1.09% Cu, 6.32% Zn over 1.69 meters in drill hole TLS010;
- 4.24% Cu, 0.59% Zn over 3.15 meters in drill hole TLS011;
- 0.62% Cu, 1.03% Zn over 1.72 meters in drill hole TLS012:
- 2.15% Cu, 1.68% Zn over 1.29 meters in drill hole TLS013;
- 0.10% Cu, 8.13% Zn over 0.74 meters in drill hole TLS014;
- 0.94% Cu, 0.53% Zn over 1.66 meters in drill hole TLS015;
- 0.61% Cu, 0.08% Zn over 1.20 meters in drill hole TLS016;
- 0.47% Cu, 0.40% Zn over 9.70 meters in drill hole TLS017;
- 0.60% Cu, 2.63% Zn over 2.09 meters in drill hole TLS018;
- TLS019 was abandoned
HudBay will follow up exploration of the significant mineralization intersected in drill hole TLS020 at the earliest opportunity.
Structural Targets
Chisel Target
Drilling continued at the previously mined Chisel and Photo Lake properties, and on targets related to the operating Chisel North mine. 5388 meters were drilled in 10 parent drill holes and two wedge cuts.
Notable intersections included:
- 0.10% Cu, 3.34% Zn over 1.00 meter in drill hole CH0602;
- 0.13% Cu, 7.65% Zn over 0.69 meters in drill hole CH0602W1
Drill holes CH0603, CH0505, CH0606, CH0607, CH0608 and DUB166 tested Quantec Titan 24 deep penetrating geophysical anomalies identified in a survey completed in the first quarter of 2006. Although no notable assay intervals were intersected, CH0606 intersected 7.71 meters of massive pyrite from 531.71 to 539.42 meters coincident with a Titan 24 anomaly and also with the Chisel Mine horizon. Additional exploration is planned to test this mineralization in 2007.
Two drill holes, DUB165 and DUB167 tested targets below the now closed Photo Lake mine. There were no notable intersections in DUB165 however DUB167 intersected a wide interval of quartz-staurolite-biotite-chlorite gneiss with disseminated chalcopyrite (copper) stringer mineralization.
Flin Flon, Manitoba
2,130 meters were drilled in four holes testing the hanging wall stratigraphy and along the strike of the Flin Flon - 777 mine. There were no notable intersections.
Flin Flon, Saskatchewan
4,774 meters were drilled in five holes that tested a structurally repeated fault block of the Flin Flon mine stratigraphy located deep in the footwall of the Flin Flon mine, previously intersected by holes completed in 2005. There were no notable mineral intersections.
Geophysical Targets
738 meters were drilled in three holes east and south of Snow Lake to test geophysical anomalies. There were no notable intersections.
2007 Expenditure Plans(i)
-------------------------
----------------------------------------------------------------------
Flin Flon Greenstone Belt
($ millions)
Electromagnetic anomalies 8.5
Known deposits 4.5
Operating mines 4.0
Geophysics 3.0
Structural targets 3.0
Administration/miscellaneous 3.0
26.0
Other Locations
Balmat District 4.0
Unallocated 7.0
11.0
-------
Total planned 2007 expenditure $37.0 million
----------------------------------------------------------------------
HudBay
Minerals Inc.
--------------------------------------------
Attachment to HudBay Minerals Inc.
Second Half 2006 Exploration Update
Second Half 2006 Drill Hole Locations
Mineral Deposit Targets
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Grid(1) Grid(1) Grid(1) Hole Hole Hole
Hole East North Elev. Length Azimuth Dip
meters meters meters meters degrees degrees
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Talbot Lake Deposit
--------------------------------------------------------------------------
--------------------------------------------------------------------------
TLS010 1060 700 0 749.0 285 -70
--------------------------------------------------------------------------
TLS011 1170 300 0 959.0 285 -75
--------------------------------------------------------------------------
TLS012 950 175 0 682.0 285 -70
--------------------------------------------------------------------------
TLS013 765 175 0 440.0 285 -75
--------------------------------------------------------------------------
TLS014 1095 100 0 884.0 285 -72
--------------------------------------------------------------------------
TLS015 840 300 0 557.0 285 -75
--------------------------------------------------------------------------
TLS016 985 350 0 665.0 285 -70
--------------------------------------------------------------------------
TLS017 750 385 0 386.0 285 -72
--------------------------------------------------------------------------
TLS018 1100 560 0 801.0 285 -70
--------------------------------------------------------------------------
TLS019(2) 1120 310 0 110.0 285 -72
--------------------------------------------------------------------------
TLS020 1122 310 0 851.0 285 -72
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Bur Deposit
--------------------------------------------------------------------------
--------------------------------------------------------------------------
BZS015 -374 3292 0 281.0 130 -53
--------------------------------------------------------------------------
BZS016(3) -418 3475 0 298.0 130 -80
--------------------------------------------------------------------------
BZS022 -378 3353 0 341.0 130 -72
--------------------------------------------------------------------------
BZS023(4) -392 3231 0 230.0 130 -68
--------------------------------------------------------------------------
--------------------------------------------------------------------------
(1) The grids for each target area and geophysical anomaly holes are
independent and separately oriented.
(2) Hole abandoned.
(3) Final hole depth for BZS016 was 450m including 298m drilled in 2006.
(4) Final hole depth for BZS023 was 341m including 230m drilled in 2006.
Second Half 2006 Drill Hole Locations
Structural Targets
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Grid(1) Grid(1) Grid(1) Hole Hole Hole
Hole East North Elev. Length Azimuth Dip
meters meters meters meters degrees degrees
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Chisel and Photo Lake Targets
--------------------------------------------------------------------------
--------------------------------------------------------------------------
CH0602 48196 20991 1526 629 7 -82
--------------------------------------------------------------------------
CH0602W1(5) 48199 20923 1526 398 7 -82
--------------------------------------------------------------------------
CH0603 47562 21372 1537 1097 227 -63
--------------------------------------------------------------------------
CH0604 48274 20923 1527 188 17 -82
--------------------------------------------------------------------------
CH0604W1(6) 48274 20923 1527 182 17 -82
--------------------------------------------------------------------------
CH0605 49086 21140 1531 833 328 -70
--------------------------------------------------------------------------
CH0606 47196 20873 1529 764 37 -60
--------------------------------------------------------------------------
CH0607 49086 21140 1531 782 193 -78
--------------------------------------------------------------------------
CH0608 49012 21920 1532 515 267 -50
--------------------------------------------------------------------------
DUB165 46782 23657 1537 470 169 -60
--------------------------------------------------------------------------
DUB166 46850 23072 1528 1447 47 -85
--------------------------------------------------------------------------
DUB167 46706 23692 1536 557 166 -60
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Flin Flon, Manitoba Targets
--------------------------------------------------------------------------
--------------------------------------------------------------------------
4Q80 50108 -17483 2563 435 278 -52
--------------------------------------------------------------------------
4Q81 50031 -17406 2562 374 277 -50
--------------------------------------------------------------------------
4Q82 50245 -17541 2564 575 263 -57
--------------------------------------------------------------------------
FFM005 50439 -17181 2560 746 325 -60
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Flin Flon, Saskatchewan Targets
--------------------------------------------------------------------------
--------------------------------------------------------------------------
FFS039 49712 -18651 2548 1121 270 -55
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FFS040 49309 -18121 2560 725 270 -55
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FFS041 49592 -19186 2560 1256 270 -55
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FFS042 49687 -17125 2560 863 270 -55
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FFS043 49625 -16733 2560 809 270 -55
--------------------------------------------------------------------------
--------------------------------------------------------------------------
(1) The grids for each target area and geophysical anomaly holes are
independent and separately oriented.
(5) Length of the wedge portion - final hole depth was 647m, top of wedge
249m
(6) Length of the wedge portion - final hole depth was 272m, top of wedge
90m
Second Half 2006 Drill Hole Locations
Geophysical Targets
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Grid(1) Grid(1) Grid(1) Hole Hole Hole
Hole East North Elev. Length Azimuth Dip
meters meters meters meters degrees degrees
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Har Area - Snow Lake
--------------------------------------------------------------------------
--------------------------------------------------------------------------
HAR139(7) -1085 600 0 60 272 -65
--------------------------------------------------------------------------
HAR140 -250 600 0 383 272 -75
--------------------------------------------------------------------------
HAR141 -600 1200 0 295 272 -75
--------------------------------------------------------------------------
--------------------------------------------------------------------------
(1) The grids for each target area and geophysical anomaly holes are
independent and separately oriented.
(7) HAR139 was in progress in June at the (period) start final hole depth
was 350m.
Second Half 2006 Drill Hole Intersection Assay Results (8)
Mineral Deposit Targets
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Hole Zone From To Core(9) Horiz.(10) Au Ag Cu Zn
meters meters Length Width g/t g/t % %
meters meters
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Talbot Lake Target
---------------------------------------------------------------------------
---------------------------------------------------------------------------
TLS010 Main 626.36 642.53 16.17 13.04 1.87 15.83 0.56 1.26
---------------------------------------------------------------------------
TLS010 Incl.
Main 626.36 628.05 1.69 1.32 0.63 18.23 1.09 6.32
---------------------------------------------------------------------------
TLS010 688.31 690.00 1.69 1.53 0.07 1.20 0.30 0.00
---------------------------------------------------------------------------
TLS010 691.00 692.00 1.00 0.90 0.31 1.71 0.34 0.00
---------------------------------------------------------------------------
TLS010 694.00 695.38 1.38 1.25 0.17 1.71 0.40 0.00
---------------------------------------------------------------------------
TLS010 712.00 723.39 11.39 10.44 0.09 4.40 0.88 0.00
---------------------------------------------------------------------------
TLS010 Incl. 716.86 717.34 0.48 0.40 0.27 17.14 5.09 0.05
---------------------------------------------------------------------------
TLS010 Incl. 718.84 722.10 3.26 2.69 0.12 6.38 1.10 0.00
---------------------------------------------------------------------------
TLS011 556.60 556.83 0.23 0.19 0.07 0.00 0.00 1.01
---------------------------------------------------------------------------
TLS011 902.63 902.85 0.22 0.20 0.07 1.03 0.00 4.25
---------------------------------------------------------------------------
TLS011 Main 911.75 921.55 9.80 8.91 0.83 16.74 1.83 0.32
---------------------------------------------------------------------------
TLS011 Incl.
Main 918.40 921.55 3.15 2.86 2.07 36.42 4.24 0.59
---------------------------------------------------------------------------
TLS012 Main 564.46 578.00 13.54 11.86 5.65 61.38 0.35 0.26
---------------------------------------------------------------------------
TLS012 Incl. 567.09 567.21 0.12 0.09 0.27 15.09 1.90 6.12
---------------------------------------------------------------------------
TLS012 Incl. 570.00 571.57 1.57 1.24 16.58 123.95 0.33 0.02
---------------------------------------------------------------------------
TLS012 Incl.
Main 573.73 575.45 1.72 1.35 23.38 295.21 0.62 1.03
---------------------------------------------------------------------------
TLS012 650.46 651.00 0.54 0.48 0.27 3.77 0.87 0.00
---------------------------------------------------------------------------
TLS012 651.54 651.89 0.35 0.31 0.21 2.74 0.54 0.00
---------------------------------------------------------------------------
TLS013 Main 372.00 382.51 10.51 7.31 0.62 14.23 0.90 0.79
---------------------------------------------------------------------------
TLS013 Incl. 372.00 379.60 7.60 7.60 0.40 17.46 1.16 0.99
---------------------------------------------------------------------------
TLS013 Incl. 372.00 375.19 3.19 2.40 0.41 24.87 1.74 1.53
---------------------------------------------------------------------------
TLS013 Incl.
Main 378.31 379.60 1.29 0.97 0.95 36.53 2.15 1.68
---------------------------------------------------------------------------
TLS014 Main 849.16 849.90 0.74 0.67 0.45 21.94 0.10 8.13
---------------------------------------------------------------------------
TLS015 176.50 177.23 0.73 0.52 0.38 7.54 0.40 0.00
---------------------------------------------------------------------------
TLS015 183.50 185.07 1.57 1.13 0.05 9.65 0.52 0.06
---------------------------------------------------------------------------
TLS015 Main 479.76 492.00 12.24 9.55 0.17 2.27 0.32 0.09
---------------------------------------------------------------------------
TLS015 Incl.
Main 488.34 490.00 1.66 1.30 0.67 10.69 0.94 0.53
---------------------------------------------------------------------------
TLS016 330.73 331.73 1.00 0.84 0.07 11.31 0.43 0.00
---------------------------------------------------------------------------
TLS016 379.65 380.20 0.55 0.46 0.10 16.80 0.59 0.07
---------------------------------------------------------------------------
TLS016 Main 596.00 597.20 1.20 1.04 0.23 1.91 0.61 0.08
---------------------------------------------------------------------------
TLS017 Main 304.00 313.70 9.70 7.37 0.39 6.29 0.47 0.40
---------------------------------------------------------------------------
TLS017 Incl. 304.00 305.77 1.77 1.35 0.51 12.12 0.90 1.09
---------------------------------------------------------------------------
TLS018 Main 707.91 710.00 2.09 1.85 0.92 17.37 0.60 2.63
---------------------------------------------------------------------------
TLS019 Abandoned
---------------------------------------------------------------------------
TLS020 619.60 620.79 1.19 1.01 0.45 27.09 0.93 0.03
---------------------------------------------------------------------------
TLS020 Main 788.95 816.56 27.61 24.34 4.13 69.13 4.81 1.30
---------------------------------------------------------------------------
TLS020 Incl. 799.07 811.58 12.51 11.09 8.73 145.45 9.83 2.72
---------------------------------------------------------------------------
TLS020 Incl.
Main 801.93 811.58 9.65 7.70 11.16 184.37 12.44 3.50
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Bur Target
---------------------------------------------------------------------------
---------------------------------------------------------------------------
BZS015 Main 232.45 233.66 1.21 1.30 0.09 20.74 3.29 17.65
---------------------------------------------------------------------------
BZS022 Main 292.22 293.69 1.47 1.40 0.09 40.79 5.34 4.99
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(8) Intersection assays pages 9 through 11 are either a single assay of a
sample of the entire intersection length or a composite of assays
calculated from interval weighted assays over the intersection length.
(9) Intersection length
(10) Horiz. equals Horizontal
Second Half 2006 Drill Hole Intersection Assay Results(1)
Structural Targets
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Hole Zone From To Core(9) Horiz.(10) Au Ag Cu Zn
meters meters Length Width g/t g/t % %
meters meters
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Chisel and Photo Lake Targets
---------------------------------------------------------------------------
---------------------------------------------------------------------------
CH0- Chisel
602 Horizon 564.00 565.00 1.00 1.05(11) 0.24 7.60 0.10 3.34
---------------------------------------------------------------------------
CH06- Chisel
02W1 Horizon 551.33 561.75 10.42 10.94(11) 0.13 5.52 0.08 1.53
---------------------------------------------------------------------------
CH06-
02W1 Incl. 551.33 551.55 0.21 0.22(11) 0.65 26.40 0.17 2.44
---------------------------------------------------------------------------
CH06-
02W1 Incl. 555.59 556.28 0.69 0.72(11) 0.10 5.83 0.13 7.65
---------------------------------------------------------------------------
CH06-
02W1 Incl. 561.21 561.75 0.54 0.57(11) 0.14 10.29 0.07 4.00
---------------------------------------------------------------------------
CH0603 1083.81 1084.14 0.33 0.35(11) 1.30 12.00 1.28 0.08
---------------------------------------------------------------------------
CH0604 No Significant Values
---------------------------------------------------------------------------
CH0604W1 No Significant Values
---------------------------------------------------------------------------
CH0605 No Significant Values
---------------------------------------------------------------------------
CH0606 No Significant Values
---------------------------------------------------------------------------
CH0607 365.59 365.90 0.31 0.33(11) 0.34 1.71 0.10 1.09
---------------------------------------------------------------------------
CH0608 No Significant Values
---------------------------------------------------------------------------
DUB165 351.02 351.48 0.46 0.51(11) 0.86 6.86 0.02 0.98
---------------------------------------------------------------------------
DUB165 351.90 352.40 0.50 0.55(11) 0.07 1.71 0.02 0.55
---------------------------------------------------------------------------
DUB165 387.65 388.08 0.43 0.47(11) 0.21 9.60 0.02 0.60
---------------------------------------------------------------------------
DUB166 No assays to date
---------------------------------------------------------------------------
DUB167 366.00 366.36 0.36 0.40(11) 0.55 17.14 0.00 1.09
---------------------------------------------------------------------------
DUB167 367.07 367.63 0.56 0.62(11) 0.21 3.77 0.03 1.34
---------------------------------------------------------------------------
DUB167 382.73 383.56 0.83 0.92(11) 0.14 0.00 0.05 0.52
---------------------------------------------------------------------------
DUB167 385.44 385.72 0.28 0.31(11) 0.17 0.69 0.07 0.93
---------------------------------------------------------------------------
DUB167 414.65 445.63 30.98 34.50(11) 0.38 3.01 0.48 0.04
---------------------------------------------------------------------------
DUB167 Incl. 421.84 422.35 0.51 0.57(11) 4.87 51.09 6.79 0.33
---------------------------------------------------------------------------
DUB167 Incl. 425.11 425.37 0.26 0.29(11) 2.54 25.37 2.78 0.44
---------------------------------------------------------------------------
DUB167 Incl. 443.82 444.11 0.29 0.32(11) 0.79 11.31 1.56 0.25
---------------------------------------------------------------------------
DUB167 Incl. 444.95 445.63 0.68 0.75(11) 0.62 13.03 2.03 0.18
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Flin Flon, Manitoba Targets
---------------------------------------------------------------------------
---------------------------------------------------------------------------
4Q80 No Significant Values
---------------------------------------------------------------------------
4Q81 No Significant Values
---------------------------------------------------------------------------
4Q82 No Significant Values
---------------------------------------------------------------------------
FFM005 No Significant Values
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Flin Flon, Saskatchewan Targets
---------------------------------------------------------------------------
---------------------------------------------------------------------------
FFS039 No Significant Values
---------------------------------------------------------------------------
FFS040 No Significant Values
---------------------------------------------------------------------------
FFS041 No Significant Values
---------------------------------------------------------------------------
FFS042 No Significant Values
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(8) Intersection assays pages 9 through 11 are either a single assay of a
sample of the entire intersection length or a composite of assays
calculated from interval weighted assays over the intersection length.
(9) Intersection length
(10) Horiz. equals Horizontal
(11) Vertical thickness, not horizontal width
Second Half 2006 Drill Hole Intersection Assay Results (8)
Geophysical Targets
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Hole Zone From To Core(9) Horiz.(10) Au Ag Cu Zn
meters meters Length Width g/t g/t % %
meters meters
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Har Area - Snow Lake
---------------------------------------------------------------------------
---------------------------------------------------------------------------
HAR-
139(6) Anomaly No Significant Values
---------------------------------------------------------------------------
HAR-
140 Anomaly No Significant Values
---------------------------------------------------------------------------
HAR-
141 Anomaly No Significant Values
Strategic Metals plans to spin off Yukon claims
2007-03-02 14:45 ET - News Release
Mr. Robert Carne reports
STRATEGIC METALS LTD. AGREES TO SELL ZINC-PROSPECTIVE PROPERTIES TO A NEW EXPLORATION COMPANY IN CONTEMPLATION OF A PLAN OF ARRANGEMENT
Strategic Metals Ltd. has entered into an agreement in principle with Zinccorp Resources Inc., a private company recently incorporated by Richard Hughes.
The key terms of the agreement, which is subject to the execution of a definitive agreement, are as follows:
Strategic has agreed to sell its Bar, Convert, Kit and Michelle claims, all situated in the Yukon, to Zinccorp in exchange for that number of common shares and share purchase warrants of Zinccorp that will equal 50 per cent of Zinccorp's issued common shares and issued share purchase warrants following its completion of its seed-capital financing.
Strategic will also subscribe for 25 per cent of the seed-capital financing currently being raised by Zinccorp, estimated to be at least $2-million, by the sale of units at 15 cents per unit, each unit to consist of one common share and one share purchase warrant, with each warrant to entitle the holder to purchase one additional common share at a price of 25 cents for a period of two years from the listing of Zinccorp's common shares on the TSX Venture Exchange.
Strategic will distribute to its own shareholders pro rata certain of the common shares and share purchase warrants of Zinccorp to be issued to it by way of a plan of arrangement on the basis of one Zinccorp common share and one Zinccorp share purchase warrant for each four common shares of Strategic held.
The distribution of these Zinccorp common shares and Zinccorp share purchase warrants to Strategic's shareholders is intended so as to provide Zinccorp with sufficient distribution to qualify for a listing on the exchange.
Strategic intends to complete the plan of arrangement and distribute the Zinccorp shares and Zinccorp warrants to its shareholders this June. Additional information on the plan of arrangement will be made available in a management information circular to be mailed to shareholders in advance of Strategic's annual and special general meeting which it intends to hold in May, at which shareholder approval will be sought by way of special resolution for the plan of arrangement, which will also be subject to regulatory acceptance.
About the Bar, Convert, Kit and Michelle claims
The properties are all owned 100 per cent by Strategic and they are all located in Yukon. The Kit property is marked by a three-kilometre-long, very strong soil geochemical anomaly in a geological setting that is favourable for stratiform lead-zinc-silver deposits. The nearby Michelle property has discordant, carbonate-replacement-style mineralization that could represent a feeder-to-Kit-type mineralization. The Kit and Michelle prospects have never been drilled. The Bar and Convert properties are both prospective for Kuroko-type, volcanogenic massive sulphide mineralization. Previous drilling has returned encouraging results, which combined with recent mapping and geophysical surveys, provide targeting vectors for proposed 2007 diamond drilling.
Completion of the plan of arrangement is subject to a number of conditions, including but not limited to, exchange acceptance and the approval of Strategic's shareholders by way of special resolution. This transaction cannot close until the required shareholder approval is obtained. There can be no assurance that the transaction will be completed as proposed or at all.
Investors are cautioned that, except as disclosed in Strategic's management information circular to be prepared in connection with this transaction, any information released or received with respect to this transaction may not be accurate or complete and should not be relied upon.
PAX News: More High-grade Zinc-Lead Mineralization Identified at Anniv Central
10:58 EST Friday, March 02, 2007
http://www.globeinvestor.com/servlet/WireFeedRedirect?cf=GlobeInvestor/config&vg=BigAdVariableGe...
FSC / Press Release
More High-grade Zinc-Lead Mineralization Identified at Anniv Central
Vancouver, British Columbia CANADA, March 02, 2007 /FSC/ - Pacifica Resources Ltd. (PAX - TSX Venture), is pleased to provide an update on drill hole results in the Anniv Central area. Drilling in 2006 has expanded the mineralized zone and intersected higher grade mineralization at depth.
The Selwyn Project hosts the world-class Howard's Pass SEDEX zinc-lead deposits. Location of the new zones and detailed drill plan maps are available at www.pacifica-resources.com.
Anniv Central -Deep Drill Holes
Higher grade mineralization at depth in the Anniv Central deposit was first described in the November 28, 2006 news release; which detailed drill holes ANC-153 and ANC-162; both of which intersected high grade, zinc-lead mineralization in the Active Member. A total of six drill holes have now tested the zone at depth in 2006 including ANC-143, ANC-172, ANC-177 and ANC-181 reported herein; all of which intersected narrow zones of higher grade zinc-lead mineralization. The deeper drilling continues to reveal that the Anniv Central deposit continues to depth with significant higher grade mineral potential below the range of the open-pit target. The higher-grade underground target has now been traced over a strike length of 850 metres and remains open to expansion in all directions.
Drill Hole From To Thickness Pb Zn Pb+Zn True Thickness
(m) (m) (m) (%) (%) (%) (m)
ANC-143 304.80 328.20 23.40 1.62 4.49 6.11 16.55
Including 304.80 307.80 3.00 1.71 9.24 10.94 2.05
Including 318.20 324.20 6.00 2.21 7.18 9.39 4.24
Including 326.20 328.20 2.00 4.66 6.45 11.11 1.41
ANC-172 296.10 304.95 8.85 1.35 4.95 6.29 4.95
Including 299.70 302.85 3.15 2.17 8.15 10.32 1.76
ANC-177 610.85 616.43 5.58 1.31 7.48 8.78 2.36
Including 610.85 612.65 1.80 1.87 11.55 13.43 0.76
ANC-181 313.40 333.60 20.20 1.05 4.38 5.43 12.98
Including 313.40 315.20 1.80 1.47 8.48 9.95 1.16
Including 320.00 329.50 9.50 1.37 5.33 6.70 6.11
Including 323.70 326.70 3.00 2.28 10.09 12.36 1.93
Drill Hole From To Thickness Pb Zn Pb+Zn True Thickness
(m) (m) (m) (%) (%) (%) (m)
AN-112 89.20 115.20 26.00 1.86 4.66 6.51 23.56
Including 89.20 92.20 3.00 4.62 9.90 14.52 2.72
Including 95.20 100.20 5.00 1.66 4.92 6.58 4.53
Including 106.20 111.20 5.00 2.44 6.33 8.77 4.53
AN-115 194.00 198.70 4.70 0.57 3.28 3.86 4.64
Including 211.10 213.80 2.70 4.25 4.74 8.99 2.67
AN-119 234.20 253.20 19.00 1.49 4.45 5.94 14.55
Including 235.20 244.20 9.00 1.68 4.97 6.65 6.89
Including 247.20 249.20 2.00 2.68 9.14 11.82 1.53
AN-126 214.30 223.30 9.00 1.67 5.41 7.08 6.25
Including 214.30 216.00 1.70 3.80 13.07 16.87 1.18
ANC-135 15.20 16.20 1.00 <.02 1.87 2.00 1.00
ANC-151 69.20 87.60 18.40 1.18 4.45 5.63 15.07
Including 69.20 71.00 1.80 1.36 10.37 11.73 1.47
Including 78.90 82.60 3.70 2.28 8.54 10.81 3.03
Drill Hole From To Thickness Pb Zn Pb+Zn True Thickness
(m) (m) (m) (%) (%) (%) (m)
ANC-152 24.40 42.10 17.70 2.14 4.28 6.41 16.63
24.40 33.40 9.00 3.53 6.90 10.44 8.46
29.40 31.40 2.00 10.40 16.55 26.95 1.88
ANC-155 57.70 72.00 14.30 0.58 2.19 2.77 12.74
67.20 72.00 4.80 1.19 3.90 5.08 4.28
ANC-157 72.20 79.20 7.00 1.87 5.38 7.25 3.50
75.20 79.20 4.00 2.94 7.65 10.60 2.00
ANC-167 96.01 97.89 1.88 1.21 5.68 6.89 1.33
109.12 119.01 9.89 1.46 4.14 5.60 6.99
Including 363.72 367.51 3.79 0.72 4.80 5.53 1.48
Including 383.74 397.13 13.39 1.27 4.26 5.53 5.20
Redcorp Announces $10 Million Financing
09:00 EST Wednesday, February 28, 2007
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 28, 2007) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO US NEWSWIRE SERVICES.
http://www.globeinvestor.com/servlet/WireFeedRedirect?cf=GlobeInvestor/config&vg=BigAdVariableGe...
Redcorp Ventures Ltd. ("Redcorp" or the "Company") (TSX:RDV) announced today that the Company intends to raise up to $10 million in a brokered private placement of the Company (the "Offering"). Pursuant to the Offering, Redcorp will issue up to 18,181,800 units at an issue price of $0.55 per unit. Each unit will be comprised of one common share and one-half of one common share purchase warrant of the Company (each whole common share purchase warrant, a "Warrant"). Each Warrant will entitle the holder to purchase one common share of the Company at an exercise price of $0.70 for 12 months following the closing of the Offering.
A syndicate led by Paradigm Capital Inc. and including Dundee Securities Corporation and Octagon Capital Corp. (the "Agents") will act as agents in respect of the Offering. The net proceeds of the Offering will be dedicated to the development of the Tulsequah property in British Columbia, exploration on the Lagoa Salgada property in Portugal and for general corporate purposes. The Offering is expected to be completed on or before March 15, 2007.
Terry Chandler, President & CEO, stated, "This financing is a first step towards development financing of the Tulsequah Project. It will allow commencement of detailed engineering and procurement of key materials and contracts, as the full project financing and off-take agreements are being finalized."
The Offering is subject to regulatory approval, including approval of the Toronto Stock Exchange. All securities issued pursuant to the Offering will be subject to the applicable statutory, exchange and regulatory hold periods.
This press release is not an offer to sell or the solicitation of an offer to buy the securities, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to qualification or registration under the securities laws of such jurisdiction. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from U.S. registration requirements.
About Redcorp Ventures Ltd.
Redcorp Ventures Ltd. is a Vancouver based mineral exploration and development Company with active projects in British Columbia, Canada and Portugal. Further information on Redcorp and the Tulsequah Project can be obtained on the Company's website at www.redcorp-ventures.com and at Redfern's website at www.redfern.bc.ca or by calling toll-free to Troy Winsor, Manager of Investor Relations, at 1-888-225-9662.
ON BEHALF OF THE BOARD OF DIRECTORS OF REDCORP VENTURES LTD.
Terence Chandler, President and CEO
Certain of the statements made and information contained herein is "forward-looking information" within the meaning of the Securities Act (Ontario) and the Securities Act (Alberta). Forward-looking information includes disclosure regarding possible or anticipated events, conditions or results of operations that is based on assumptions about future economic conditions and courses of action and includes future oriented financial information with respect to prospective results of operations or financial position that is presented either as a forecast or a projection. Forward-looking information is often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect" and "intend"; statements that an event or result is "due" on or "may", "will", "should", "could", or might" occur or be achieved; and, other similar expressions.
More specifically, forward-looking information contained herein includes, without limitation, statements concerning the Company's plans at its Tulsequah Project (inclusive of the Big Bull Project), the net present value of the Tulsequah Project, the timing and amount of estimated future production and mine life, expected future prices of gold, silver, copper, lead and zinc, mineral reserve and mineral resource estimates, estimated capital and operating costs of the project, estimated capital pay back period, timing of development and permitting time lines; all of which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information.
Forward-looking information contained herein is based on material factors and assumptions and is subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from a conclusion, forecast or projection in the forward-looking information. These include, without limitation, material factors and assumptions relating to, and risks and uncertainties associated with, the availability of financing for activities when required and on acceptable terms, the accuracy of the interpretation of drill results and the estimation of mineral resources and reserves, the geology, grade and continuity of mineral deposits, the consistency of future exploration, development or mining results with the Company's expectations, metal price fluctuations, the achievement and maintenance of planned production rates, the accuracy of component costs of capital and operating cost estimates, current and future environmental and regulatory requirements, favourable governmental relations, the availability of permits and the timeliness of the permitting process, the availability of shipping services, the availability of specialized vehicles and similar equipment, costs of remediation and mitigation, maintenance of title to the Company's mineral properties, industrial accidents, equipment breakdowns, contractor's costs, remote site transportation costs, materials costs for remediation, labour disputes, the potential for delays in exploration or development activities, timely completion of future NP 43-101 compliant reports, timely completion of future feasibility studies, the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, continuing global demand for base metals, expectations and beliefs of management and other risks and uncertainties, including those described under Risk Factors Relating to the Company's Business in the Company's Annual Information Form, dated March 28, 2006, and in each subsequent Management's Discussion and Analysis. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from any conclusions, forecasts or projections described in the forward-looking information. Accordingly, readers are advised not to place undue reliance on forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information, whether as a result of new information, future events or otherwise.
News Release 07-07
FOR FURTHER INFORMATION PLEASE CONTACT:
Redcorp Ventures Ltd.
Troy Winsor
Manager of Investor Relations
(604) 669-4775 or Toll Free: 1-888-225-9662
(604) 669-5330 (FAX)
Website: www.redcorp-ventures.com
China's 2007 zinc demand to grow, set to resume exports: CHR
28 February 2007
Source: Platts
http://metalsplace.com/metalsnews/?a=10455
Chinese zinc demand in 2007 is set to rise by almost double-digit figures, similar to growth figures seen in 2006, analyst Claire Hassall, of CHR Metals, told Platts on Tuesday.
Speaking on the sidelines of the American Zinc Association annual conference in Palm Springs, the UK-based analyst also suggested that the China's ability to export zinc in the short term would also increase on the back of domestic stockpiles. "The [zinc demand] figures for 2006 are in the region of 9.2% growth, although it is very difficult to put an exact figure on it. For 2007, I would think we're looking at 9.5% growth," she said, adding: "I would expect the 2008 number to be around the same." She did suggest that going forward this growth would slow.
Looking at supply, Hassall noted that China's exports would grow in the short term and this has already begun. During her presentation, the UK-based analyst indicated that Chinese exports grew in the second half of 2006 to 61,000 mt of refined zinc. The first half of 2006 saw net imports of 54,000 mt of refined material.
"Zinc demand in 2006 rose by 9.5% to 3.15 million mt with refined output up 15% to 3.19 million mt," she said, adding: "Mine production rose by 12.5% to 2.87 million mt." Concentrate imports to China also rose in 2006, by a staggering 47% the analyst said, to 400,000 mt contained in zinc. Imports of ore in concentrate in the first half amounted to 284,000 mt, while in the second half, imports rose to 554,000 mt. "We are also forecasting a large increase in 2007," she said.
However, Hassall did not qualify this number, but noted that China would be in a position to become a net exporter of zinc again. "I expect China to increase its refined zinc output. Outside China, the zinc smelting capacity is not sufficient to treat all the new concentrate coming onto the market," she said, adding: "China is likely to increase imports of concentrate, perhaps dramatically. This means that it will be able to export zinc, in fact it is happening already."
The UK-based analyst also noted that between June 2005 and by the end of 2008 some 880,000 mt of new smelter capacity will be available to the market.
Hassall also concluded that despite forecasting 2007 headline industrial production growth at 13% and across all industry at 10% – lower figures than those seen in 2006 – "Chinese zinc demand is set to grow but in the longer term will probably slow as infrastructural projects are completed."
Regarding the price differential between China's domestic and the London Metal Exchange price levels, Hassall indicated that "there is no guarantee that the introduction of a zinc futures contract on the Shanghai Futures Exchange will speed up the alignment of the LME and the domestic price." She also noted that this differential "is the main reason that will determine exports or imports. If the LME offers a better price then zinc will be exported, and if the domestic price is better then the opposite will apply."
The analyst also noted that a current feature of the Chinese zinc industry was the growing emergence of economies of scale. "We are starting to see economies of scale with larger mines and mills meaning better quality concentrate, an important factor but one difficult to quantify," she said, adding: "We are also seeing vertical integration taking place with mines investing in smelters and vise versa."
Acadian Gold Gets Nova Scotia Approval for Zinc Production
By The Canadian Press and Resource Investor
27 Feb 2007 at 12:34 PM GMT-05:00
http://www.resourceinvestor.com/pebble.asp?relid=29372
HALIFAX (CP) -- The way has been cleared for zinc production and the possible return of big-time gold mining in Nova Scotia. Acadian Gold Corp. [TSXv:ADA] of Halifax received provincial approvals Monday to start up its Scotia mine in Gays River, near Stewiacke.
''Obviously, it's an important milestone on getting the mine up and running,'' said Terry Coughlan, Acadian Gold vice-president.
There are already 49 people working on the mine site and an additional 50 people will be hired by the end of March, Coughlan said.
Before going into production, probably by mid-March, the junior mining and exploration company must raise C$15 million in debt financing. The company is in the final stages with project financing and should be finished shortly.
The company has completed a positive feasibility study and hopes to make the transition from a development company to a producer in 2007.
Commissioning of the plant and pre-production stripping and stockpiling of ore will commence upon receipt of project funding, expected in mid-March, he said.
Acadian Gold acquired the zinc-lead deposits and a modern mill facility and located at Gay’s River, Nova Scotia, Canada on 6 July 2006 with purchases of 100% of the outstanding shares of ScoZinc Limited from HudBay Minerals [TSX:HBM] for C$7.5 million.
The Scotia Zinc Project contains Proven and Probable Reserves of 4.6 million tonnes at 3.6% zinc and 1.7% lead. Measured and Indicated Resources are estimated to be 5.2 million tonnes at 4.1% zinc and 1.7% lead, while Inferred Resources come to 1.8 million tonnes at 3.1% zinc and 1.1% lead.
Pushing the company to begin zinc mining is the soaring price being paid for high-quality zinc, which is used in everything from making cars to building nuclear power plants all around the world and especially in China, where the economy is booming.
The price of zinc has increased from 35 cents a pound four years ago to C$1.60 a pound, with some analysts predicting the price could go as high as C$2 over the next two years.
''All kinds of people want this high-grade quality of zinc concentrate,'' said Coughlan.
Acadian Gold president Will Felderhof is in Palm Springs attending a zinc conference and actively marketing the Nova Scotia zinc to potential buyers, said Coughlan.
Acadian Gold, which went public almost four years ago, hopes the cash flow from the zinc mine will allow the company to start production at its gold projects.
''We initially bought the mine for its gold reserves but the rising price of zinc has made it more attractive,'' said Coughlan.
Acadian, which controls 80,000 hectares of land in Nova Scotia, is developing four gold projects on the eastern shore, at Beaver Dam, Tangier, Forest Hill and Goldenville. (Halifax Chronicle Herald)
ADA is currently down 6 cents at C$1.23 today on the Toronto Stock Exchange Venture. With Resource Investor.
© The Canadian Press 2007
Zincore Continues to Intersect High-Grade Zinc at Accha Including 39% Zinc Over 11 Meters
Wednesday February 28, 8:00 am ET
http://biz.yahoo.com/iw/070228/0221026.html
VANCOUVER, BRITISH COLUMBIA--(MARKET WIRE)--Feb 28, 2007 -- Zincore Metals Inc. (Toronto:ZNC.TO - News) ("Zincore" or "The Company") announces further high-grade oxide zinc intersections from its continuing 20,000 metre drill program on the Accha deposit at its 100% owned Accha-Yanque Project in southern Peru. Results from these ten holes continue to demonstrate extensive zones of near surface mineralization at Accha.
Highlights of this drilling include:
- 11 metres at 39% zinc from 113.20 metres
- 33 metres at 12.54% zinc from 209.25 metres and
- 34 metres at 9.42% zinc from 86.70 metres.
The drilling has focused on resource definition, with all of the ten holes drilled within or peripheral to the historical resource areas. Nine holes intersected open-pit grade zinc mineralization with four holes intersecting wide zones of mineralization grading greater than 9% zinc. Three rigs are now on site and have commenced step-out drilling to test expansion potential to the west, to the south, as well as to the east.
----------------------------------------------------------
Intersection
----------------- Core(i)
Hole From To Interval Zinc Lead
No. (metres) (metres) (metres) (%) (%)
----------------------------------------------------------
----------------------------------------------------------
DDH-AC-05 153.80 160.50 6.70 2.62 0.34
----------------------------------------------------------
----------------------------------------------------------
DDH-AC-06 86.70 121.05 34.35 9.42 0.72
----------------------------------------------------------
including 86.70 105.55 18.85 13.46 1.33
----------------------------------------------------------
----------------------------------------------------------
DDH-AC-07 No significant intersections
----------------------------------------------------------
----------------------------------------------------------
DDH-AC-08 57.30 73.60 16.30 10.04 1.39
----------------------------------------------------------
including 58.30 65.30 7.00 16.40 2.33
----------------------------------------------------------
----------------------------------------------------------
86.10 90.10 4.00 6.47 0.38
----------------------------------------------------------
----------------------------------------------------------
End of
96.10 Hole 23.90 2.79 0.14
----------------------------------------------------------
----------------------------------------------------------
DDH-AC-09 127.40 132.90 5.50 3.57 4.42
----------------------------------------------------------
DDH-AC-10 209.25 242.25 33.00 12.54 0.39
----------------------------------------------------------
including 216.25 237.25 21.00 16.84 0.80
----------------------------------------------------------
----------------------------------------------------------
DDH-AC-11 34.80 39.80 5.00 3.81 2.07
----------------------------------------------------------
----------------------------------------------------------
45.80 57.80 12.00 3.01 0.07
----------------------------------------------------------
----------------------------------------------------------
DDH-AC-12 2.00 12.00 10.00 5.80 0.69
----------------------------------------------------------
including 3.00 7.00 4.00 10.78 0.68
----------------------------------------------------------
----------------------------------------------------------
DDH-AC-13 96.80 106.80 10.00 6.42 0.20
----------------------------------------------------------
----------------------------------------------------------
113.20 128.20 15.00 29.80 0.10
----------------------------------------------------------
including 113.20 124.20 11.00 39.08 0.13
----------------------------------------------------------
----------------------------------------------------------
135.70 139.90 4.20 3.21 0.10
----------------------------------------------------------
----------------------------------------------------------
151.00 161.60 10.60 4.63 0.26
----------------------------------------------------------
----------------------------------------------------------
DDH-AC-14 130.20 135.20 5.00 4.06 0.37
----------------------------------------------------------
(i)True Widths are not known at this time.
Breakwater Reports Mineral Reserve And Mineral Resource Estimates
10:56 EST Monday, February 26, 2007
http://www.globeinvestor.com/servlet/WireFeedRedirect?cf=GlobeInvestor/config&vg=BigAdVariableGe...
TORONTO, Feb. 22 /CNW/ - Breakwater Resources Ltd. (TSX - BWR) (the "Company") today announced its December 31, 2006 mineral reserves and mineral resources estimate, prepared in accordance with National Instrument 43-101 ("NI 43-101").
As shown in the tables below, mineral reserves at the end of 2006 were estimated to total 15.6 million tonnes grading 7.3% zinc resulting in the replacement of the material mined in 2006 plus a slight (3%) increase year-over-year. Specifically, mineral reserves at Langlois increased by 10%. Measured and indicated resource estimates declined slightly over 2005, primarily due to a reclassification of indicated resources at the Marshall and Marshall Extension zones atMyra Falls to inferred. Inferred mineral resources have been estimated to total 13.3 million tonnes, representing a 59% increase year-over-year. In particular, drilling on the Porvenir deposit at El Toqui in 2006 has outlined a new inferred mineral resource of 1.6 million tonnes grading 9.6% zinc and 0.34 g/t gold.
For 2007, the Company plans to spend roughly $27 million on exploration of the Company's assets with the main goals of substantially increasing the mineral reserves at Langlois and El Toqui and the mineral resources (both measured and indicated, and inferred) at El Mochito andMyra Falls as well as advancing a number of greenfield and brownfields exploration targets. This expenditure represents a substantial increase from past years and reflects both recent successes in target identification and a strategic effort to address past underinvestment in exploration of the Company's assets.
<<
Proven and Probable Reserves
December 31, 2006
Tonnes Zn Pb Cu Ag Au
(000's) (%) (%) (%) (g/t) (g/t)
-------------------------------------------------------------------------
Myra Falls 6,134 5.7 0.5 1.0 41 1.2
El Mochito 2,899 6.1 2.7 - 89 -
El Toqui 2,869 8.2 - - - 1.3
Langlois 3,658 10.1 - 0.8 49 0.1
-------------------------------------------------------------------------
Total 15,560 7.3 - - - -
-------------------------------------------------------------------------
December 31, 2005
Tonnes Zn Pb Cu Ag Au
(000's) (%) (%) (%) (g/t) (g/t)
-------------------------------------------------------------------------
Myra Falls 6,000 6.4 0.5 1.1 46 1.3
El Mochito 2,413 6.6 2.2 - 87 -
El Toqui 2,591 7.8 - - - 2.1
Langlois 3,323 10.8 - 0.8 52 0.1
-------------------------------------------------------------------------
Total 14,327 7.7 - - - -
-------------------------------------------------------------------------
Measured and Indicated Resources*
December 31, 2006
Tonnes Zn Pb Cu Ag Au
(000's) (%) (%) (%) (g/t) (g/t)
-------------------------------------------------------------------------
Myra Falls 7,224 7.2 0.6 1.2 55 1.7
El Mochito 3,199 6.7 2.8 - 97 -
El Toqui 3,597 8.9 - - - 1.3
Langlois 5,699 10.7 - 0.8 51 0.1
-------------------------------------------------------------------------
Total 19,719 8.4 - - - -
-------------------------------------------------------------------------
December 31, 2005
Tonnes Zn Pb Cu Ag Au
(000's) (%) (%) (%) (g/t) (g/t)
-------------------------------------------------------------------------
Myra Falls 8,647 7.8 0.7 1.4 64 1.8
El Mochito 3,195 8.2 2.8 - 111 -
El Toqui 3,420 8.4 - - - 1.9
Langlois 4,981 11.1 - 0.8 54 0.1
-------------------------------------------------------------------------
Total 20,243 8.8 - - - -
-------------------------------------------------------------------------
* Includes proven and probable reserves but excludes inferred resources
Inferred Resources
December 31, 2006
Tonnes Zn Pb Cu Ag Au
(000's) (%) (%) (%) (g/t) (g/t)
-------------------------------------------------------------------------
Myra Falls 4,431 6.9 0.8 1.0 81 2.0
El Mochito 2,480 5.7 2.3 - 75 -
El Toqui 4,626 8.5 - - - 0.5
Langlois 1,808 8.8 - 0.5 39 0.1
-------------------------------------------------------------------------
Total 13,345 7.5 - - - -
-------------------------------------------------------------------------
December 31, 2005
Tonnes Zn Pb Cu Ag Au
(000's) (%) (%) (%) (g/t) (g/t)
-------------------------------------------------------------------------
Myra Falls 2,419 4.8 0.6 0.9 45 1.4
El Mochito 2,174 7.2 4.3 - 131 -
El Toqui 3,012 7.9 - - - 0.5
Langlois 1,255 9.7 - 0.5 40 0.1
-------------------------------------------------------------------------
Total 8,860 7.1 - - - -
-------------------------------------------------------------------------
>>
Acadian Gold Corp (C-ADA) - News Release
Acadian Gold gets industrial approval for Scotia mine
2007-02-26 10:59 ET - News Release
Shares issued 106,517,990
ADA Close 2007-02-23 C$ 1.19
Mr. G. William Felderhof reports
ACADIAN GOLD OBTAINS INDUSTRIAL APPROVAL FOR START-UP OF SCOTIA (ZINC-LEAD) MINE
Acadian Gold Corp. subsidiary ScoZinc Ltd. has received its industrial approval from the Nova Scotia Department of Environment and Labour for the start-up of the Scotia mine in Gays River, N.S. This is the final governmental approval required for commencement of zinc-lead surface mining operations at the Scotia mine. The industrial approval requires ScoZinc to increase the reclamation bond lodged with the Nova Scotia Department of Natural Resources and a domestic well-water bond with the Nova Scotia Department of Environment and Labour within the next 45 business days.
The receipt of the industrial approval permit leaves project financing and plant refurbishment as the final steps to proceed with the start-up of the Scotia mine. Negotiations with respect to project financing are in the final stages and are expected to be concluded shortly. Plant refurbishment is scheduled be completed during the first week of March, 2007. Commissioning of the plant, preproduction stripping and stockpiling of ore will commence upon receipt of project financing, which is expected to be in mid-March, 2007.
Peter Webster, PGeo, is responsible for the management and supervision of the company's exploration program. He is responsible for the preparation of the technical information reported in this news release. Mr. Webster is an independent third party geologist, president of Mercator Geological Services Ltd. and a qualified person as defined by National Instrument 43-101.
We seek Safe Harbor.
>>>ADA halted this a.m.
I hope the start-up is going smoothly.<<<
Hi John,
'Something' tells me the news will be of a positive nature. <vbg>
ADA halted this a.m.
I hope the start-up is going smoothly.
The refurbishment of the mill is well advanced and is on schedule for the planned start-up in late February or early March of 2007.
Bass Metals launches Hellyer Project initiative in Tasmania
Source: MineBox
http://metalsplace.com/metalsnews/?a=10411
Bass Metals Ltd has announced a major new exploration initiative targeting newly identified high-grade copper and zinc targets surrounding the world-class Hellyer Mine in north-west Tasmania designed to rapidly build its resource inventory following the recent commencement of trial mining at its 100%-owned Que River Project.
The program – to be called the Hellyer Mine Project (HMP) initiative – will see Bass Metals allocate significant resources to follow up on a number of exciting targets remaining from the former Hellyer mining operation (Western Metals/Aberfoyle). Hellyer is a world-class scale deposit with a published pre-mining Mineral Resource of 16.9 million tonnes grading 13.8% zinc, 7.2% lead, 0.4% copper, 167g/t silver and
2.5g/t gold.
It was mined between 1986 and 2000 as a major underground mine. Bass Metals' Managing Director, Mike Rosenstreich, said the HMP initiative represented a strategic exploration commitment designed to achieve a rapid build-up in the company's broader inventory of base metal and copper-gold resources in light of its forthcoming move into production at the nearby Que River Project.
The company previously announced that, in association with its mining alliance partner, Mancala Mining Pty Ltd, it had commenced trial mining at Que River, another former high-grade base metals operation in the region.
The alliance will initially excavate, crush and haul a bulk sample of approximately 2,500 tonnes grading 16.5% zinc, 7% lead and 2oz/tonne of silver 4km to the Hellyer Mill for a test processing trial.
Bass Metals has signed an Ore Sales Letter of Intent with the joint venture operating the Hellyer Mill; Intec Ltd (the Company's major shareholder) and Polymetals Group. Full-scale open pit mining at Que River is scheduled to commence as soon as possible subject to successful completion of the trial mining program and receipt of Tasmanian Government approvals expected in late February.
Mr Rosenstreich said the forthcoming establishment of a mining and production operation at Que River and the commencement of early cash flow would enable the company to significantly step up its near-mine exploration efforts in the region.
"The HMP represents a substantial undertaking in terms of people and funding, which we have, to date, largely deferred in favour of the higher priority development of the more accessible Que River mining operation," Mr Rosenstreich commented. "We have already identified several exciting new targets and potential resources within the HMP which could significantly boost the company's base metal resource inventory and ultimately its production profile."
Ambitious Australian zinc miner ready to go
http://metalsplace.com/metalsnews/?a=10409
An Australian zinc miner with "world class" ambitions is gearing up for production by floating on Aim next month.
Zeehan Zinc, which has interests in western Tasmania, owns exploration licences and mining leases in areas next to regions proven to be rich in natural resources.
It bought the licences when commodity prices were cheap in the late 1990s and early 2000s.
Zeehan, advised by Libertas, is looking to raise GBP9.5million from the March 6 listing.
Investors include specialist investment group RAB Capital which is not selling in the float.
Chief executive John Pollard says one mine, Comstock, is to come into production within eight weeks of listing.
Starting with 200,000 tons annually, moving up to 800,000 in each of the next two years, it will have a mine life of more than five years with reserves of 4.7million tons.
It will cost $0.61 to mine each pound of zinc.
Pollard is confident of finding more metals in the ground. The group also has two exploration projects being developed.
"We could be a worldclass mining group, " he predicted.
There is mining and processing equipment on-site and the state government of Tasmania has already built a road.
Pollard added: "We are confident of increasing our resource base through further exploration activity, which will provide investors with potentially very attractive upside in the future."
Cornerstone Signs Mountain Lake to Joint Venture on Bobby's Pond VMS Project
Monday February 26, 8:00 am ET
MOUNT PEARL, NEWFOUNDLAND--(CCNMatthews - Feb. 26, 2007) - Cornerstone Capital Resources Inc. (TSX VENTURE:CGP - News; FRANKFURT:GWN - News; BERLIN:GWN - News; PINK SHEETS:CTNXF - News) today announced that a Letter Agreement has been signed with Mountain Lake Resources Inc. ("Mountain Lake") to conclude a joint venture agreement for exploration of Cornerstone's 100% owned Bobby's Pond property in Central Newfoundland. The property partially surrounds Mountain Lake's 2.4 sq km Bobby's Pond Mining Lease where ongoing drilling is defining a significant polymetallic massive sulphide deposit.
Mountain Lake recently reported (www.mountain-lake.com) the results of a January 2007 resource estimate update that increased NI43-101 compliant resources in the Bobby's Pond deposit to an Indicated resource of 860,000 tonnes grading 0.93% Cu, 6.30% Zn, 0.53% Pb, 20.0 g/t Ag, and 0.24 g/t Au, and an Inferred resource of 480,000 tonnes grading 1.07% Cu, 6.36% Zn, 0.38% Pb, 15.0 g/t Ag, and 0.18 g/t Au. Mountain Lake also recently reported intersecting significant new mineralization up to 65 m vertically below known mineralization, demonstrating that the deposit remains open for extension.
Cornerstone's Bobby's Pond property comprises 62 claims (15.5 sq km) and hosts VMS-style alteration, disseminated and stringer base metal sulphide mineral occurrences, and airborne electromagnetic anomalies along the interpreted extension of the mineralized horizon which hosts the Bobby's Pond deposit, approximately 4 km and 2 km to the northeast and southwest respectively of the deposit. A map of the property is available at www.cornerstoneresources.com.
The joint venture agreement will grant Mountain Lake the right to earn a 51% interest in the property by spending $2.75 million on exploration over five years. The first year's $150,000 expenditure is a firm commitment and includes completion of a diamond drilling program. The agreement also calls for Mountain Lake to issue 200,000 common shares to Cornerstone over five years, including 25,000 to be issued on signing of the Letter agreement. With an active exploration program already underway on its Bobby's Pond Mining Lease, Mountain Lake will be operator of the joint venture during the earn-in period.
On Mountain Lake earning a 51% interest, a Joint Venture will be formed whereby both parties will have the right to maintain their respective interests by funding their respective share of exploration costs. Under certain conditions Mountain Lake may increase its interest by up to 75%. Either party may dilute its interest, based on exploration expenditures. If either party's interest falls to 10% or less, its interest will convert to a 2% NSR.
Bobby's Pond is one of a number of active projects in the Buchans area of Central Newfoundland known for its base and precious metal-rich VMS deposits, most notably the renowned and historic Buchans deposits themselves. The Bobby's Pond project is 25 km to the west of Aur Resources' Duck Pond deposit, which is commencing commercial production, and 50 km northeast of Messina Minerals' Tulks South property, the site of their 2004 Boomerang and subsequent discoveries.
Cornerstone's business model is based on maximizing the potential for exploration success with multiple high quality exploration projects that are financed primarily through joint venture partnerships and that have the potential to yield outstanding returns to the company and its shareholders. Current joint venture projects target nickel, gold, silver, uranium and VMS base-metal deposits with partners Cash Minerals, Phelps Dodge, Coastport, Cogitore, Kermode, Celtic, and Agnico Eagle.
This press release was prepared by Bruce Mitton, PGeo, Exploration Manager Canada for Cornerstone and a Qualified Person as per National Instrument 43-101.
On Behalf of the Board,
Glen H. McKay, President & CEO
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Teck Cominco sees demand rising for zinc
TheStar.com
February 23, 2007
Teck Cominco Ltd., the world's second-largest zinc producer, said a global zinc deficit may widen next year as supplies lag behind demand.
Zinc demand exceeded output by 315,000 tonnes in 2006, the International Lead and Zinc Study Group said in a report. The shortfall will narrow to 89,000 tonnes this year and widen in 2008 on supply limits, Teck Cominco officials said.
Zinc prices on the London Metal Exchange more than doubled in 2006, extending a rally to four years. Demand for the metal, used to rust-proof steel, surged, especially in China, the world's fastest-growing major economy.
http://www.thestar.com/Business/article/184900
Yeah me too. I think a buy-out is also more probable:
Scenario A: Without mentioning names, we understand there is a high level of interest from certain majors, the fact is there is a need for supply of significance to sustain the growth profiles of exiting producers in the area and ABI now possesses the paperwork expected of by business professionals to facilitate such a deal.
I know it's a stretch but check out the 2007 outlook from the recent BWR NR:
In 2007, the company plans to:
-invest in capital projects to increase the productivity, efficiency and effectiveness of the company's operations;
-substantially increase the investment in overall exploration;
-advance mine exploration and development to significantly increase reserves and resources, both quantitatively and qualitatively, specifically at Langlois and El Toqui;
-commence commercial production at the Langlois mine and Concordia deposit; and
-acquire value-added projects or assets.
Full BWR NR:
http://www.cnw.ca/fr/releases/archive/February2007/22/c2923.htmlmessage_id=17350765
oas
I'd settle for Scenario A:
The per share value cash-out on this deposit alone should immediately at least double the value of exiting shareholders and by all metrics the inherit value of the in-ground resources justifies it now - just do the math.
Scenario B is going to take too long for me, I don't have the feel that present management has got the wherewithal to do it either-jmo
The initial number that the report presented to bring the mine into operation entails the construction of a mill and related infrastructure from scratch ($68M) and costs to operationally maintain and upgrade such facility during the life of the operation ($24M).
To raise $68M at todays price is another 100M shares-2.5 times the current float.
ABI looses much of its charm for me at that stage.
A simplistic approach I know but it is all I have to operate with.
JW
Breakwater earns $156.5-million in year-end 2006
2007-02-22 18:55 ET - News Release
Mr. Dave Langille reports
BREAKWATER RESOURCES LTD.'S YEAR-END AND FOURTH QUARTER FINANCIAL AND OPERATING RESULTS
Breakwater Resources Ltd. is releasing its financial and operating results for the fourth quarter and year ended Dec. 31, 2006.
Highlights
-The company realized net earnings of $156.5-million, or 41 cents per share, in 2006 compared with $14.0-million, or four cents per share, in 2005, representing a $142.5-million increase.
-The contribution from mining activities was $168.5-million in 2006 compared with $29.6-million in 2005.
-Net cash provided by operating activities increased by $139.8-million to $158.5-million in 2006 and was primarily used for $75.7-million of capital expenditures and $16.6-million of debt repayment.
-At Dec. 31, 2006, cash and cash equivalents were $81.4-million and total debt was $2.7-million.
-Gross sales revenue increased by 44.5 per cent to $452.2-million in 2006 from $313.0-million in 2005.
-Development of the Langlois mine is on track to commence commercial production by mid-2007.
-Mineral reserves at Langlois increased by 10 per cent and mineral resources increased by 14 per cent through the addition of the Grevet B deposit.
-Exploration success at Langlois prompted the company to stake an additional 4,000 hectares surrounding the company's land package.
-Development of El Toqui's Concordia deposit is on track and production is anticipated by mid-2007.
-On the Coulon joint venture with Virginia Mines Inc., exploration carried out during 2006 led to the discovery of two new significant polymetallic lenses, bringing the total known lenses to five, and confirmed the vertical continuity of lens 9-25 to a depth of 365 metres.
Outlook
In 2007, the company plans to:
-invest in capital projects to increase the productivity, efficiency and effectiveness of the company's operations;
-substantially increase the investment in overall exploration;
-advance mine exploration and development to significantly increase reserves and resources, both quantitatively and qualitatively, specifically at Langlois and El Toqui;
-commence commercial production at the Langlois mine and Concordia deposit; and
-acquire value-added projects or assets.
Full Release:
http://www.cnw.ca/fr/releases/archive/February2007/22/c2923.html
Mining MarketWatch ABI Update:
Mining MarketWatch Journal: Synopsis of Abcourts Feasibility Report Annual Production of 35,765,000 lbs Zinc, 864,000 oz Silver, and 2,500 oz Gold Makes for Strong Target
2/23/2007
Feb 23, 2007 (M2 PRESSWIRE via COMTEX News Network) --
Mining MarketWatch Journal has published a review of the opportunities presented Abcourt Mines Inc. (TSX-V: ABI) as a result of the recent Feasibility Report on their Abcourt-Barvue Zinc-Silver mine. A copy of the informative piece may be viewed free of charge at http://www.miningmarketwatch.net/abi.htm ; located as a companion document to the main article and found in the Editors Notes section.
Excerpts from the review: "Abcourt Mines Inc.'s feasibility report on their Abcourt-Barvue silver-zinc mine confirms what their main principles already knew about the silver-zinc mine; it is sizeable and economically mineable. The report makes it now possible for management to (A) shop the deposit to the highest bidder or (B) improve on the costs to implement operations and mine it alone
The full Abcourt story and review can be seen at http://www.MiningMarketWatch.net/ABI.htm .
Scenario (A): Shop the deposit - It is a well understood fact that existing area miners require product. Without mentioning names, we understand there is a high level of interest from certain majors, the fact is there is a need for supply of significance to sustain the growth profiles of exiting producers in the area and ABI now possesses the paperwork expected of by business professionals to facilitate such a deal. The per share value cash-out on this deposit alone should immediately at least double the value of exiting shareholders and by all metrics the inherit value of the in-ground resources justifies it now - just do the math.
Scenario (B): Improve on costs and implement strategy to extract and process ore alone - The report outlines a detailed blue print as to what is required to proceed from scratch. The report is written by professional engineers (Genivar Limited Partnership of Quebec City and Bumigeme Inc of Montreal) that must take highly conservative estimates and assumptions, they must as it is their professional necks on the lines when they put their names to print. We need to look at what will realistically come to fruition as management would be expected to use common sense market realities and implement reasonable capital expenditure alternatives; The initial number that the report presented to bring the mine into operation entails the construction of a mill and related infrastructure from scratch ($68M) and costs to operationally maintain and upgrade such facility during the life of the operation ($24M). Although mentioned in the report, that Abcourt could reduce capital expenses by acquiring used equipment, the savings were not detailed as used equipment is never really quantified until the deal is made. Naturally exceptional cost savings would be realized by purchasing used equipment for the project. Extending that thought one step further, purchasing of a local mill is also a consideration for time and cost savings.
Once operational, the reports proposed 1,800 tonne per day mill would allow Abcourt to realize 35,765,000 pounds of zinc, 864,000 ounces of silver and 2,500 ounces of gold annually. At current/recent market rates of US$1.53/lb for zinc, US$13.95/oz for silver, and US$663/oz for gold, the annual gross revenue from the mine would be US$68.4M or CDN$79.6M = CDN$122.42 per tonne of ore.
Considering operational costs of CDN$31.16 per tonne (for mining, milling, and administration) plus transportation of concentrate and smelting charges estimated at CDN$30.65 per tonne, this would result in a net revenue of CDN$60.61 per tonne. With an annual production rate of 650,000 tonnes the operation would produce cash flow of $39.2M per annum. Now remember, Abcourt is the beneficiary of exploration tax credits and concessions; having taken advantage of exploration incentives and been allowed a tax-loss carry-forward (from when they mothballed operations in 1990 until present) that may be credited towards profits when they reopen - several millions will be added to the bottom line in Abcourt's case. Couple the retroactive savings and new capital cost depreciation and amortization, little if any taxes would be payable on the first couple years revenue. The theoretical pay-back period to repay debt incurred on financing such a mill would be under 2 years, and much less if used equipment deals are implemented.
As with any mining endeavour, the project's viability is leveraged to the price of the end product (mainly zinc in this case). The report offers a wide range of assumptions going forward on market prices for zinc, silver, and gold and a conservative figure of US$560/oz for gold, US$9.54/oz for silver, and US$1.15/lb for zinc was used as the base for analysis going forward. It is fair to say that the market price of commodities we're experiencing now (much higher than used in report) are a reflection of current and future demand, thus going forward, the Abcourt-Barvue deposit is a prized asset; a very profitable and quantified open-pit deposit with good grades and acceptable strip ratios.
Add in the Elder Gold Mine (157K oz of gold and open for expansion) and ABI possesses inherit in-ground value per share over 30 times in excess of the current trading price, even if they go it alone (finance and mine the Abcourt-Barvue deposit themselves by employing a mixed debt & equity financing plan); the diluted value per share considering the discounted future value of production as seen by the numbers above may likely afford investors involved now, in ABI's undervalued state, a handsome ROI."
This release may contain forward-looking statements regarding future events that involve risk and uncertainties. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual events or results. Articles, excerpts, commentary and reviews herein are for information purposes and are not solicitations to buy or sell and of the securities mentioned. Readers are referred to the terms of use, disclaimer and disclosure section at the bottom of the following URL http://www.miningmarketwatch.net/abi.htm
CONTACT: Marcus Konstantin, Editor, Mining MarketWatch Journal Tel: +1 866 620 9945 e-mail: editor@miningmarketwatch.net
M2 Communications Ltd disclaims all liability for information provided within M2 PressWIRE. Data supplied by named party/parties. Further information on M2 PressWIRE can be obtained at http://www.presswire.net on the world wide web. Inquiries to info@m2.com.
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© 2007 Stockgroup Media Inc. | Disclaimer
Online source:
http://www.miningmarketwatch.net/mmwABIupdate.pdf
Breakwater Resources sees production constraints at Myra Falls, BC
Source: Hoovers
http://metalsplace.com/metalsnews/?a=10373
Canada's Breakwater Resources (BWR.T) will face production constraints at its Myra Falls zinc mine in 2007 due to a lack of working areas underground and other logistics issues, the company said in a statement released late Thursday.
Production was hindered at the British Columbia mine last year due to a shortage of underground working areas, delays in improving infrastructure and problems with equipment availability.
Additionally, ventilation requirements in the western extensions of the mine slowed production improvements, Breakwater said.
"While the issue of ventilation has largely been addressed, production will be constrained by the number of available working faces and the haulage distances underground," the company noted.
Myra Falls produced 33,708 metric tons of zinc metal in concentrates last year, down from 48,084 in 2005.
The mine also produces copper and precious metals concentrates.
Lundin Mining Sees Itself as “Partner of Choice” for Juniors
By Craig Wong
22 Feb 2007 at 02:00 PM GMT-05:00
http://www.resourceinvestor.com/pebble.asp?relid=29254
VANCOUVER (CP) -- Lundin Mining Corp. [TSX:LUN; AMEX:LMC] is continuing to look for acquisitions after taking over EuroZinc Mining last year as it seeks to add reserves, CEO Colin Benner said Thursday.
''The merger has brought together the financial prowess of four profitable mines and more importantly the great value in combining the management teams of both companies,'' Benner told a conference call with analysts.
Benner said Lundin wants to make itself the ''partner of choice'' for junior resource companies looking to make the next step.
Lundin, which keeps its books in U.S. dollars, reported a profit of $63.6 million or 27 cents per share for the three months ended Dec. 31. That compared with $14.2 million or 12 cents per share a year earlier.
Sales climbed to $236.1 million from $63.8 million due to the merger with EuroZinc Mining, completed Oct. 31, and surging prices for zinc, the company's main commodity, along with major increases in the price of lead and copper.
The merger with EuroZinc created a company with four producing mines in Portugal, Sweden and Ireland and a fifth scheduled to come into production this year. Lundin also has a development-stage project in Russia and investments in Iran and Eritrea.
Lundin's search for acquisitions follows as a rash of consolidation last year, headlined by the takeover of Falconbridge Ltd. by Swiss miner Xstrata PLC [LSE:XTA] and Inco by Brazilian company CVRD [NYSE:RIO; TSX:N].
Analysts have suggested Inmet Mining Corp. [TSX:IMN], HudBay Minerals Inc. [TSX:HBM] or Aur Resources [TSX:AUR] might attract Lundin. However the recent deals by the company have all been much smaller.
For the full year, Lundin earned $152.9 million or $1.01 on revenue $539.7 million. That compared with $30 million or 26 cents on revenue of $192.1 million in 2005.
Lundin also disclosed that a worker died last Sunday after suffering head injuries in a fall from a platform at the company's Galmoy zinc-lead mine in Ireland.
Effective March 31, Benner will step aside as CEO while remaining as vice-chairman, with Karl-Axel Waplan, currently president and chief operating officer, assuming the CEO title.
Lundin shares closed up 1 cent at C$12.60 today on the Toronto Stock Exchange.
Lundin Mining Q4 profit higher on acquisitions, but misses expectations
Source: AFX
http://metalsplace.com/metalsnews/?a=10351
Lundin Mining Corporation said its fourth-quarter profit rose to 84 mln usd from 14 mln usd, boosted by the consolidation of the Eurozinc acquisition on Nov 1 last year, and gains on derivative contracts.
But market expectations were for a pretax profit of 117 mln usd, according to SME Direkt.
Gains on derivative contracts were 15 mln usd in the fourth quarter, compared with a loss of 6 mln in the same period a year earlier.
Sales rose to 236 mln usd from 63 mln, boosted by the Eurozinc purchase and 'significantly' higher metal prices, and were above market expectations of 215 mln usd.
A total of 545,535 tonnes of ore were milled in the fourth quarter of 2006, up 7 pct from the comparable period in 2005. Ore hoisted increased by 13 pct compared with the fourth quarter of 2005.
'The increased output was directly attributable to improved performance in mine development and production preparation work, and to the addition of zinc ore production in 2006,' the company said.
Lundin Mining said the outlook for metal prices for 2007 is mixed. It said the low LME inventory for zinc and lead and the growth in demand for these metals, particularly from Asia, is expected to continue, and it anticipates zinc and lead prices will remain high during 2007.
'The demand for copper has slowed and the LME inventory has increased. We expect that the fundamentals for copper will not be as strong as the fundamentals for zinc going forward in 2007. Nonetheless, we expect the price of copper to stay at historically high levels throughout the year,' it said.
Lundin Mining said it expects the operational performance of all its mines to improve during 2007 from 2006.
In addition, overall production of contained zinc will increase with the addition of the Aljustrel zinc production in September and increased output from Neves-Corvo and Zinkgruvan, it said.
Zinifex soars but zinc price may lose shine
Source: Associated Press
http://metalsplace.com/metalsnews/?a=10350
Metals miner Zinifex has posted a sharp jump in first half earnings, but warned that second half profit may be lower as zinc prices lose some of their shine.
Record zinc prices helped Zinifex to a 230 per cent increase in net profit to $751.2 million for the first half.
Chief executive Greig Gailey said that while he was positive on the outlook for the steel ingredient, prices had deflated slightly so far this year.
"Zinc prices have retreated from the record levels witnessed during the December quarter," he said.
"However, this has to be seen against the backdrop of historical prices and in this context, we are still witnessing a very strong performance."
He said the outlook for zinc remained upbeat.
"With LME (London Metal Exchange) stocks at historically low levels and a moderate deficit expected during 2007, we remain positive on the outlook for zinc," Mr Gailey said. "Similarly, we expect lead stocks to remain tight and continue to support attractive prices."
While Zinifex's total production fell by 10 per cent in the first six months of 2006-07, record zinc and lead prices driven by falling global stocks were the major reasons for its net profit jump lifting by more than three times.
Its pre-tax profit also jumped a sharp 377 per cent to a record $967.3 million.
Last year Zinifex's annual net profit broke the $1 billion mark for the first time thanks to record zinc prices, and while they have come down slightly, at over $US3000 a tonne they are still way ahead of historical averages.
But while Mr Gailey warned that if prices say at current levels Zinifex's earnings will be lower in the second half, he also said production is likely to ramp-up.
"If they (zinc prices) remain where they are today, our profit will be lower, however there will be some offset to that in that we would expect our production to return to more normal levels in the second half," he said.
During the first half the Century Mine in Queensland had lower volumes due to maintenance shutdowns and lower grades.
Mr Gailey added his voice to those of other miners in saying costs are still putting pressure on operations, up 16 per cent in the first half.
"Anything related to energy remains a significant cost pressure," Mr Gailey told a teleconference.
He also pointed to skilled staff, commodities such as copper sulphate and capital equipment as other items putting pressure on costs.
It has been a busy year so far for Zinifex, with the announcement that it plans to spin off and float its smelting assets with those of Belgium-based Umicore.
The plans sparked a push into securing the group's mining future, with the planned $391 million buy of Canada's Wolfden Resources and a move into overseas mining with new tenements in Tunisia, Sweden and Mexico.
Zinifex is also pushing ahead with its hyped Dugald River project in Queensland, which is heading towards a full feasibility study for a 200,000 tonne a year zinc mine.
The study is expected to take about 18 months, at a cost of $25 million and will require an investment of about half a billion dollars if it goes ahead, but Mr Gailey denies it is competing with the Wolfden buy.
"They're quite separate decisions," he said.
Zinifex shares were up 16c at $17.36 in morning trading.
Redcorp Ventures Ltd.: Letter Agreement Executed Between Redfern Resources Ltd. and Taku River Tlingit First Nation
Thursday February 22, 6:00 am ET
http://biz.yahoo.com/iw/070222/0218629.html
VANCOUVER, BRITISH COLUMBIA--(MARKET WIRE)--Feb 22, 2007 -- REDCORP VENTURES LTD. (Toronto:RDV.TO - News) ("Redcorp") is pleased to announce that its wholly-owned subsidiary, Redfern Resources Ltd. ("Redfern", together the "Company"), has executed a letter agreement with the Taku River Tlingit First Nation ("TRTFN") governing the framework for workplans and funding for the evaluation of the proposed barging access amendment plan for the Tulsequah Project. The agreement also encompasses plans for defining an additional workplan and funding to evaluate the scope and content of a potential future Impact and Benefits Agreement between the parties and contributions to discussions between the TRTFN and government of British Columbia concerning a potential Accommodation Agreement.
In arriving at this letter agreement the TRTFN have not agreed on an affirmative position or acceptance of the barging amendment or the Tulsequah Project pending their determination of the acceptability of the environmental mitigation for the project and any associated defined benefits and accommodation for the TRTFN.
The agreement proposes a series of collaborative steps and funding contributions from Redfern to facilitate TRTFN evaluation of the barging proposal and the proposed amendment to the current Environmental Assessment Certificate for the Tulsequah Project.
Redfern believes that the letter agreement is the first step in the development of an ongoing working relationship between the company and TRTFN. Redfern looks forward to the detailed discussions between the parties and the community consultations contemplated in the workplans over the next several months. It is the goal of the Company to develop a very positive relationship with TRTFN and ensure that the project fits well with the needs and aspirations of TRTFN and the community of Atlin.
The Tulsequah project proposes to re-develop the former Tulsequah Chief Mine in northwestern BC, a polymetallic zinc-copper-lead-silver-gold massive sulphide deposit. An independent detailed feasibility Study was completed and released on January 29, 2007 demonstrating strong positive economic results. The Tulsequah Project lies entirely within the traditional territory of the TRTFN.
Redcorp Ventures Ltd. is a Vancouver based mineral exploration and development Company with active projects in British Columbia, Canada and Portugal. Further information on Redcorp and the Tulsequah Project can be obtained on the Company's website at www.redcorp-ventures.com and at Redfern's website at www.redfern.bc.ca or by calling toll-free to Troy Winsor, Manager of Investor Relations, at 1-888-225-9662.
ON BEHALF OF THE BOARD OF DIRECTORS OF REDCORP VENTURES LTD.
Terence Chandler, President and CEO
Certain of the statements made and information contained herein is "forward- looking information" within the meaning of the Securities Act (Ontario) and the Securities Act (Alberta). Forward-looking information includes disclosure regarding possible or anticipated events, conditions or results of operations that is based on assumptions about future economic conditions and courses of action and includes future oriented financial information with respect to prospective results of operations or financial position that is presented either as a forecast or a projection. Forward-looking information is often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect" and "intend"; statements that an event or result is "due" on or "may", "will", "should", "could", or "might" occur or be achieved; and, other similar expressions.
More specifically, forward-looking information contained herein includes, without limitation, statements concerning the Company's plans at its Tulsequah Project (inclusive of the Big Bull Project), the net present value of the Tulsequah Project, the timing and amount of estimated future production and mine life, expected future prices of gold, silver, copper, lead and zinc, mineral reserve and mineral resource estimates, estimated capital and operating costs of the project, estimated capital pay back period, timing of development and permitting time lines; all of which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information.
Forward-looking information contained herein is based on material factors and assumptions and is subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from a conclusion, forecast or projection in the forward-looking information. These include, without limitation, material factors and assumptions relating to, and risks and uncertainties associated with, the availability of financing for activities when required and on acceptable terms, the accuracy of the interpretation of drill results and the estimation of mineral resources and reserves, the geology, grade and continuity of mineral deposits, the consistency of future exploration, development or mining results with the Company's expectations, metal price fluctuations, the achievement and maintenance of planned production rates, the accuracy of component costs of capital and operating cost estimates, current and future environmental and regulatory requirements, favourable governmental relations, the availability of permits and the timeliness of the permitting process, the availability of shipping services, the availability of specialized vehicles and similar equipment, costs of remediation and mitigation, maintenance of title to the Company's mineral properties, industrial accidents, equipment breakdowns, contractor's costs, remote site transportation costs, materials costs for remediation, labour disputes, the potential for delays in exploration or development activities, timely completion of future NP 43-101 compliant
reports, timely completion of future feasibility studies, the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, continuing global demand for base metals, expectations and beliefs of management and other risks and uncertainties, including those described under Risk Factors Relating to the Company's Business in the Company's Annual Information Form, dated March 28, 2006, and in each subsequent Management's Discussion and Analysis. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from any conclusions, forecasts or projections described in the forward-looking information. Accordingly, readers are advised not to place undue reliance on forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information, whether as a result of new information, future events or otherwise.
News Release 07-06
Contact:
Contacts:
Redcorp Ventures Ltd.
Troy Winsor
Manager of Investor Relations
(604) 669-4775 or Toll Free: 1-888-225-9662
(604) 669-5330 (FAX)
Website: http://www.redcorp-ventures.com
Source: Redcorp Ventures Ltd.
Lundin Mining earns $152.94-million (U.S.) in 2006
2007-02-22 07:16 ET - News Release
Mr. Lukas Lundin reports
LUNDIN MINING 2006 FOURTH QUARTER AND YEAR-END RESULTS
Lundin Mining Corp. has released the results for the year ended Dec. 31, 2006.
Company comments
Colin K. Benner, vice-chairman and chief executive officer of the company, said: "Lundin Mining had an extraordinary year in 2006 having had a successful merger with EuroZinc Mining, excellent results in mine development and good progress in the ongoing efforts to improve performance at our operations. At the end of the year, we have three major zinc projects under way; Ozernoe, Aljustrel and Neves-Corvo, and we are actively seeking other opportunities in the base metal industry and were doing so throughout 2006. The financial results, excluding non-cash one-off items related to the merger, were the highest recorded in the history of the company and the cash generated will provide for future growth and value creation for the company's shareholders. We plan to continue with our strategy of aggressive growth and the adding of quality long-life reserves to our present asset base."
Highlights:
* consolidated base metal producer EuroZinc Mining into Lundin Mining as of Nov. 1, 2006. The main assets of EuroZinc Mining consisted of the Portuguese copper-zinc mine, Neves-Corvo, the Aljustrel project, a zinc-lead-silver mine, which will be reopened in 2007 and significant exploration properties in Portugal. Due to merger accounting rules the inventory at the Neves-Corvo mine was valued at fair value as of Oct. 31, 2006. As a result, a non-recurring, non-cash item of $38.6-million has been recorded as a cost of sales in November and December, 2006;
* finalized the acquisition of a 49-per-cent interest in the Ozernoe zinc project in the Republic of Buryatia, Russia. The planning and work to construct an open-pit zinc-lead-silver mine has begun and the preliminary estimate on mine production is for a 2009 start-up;
* a 10-per-cent holding was acquired in the Canadian exploration company Mantle Resources Inc., the main asset of which is the Akie zinc-lead deposit in British Columbia, Canada;
* a 14-per-cent holding was acquired in Sanu Resources Ltd., which holds promising exploration properties in Eritrea, Burkina Faso and in Morocco; and
* achieved design levels for zinc production at Neves-Corvo in December, 2006, just five months from the commissioning date. This was substantially ahead of the typical industry ramp-up time for similar base metals process plants.
INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS
(thousands of U.S. dollars)
Three Three
months months Year Year
ended ended ended ended
Dec. 31, Dec. 31, Dec. 31, Dec. 31,
2006 2005 2006 2005
Sales $ 236,072 63,820 539,729 192,073
Cost of sales (109,382) (30,309) (219,088) (98,710)
Accretion of asset
retirement obligations (1,284) - (1,284) -
Depreciation, depletion
and amortization (32,936) (15,687) (74,991) (51,999)
----------- ----------- ----------- -----------
Gross margin 92,470 17,824 244,366 41,364
----------- ----------- ----------- -----------
Expenses
Exploration (4,505) (2,606) (9,857) (7,146)
Selling, general
and administration (6,027) (2,116) (14,477) (8,976)
Stock-based compensation (2,812) (1,239) (4,955) (1,887)
----------- ----------- ----------- -----------
(13,344) (5,961) (29,289) (18,009)
----------- ----------- ----------- -----------
Other income/expenses
Interest and other income 5,307 713 8,330 1,465
Interest and bank charges (1,412) (305) (1,646) (511)
Foreign exchange
gains/(losses) (14,215) 3,078 (16,907) 4,041
Income (loss) on derivatives 15,284 (2,095) 420 (2,095)
----------- ----------- ----------- -----------
4,964 1,391 (9,803) 2,900
----------- ----------- ----------- -----------
Income before undernoted 84,090 13,254 205,274 26,255
----------- ----------- ----------- -----------
Gain on sale of investments - 6,609 - 17,810
Income before income taxes
and non-controlling interest 84,090 19,863 205,274 44,065
----------- ----------- ----------- -----------
Income taxes (20,498) (5,551) (52,142) (13,291)
Non-controlling interest (2) (91) (183) (811)
----------- ----------- ----------- -----------
Net income for the period 63,590 14,221 152,949 29,963
----------- ----------- ----------- -----------
Retained earnings (deficit)
beginning of period 114,612 11,032 25,253 (4,710)
Net income 63,590 14,221 152,949 29,963
----------- ----------- ----------- -----------
Retained earnings
end of period 178,202 25,253 178,202 25,253
=========== =========== =========== ===========
Basic earnings per share $ 0.28 $ 0.12 $ 1.02 $ 0.26
=========== =========== =========== ===========
Diluted earnings per share $ 0.27 $ 0.12 $ 1.01 $ 0.26
=========== =========== =========== ===========
ZincOx Resources puts new, refitted US plants' net present value at 189 mln usd
Source: AFX
http://metalsplace.com/metalsnews/?a=10287
ZincOx Resources PLC announced values and rates of return for their new and refurbished integrated zinc and iron ore recycling plants in the US, adding that it would not need to issue new shares to finance the works.
Revealing the results of pre-feasibility studies, they said they expect their new Ohio facility to have a 20 pct internal rate of return, giving it a net present value of 60 mln usd.
The refurbished Big River zinc plant near St Louis is expected to have a 35 pct internal rate of return, and a net present value of 129 mln usd, it also said.
ZincOx said the Ohio plant will take about 18 months to construct at a capital cost of about 107 mln usd. It added that its Big River upgrade will cost 90 mln usd and take 16 months to complete.
It said it was confident that it would not need to issue new shares to finance the projects, however.
'There are a number of attractive financing options available to us, including the early sale of the future Shaimerden deferred payments, and we are optimistic that we will be able to develop these projects without a major issue of new equity,' chairman Andrew Woollett said.
ll include a new facility in Ohio and modifying and refurbishing the Big River Zinc plant near St Louis.
Using a zinc price of US$1,900 per tonne for the next five years and US$1,500 thereafter the Ohio Project and Big River Zinc Project individually have internal rates of return of 20% and 35%, and have, net present values of US$60million and US$129million respectively (post tax, pre finance 10% discount rate).
Commenting on the announcement, Andrew Woollett, ZincOx's Chairman said 'These two projects, together with our new Turkish Project, complete the operating structure for our first fully integrated zinc, lead and iron recycling concept. This structure will enable us to recycle virtually all the valuable metals found in electric arc furnace dust (EAFD), a problematic waste material produced when galvanised steel is recycled. This structure and the proprietary technology involved represents a blueprint that we intend to repeat elsewhere in the world'.
At the Ohio Project a rotary hearth furnace will be used to treat EAFD to recover zinc and lead in an oxide concentrate (HZO) and to recover the contained iron as a Direct Reduced Iron (DRI) product. The DRI will be melted in a small electric furnace that will produce a very clean slag suitable for construction purposes and pig iron which will be sold to the steel industry. The plant will be designed to treat 200,000 tonnes per annum of EAFD for the production of 48,000 tonnes of zinc contained in HZO and about 50,000 tonnes of pig iron. The HZO will be sent to Big River Zinc for the recovery of the valuable metals. The Ohio plant will take approximately 18 months to construct at a capital cost of about US$107million.
In June 2006, ZincOx acquired the Big River Zinc smelter, in Sauget, Illinois (BRZ). The HZO from both the Ohio Project and from the Aliaga project in Turkey will be processed at BRZ. The zinc contained in the HZO will be dissolved in BRZ's refurbished leach plant. The resultant zinc bearing solution will be purified in a new solvent extraction circuit, prior to conventional zinc recovery using BRZ's existing electrowinning, melting and casting equipment to produce zinc ingots. The ZincOx management team used the solvent extraction process in the design of the flowsheet for the Skorpion zinc oxide deposit in Namibia, where it now accounts for 150,000 tonnes of zinc metal production per annum. Big River will be designed to produce 90,000 tonnes of Special High Grade quality zinc metal per annum. The refurbishment of the Big River plant and installation of solvent extraction will take approximately 16 months at a cost of about US$90million.
At Aliaga, in Turkey, (see announcement dated: 12 December 2006) ZincOx is planning to develop an EAFD processing plant similar to that proposed for the Ohio project. The capital cost of the Aliaga project is expected to be US$106million with production commencing in mid 2008.
The development of the plants in Turkey and Ohio and the refurbishment of the Big River Zinc facility are expected to require total capital expenditures of about US$303million, including contingencies. The company is investigating various financing strategies including participation by one of ZincOx's largest shareholders, Teck Cominco. In December 2006, Teck Cominco, the world's second largest zinc mining company, increased its interest in ZincOx by 3.5% to 11.5%. Commenting on the financing, Andrew Woollett said 'There are a number of attractive financing options available to us, including the early sale of the future Shaimerden deferred payments, and we are optimistic that we will be able to develop these projects without a major issue of new equity.' chairman Andrew Woollett said.
Wolfden Draws C$346M Offer From Zinifex
By Jon A. Nones
19 Feb 2007 at 11:04 PM EST
http://www.resourceinvestor.com/pebble.asp?relid=29142
St. LOUIS (ResourceInvestor.com) -- Investors celebrated news today that Zinifex [ASX:ZFX] has submitted a proposal for the acquisition of all outstanding shares of Wolfden Resources [TSX:WLF], sending shares up 12% in morning trading with over 4 million shares traded.
Zinifex has made a non-binding and conditional proposal to pay C$3.90 cash per share for all of Wolfden's outstanding shares. Based on Wolfden's 88.7 million shares outstanding, the proposal would be worth C$346 million.
Upon receiving a Letter of Interest, Wolfden granted to Zinifex an exclusivity period to complete due diligence and has agreed not to solicit other proposals until after March 7, 2007. Wolfden has agreed to reimburse Zinifex’s up to $1 million if the agreement is broken.
The offer price represents a 15% premium to the C$3.40 closing price of Wolfden's shares on the TSX on Friday. But after today’s activity, the offer represents only about a 4% premium to the current share prices.
Wolfden stock has almost doubled since late November last year, when it was trading around C$1.80. From November 25 to December 1, shares gained almost 50%, surpassing volume of 2 million shares.
At the time, Resource Investor inquired with Wolfden CEO and President Ewan S. Downie on whether any deals had been made. He said there had been no offers but the word was getting out.
Shortly thereafter, Wolfden was featured on BTV-Business Television, dedicated to profiling emerging public companies. Downie was unavailable for a follow-up comment prior to publication.
Wolfden’s Amaqqut Group of Projects consists of six deposits in the Slave sub-province in Nunavut, Canada. Downie said these deposits have $25 billion worth of copper, zinc, lead, silver and gold resources in the ground.
According to a recent company presentation, the company estimates between $221 million and $567 million in annual cash flow from the combined projects in a preliminary economic assessment.
Using a base case of $1.20/lb copper, $0.60/lb zinc, $0.45/lb lead, $475/oz gold and $7.50/oz silver, Wolfden estimates cash flow of $221 million. Using a higher calculation of $2.25/lb copper, $1.00/lb zinc, $0.50/lb lead, $550/oz gold and $9.50/oz silver, the company estimates cash flow of $567 million.
When all of the projects are online, Wolfden projects annual copper production to be 138 million pounds, with zinc at 423 million pounds, silver at 3.8 million ounces and gold at 100,000 ounces.
High Lake
The company’s 100%-owned High Lake Project is currently in development, located in the Kitikmeot region of Nunavut, approximately 550 kilometres north-northeast of Yellowknife, NWT.
High Lake hosts Indicated Resources of 17.25 million tonnes grading 2.25% copper, 3.35% zinc, 0.31% lead, 0.95 g/t gold and 69.7 g/t silver. Inferred Resources come to 42,000 tonnes at 0.49% copper, 2.38% zinc, 0.44% lead, 0.21 g/t gold and 121.5 g/t silver.
Wolfden is currently undertaking a pre-feasibility study at High Lake, which proposes a combination of two open pit developments. Initial cash costs are estimated at $0.63/lb copper and $0.04/lb zinc.
The corporation recently submitted a Comprehensive Project Proposal for the High Lake Mine Project in mid-November with the Nunavut Impact Review Board (NIRB) and Federal and Territorial regulatory authorities.
The company’s High Lake Project is the most advanced, currently in development, but the second best project behind Izok, according to Downie.
Izok
The 100%-owned Izok Project is located in Nunavut Territory, 360 kilometres north of Yellowknife and 265 kilometres south of Kugluktuk.
According to the company, Izok is host to one of the highest-grade undeveloped copper-zinc deposits in the world.
The deposit contains14.4 million tonnes of Indicated Resources at 2.52% copper, 12.94% zince, 1.28% lead and 71 g/t silver. Inferred Resources total 370,000 tonnes at 3.79% copper, 6.4% zinc, 0.27% lead and 54.2 g/t silver.
The company’s initial estimates put cash costs at -$0.74/lb copper and $0.34/lb zinc, according to the presentation.
Downie said the site needs one more summer of environmental work prior to development, which is scheduled to begin later this year.
Ulu
The 100%-owned Ulu gold deposit is located within the Kitikmeot Settlement Area of the Nunavut Territory, situated 530 kilometres north of Yellowknife.
The deposit contains 720,000 tonnes of Indicated Resources grading at 11.7 g/t Au (270,838 ounces) and 410,000 tonnes of Inferred Resources at 10.73 g/t Au (141,441 ounces) from surface to a vertical depth of 360 metres.
The company used a gold price of $400/oz to determine the base case cut-off grade of 5.0 g/t Au. Cash costs are forecast to be C$262.53/oz (US$225.50/oz).
The deposit remains open at depth as indicated by deep drill results including 7.31 g/t Au across 12.73 metres at the 520-metre level and 14.9 g/t Au across 7.65 metres at the 610-metre level.
Share Price Activity
After jumping 12% in early trading today, Wolfden shares settled in at C$3.74, up 34 cents or 10% for the day after more than 7 million shares traded hands. Average trading volume is just over 400,000 per day.
Pacifica Resources Appoints McClintock as President and CEO of Savant
08:15 EST Monday, February 19, 2007
FSC / Press Release
http://www.globeinvestor.com/servlet/WireFeedRedirect?cf=GlobeInvestor/config&vg=BigAdVariableGe...
Pacifica Resources Appoints McClintock as President and CEO of Savant
Vancouver, British Columbia CANADA, February 19, 2007 /FSC/ - Pacifica Resources Ltd. (PAX - TSX Venture), is pleased to announce the appointment of Jack McClintock as the President and CEO of Savant Explorations Ltd., the company to be created through the previously announced reorganization of Pacifica (see January 29, 2007 news release).
With over 30 years in the mineral exploration business, Jack McClintock has a wide variety of experience including senior management positions with major mining and junior mining companies, including global Exploration Manager for BHP Billiton. Jack brings with him a proven track record of discovery having lead teams responsible for a number of major discoveries, including the Spence copper mine in Chile recently commissioned by BHP Billiton. The Spence mine is projected to produce over 200,000 tonnes of copper cathode per year.
Under Mr. McClintock's leadership, building on the assets acquired from Pacifica, Savant will be an aggressive explorer, dedicated to creating value by focused early stage exploration in districts and areas with known potential for high margin deposits. The Company's activities will be aimed at earlier stage projects globally, and utilize the experience of a skilled exploration team to take these projects through discovery to capture the high discovery value of significant deposits.
Savant's strategy is to assemble a team of proven explorers and use pragmatic, traditional exploration methods to identify high potential districts, acquire mineral rights and execute exploration programs designed to quickly lead to discovery. Savant will carry out the initial low cost exploration to the point of a discovery hole, and then seek a major partner through a non public sale process. The buyer would finance the advancement of the project with Savant retaining an interest in the discovery property.
Pacifica intends to complete the plan of arrangement and distribute the Savant shares to its shareholders in June 2007. Additional information on the Plan of Arrangement reorganization plan will be available in an information circular to be mailed to shareholders in advance of an Extraordinary and Annual General meeting of the shareholders to be held in June to approve the Plan of Arrangement. The reorganization of Pacifica's assets will be subject to regulatory and shareholder approval.
Pacifica is a junior resource company focused on exploration and development of the Selwyn Zinc-Lead Project. Pacifica completed a $21 million exploration, environmental and engineering program on the Selwyn Project in 2006. Recently, Pacifica released a Preliminary Assessment study for the development of the project that based on the assumptions in the report, the Selwyn Project could form a large potentially viable open pit zinc-lead mine.
This press release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors beyond its control and actual results may differ materially from the expected results. Additional drilling is required to confirm the potential of the new discovery areas and expansions of the current resource areas. Furthermore, there is no assurance that the resources being defined can be developed as an economically attractive mine, and there are many uncertainties associated with permitting and other factors that could delay such development.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OF THIS NEWS RELEASE.
-30-
For more information contact:
Dr. Harlan Meade, President and CEO
Jasmin TamDoo, Manager of Investor Communications
Telephone: (604) 682-5474
Toll-free: 1-877-682-5474
International Toll-free: 800-8682-5474
Facsimile: (604) 682-5404
info@pacifica-resources.com
www.pacifica-resources.com
Pacifica Resources Ltd.
#701 - 475 Howe Street
Vancouver, British Columbia
Canada V6C 2B3
News Release - 2007-10
News By Filing Services Canada, Distributed By The Richmond Club
Maximum News Dissemination by Filing Services Canada Inc.
Ph: (403) 717-3898 Fx: (403) 717-3896 www.usetdas.com
Mining companies looking for takeovers find prospects growing thin
Sun Feb 18, 5:35 PM
By Craig Wong
http://ca.news.finance.yahoo.com/18022007/2/biz-finance-mining-companies-looking-takeovers-find-pros...
VANCOUVER (CP) - Mining companies, flush with cash from record metal prices, may be on the hunt for Canadian acquisitions to build scale or add new development projects, but the list of high-grade prospects is beginning to look thin.
In the last year or so, investors have seen such fabled Canadian mining companies as Inco, Falconbridge and Placer Dome fall from the landscape.
"Eventually you run out of companies," said Kerry Smith, a mining analyst for Haywood Securities.
Smith said everyone is always looking for the next acquisition target, and some development-stage companies may look attractive, but the list of potential takeovers is getting shorter.
"There's not a lot companies, to be honest, that are at a stage where somebody wants to buy them."
Smith noted that Lundin Mining Corp. (TSX: LUN.TO) has said it is looking to make a big deal.
"I don't know what it is going to be, but my guess is that it is likely to be another producer of a similar size to them," Smith said.
Lundin merged with EuroZinc Mining Corp. last year to create a new company worth about $3.7 billion with four mines in Portugal, Sweden and Ireland and a fifth scheduled to come into production this year.
Smith said Inmet Mining Corp. (TSX: IMN.TO), HudBay Minerals Inc. (TSX: HBM.TO) or Aur Resources (TSX: AUR.TO) all might attract Lundin.
"That would be the kind of deal they would look at," he said.
Pacific International Securities analyst Michael Gray said Aurelian Resources (TSXV: ARU.V) is "in the takeover sweet spot."
Shares in the company closed up $1.56 at $28.44 on the Toronto Stock Exchange Friday, and Gray has a $53.60 12-month price target.
With a market value of around $900 million, Aurelian's main asset is its Condor gold discovery in southeast Ecuador
"We believe Aurelian's high-grade Fruta del Norte gold deposit on its Condor Project is the best junior-controlled gold discovery we have seen in the past decade," Gray wrote in a note to clients.
"Quality ounces, 100 per cent ownership and a district-scale land position place Aurelian in the middle of the takeover sweet spot."
Last week, UrAsia Energy (TSXV: UUU.V) and Sxr Uranium One Inc. (TSX: SXR.TO) announced plans to merge to create a major global uranium player named Uranium One Inc., trailing Saskatchewan's Cameco Corp. (TSX: CCO.TO) among the world's biggest publicly held producers.
Agnico-Eagle Mines Ltd. (TSX: AEM.TO), meanwhile, agreed to buy Cumberland Resources Ltd. (TSX: CLG.TO), owner of the Meadowbank gold project in Nunavut, in a deal worth more than $700 million.
But the elephant in the room remains Teck Cominco Ltd. (TSX: TCK-B.TO).
With $5.3 billion in cash after its failed attempt to buy Inco, the Vancouver-based company is one of the few major Canadian-controlled base-metal enterprises left.
Teck Cominco has made several smaller deals recently including investments in Nautilus Minerals Inc. (TSXV: NUS.V) and Tahera Diamond Corp. (TSX: ATH.TO), and it plans to buy back up to 20 million shares, but chief executive Don Lindsay will still be left with a substantial hoard to spend.
"He certainly came in with high expectations from the street that he would try and do a large transaction," Smith said,
"But there's not many assets out there they can buy."
Wolfden Resources Inc. received a non binding letter of interest from Zinifex Limited and enters into exclusivity agreement
Monday February 19, 9:07 am ET
http://ca.us.biz.yahoo.com/cnw/070219/wolfden_zinifex_loi.html?.v=1
Shares Issued: 88,647,878
THUNDER BAY, ON, Feb. 19 /CNW/ - WOLFDEN RESOURCES INC. (TSX:WLF - News) today announced that it has entered into a letter agreement with Zinifex Limited ("Zinifex") whereby Wolfden has granted to Zinifex an exclusivity period in which to complete due diligence and has agreed not to solicit other proposals subject to the exercise by the Wolfden board of directors of its fiduciary duties. Wolfden agreed to grant such exclusivity period upon having received an expression of interest ("Letter of Interest") from Zinifex in the form of a non-binding and conditional proposal for the acquisition of all of the outstanding common shares of Wolfden, for a cash price of $3.90 per share (including shares issued or issuable upon the exercise of Wolfden warrants and stock options).
Wolfden has agreed not to solicit proposals relating to any acquisition of its common shares or similar transactions from other persons or entities until after March 7, 2007. This exclusivity period may be extended, in certain circumstances, to March 16, 2007. The letter agreement provides that the board of Wolfden may respond to an unsolicited proposal from another party where it has a fiduciary duty to do so and that Wolfden will provide Zinifex with the particulars of any such proposal. Wolfden has agreed to reimburse Zinifex's expenses, up to $1 million, if Wolfden enters into a definitive agreement providing for an alternative transaction in certain circumstances.
The Letter of Interest contemplates a potential transaction in the form of a take-over bid, unless an alternative form of transaction is deemed advisable. The proposal in the Letter of Interest is conditional upon satisfactory due diligence, the negotiation of transaction documents, and the approval of Zinifex's board of directors of any such transaction documentation. The proposal in the Letter of Interest is conditional upon the parties entering into a support agreement to include among others the following terms and conditions: (1) the unanimous favourable recommendation of the board of Wolfden; (2) a break fee provision in the amount of 3% of the fully diluted value to be offered by Zinifex; (3) directors and senior officers of Wolfden and certain third parties entering into lock-up agreements; (4) the CEO, the COO and other as yet unspecified officers of Wolfden entering into employment agreements with Zinifex; (5) no material adverse change; (6) notification by Wolfden to Zinifex of the receipt of alternative proposals from third parties and the right of Zinifex to match any such proposal.
Wolfden has engaged BMO Capital Markets as its financial advisor and Stikeman Elliott LLP as its legal advisor. A special committee of the Wolfden board of directors will be considering the proposal described above.
No definitive agreements have been reached, other than the exclusivity letter agreement. There can be no assurances that any transaction will result, or as to the terms thereof.
WOLFDEN is a Canadian based mineral exploration and development company with a diversified portfolio of advanced stage properties and several ongoing exploration programs in Canada. Wolfden is debt free and has a strong treasury.
The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.
For further information
Ewan Downie, President & CEO, Phone: (807) 346-1668, Fax: (807) 345-0284, e-mail: Info@wolfdenresources.com, Web Site: www.wolfdenresources.com
Source: Wolfden Resources Inc.
re ADA
Felderhof pretty well caught the top:
Jan 18/07 Jan 18/07 Felderhof, Herman 10 - Disposition in the public market Common Shares Common Shares Options -19,800 $1.270
Jan 18/07 Jan 18/07 Felderhof, Herman 10 - Disposition in the public market Common Shares Common Shares Options -16,200 $1.260
Jan 18/07 Jan 18/07 Felderhof, Herman 10 - Disposition in the public market Common Shares Common Shares Options -4,000 $1.270
Jan 18/07 Jan 18/06 Felderhof, Herman 10 - Disposition in the public market Common Shares Common Shares Options -6,700 $1.270
Jan 18/07 Jan 18/06 Felderhof, Herman 10 - Disposition in the public market Common Shares Common Shares Options -3,300 $1.260
Abcourt Mines Inc (C-ABI) - News Release
Abcourt Mines files Abcourt-Barvue feasibility report
2007-02-16 12:04 ET - News Release
Shares issued 43,105,319
ABI Close 2007-02-15 C$ 0.76
Mr. Renaud Hinse reports
A POSITIVE FEASIBILITY REPORT FOR THE ABCOURT-BARVUE PROJECT HAS BEEN RECEIVED
Abcourt Mines Inc. has learned that the NI 43-101 feasibility report prepared by Genivar LP, of Quebec City, and Bumigeme Inc., of Montreal, on the Abcourt-Barvue project is now completed and has been filed. The authors conclude that the Abcourt-Barvue project contains an economic mineral reserve, and, based on the cash flow analysis using realistic long-term metal prices, recommend to proceed with the development of a mine, apply for permit, prepare detailed engineering plans and begin the construction of an 1,800-tonne-per-day mine/mill complex, and subsequently produce silver-gold ingots and zinc-silver concentrates for sale. Florent Baril, metallurgical engineer for Bumigeme, supervised the laboratory validation testworks, prepared the mill flowsheet, sized the equipment, and estimated the operating and construction costs of the mill. Marc Lavigne, Eng, MSc, mining engineer for Genivar, designed the open pit, selected the mining equipment, estimated capital and operating mining costs, did the financial analyses, and was responsible for the preparation of the report. All the contributing parties are qualified persons.
The mill is designed to treat 1,800 tonnes of ore per day. Following an optimization of the open pits and underground mine designs, more than 80 per cent of the ore tonnage for the first 10 years of production will be produced by open pits. In year 6 and in the followings years, underground production from Avoca cut and fill stopes will be added. In the open pits, the waste-to-ore ratio is 6.42:1, considering marginal ore as waste. After the preproduction waste and ore removal in year 1, the 10-year production waste-to-ore ratio is 5.7:1. Production is expected to start in the fourth quarter of 2008.
Various price scenarios have been developed to see the impact of changing metal prices for gold, silver and zinc, and the exchange rate (Canadian dollar/U.S. dollar) on the economics of the project. The cash flow for various scenarios has first been modelled on the assumptions of 40-per-cent equity financing/60-per-cent debt financing at 7-per-cent interest per year and, secondly, for 100-per-cent equity financing with no debt, no interest expense and no capital reimbursement. The base case scenario was established with declining metal prices from year 1 to year 10, averaging $1.15 (U.S.) per pound of zinc, $9.54 (U.S.) per ounce of silver and $560 (U.S.) per ounce of gold, with a rate of exchange of $1.15 (Canadian) per $1 (U.S.).
With 60-per-cent debt/40-per-cent equity financing, the following economic parameters are obtained before and after taxes:
Before taxes After taxes
Taxes - $45.8-million (Canadian)
Return on equity (ROE) 39.7% 33.1%
Net present value (NPV) (5%) $114.7-million (Canadian) $82.6-million (Canadian)
Internal rate of return (IRR)
for the project 25% 20%
Payback period (years) 4 5
With 100-per-cent equity financing, the following results are obtained:
After taxes
IRR 27.5%
NPV (5%) $89.1-million (Canadian)
EBITDA (earnings before interest,
taxes, depreciation and amortization) $232.7-million (Canadian)
Taxes $50.1-million (Canadian)
Bare-bones valuation $182.6-million (Canadian)
Gold price (U.S. dollar per ounce) 450 545 600 625 650
Silver price (U.S. dollar per ounce) 8.00 9.50 10.00 11.75 13.50
Zinc price (U.S. dollar per pound) 0.60 1.00 1.40 1.80 2.20
Exchange rate (Canadian dollars per U.S. dollar) 1.22 1.16 1.12 1.12 1.12
Production cost (U.S. dollar per pound of zinc) 0.650 0.794 0.934 1.054 1.175
Precious metal credit (U.S. dollar per pound of zinc) 0.213 0.254 0.270 0.312 0.356
Net cost (U.S. dollar per pound of zinc) 0.437 0.540 0.664 0.742 0.819
MINERAL RESERVES STATEMENT (INCLUDING DILUTION)
Mining method Classification Tonnes Ag (g/t) Zn (%)
Open pit Proven mineral reserves 5,338,731 44.79 3.15
Underground Proven mineral reserves 1,169,662 105.19 2.87
Probable mineral reserves 315,139 101.61 3.23
Total underground 1,484,801 104.43 2.95
Open pit and Proven mineral reserves 6,508,393 55.64 3.10
Underground Probable mineral reserves 315,139 101.61 3.23
Total 6,823,532 57.76 3.11
Open pit Proven marginal ore 1,151,502 17.65 1.58
Description Tonnes Ag (g/t) Zn (%)
From sections 315E to 1185E under the
Barvue pit, measured and indicated 453,166 71.23 3.52
From sections 5100E to 5280E in the Gs,
Abcourt area, measured and indicated 109,582 71.38 4.74
Total 562,748 71.26 3.76
CAPITAL COST ESTIMATE SUMMARY
Item Amount (in thousands of dollars)
Mine equipment and preproduction stripping 19,812
Process plant (EPCM and contingencies included) 44,275
Infrastructure 1,862
Owner's costs (including warehouse inventory) 1 930
Preproduction total 67,879
Working capital 3,376
Peru's Milpo to start production at Cerro Lindo zinc-lead-copper mine in May
Source: Hoovers
http://metalsplace.com/metalsnews/?a=10237
Peruvian base metals miner Compania Minera Milpo SAA (MILPOC1.VL) said Thursday that its Cerro Lindo polymetallic project will likely come onstream in May.
According to the company, in 2006 it invested $45.3 million of a planned total of $106 million in the project located 175 kilometers southeast of Lima in the department of Ica.
Cerro Lindo is expected to produce an annual 146,000 metric tons of zinc concentrates, 14,800 metric tons of lead concentrates and 39,500 metric tons of copper concentrate.
The project has identified more than 33 million tons of reserves, Milpo said.
Milpo operates the El Porvenir mine in the Peruvian central Andes, the Ivan mine and refinery in Antofagasta, Chile and the Chapi mine in the southern department of Moquegua, Peru.
On Thursday it also reported fourth-quarter net income of $38.7 million compared with $4.9 million in the same period a year earlier.
oas
Thx for the head's up on ABI, I'll have to try and struggle through it.
Nice of me to unfetter MKO eh?
My 11 cent sells were probably the last ones.
ABI Feasibility Study on Sedar since yesterday but no official NR? I'm no expert but the technical report seems to be extremely well prepared. The cash flow analysis on page 11 of the 266 page report seems to be positive. Page 186 indicates production start-up for summer 2008 which could explain reason for sell-off today.
Bass Metals expecting approval for open cut mine in Tasmania
Source: ABC Online
http://metalsplace.com/metalsnews/?a=10204
A Western Australian mining company expects to gain approval for an open cut mine in Tasmania's north-west by next week.
Bass Metals is excavating 2,000 tonnes of zinc, lead and silver from Que River to test its quality.
Managing director Mike Rosenstreich says a full mining operation could have a five-year life-span and employ about 25 people.
He says the Environment Department is considering final approval of the project next week and no objections have been lodged so far.
"We don't expect any surprises at this stage, we've had good relations or contact with the people involved in that and shortly thereafter we anticipate the final approval from the Waratah-Wynyard Council," he said.
"They've certainly been very supportive to date, they've been at the site and we don't anticipate any problems with that."
EMED Mining receives positive feasibility study on Klirou copper-zinc project
Source: Edited Press Release
http://metalsplace.com/metalsnews/?a=10205
EMED Mining said Thursday that it has expanded resources at its Klirou copper-zinc project in Cyprus.
The Preliminary Feasibility Study on the Klirou Copper-Zinc Project has been completed with satisfactory results and concluded:
* Inferred Resources expanded to 6.6 million tonnes of 0.7% copper-equivalent, excluding associated gold (refer technical background below for JORC-compliant resources statement) for contained metal of 18,500 tonnes copper and 53,600 tonnes zinc with market value of GBP140 million (US$270 million) at current spot market values and excluding by-product gold credits.
* Drilling results indicate potential in five locations to increase resource-base within easy-trucking distance of the plant.
* Geophysical results reveal deeper targets with potential for +10 million tonne deposits which are planned to be drill-tested during 2007. * Initial environmental baseline surveys indicate the site continues to be an excellent site for its long-standing purpose and the environmental legacy to be capable of proper remediation.
* Permitting roadmap agreed with regulators.
* Preliminary financial model indicates an encouraging range of net present values, based on:
• Copper price of $US2.00/lb and zinc price of $US1.00/lb (LME spot prices on Feb. 8, 2007 were $US2.37/lb and $US1.38/lb, respectively);
• Initial open-pit model recovering 4.6 million tonnes from total resource of 6.6 million tonnes;
• Initial metallurgical test work indicating good copper recoveries and the need to improve zinc and gold recoveries;
• Operating costs based on preliminary quotations received from relevant suppliers, and
• Refurbishment of the Mitsero processing plant and continued use of existing site for waste.
AMC Consultants, an international project manager, have been appointed to oversee:
* a Feasibility Study to be completed in 2007, which will include a detailed Environmental Impact Assessment by appropriate specialists and detailed cost-engineering for the entire operation including mining, transport, ore processing and shipment.
* a Final Feasibility Study following receipt of regulatory permits for the development of the Klirou Copper-Zinc Project targeting development in 2008. This further work will include sufficient drilling to upgrade resources into the reserve category along with final optimised engineering, costings, product pricing and financing.
Halo Reports First Three Drill Holes of 30,000 m Sherridon Program
Thursday February 15, 5:47 am ET
http://ca.us.biz.yahoo.com/iw/070215/0215945.html
VANCOUVER, BRITISH COLUMBIA--(MARKET WIRE)--Feb 15, 2007 -- Marc Cernovitch, President and CEO of Halo Resources Ltd. (CDNX:HLO.V - News)(OTC BB:HLOSF.OB - News)(Frankfurt:HRL.F - News), is pleased to announce that assays have been received for the first three diamond drill holes completed at the Sherridon Property, northern Manitoba.
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A total of 994 m was completed of a planned 30,000 m drill program initiated to test 66-line kilometers of EM conductors identified in a recent VTEM airborne survey and expand historical base metal resources. Drill holes DH06-01 to DH06-03 were drilled between 200 and 600 m east of the East Zone sulphides lens which was estimated to contain 785,621 tonnes at 2.14% copper, 5.78% zinc, 0.65g/t gold and 26.6g/t silver and was mined in the 1940s.
Halo has initiated the first systematic attempt to explore the East Zone fold structure for continuations of the sulphide ore based on modern reinterpretations of the complex geological structures. A grab sample from surface near an open stope on the East Zone returned results of 14.5% copper, 2.9% zinc and 7.4 g/t gold.
Drill holes DH06-01 and DH06-03 intersected alteration zones commonly associated with the mine horizon and mineralization at depths up to 159 m below surface. The highest grade intersection was from hole DH-6-03 at 43.0 to 45.2 m which assayed 0.53% copper, 0.77% zinc and anomalous gold and silver. The success of these drill holes indicates that the East Zone mine horizon can be traced at least 600 m from the eastern part of the historical mine working and that the airborne geophysics identifies important geological features beneath the previously unexplored granites and at depths that have not previously been tested.
Preparations are underway to carry out down-the-hole PulseEM surveys of all holes in the near future which will determine if there are additional massive sulphides zones along the East Zone mine horizon within 100 m of the drilled holes. Future plans include drilling additional exploratory holes to test for the position of the East Zone mine horizon and providing additional access for the PulseEM surveys.
Drilling has continued at the Bob Deposit where historical resources for three of four sulphides lenses are estimated as 2,159,098 tonnes at 1.33% copper, 1.18% zinc, 0.31 g/t gold and 8.45 g/t silver.
Drilling with a single diamond drill rig is expected to continue through to August, when it is planned to add a second drill rig allow concurrent testing of known deposits as well as newly-generated exploration targets.
Drill Hole Descriptions
DH06-1
The first hole on the East Zone, DH06-1 was drilled vertically to test a strong VTEM conductor, approximately 500 metres east of Sherritt Gordon Mine's East Zone ore body. The hole cut a strongly graphitic zone between 73 to 79 metres and the projected East Zone mineralized horizon from 159 to161 metres. The mineralized zone reported 0.61% copper and low silver and zinc values over 0.9 m between 159.4 to 160.5 m. The hole continued to a depth of 298 metres and was stopped in mafic volcanic rocks.
DH06-2
The second hole on the East Zone, DH06-2 at -50degrees to the southwest, tested a strong steeply dipping VTEM conductor, located approximately 200 m south DH06-01. The hole intersected a sulphide enriched zone with trace amounts of chalcopyrite and sphalerite between 86.2 to 99.2 m and the strongly graphitic zone of DH06-1 at 157 to179 metres. The hole was stopped at 191 metres in intermediate, calcareous volcanic rocks.
DH06-3
The third hole on the East Zone, DH06-3 at -90 degrees, tested an area 100 metres east of the East Ore body. It cut an altered, mineralized zone, equivalent to the East Zone mine horizon from 43 to 45 metres, with strongly anomalous values of 0.53% copper, 0.77% zinc and elevated silver and gold over 2 m. The projected horizon continues northeast and dips southeast. The hole was continued through a succession of intermediate and felsic volcanic rocks to a depth of 505 metres, testing for the folded repetition of the East zone horizon but not reaching it.
Hole No From To Interval Cu Zn Ag Au
(m) (m) (m) (%) (%) (g/t) (g/t)
------------------------------------------------------------------------
DH06-01 159.35 160.45 0.90 0.61 0.07 4.57 -
Including 159.85 160.45 0.60 0.75 0.10 5.30 -
------------------------------------------------------------------------
DH06-02 no significant results
------------------------------------------------------------------------
DH06-03 43.00 45.20 2.20 0.49 0.67 3.76 -
Including 43.00 44.80 1.80 0.53 0.77 3.76 -
</PRE>
Technical Background
A total of 964 meters were drilled by Rodren Drilling using NQ core. Split drill core was submitted to TSL Laboratories, Saskatoon, Saskatchewan which is an ISO17025-accredited facility, for preparation and analysis. The entire core was crushed and a 300 g split was pulverized. Base metals were determined by inductively coupled plasma spectrometry (ICP) after an aqua regia digestion and gold by standard fire assay with an ICP instrumental finish on a 30 g charge. Analysis for samples that reported greater than 5000 ppm copper or zinc were repeated using a four acid digestion and atomic absorption spectrometry (AAS) determination. A quality control program consisting of blank, duplicate and analytical control standards has been implemented to monitor laboratory performance and no significant discrepancies are reported.
Qualified Person
The above information has been prepared under the supervision of Kevin Leonard, who is designated as a "Qualified Person" with the ability and authority to verify the authenticity and validity of the data.
Halo Resources Ltd.
Halo is a Canadian-based resource company focused on the acquisition of near production base and precious base metal deposits. Currently the Company owns or has an interest in 3 projects: Duport, which is an advanced stage gold project; Red Lake, which is a gold exploration project, and the Sherridon project that comprises a combination of mature and grassroots VMS copper, zinc and gold exploration opportunities. The Company is operated by an experienced management team and backed by a strong network of mining financiers. The Company's growth strategy is to develop a diversified portfolio of advanced mining projects.
ON BEHALF OF THE BOARD
Marc Cernovitch, President and CEO
Except for the historical statements contained herein, this news release presents "forward looking information" within the meaning of the United applicable Canadian securities lawsthat involve inherent risks and uncertainties. Forward-looking information includes, but is not limited to, statements with respect to the future price of gold and other minerals and metals, the estimation of mineral reserves and resources, the realization of mineral reserve estimates, the capital expenditures, costs and timing of the development of new deposits, success of exploration activities, permitting time lines, requirements for additional capital, government regulation of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved".
Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Halo to be materially different from those expressed or implied by such forward-looking information, including but not limited to: risks related to the integration of acquisitions; risks related to joint venture operations; actual results of current exploration activities; actual results of current or future reclamation activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of gold and other minerals and metals; possible variations in ore reserves, grade or recovery rates; failure of equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; and delays in obtaining governmental approvals or financing or in the completion of development or construction activities. Although the management and officers of Halo Resources Ltd. believe that the expectations reflected in such forward-looking information are based upon reasonable assumptions and have attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information Halo does not undertake to update any forward-looking information that is incorporated by reference herein, except in accordance with applicable securities laws. Trading in the securities of Halo Resources Ltd. should be considered highly speculative.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Contact:
Contacts:
Halo Resources Ltd.
Marc Cernovitch
President & CEO
(604) 484-0068 or Toll Free: 1-866-841-0068
(604) 484-0069 (FAX)
Email: mcernovitch@halores.com
Website: http://www.halores.com
Source: Halo Resources Ltd.
HudBay Announces 2006 Production Summary and 2007 Outlook
Wednesday February 14, 6:23 pm ET
- 2006 metal production in line with guidance
- 2007 zinc production expected to increase over 2006 production
http://ca.us.biz.yahoo.com/ccn/070214/200702140372809001.html?.v=1
WINNIPEG, MANITOBA--(CCNMatthews - Feb. 14, 2007) - HudBay Minerals Inc. (TSX:HBM - News; HudBay) today announced its 2006 production and 2007 outlook.
"We are pleased to report our summary 2006 fourth quarter and annual production today, together with our 2007 outlook," said Peter Jones, President & CEO. "We are delighted to have delivered 2006 production growth for both copper and zinc as well as results in line with 2006 guidance."
HudBay expects to announce its 2006 financial results together with complete details of its production and operating performance on March 8, 2007.
Production and Outlook(1)
---------------------------------------------------------------------------
Copper Zinc Gold Silver
(tonnes) (tonnes) (oz.) (oz.)
---------------------------------------------------------------------------
2006
----
Metal from HBMS concentrates 56,698 113,637 95,980 962,743
Metal from purchased
concentrates 31,527 4,329(2) 1,972 382,184
Metal in Balmat concentrate,
for sale(2) --- 9,037(3) --- ---
Metal in Balmat equivalent
concentrate purchased
by HBMS(2,3) --- (3,750) --- ---
Total Production 88,225 123,253 97,952 1,344,927
Total Production
- Guidance (000's) 45 - 55(4) 120 -140 85 - 100 1,000 - 1,300
2007
----
Total Production
- Guidance (000's) 80 - 90 130 - 150 85 - 95 1,000 - 1,300
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Three Three
Months Months Year Year
Ended Ended Ended Ended
Dec 31, Dec 31, Dec 31, Dec 31,
2006 2005 2006 2005
Metal from HBMS Concentrates
Copper tonnes 15,317 13,822 56,698 49,179
Zinc tonnes 27,419 30,485 113,637 114,557
Gold troy oz. 27,563 25,311 95,980 100,444
Silver troy oz. 245,328 264,259 962,743 916,810
Metal from HBMS Purchased
Concentrates
Copper tonnes 7,877 9,985 31,527 37,106
Zinc tonnes 3,569 35 4,329 131
Gold troy oz. 580 546 1,972 1,927
Silver troy oz. 97,635 137,131 382,184 493,702
Total HBMS Produced Metal
Copper tonnes 23,194 23,807 88,225 86,285
Zinc tonnes 30,988 30,520 117,966 114,688
Gold troy oz. 28,143 25,877 97,952 102,371
Silver troy oz. 342,963 401,390 1,344,927 1,410,512
------------------------------------
Balmat
Zinc Metal in Concentrate(3)
for Sale tonnes 4,003 -- 9,037 --
Metal in equivalent
concentrate purchased
by HBMS tonnes (3,032) -- (3,750) --
------------------------------------
Total Produced(5)
Copper tonnes 23,194 23,807 88,225 86,285
Zinc tonnes 31,959 30,520 123,253 114,687
Gold troy oz. 28,143 25,877 97,952 102,371
Silver troy oz. 342,963 401,390 1,344,927 1,410,512
------------------------------------
Zinc Oxide
Zinc from HBMS tonnes 6,834 9,224 32,469 31,758
Zinc from others tonnes 1,255 --- 1,448 3,293
Zinc oxide produced tonnes 9,861 11,340 41,378 42,849
---------------------------------------------------------------------------
Firestone Ventures Reports Torlon Hill Drill Results, Including 2.7 Metres of 45.4% Zinc
Tuesday February 13, 9:30 am ET
http://ca.us.biz.yahoo.com/ccn/070213/200702130372299001.html?.v=1
EDMONTON, ALBERTA--(CCNMatthews - Feb. 13, 2007) - Firestone Ventures Inc. (TSX VENTURE:FV - News; FRANKFURT:F5V - News) is pleased to announce the latest drill results from the Company's Torlon Hill high-grade zinc project, western Guatemala. The most recently received assay results are from drill holes TH06-36 to TH06-44. All holes were in-fill or step-out holes to the previously drilled area and all intersected zinc-lead-silver mineralization overlying a well defined serpentine basement.
Highlights from the drill results include:
Hole TH06-42: 25.4 metres of 9.1% zinc, including 13.9 metres of 13.2% zinc
Hole TH06-43: 18.4 metres of 18.0% zinc, including 6.2 metres of 33.6% zinc (with a sub-interval of 2.7 metres of 45.4% zinc).
Hole TH06-44: 29.3 metres of 12.4% zinc
Drill hole TH06-36 (6.1 metres of 8.0% zinc and 2.5% lead) is significant as it defines high grade zinc mineralization at the northern end of Torlon Hill. Holes TH06-43 and TH06-44 are significant since they expand the high-grade zinc zone approximately 30 metres further east. Most of the mineralization defined by drilling is exposed on surface or near-surface. Silver values are generally from 15 g/t to 50 g/t, but range up to 142 g/t (TH06-42). A drill hole location map may be viewed at www.firestoneventures.com and significant zinc and lead intercepts are summarized in the table below. Drilling is on-going until the end of March, 2007.
Significant Drill Intercepts TH06-36 to TH06-44
---------------------------------------------------------------------------
Hole No. Total Depth (m) From (m) To (m) Thickness (m) % Zn % Pb
---------------------------------------------------------------------------
TH06-36 45.7 31.3 37.4 6.1 8.0 2.5
---------------------------------------------------------------------------
Including 32.8 36.0 3.2 13.7 4.0
---------------------------------------------------------------------------
TH06-37 96.0 18.6 19.4 0.8 2.6 2.5
---------------------------------------------------------------------------
36.0 38.0 2.0 13.0 2.4
---------------------------------------------------------------------------
60.0 68.0 8.0 1.9 1.7
---------------------------------------------------------------------------
90.0 93.8 3.8 5.3 3.7
---------------------------------------------------------------------------
TH06-38 91.4 32.0 44.5 12.5 5.1 6.6
---------------------------------------------------------------------------
72.0 73.7 1.7 2.9 4.8
---------------------------------------------------------------------------
84.1 87.1 3.0 9.8 7.1
---------------------------------------------------------------------------
TH06-39 71.6 0.0 15.2 15.2 7.1 3.3
---------------------------------------------------------------------------
Including 0.0 4.6 4.6 17.9 2.0
---------------------------------------------------------------------------
27.4 47.6 20.2 2.4 1.2
---------------------------------------------------------------------------
56.4 57.9 1.5 2.2 25.6
---------------------------------------------------------------------------
64.9 67.0 2.1 5.4 8.4
---------------------------------------------------------------------------
TH06-40 47.2 0.0 16.7 16.7 16.2 3.8
---------------------------------------------------------------------------
Including 0.0 4.6 4.6 27.9 2.6
---------------------------------------------------------------------------
25.9 44.8 18.9 8.8 3.5
---------------------------------------------------------------------------
35.2 36.6 1.4 33.8 2.4
---------------------------------------------------------------------------
TH06-41 35.7 3.1 28.7 25.6 10.1 3.8
---------------------------------------------------------------------------
12.2 17.0 5.1 23.9 8.4
---------------------------------------------------------------------------
TH06-42 48.8 6.1 31.5 25.4 9.1 2.0
---------------------------------------------------------------------------
Including 13.1 27.0 13.9 13.2 2.1
---------------------------------------------------------------------------
TH06-43 32.0 6.0 24.4 18.4 18.0 2.4
---------------------------------------------------------------------------
Including 18.2 24.4 6.2 33.6 1.2
---------------------------------------------------------------------------
Including 21.7 24.4 2.7 45.4 1.3
---------------------------------------------------------------------------
TH06-44 45.7 0.0 1.5 1.5 33.9 1.2
---------------------------------------------------------------------------
11.5 40.8 29.3 12.4 4.2
---------------------------------------------------------------------------
It's zinc or swim with tight supply
Robin Bromby
February 12, 2007
PANICKY investors are likely to keep pounding zinc stocks following the metal's losses but analysts say supply of the commodity will remain tight.
It will be hard to pick where the share prices are going, with one report suggesting zinc producers Perilya and Kagara Zinc could see fluctuations in their share values of up to 30 per cent over the next year.
In the past week, zinc - having been cited as the likely star performer among metals in 2007 - was looking as though it was going to plunge beneath the $US3000/tonne level.
Investors would have breathed a sigh of relief when the rout ended - at least temporarily - on Friday with the metal regaining a meagre $US2.50/tonne to close at $US3130.
The metal has been on a sharp downward slide since the news broke that hedge fund Red Kite had sustained big losses on its zinc bets, and there were fears other hedge funds could be in a similar position. Yet the fundamentals have remain relatively unchanged in past weeks: stocks of nickel at the London Metal Exchange were hovering last week around the 95,000-tonne level - a long way down on the one-year high for inventories of 361,375 tonnes.
Commonwealth Bank commodity strategists describe the zinc stocks situation as "tight".
But none of this helped much in the past week. AIM Resources, even though it announced it had got its mining licence for the Perkoa zinc project in Burkino Faso, saw its shares end the week down to 23c, having been sagging from a recent high in November of 37.5c.
AIM has a high-grade deposit, a rail link to the Atlantic Ocean at Ivory Coast's Abidjan port and offtake agreements with such big players as Xstrata Zinc and French commodity house Louis Dreyfus - but none of that was sufficient to repel the tide of bad sentiment towards zinc. Kagara Zinc, which has been one of the brighter stars of the mid-tier producers, has seen its share price ease from $7.72 in November to $4.99 last Tuesday before a mild rebound.
Zinifex and CBH Resources have also been given a whacking. Adviser Fat Prophets, in its latest weekly resources report to clients, said zinc remained an outstanding investment from a supply-demand perspective.
"The short-term focus of some investors never ceases to amaze us," Fat Prophets said. "Despite all the positive evidence, some investors will panic at the slightest hint of short-term trouble."
Both the prophets and another Sydney-based adviser on mining and oil investments, Stock Resource, have just released notes on one zinc player, CBH Resources.
Stock Resource said the company was now getting strong cash flows from its Endeavour zinc-lead-silver operations at Cobar. It has recommended investors stay in the stock at present levels, as did Fat Prophets, which said CBH was one of its zinc sector favourites and would ride out the present volatility.
But Far East Capital's Warwick Grigor is waiting to see whether all the bad news for zinc is over. If the metal breached its present support levels, then investors would have to rethink their positions.
Mr Grigor said some of the zinc stocks might have moved into a pattern that could dominate trading for the next year, with the capacity to fluctuate within those patterns by up to 30 per cent.
But he also sees this as part of a wider picture in which metals stocks generally have been subject to profit-taking.
Mr Grigor urged investors to put more thought into buying value, adding there were too many grassroots exploration companies having unsustainable share prices. "Punters quickly tire of exploration stocks that have no substance as they jump from one to the next," he said.
http://www.theaustralian.news.com.au/story/0,20867,21208057-643,00.html
Red Kite fiasco sparks hedge funds debate
Ashutosh Joshi & Rajesh Abraham / Mumbai
February 9, 2007
Recent days witnessed a big drop in shares of Indian metal companies after reports that a Denver-based hedge fund, Red Kite, which made huge exposures in copper and zinc, lost 30 per cent of its investments in a matter of days.
* A similar situation surfaced in domestic markets in September last year, when a Connecticut-based hedge fund, Amaranth, lost $6 billion in a week after its bets in natural gas went wrong.
Are our markets at the mercy of reckless global hedge funds?
“It seems speculators are trying to use the news to make quick profits by creating a panic-like situation in the market,” said Chintan Modi, head of commodities at India Infoline.
The Red Kite impact saw a decline in international prices of zinc (18 per cent), copper (about 11 per cent) and aluminium (4-4.5 per cent). “In this kind of a scenario, investors are quick to square off their positions and might even go short, creating a negative impact on stock prices,” he said.
Internationally, hedge funds operate in a very aggressive fashion that some funds go belly-up frequently. Vega Asset Management, with offices in London, Madrid and New York managing more than $12 billion, suffered heavily due to poor bets on global bonds in August and September last year. The New York-based MotherRock LP, a $400 million hedge fund, also shut shop last year, following wrong bets on energy prices.
These international developments have once again brought to the fore the debate on allowing hedge funds direct entry into domestic markets. Hedge funds can, currently, invest in domestic stocks using participatory notes (PN), issued by the Sebi-registered foreign institutional investors (FIIs).
“Hedge funds not only have shady background, but also speculative practices. They bring huge amount of money to the market, but, at the same time, they can perish at a short notice. Their direct entry will not help emerging markets such as India. In fact, this will raise volatility here,” said former Sebi member L C Gupta.
A US-based economist, Marti Subrahmanyam, in a recent visit to Mumbai, had opined that India should permit direct entry to hedge funds, if it wanted its capital markets to be a part of global markets and see more foreign inflows.
“There is absolutely no need to stop hedge funds just because you don’t know from where the money is coming to them. Essentially, the economy needs foreign capital and these funds can bring it in huge sizes,” he had mentioned.But Gupta has a different take on the matter. “The government wants more foreign money to come into the market. But, that money should have a certain standing period. Hedge funds would not be investing in sectors such as infrastructure, where we need capital. They would always opt for quick-buck stocks.”
India-centric hedge funds are seeking time-specific licences from the Sebi to operate in the country, whereby the regulator would be issuing one-year licences to the funds and would take decision over renewing their permission after watching their performance during the period.
Most of the developed markets have presence of hedge funds, which own capital of more than $1.5 trillion. Depending on performance, the funds give returns to the extent of 50 to 60 per cent.
http://www.business-standard.com/common/storypage.php?autono=274061&leftnm=0&subLeft=0&c...
Aquila Looks to Expand Back Forty Resource in 2007 With Drilling Underway
Thursday February 8, 1:00 am ET
TORONTO, ONTARIO--(CCNMatthews - Feb. 7, 2007) - AQUILA RESOURCES INC. (TSX VENTURE:AQA - News; FRANKFURT:JM4A - News; "Aquila" or the "Company") today announced resumption of drilling plus other activities to advance the Back Forty Project located in the Upper Peninsula of Michigan. For 2007, 15,000 to 20,000 meters of drilling is planned, targeting resource expansion and definition, as well as testing new zones of mineralization both near the known resource and in the broader project area.
Exploration and Other Activities in 2007
Drill targets in 2007 will include extensions and further definition of the known massive sulfide and stringer zone resources, as well as porphyry margin gold targets and the 90 Gold Zone. Off hole anomalies from down hole pulse EM surveys will also be targeted as will new anomalies identified from ground geophysical surveys recently completed in three different target areas.
Initial drilling will focus on the Tuff Zone, Main Zone South Limb and the 90 Gold Zone with one drill, with the expectation of adding at least one additional drill when available.
Mineralization remains open in at least one direction in all zones except the East Zone, including down plunge in the Deep Zone and Main Zone Hinge, down plunge and down dip in the Main Zone South Limb, down dip in the Tuff Zone and down dip and southwest along strike in the Pinwheel Zone, and in all directions in the 90 Gold Zone.
Datamine Consultants from the UK have been contracted to compile a new 43-101 resource estimate incorporating all drill results up to the end of 2006. Eric Chapman, MSc., Datamine specialist in mineral resource estimation and geostatistics, will be the qualified person responsible for the resource estimate.
Plans for implementation of environmental baseline work and metallurgical studies are being finalized with a goal of completing a scoping study in 2007.
Project History and Exploration Highlights
- After private interests discovered massive sulfide mineralization in 2001 at the Back Forty Project, 12,200 meters of drilling during 2002 and 2003 established a National Instrument 43-101 inferred resource of 3.1 million tonnes of 6.8% zinc and 2.0 g/t gold calculated by DeMatties and Munroe consultants in August, 2005 on the portion of the property controlled by the private group at that time.
- In 2006 the private group went public as Aquila Resources Inc. (TSX VENTURE:AQA - News), and subsequently acquired an adjoining property containing known extensions of the existing resource, and completed 11,000 meters of drilling aimed at both expanding and better defining the resource.
- The 2006 drilling was successful in defining near surface zinc and copper rich massive sulfide lenses capped by gold rich gossans at the East Zone and Pinwheel Zone, and in defining down plunge and down dip extensions of the Main Zone Hinge, the South Limb, the Tuff Zone and the Deep Zone. Thick gold bearing stringer zones were encountered locally underneath massive sulfide mineralization, and high grade gold mineralization was also encountered in intrusive porphyries and siliceous sediments of the 90 Gold Zone. Select highlights from previously released results from these zones include:
-- 19.9 meters (est. true thickness), 7.70% copper, 201 g/t silver at the Pinwheel Zone (LK-128P)
-- 28.2 meters (est. true thickness), 9.25% zinc, 4.28 g/t gold at the East Zone (LK-72)
-- 65.7 meters (est. true thickness), 6.7% zinc in the Main Zone Hinge (LK-150)
-- 31 meters (unknown true thickness), 10.0 g/t gold in Main Zone Hinge stringer zone (LK-150)
-- 19.4 meters (unknown true thickness), 10.35 g/t gold in the 90 Gold Zone (LK-90)
Drill hole locations and more details of 2006 drilling are available on the Company's website at www.aquilaresources.com.
Aquila controls a large property consisting of over 9,000 acres of mineral and surface interests owned or held under lease or option, some subject to various net smelter royalties and other minority interests.
Grant of Stock Options
The Board of Directors of Aquila has approved the granting of stock options pursuant to the Company's currently authorized incentive stock option plan. A total of 1.4 million share purchase incentive options were granted to eligible individuals. The grants are being made to directors, officers, employees and consultants of Aquila. The options have an exercise price of $2.15 for up to a five year term and are subject to the approval of the TSX Venture Exchange.
"Aquila plans an aggressive exploration program for 2007," said President Thomas O. Quigley. "We look forward to building on previous work at the project and expanding the scope of the work to include activities required for advancing the project towards feasibility". Mr. Quigley, P.Geo. and President of Aquila is the Qualified Person as described in National Instrument 43-101 for the Back Forty Project and is responsible for the content of this press release.
Certain information regarding the Company contained herein may constitute forward-looking statements under applicable securities laws. Such statements are subject to known or unknown risks and uncertainties that may cause actual results to differ materially from those anticipated or implied in the forward-looking statements This news release does not constitute an offer to sell or a solicitation of an offer to purchase securities in the United States.
Shares Outstanding: 69,429,478
The TSX Venture Exchange has not reviewed and does not accept responsibility for the contents of this release.
Silvermet Advances its Waelz Kiln Zinc Project in Turkey
Thursday February 8, 3:22 pm ET
Corporate Update
TORONTO, ONTARIO--(CCNMatthews - Feb. 8, 2007) - Silvermet Inc (TSX VENTURE:SYI - News) is pleased to announce a number of positive developments relating to its zinc project in Turkey. Highlights include:
- Drilling at Tufanbeyli intersects several significant zinc zones near Akcal mine workings and on coincident geochemical anomalies and showings at Belbasi, Camlik and Teknecik (see map).
- Silvermet holds discussions with a significant Turkish industrial company with a view to it providing local and political assistance within Turkey and advise on Silvermet's establishment of a Turkish company.
- Silvermet enters an arrangement with B.U.S. Steel Services GmbH (Germany) to conduct tests on Tufanbeyli ore and zinc residues for the proposed Waelz kiln zinc project. BUS is an environmental metals reclamation company specializing in engineering and in recycling zinc and stainless steel residues.
- SGS Lakefield completed extensive testwork in January 2007 confirming that Tufanbeyli area zinc carbonate mineralization can be significantly upgraded by sinkfloat process technology.
- SNC Lavalin continues work on their engagement to supply engineering and process design in collaboration with BUS on Silvermet's proposed Turkish Waelz kiln project.
In September 2006, two-50 kilogram samples of Tufanbeyli zinc carbonate mineralization, grading approximately 15% and 25% respectively, were sent to BUS in Germany for kiln testing to determine the mineralization's suitability for the BUS-design of Waelz kiln installations.
In December 2006, samples of zinc residues were obtained from steel plants in Turkey for the purpose of providing BUS with zinc residues. BUS will run tests to evaluate the potential of recycling zinc residues with Kayseri/Tufanbeyli ores as feedstock for the BUS-designed Waelz kiln. Investigations will include the use of zinc flue dust, zinc dross and zinc die casting scrap sourced from Eastern Mediterranean countries including Turkey.
Current planning is evolving into the project having two parallel Waelz kilns with total production capacity of 150 million pounds per year of zinc metal as 65% zinc in oxide condensate. Silvermet and SNC Lavalin engineers have had the chance to add to their knowledge of kiln installations by having viewed operating practices at two existing zinc oxide Waelz kiln facilities owned by BUS.
A Turkish company is to be established by Silvermet in Istanbul for the purposes of the development. Silvermet executives have held discussions at a senior level with the Hema Endustri A.S. Group of Companies, who have extensive industrial holdings throughout Turkey. Senior executives of Hema have been providing assistance in Turkey to representatives of Silvermet/SNC Lavalin.
Extensive progress has been made by SGS Lakefield Research in Canada on tests designed to determine the upgrading potential of lower grade material not currently commercial at grades of 4% to 18% zinc. The work at Lakefield was monitored by H. A. Counsell, P.Eng., an experienced mineral dressing and metallurgical professional. The tests were completed in January 2007 and they have established that the Tufanbeyli zinc carbonate ores can be readily upgraded using sinkfloat process technology.
Assays % Zn
Sample No. Initial Grade Upgraded Product
L-1 4.0 14.3
L-2 5.9 18.1
L-3 (1)8.0
L-4 10.7 27.4
L-5 12.0 25.7
L-6 14.1 27.6
L-7 16.1 27.3
L-8 18.2 28.5
L-9 20.2 29.0
L-10 26.4 30.0
(1) sample rejected as it had been crushed too fine
% Zn / Est. True
From To Intersection Brg Dip Length Thickness
Belbasi Zone
-------------
Hole BRC 02A 56m 102m 5.67/46m 270 -75 120m 39.8m
including 56m 70m 6.83/14m 12.1m
including 70m 88m 1.03/18m 15.6m
including 88m 102m 10.13m/14m 12.1m
Camlik Zone
-------------
Hole BRC 022 35m 44m 2.67/8m 235 -60 120m 4m
56m 66m 3.33/10m 6m
Teknecik Zone
-------------
Hole BRC 027 12m 38m 4.83/26m 351 -70 128m 18.6m
including 16m 28m 7.64/12m 8.6m
Mountain Lake gets new Bobby's Pond resource estimate
2007-02-07 09:01 ET - News Release
Mr. Allen Sheito reports
NEW RESOURCE ESTIMATE CONFIRMS 44% INCREASE IN BOTH ZINC GRADE AND TONNAGE AT MOUNTAIN LAKE'S BOBBY'S POND DEPOSIT - MINERALIZED ZONE EXTENDS FOR 300 METERS VERTICALLY, AND REMAINS OPEN AT DEPTH AND ALONG STRIKE
Mountain Lake Resources Inc. has learned that Scott Wilson RPA has completed an updated mineral resource estimate for the company's 100-per-cent-owned Bobby's Pond project in compliance with National Instrument 43-101. Below is a comparison of the results from the March, 2006, and January, 2007, National Instrument 43-101 mineral resource estimates:
MOUNTAIN LAKE'S COMPARISON OF BOBBY'S POND RESULTS FROM 2006 AND 2007
NI 43-101 COMPLIANT MINERAL RESOURCE ESTIMATES
Report No. 1 Report No. 1 Report No. 1
March, 2006, March, 2006, March, 2006,
indicated inferred total
380,000 m/t 550,000 m/t 930,000 m/t
0.85% Cu 0.80% Cu 0.82% Cu
4.73% Zn 4.12% Zn 4.37% Zn
0.28% Pb 0.51% Pb 0.42% Pb
16.0 g/t Ag 16.1 g/t Ag 16.1 g/t Ag
0.20 g/t Au 0.20 g/t Au 0.20 g/t Au
Report No. 2 Report No. 2 Report No. 2 Variances
January, 2007, January, 2007, January, 2007, between
indicated inferred total report 1 and 2
860,000 m/t 480,000 m/t 1,340,000 m/t + 44.1%
0.93% Cu 1.07% Cu 0.98% Cu + 19.5%
6.30% Zn 6.36% Zn 6.32% Zn + 44.6%
0.53% Pb 0.38% Pb 0.48% Pb + 14.3%
20.0 g/t Ag 15.0 g/t Ag 18.2 g/t Ag + 13%
0.24 g/t Au 0.18 g/t Au 0.22 g/t Au +10%
SCOTT WILSON RPA; NI 43-101 COMPLIANT MINERAL RESOURCE ESTIMATE
(January, 2007)
Lens Category Tonnes Grade
Cu % Zn % Pb % Ag g/t Au g/t
1 Indicated 585,000 1.00 6.78 0.37 12 0.20
2 Indicated 65,000 0.98 5.70 0.45 19 0.17
3 Indicated 210,000 0.72 7.92 1.02 41 0.36
All Subtotal
lenses Indicated 860,000 0.93 6.30 0.53 20 0.25
Plus
1 Inferred 265,000 1.15 5.04 0.38 12 0.19
2 Inferred 202,000 1.01 8.18 0.37 20 0.18
3 Inferred 2,000 0.57 5.36 0.49 14 0.09
4 Inferred 11,000 0.37 4.96 0.34 12 0.25
All Subtotal
lenses Inferred 480,000 1.07 6.36 0.38 15 0.18
HudBay Launches New Enhanced Website
Wednesday February 7, 2:09 pm ET
WINNIPEG, MANITOBA--(CCNMatthews - Feb. 7, 2007) - HudBay Minerals Inc. (TSX:HBM - News) today announced the launch of its new web site www.hudbayminerals.com.
"The new HudBay web site offers timely and transparent information covering the aspects of our business that are important to our investors and other stakeholders," said Peter Jones, President & CEO.
The web site incorporates:
- Information on HudBay's operations.
- Investor presentations and webcasts.
- Exploration reports.
- Access to share price, regulatory filings, and metals prices.
- A photo gallery of the company.
- Customized reports.
- Email alerts.
Brad Woods, Director Investor Relations said, "I'm very pleased with our new state-of-the-art web site and its content - and especially the quick loading features it incorporates. This web site is an important communication tool to our investors and is one of the ways we can reflect the growing profile of our business."
About HudBay Minerals Inc.
HudBay Minerals Inc. is an integrated mining company that operates mines, concentrators and a metal production facility in northern Manitoba and Saskatchewan. The company also owns a zinc oxide production facility in Ontario, the White Pine copper refinery in Michigan and the Balmat zinc mine operations in New York state. HudBay is a member of the S&P/TSX Composite Index.
Contact:
Brad Woods
HudBay Minerals Inc.
Director, Investor Relations
(204) 949-4272
Email: brad.woods@hbms.ca
Website: www.hudbayminerals.com
Source: HudBay Minerals Inc.
Canasil Identifies Large Silver-Zinc-Lead-Copper Target With Coincident Geophysical and Geochemical Anomalies at the Salamandra Project in Durango State, Mexico
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 6, 2007) - Canasil Resources Inc. (Canasil) (TSX VENTURE:CLZ) is pleased to announce that the results of the surface geochemical sampling program on the Salamandra Zinc-Silver project in Durango State, Mexico, indicate pronounced silver, zinc, lead and copper geochemical soil and rock sample anomalies on the flanks of the main intrusive body. These anomalies are coincident with the chargeability anomalies observed in the 3-D IP/Resistivity survey reported on November 30, 2006.
The occurrence of anomalous silver, zinc, lead and copper results in soil and rock samples capping the areas of subsurface IP chargeability anomalies outlines drill targets to test for buried mineralization at the Salamandra project. The Company is reviewing these results and planning a diamond drill program to test these targets.
The target is a silver-zinc-lead-copper manto replacement / skarn body that occurs along the intrusive contacts, similar to the San Martin deposit of Grupo Mexico located 80 kilometres to the southeast of the Salamandra project. The San Martin Mine is the largest underground zinc-copper-silver mine in Mexico and currently operates at 5,600 tonnes per day.
The geochemical survey consisted of 106 rock chip samples and 237 soil samples, over an area of 3,100 metres by 3,200 metres. The sampling program was designed to test for silver, zinc, copper and lead mineralization, as well as other indicator minerals, within limestones and siltstones in a poorly exposed bedrock area along the margin of the rhyolite porphyry intrusive formation. Rock samples range in value from trace to 87 g/t silver, 5.1% zinc, 1.25% lead and 0.13% copper. Soil samples range in value from trace to 3.3 ppm silver, 2,390 ppm zinc, 720 ppm lead and 169 ppm copper. Figures showing the geophysical and geochemical anomalies are attached.
The Salamandra project covers 2,900 hectares (7,163 acres), located 35 km NE of the city of Durango in Durango State, Mexico, with good access via paved and gravel roads. The access, infrastructure, climate and topography at the Salamandra property provide favourable conditions for exploration and development.
The survey was supervised and carried out by the Company's geological team based in Durango, Mexico, under the direction of Erme Enriquez, Director of Exploration and Development in Mexico. Gary Nordin, P. Geo., British Columbia and Director of Canasil, is the designated Qualified Person for this project in accordance with National Instrument 43-101, and has reviewed the contents of this announcement.
About Canasil:
Canasil is a Canadian based mining and mineral exploration company with interests in base and precious metal properties in British Columbia, Canada, and in Durango, Sinaloa and Zacatecas States, Mexico. The Company's management team includes industry professionals with a consistent track record of identifying and advancing successful mineral exploration projects. The Company is actively engaged in the exploration of its mineral properties and in evaluating additional acquisition opportunities.
This news release contains certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical fact, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects to occur, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Investors are cautioned that any such statements are not guarantees of future performance. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made.
To view Figures 1, 2, 3 and 4 please click on the following link: http://www.ccnmatthews.com/docs/clz0206.pdf
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.
Abcourt Mines Inc.: The Validation tests on the Cyanidation-Flotation Abcourt Process Are Conclusive
Tuesday February 6, 1:09 pm ET
A Contract for Additionnal Soil Sampling in the Tailings Pond Area Has Been Awarded to Golder & Associates
MONT-ST-HILAIRE, QUEBEC--(CCNMatthews - Feb. 6, 2007) - Abcourt Mines Inc.(TSX VENTURE:ABI - News)
ADVERTISEMENT
THE VALIDATION TESTS ON THE ABCOURT-BARVUE CYANIDATION-FLOTATION PROCESS ARE NOW COMPLETED
Abcourt Mines Inc. is pleased to announce that the validation tests done on the cyanidation-flotation Abcourt process are now completed. These tests realized at Laboratoire LTM inc. of Val d'Or under the supervision of Bumigeme Inc were positives and confirmed the excellent results obtained previously by characterization tests. The process includes at the beginning the cyanidation of the ore to recover most of the gold and silver, followed by the flotation of zinc and some of the remaining silver and finally, the flotation of pyrite to produce a non-acid producing tailing. The pyrite concentrate represents approximately 15 % of the ore and it will be stored first in a watertight cell in the tailings pond. Later, it will be added to backfill underground. This process enables us to optimize the monetary recovery of gold, silver and zinc and to lower considerably the construction cost of the tailings pond.
CONTRACT AWARDED TO GOLDER AND ASSOCIATES FOR ADDITIONAL SOIL TEST HOLES IN THE TAILINGS POND AREA
Abcourt Mines Inc. is also pleased to announce that the soil testing done by Golder & Associates last Fall in the tailings pond area were used to sample the soil in-situ and in laboratories. Taking into account the results obtained, Golder was able to prepare a typical cross-section of the tailings dam and to write a preliminary report.
Now, before proceeding with the final design of the tailings dam, Golder recommends to drill 15 (fifteen) holes along the axes of the dam, 25 (twenty five) holes inside the tailings pond to outline the sandy area in the north centre of the site and finally 5 (five) holes to determine the depth and nature of overburden near the edge of the pits. All these tests are needed to prepare our request for permits. To avoid any delay in the realization of our project, a contract was awarded to Golder on February 3 last and testing will start this week.
Abcourt Mines Inc. is an exploration and development company with strategically located properties in Northwestern Quebec. The Abcourt-Barvue project with 43-101 silver-zinc resources and the Elder mine with 43-101 gold resources are both past producers. Abcourt is now focused on bringing these two projects back in production and at the same time, it is on the lookout for others projects which could be developed later. To know more about Abcourt, please consult our web site www.abcourt.com and Sedar www.sedar.com .
The Abcourt shares are trading on the TSX Venture Stock Exchange under the symbol ABI.V and at Frankfurt and Berlin in Germany.
FORWARD-LOOKING STATEMENTS: Except for statements of historical facts, all statements in this news release, including, without limitation, statements regarding forecasts, plans and objectives of Abcourt Mines Inc., - are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements.
This press release was prepared by Abcourt Mines Inc. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
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