Pele Mountain Projects Up to 218,000 Kilograms of Recoverable Rare Earth Oxides Annually, in Addition to 826,000 Pounds of U3O8
28 September 2010 - 2:46PM
Marketwired
Pele Mountain Resources Inc. (TSX VENTURE: GEM) ("Pele" or the
"Company") today announced projections that, based on the
production rate used in Pele's October 2007 NI 43-101 Scoping Study
(the "Scoping Study") by Scott Wilson Roscoe Postle Associates
("Scott Wilson RPA"), Eco Ridge leach solutions could contain up to
218,000 kilograms of recoverable total Rare Earth Oxides ("TREO")
annually, in addition to 826,000 pounds of uranium oxide. These
projections are based on the Scoping Study and on rare earth oxide
("REO") assays from 30 widely spaced drill holes and the results of
leach tests performed at SGS Canada Inc. Fifty percent of this TREO
would be heavy rare earth oxides ("HREO") plus Yttrium. The Eco
Ridge Mine project is 100-percent owned by First Canadian Uranium
Inc., a wholly owned subsidiary of Pele.
Recent extraordinary REO market developments have resulted in
sharply rising prices for several of the rare earth oxides, which
are all found at Eco Ridge in significant quantities. Led by its
renowned Rare Metals Advisor, Dr. William Bird, Pele is pursuing
opportunities for REO by-products at Eco Ridge.
Regarding REO market developments, Dr. Bird commented, "China,
which produces about 97-percent of the worldwide supply of REO, has
recently reduced its REO export quotas by up to 70-percent. These
new export restrictions have sparked a rush to find and bring to
production new sources of REO outside of China. The Elliot Lake
uranium deposits, such as Pele's Eco Ridge Mine project, are
ideally positioned to supply significant REO to the western world.
They are well-understood deposits that have produced REO
commercially in the recent past. They are in a politically stable
and mining-friendly area of Ontario and much of the infrastructure
is in place to very quickly produce again."
Dr. Bird continued, "Pele's Eco Ridge Mine deposit contains the
full range of REO, including the highly valued 'heavy' REO. With
heavy REO plus Yttrium comprising about 50 percent of the TREO
recoverable, Eco Ridge could produce a desirable mix of REO and it
represents a large potential future source of these strategically
critical metals."
Pele's 100-percent owned Eco Ridge Mine project contains a NI
43-101 resource in the main conglomerate bed ("MCB") of 6.4 million
pounds of "indicated" U3O8 (5.68 million tonnes grading
0.051-percent U3O8) and 36.1 million pounds of "inferred" U3O8
(37.26 tonnes grading 0.044-percent U3O8) as reported in Pele's
Scoping Study. Based on historical wide-spaced drilling, Scott
Wilson RPA estimated that Pele's mining claims outside of the
Company's present NI 43-101 resource area could contain an
additional 35 to 40 million tonnes grading from 0.04 to
0.05-percent as a potential mineral deposit.(1) The deposit also
remains open down dip from the drilled areas where there is
considerable room for expansion of the deposit. Pele announced on
September 13, 2010, that it has retained Scott Wilson RPA to
provide an updated NI 43-101 mineral resource estimate that will
include both uranium and rare earth elements ("REE") by the end of
2010.
All 30 drill holes that Pele has analyzed for REO to-date have
contained significant REO. A total of 29 of the 30 analyzed holes
were drilled over an area 2 kilometres across strike and 1
kilometre down dip within the area of the defined NI 43-101 uranium
resources. The outlying hole was located north of the classified
resources and intersected the down-dip continuation of both uranium
and REO mineralization beyond the resource area. Assays for each
individual REO are contained in the chart available at
http://www.pelemountain.com/pdfs/092710_REOtable.pdf.
HREO plus Yttrium have demonstrated good recoverability in leach
testing on Pele's drill core at SGS Canada Inc. The following
statement and tables are excerpted from Section 16 of the Scoping
Study, "Overall leach extraction of heavy rare earths (terbium,
dysprosium, erbium, holmium, thulium, ytterbium and lutetium) plus
yttrium, in all leach tests averaged 64%."
http://www.pelemountain.com/pdfs/Table2_RareEarthExtraction.pdf
With regard to REE recovery, Dr. Bird stated, "This means that
up to 64-percent of these valuable heavy REE, which occur with the
uranium at Eco Ridge, are available in the uranium leach solutions,
at no extra mining or milling costs. Chemical extraction of the REE
from the uranium leach solutions at Elliot Lake has been
commercially successful in the past. Pele is assessing extraction
and recovery opportunities for REE by-products, along with an
assessment of their potential contribution toward project economics
for inclusion in future Eco Ridge Mine economic modeling
purposes."
This press release has been reviewed and approved by Dr. William
H. Bird, P.Geo., an independent qualified person under NI 43-101
and founding member of Pele's Rare Metals Advisory Board.
About Pele
Pele Mountain Resources is focused on the sustainable
development of its flagship Eco Ridge Mine Uranium and Rare Earth
Elements ("REE") project, located in the Elliot Lake mining camp of
Northern Ontario. Pele's expert team of technical personnel,
advisors, and consultants is working to optimize mining,
processing, and waste management techniques at Eco Ridge. With
well-understood geology, excellent regional infrastructure, and
strong local support, Eco Ridge provides an ideal location for a
safe, secure, and reliable long-term supply of Uranium and REE.
Additionally, Pele has, or is actively seeking, qualified strategic
partners to advance its other high-potential exploration projects,
including high-grade gold properties at Highland and Ardeen. Pele's
shares are listed on the TSX Venture Exchange under the symbol
"GEM".
(1) The potential quantity and grade is conceptual in nature.
There has been insufficient exploration to define a mineral
resource. It is uncertain if further exploration will result in the
discovery of a mineral resource.
Some of the statements contained in this release are
forward-looking statements, such as estimates and statements that
describe Pele's future plans, objectives or goals, including words
to the effect that Pele or management expects a stated condition or
result to occur. Since forward-looking statements address future
events and conditions, by their very nature, they involve inherent
risks and uncertainties. Actual results in each case could differ
materially from those currently anticipated in such statements. The
economic viability of the 43-101 mineral resource at Pele's Elliot
Lake Project has not yet been demonstrated by a preliminary
feasibility study.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Contacts: Pele Mountain Resources Inc. Al Shefsky President
(800) 315-7353 www.pelemountain.com
Green Battery Minerals (TSXV:GEM)
Historical Stock Chart
Von Apr 2024 bis Mai 2024
Green Battery Minerals (TSXV:GEM)
Historical Stock Chart
Von Mai 2023 bis Mai 2024