Golden Chalice Resources Posts NI 43-101 Technical Report for Radio Hill Iron Ore Property on SEDAR
- Historic metallurgical tests indicate the potential to produce 61 to 63% iron concentrate
VANCOUVER, BC - Golden Chalice Resources Inc. (TSX-V: GCR) ("The Company") is pleased to announce it has posted on SEDAR its recently completed an independent Property of Merit report on the Radio Hill iron deposit. The report was completed Micon International Inc. of Toronto, Ontario.
The report can be found on SEDAR or by clicking on the following link:
www.sedar.com
The report states that the project holds significant economic potential should the mineralization prove to be consistent with historical results. Various historical resources estimates exist on the property ranging from 90 million tons grading 27.3% soluble iron to 427 million tons grading 27.3%, depending on the depth of the open pit used in the calculation. However, since none of the original core remains available and only limited amounts of the original metallurgical testwork information remains, none of the resources at the Radio Hill property meet NI 43-101 requirements.
EXCERPT FROM REPORT CONCLUSIONS:
"In the Radio Hill iron property, GCR has acquired a property containing extensive iron formation with two potentially significant iron deposits, Radio Hill and Nat River. On the basis of work carried out by previous operators, the extensive zone of magnetite-bearing iron formation at Radio Hill appears amenable to processing by magnetic separation. The Nat River deposit is smaller and less well explored but appears similar.
Based on the review of all of the historical documentation presented, the results of GCR's exploration and its site visit to the property, Micon concludes that a moderate-sized iron resource is likely to exist at Radio Hill that may be developed commercially as a conventional iron ore operation.
The iron formation lies in areas of high relief relative to surrounding flat-lying land, thus the Radio Hill deposit will require minimal waste removal from any pits developed over the early years of mine life. Historical mine planning work, indicated a stripping ratio of approximately 1:1."
| Facility | Weight recovery (%) |
Concentrate Grade (% Fe) |
Silica (% SiO2) |
Iron Recovery (%) |
| Lakefield | 25.9 | 63.27 | 7.46 | 61.1 |
| KHD | 32.2 | 61.60 | - | 66.0 |
These results indicated that the Radio Hill iron deposit had the potential to be developed commercially, based on the concentrate quality specifications of that time.
Micon recommends that a thorough program of drilling, assaying, metallurgical bench-scale testing as well as pilot scale testing should be implemented in order to verify earlier results and better characterize the quality of the mineralization. The cost of the program is estimated to be $3.5 million which would meet the requirements for a 43-101 compliant mineral resource.
The Nat River iron formation , approximately 9.8 kilometers east of the Radio Hill iron deposit on the adjacent Golden Chalice Resources Timmins West Property is considered by Micon to be an effectively unexplored area with the potential for commercial iron deposits.
Kevin Montgomery, P.Geo., is the Company's qualified person for the purposes of National Instrument 43-101 for the Company's Timmins' area projects. The technical contents of the press release have been reviewed and approved by Kevin Montgomery.
The historical estimates contained in this news release are not in accordance with the mineral resources or mineral reserves classifications contained in the CIM Definition Standards on Mineral Resources and Mineral Reserves, as required by National Instrument 43-101 ("NI 43-101"). Accordingly, the Company is not treating these historical estimates as current mineral resources or mineral reserves as defined in NI 43-101 and such historical estimates should not be relied upon. A qualified person has not done sufficient work to date to classify the historical estimates as current mineral resources or mineral reserves. The term "ore" in this release is being used in a descriptive sense for historical accuracy, and is not to be misconstrued as representing current economic viability
ABOUT RADIO HILL/TIMMINS WEST PROJECT
The Timmins West Project covers portions of iron formation that includes the historically identified iron deposits of Radio Hill and Nat River approximately 80 km southwest of Timmins. The property comprises 68 claims in two groups that encompass the Radio Hill and Nat River iron formations. The areal extent of the property is approximately 12,304 ha. The location, close to the Canadian National Railway (CN) and to Timmins, together with the associated infrastructure in the Timmins area, is a significant advantage for the future development of the property.
ABOUT GOLDEN CHALICE
On May 19, 2010, the Company announced it had completed a NI 43-101 resource estimate for its flagship Langmuir Nickel Project where 2007 drilling intersected 72 meters of 1.14% nickel. The Langmuir Project is easily accessible by road and is near existing mining infrastructure in the Timmins camp, host to numerous world-class gold and base metal deposits. The Company owns 100% of the property which covers more than 30 km of favorable stratigraphy with potential for hosting Kambalda-style deposits.
CONTACT INFORMATION
Steve de Jong or Stephen Pearce
Phone: (604) 629-1808
Email: info@goldenchaliceresources.com
Website: www.goldenchaliceresources.com
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
This document contains certain forward looking statements which involve known and unknown risks, delays and uncertainties not under the corporation's control which may cause actual results, performance or achievements of the corporation to be materially different from the results, performance or expectation implied by these forward looking statements.
View News Release in PDF Format:
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Golden Chalice Resources: Corporate Update
FINANCIAL UPDATE:
The Company has sufficient funds for the remainder of the year but will require additional funding for any significant future exploration programs. A review of the Company's finances has led to a number of recommendations, some of which have already been implemented. Company overhead and operating expenditures have been drastically reduced and all work programs have been temporarily suspended pending a thorough property review by the new Board of Directors. "We will continue the process of reviewing expenditures to ensure the maximum amount of Company dollars are spent in the ground as exploration expenses," states Company CFO, Stephen Pearce.
PROJECT UPDATE:
The project review, scheduled for the beginning of August in Timmins, Ontario, will include the new Board of Directors and management team, project geologists, previous consulting geologists to the Company and several property vendors. Based on this review, the Company will develop specific plans for each project which will be announced shortly thereafter.
The Company has filed its National Instrument 43-101 technical report for the Langmuir W4 Nickel Deposit and shareholders are invited to visit sedar.com for a copy of this report. A technical report on the Company's Radio Hill project is expected to be filed on sedar within the next week and the Company will announce its filing and summary at that time.
A preliminary review by the new management has identified certain priority project areas:
Langmuir W4 Nickel Deposit: The Langmuir nickel project, located within the boundaries of the City of Timmins, Ontario, is a high grade nickel deposit amenable to open pit mining methods. The deposit contains an indicated resource 677,000 tons grading 1% (14,813,000 pounds of nickel) and inferred resource of 171,000 tons grading 0.89% (3,360,000 pounds of nickel), see May 19, 2010 news release. According to the SRK Consulting report, the next step to advance the project is to commission environmental, metallurgical, and scoping studies as well as conduct infill drilling on sections of the deposit in the inferred category. It is recommended that deep drilling beneath and downdip of the deposit will be handled as a different campaign in order to expedite the initial scoping study.
Radio Hill Iron-Ore Project: The recent 43-101 Technical Report of the Radio Hill Iron-Ore Project conducted by MICON International Ltd. contained a number of exploration recommendations for the Company. A $3.5 million exploration program has been outlined by MICON to advance the project and provide the data necessary to commission a NI 43-101 Resource Estimate. Numerous historical resources estimates have been conducted on the project ranging 90.2 million tons of iron-ore grading 27.3% (limited to a 680 foot elevation cut-off) to 427.6 million tons grading 27.3% (no known elevation cut-off). An estimated 140 drill holes have been put into the Radio Hill Iron formation.
Other Projects slated for Review: Nevada UKE/Aphro Gold Project, Brinklow Gold, Bathurst Portage and Taylor Projects, Timmins West and Abitibi East.
CORPORATE UPDATE:
Dr. Trygve Hoy, P.Eng. has been added to the Board of Directors and he will play an instrumental role in the evaluation of the Company's projects. The new management team has commenced a review of the Company's website and expects this to be completed by the end of July. Following the project review, the Company will provide further updates to shareholders of its priorities and recommendations for each project. The Company's focus will continue to be on both base and precious metal exploration in areas with existing infrastructure in jurisdictions favourable to mining practices.
ABOUT GOLDEN CHALICE
On May 19, 2010, the Company announced it had completed a NI 43-101 resource estimate for its flagship Langmuir Nickel Project where 2007 drilling intersected 72 meters of 1.14% nickel. The Langmuir Project is easily accessible by road and is near existing mining infrastructure in the Timmins camp, host to numerous world-class gold and base metal deposits. The Company owns 100% of the property which covers more than 30 km of favorable stratigraphy with potential for hosting Kambalda-style deposits.
CONTACT INFORMATION
Steve de Jong or Stephen Pearce
Phone: (604) 629-1808
Email: info@goldenchaliceresources.com
Website: www.goldenchaliceresources.com
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
This document contains certain forward looking statements which involve known and unknown risks, delays and uncertainties not under the corporation's control which may cause actual results, performance or achievements of the corporation to be materially different from the results, performance or expectation implied by these forward looking statements.
This document contains certain forward looking statements which involve known and unknown risks, delays and uncertainties not under the corporation's control which may cause actual results, performance or achievements of the corporation to be materially different from the results, performance or expectation implied by these forward looking statements.
Golden Chalice Resources Posts Langmuir NI 43-101 Mineral Resource Evaluation Report on SEDAR for Public Viewing
EXCERPT FROM EXECUTIVE SUMMARY:
"The characteristics of Langmuir W4 are of sufficient merit to justify undertaking preliminary engineering, environmental and metallurgical studies aimed at completing the characterization of the nickel sulphide mineralization. This would provide a snapshot assessment of the current information base at Langmuir W4, which can provide economic guidelines for future exploration strategies within the Langmuir Property.
The geological setting and character of the nickel sulphide mineralization delineated to date on Langmuir W4 are of sufficient merit to justify additional exploration and development expenditures."
"The W4 deposit represents the highest grade nickel deposit that is amenable to open pit mining methods in the immediate area and it is the Company's full intention to capitalize on this advantage given current metal prices," stated Company President, Steve de Jong. "The completion of the Resource Estimate is a major hurdle for the Company as we begin to assess the development potential of the W4 deposit. It is encouraging to see SRK's recommendations involve metallurgical and environmental testing and that the W4 deposit is of sufficient merit to justify development expenditures."
HIGHLIGHTS FROM THE REPORT INCLUDE:
- an Indicated mineral resource of 677,000 tonnes at an average grade of 1.00% nickel and an additional 171,000 tonnes at an average grade of 0.89% nickel in the Inferred category, the majority of which is amenable to open-pit mining methods.
- SRK notes that these mineral resources occupy only a small footprint of the larger Golden Chalice controlled Langmuir Property
http://www.brmstatpack.com/lt/1001/1135/w4-open-pit
The mineral resource statement prepared by SRK is detailed in Table 1, below.
Table 1: Mineral Resource Statement*, Langmuir W4 Nickel Project, Ontario (May 12, 2010)
| Category | Quantity | Grade | Metal | |||
| Tonnes | Ni | Cu | Ni | Cu | ||
| 000't | % | % | lbs 000's | lbs 000's | ||
| Open Pit** | ||||||
| Indicated | 590,000 | 0.99 | 0.06 | 12,816 | 840 | |
| Inferred | 125,000 | 0.88 | 0.06 | 2,437 | 157 | |
| Underground ** | ||||||
| Indicated | 87,000 | 1.04 | 0.08 | 1,997 | 149 | |
| Inferred | 46,000 | 0.91 | 0.05 | 923 | 53 | |
| Combined | ||||||
| Indicated | 677,000 | 1.00 | 0.06 | 14,813 | 989 | |
| Inferred | 171,000 | 0.89 | 0.06 | 3,360 | 210 | |
Kevin Montgomery, P.Geo., is the Company's qualified person for the purposes of National Instrument 43-101 for the Company's Timmins' area projects. The technical contents of the press release have been reviewed and approved by Kevin Montgomery.
ABOUT GOLDEN CHALICE
On May 19, 2010, the Company announced it had completed a NI 43-101 resource estimate for its flagship Langmuir Nickel Project where 2007 drilling intersected 72 meters of 1.14% nickel. The Langmuir Project is easily accessible by road and is near existing mining infrastructure in the Timmins camp, host to numerous world-class gold and base metal deposits. The Company owns 100% of the property which covers more than 30 km of favorable stratigraphy with potential for hosting Kambalda-style deposits.
CORPORATE INQUIRIES:
Steve de Jong or Stephen Pearce
Phone: (604) 629-1808
Email: info@goldenchaliceresources.com
Website: www.goldenchaliceresources.com
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
Golden Chalice Resources Management Change
"It is a privilege to be given the opportunity to build upon and develop the Company's impressive collection of properties," commented Mr. de Jong. "On behalf of the Company I want to thank prior management for their work and entrusting myself and our new team to continue building shareholder value going forward. We will be providing a corporate update within the next two weeks announcing plans for the Company's numerous projects."
Mr. de Jong has over 10 years of management experience and currently advises a number of junior mining companies regarding corporate development strategies. He is an entrepreneur by nature and been involved in numerous businesses related to resource and non resource industries. While his prior start-up ventures were private, most of the junior mining advisory work has been with public companies.
Mr. Pearce is a practicing lawyer who specializes in corporate and securities work. He has been actively involved in public resource companies for over 15 years. He is currently an officer and/or director of a number of junior public companies, primarily in the natural resource sector, namely Golden Goliath Resources Ltd., Sable Resources Ltd., Flying A Petroleum Ltd. and Sunorca Development Corp. All of the companies are headquartered in Vancouver, British Columbia and listed on the TSX Venture Exchange, with the exception of Sunorca which is listed on the Canadian National Stock Exchange. Mr. Pearce is active in his community as President of the Western Regional Advocacy Group Society which works in partnership with Sleep Country Canada to provide beds to those in need. Together they have provided over 200,000 beds to people in need over the past 10 years.
Mr. Durant brings 32 years of experience building successful companies to this Board. While his focus has been building his own private companies in real estate development, he has been an active investor and student of the junior mineral exploration sector for many years. Mr. Durant has visited many exploration properties, studied the work of experienced geologists and technicians and taken a keen interest in the marketing aspects of junior exploration companies. His experience, common sense approach and successful real estate marketing expertise will bring a unique and new perspective to the Board.
The Company is fortunate to have attracted such capable and dynamic members to its management team and Board and is confident they will provide strong leadership. They intend to work closely with the other Board members and technical advisors to move the Company forward in developing our Ontario properties and building a strong asset base for our shareholders.
As part of the Company's management change Richard Hughes, Alan Campbell, Darcy Hughes and Joe Montgomery have resigned from the Board of Directors of the Company to focus on their other projects. The Company wishes to thank them for their time and dedication to the Company and wish them well on all future endeavors. The Company has also relocated its executive offices in Vancouver, please see the new contact information above.
ABOUT GOLDEN CHALICE
On May 19, 2010, the Company announced it had completed a NI 43-101 resource estimate for its flagship Langmuir Nickel Project where 2007 drilling intersected 72 meters of 1.14% nickel. The Langmuir Project is easily accessible by road and is near existing mining infrastructure in the Timmins camp, host to numerous world-class gold and base metal deposits. The Company owns 100% of the property which covers more than 30 km of favorable stratigraphy with potential for hosting Kambalda-style deposits.
This document contains certain forward looking statements which involve known and unknown risks, delays and uncertainties not under the corporation's control which may cause actual results, performance or achievements of the corporation to be materially different from the results, performance or expectation implied by these forward looking statements.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
Golden Chalice Resources Receives NI 43-101 Property of Merit Report for Radio Hill Iron Ore Property
- Several historical, non- NI 43-101 compliant resource estimates have been completed on Radio Hill ranging from 90 million tons grading 27.3% soluble iron to 427 million tons grading 27.3% soluble iron estimated by drilling and bulk tonnage sampling
- Historic metallurgical tests indicate the potential to produce 63 to 65% iron concentrate
VANCOUVER, BC - Golden Chalice Resources Inc. (TSX-V: GCR) ("The Company") is pleased to announce that it has received an independent Property of Merit report on the Radio Hill iron deposit from Micon International Inc.
"We are extremely encouraged by the Micon Property of Merit Report for the Radio Hill Iron Ore project. The excellent infrastructure, close proximity to a mining community and recent escalation of iron ore prices makes the Radio Hill iron deposit an attractive project." comments Company VP of Exploration, Peter Caldbick. "With confirmation of the project's merits and detailed recommendations of drilling by Micon, the company can advance this project to the next stage with a resource audit. It is especially encouraging that historical metallurgical bench scale test work established the potential of the deposit to be developed commercially at that time."
Conclusions/recommendations of the report:
- Based on all of the historical documentation reviewed, results of GCR's exploration and its site visit to the property, Micon concludes that a moderate sized iron resource is likely to exist at Radio Hill that may be developed commercially as a conventional iron ore operation. Existing infrastructure is in place including a railroad siding previously built to access iron-ore; hydroelectric power, water and natural gas.
- Historic metallurgical test work indicated that a commercially acceptable iron concentrate could be produced from Radio Hill mineralized material using magnetic separation followed by flotation
- There is an opportunity for development of the Radio Hill iron resource as feed for direct reduced iron (DRI) such as the Kobe ITmk3 iron nugget process
- The part of the Radio Hill deposit that is thickened by folding is open (i.e., untested by drilling) down plunge to the northwest
- $3.5 million exploration program has been outlined by MICON to advance the project and provide the data necessary to commission a NI 43-101 Resource Estimate
- Although the historical resource and reserve estimates were prepared to the standards of the day, since none of the original core remains available and only limited amounts of the original metallurgical testwork remains, none of the iron resources at the Radio Hill property meet the requirements for a 43-101 compliant mineral resource
- The historical metallurgical testwork completed on the Radio Hill property was well done but additional work, including pilot plant testing of representative blended samples, must be undertaken
A complete Technical Report, compiled in accordance to Canadian Securities Administrators National Instrument Form 43-101F1 Guidelines, will be filed on Sedar within 45 days of release of this press release.
Micon recommends that a thorough program of drilling, assaying, metallurgical bench-scale testing as well as pilot scale testing should be implemented in order to verify earlier results and better characterize the quality of the mineralization. The cost of the program is estimated to be $3.5 million which would meet the requirements for a 43-101 compliant mineral resource. It is Micon's opinion that the proposed exploration plans are properly conceived and justified.
Iron formation at the Nat River deposit, approximately 9.8 kilometers east of the Radio Hill iron deposit on the adjacent Golden Chalice Resources Timmins West Property is considered by Micon to be an effectively unexplored area with the potential for commercial iron deposits.
The historical estimates contained in this news release are not in accordance with the mineral resources or mineral reserves classifications contained in the CIM Definition Standards on Mineral Resources and Mineral Reserves, as required by National Instrument 43-101 ("NI 43-101"). Accordingly, the Company is not treating these historical estimates as current mineral resources or mineral reserves as defined in NI 43-101 and such historical estimates should not be relied upon. A qualified person has not done sufficient work to date to classify the historical estimates as current mineral resources or mineral reserves. The term "ore" in this release is being used in a descriptive sense for historical accuracy, and is not to be misconstrued as representing current economic viability
ABOUT TIMMINS WEST PROJECT
The Timmins West Project covers portions of iron formation that includes the historically identified iron deposits of Radio Hill and Nat River approximately 80 km southwest of Timmins. The property comprises 68 claims in two groups that encompass the Radio Hill and Nat River iron formations. The areal extent of the property is approximately 12,304 ha. The location, close to the Canadian National Railway (CN) and to Timmins, together with the associated infrastructure in the Timmins area, is a significant advantage for the future development of the property.
Peter Caldbick, P.Geo., is the qualified person for the purposes of National Instrument 43-101 for the Company's Timmins West Project . The contents of the press release have been reviewed and approved by Peter Caldbick.
ABOUT GOLDEN CHALICE
On February 4, 2010 the Company announced it had commissioned a NI 43-101 resource estimate on its flagship Langmuir Nickel Project where 2007 drilling intersected 72 meters of 1.14% nickel. The Langmuir Project is easily accessible by road and is near existing mining infrastructure in the Timmins camp, host to numerous world-class gold and base metal deposits. The Company owns 100% of the property which covers more than 30 km of favorable stratigraphy with potential for hosting Kambalda-style deposits.
CONTACT INFORMATION
Corporate Inquiries: Alan Campbell or Kevin Hull, Investor Relations
Phone: (604) 685-2222
Email: info@goldenchaliceresources.com
Website: www.goldenchaliceresources.com
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
This document contains certain forward looking statements which involve known and unknown risks, delays and uncertainties not under the corporation's control which may cause actual results, performance or achievements of the corporation to be materially different from the results, performance or expectation implied by these forward looking statements.
This document contains certain forward looking statements which involve known and unknown risks, delays and uncertainties not under the corporation's control which may cause actual results, performance or achievements of the corporation to be materially different from the results, performance or expectation implied by these forward looking statements.