Quantcast
Last updated on April 17, 2014 at 17:30 EDT

Horizonte Minerals reports new mineral resource estimate for Araguaia Project, Brazil

January 10, 2012

TORONTO, Jan. 10, 2012 /PRNewswire/ – Horizonte Minerals (TSX:HZM, AIM:HZM) (“Horizonte” or “the Company”) the AIM and TSX quoted exploration and development company focused on
Brazil, is pleased to announce the completion of a new National
Instrument 43-101 (‘NI 43-101′)/JORC compliant Mineral Resource
Estimate for its 100% owned Araguaia Nickel Project in Brazil
(‘Araguaia’).

Highlights

        --  Indicated Resource of 39.3 million tonnes grading 1.39% nickel
            ('Ni') using 0.95% Ni cut-off;
        --  Inferred Resource of 60.9 million tonnes averaging 1.22% Ni
            using 0.95% Ni cut-off;
        --  High grade zones defined in the Indicated category at a 1.20%
            Ni cut-off grade total 24.2 million tonnes averaging 1.6% Ni -
            important for the economics of early mine production;
        --  Work on the Preliminary Economic Assessment ('PEA') on target
            for delivery mid-H1 2012;
        --  Initial metallurgical test work results due Q1 2012 to
            determine ore characteristics;
        --  Asset located in recognised producing Ni region with
            established infrastructure.

Jeremy Martin C.E.O. of Horizonte said, “This is excellent news for the Company and we are delighted that our
target tonnage has been achieved with this new resource estimate at
Araguaia.  We have converted 39% of the resource to the Indicated
category and demonstrated the existence of higher grade zones which are
vital for early mine life economics, as shown by the current Indicated
Resource of 24.2Mt grading 1.6% Ni using a 1.2% cut-off.

“We believe that the updated resource places Araguaia in the upper
quartile of developing global nickel assets in terms of size and
grade.  Further drilling is planned to convert additional material into
the Measured and Indicated Resource categories once the Company has
completed the PEA, its next milestone, which will give a range of
project economics.  We have a strong cash position and project
development team, as well as support from a major mining partner which
will enable us to drive the Araguaia project forward, significantly
adding to the value of the Company. This is, therefore, a great start
to 2012 for the Horizonte.”

Further Details

The mineral resource estimate is effective January 10, 2012 and is based
on 1,087 boreholes for a total of 25,773 metres and includes targets
within the North, Centre, Pequizeiro, Baião and Lontra sectors of the
greater Araguaia project.  Marc-Antoine Audet Géologue Consultant Inc.
carried out the resource modelling.  Significant portions of the
Mineral Resource, in particular from the Pequizeiro and Baião targets,
have been raised to the Indicated category. The Mineral Resources
include estimates from the Vila Oito West and Lontra zones not included
in the previous resource estimate, dated March 2010.  The model
integrates the concept of geological horizons (limonite, transition and
saprolite) to create a 3D block model. Estimation was conducted in
unwrinkled space using Gemcom software with Ordinary Kriging as the
interpolation method where drilling coverage allowed (generally 100
metre x 100 metre hole spacing or closer on the Pequizeiro, Pequizeiro
West and Baião targets) otherwise using Inverse Distance at the Power
of 2 (ID2).  Mineral Resources are reported using a range of Ni cut-off
grades (Table 1) and detailed by geological host at a 0.95% Ni cut-off (Table 2).

     ____________________________________________________________________________
    |Category |Cut-off|Tonnage|Contained| Ni |  Co |  Fe | MgO |SiO2 |Al2O3|Cr2O3|
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         |(% Ni) |  (Mt) | Ni (Kt) |  % |   % |   % |   % |   % |   % |   % |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |Indicated| 0.70% |   60.9|      725|1.19|0.061|19.49|15.91|35.87|6.06 |0.55 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 0.80% |   51.8|      656|1.27|0.060|19.35|15.70|36.29|5.91 |0.57 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 0.90% |   43.3|      584|1.35|0.061|19.22|15.39|36.77|5.81 |0.60 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 0.95% |   39.3|      548|1.39|0.061|19.10|15.28|37.07|5.74 |0.61 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 1.00% |   36.0|      515|1.43|0.061|19.01|15.14|37.32|5.70 |0.63 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 1.10% |   29.7|      450|1.51|0.061|18.73|14.90|37.90|5.63 |0.66 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 1.20% |   24.2|      386|1.60|0.061|18.34|14.72|38.57|5.57 |0.71 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         |       |       |         |    |     |     |     |     |     |     |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |Inferred | 0.70% |  114.1|     1179|1.03|0.057|19.68|15.98|38.33|5.44 |0.53 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 0.80% |   84.6|      935|1.11|0.057|19.09|16.04|37.90|5.19 |0.48 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 0.90% |   70.4|      832|1.18|0.057|19.80|15.43|37.17|5.28 |0.50 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 0.95% |   60.9|      743|1.22|0.058|19.83|15.26|37.27|5.25 |0.50 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 1.00% |   53.0|      667|1.26|0.058|19.71|15.21|37.51|5.19 |0.49 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 1.10% |   38.2|      512|1.34|0.058|19.50|15.16|37.90|5.07 |0.48 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 1.20% |   26.0|      373|1.43|0.059|19.21|14.96|38.59|4.93 |0.44 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         |       |       |         |    |     |     |     |     |     |     |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |Inferred | 1.30% |   37.1|      596|1.60|0.061|18.43|14.62|39.20|5.22 |0.60 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 1.40% |   27.2|      457|1.68|0.067|19.40|13.29|38.35|5.80 |0.71 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 1.50% |   19.7|      353|1.80|0.064|17.97|13.96|40.01|5.39 |0.71 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|
    |         | 2.00% |    3.7|       85|2.27|0.069|16.90|14.16|39.57|6.08 |0.85 |
    |_________|_______|_______|_________|____|_____|_____|_____|_____|_____|_____|

Table 1: Mineral Resources at a Range of Nickel Cut-off Grades

     ____________________________________________________________________________
    |Category | Material |Tonnage|Nickel| Ni |  Co |  Fe | MgO |SiO2 |Al2O3|Cr2O3|
    |_________|   type   |_______|______|____|_____|_____|_____|_____|_____|_____|
    |         |          |  (Mt) | (Kt) |  % |   % |   % |   % |   % |   % |   % |
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|
    |Indicated| Limonite |    7.8|    96|1.22|0.118|35.54| 4.11|19.04| 9.88| 0.49|
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|
    |         |Transition|   13.3|   205|1.54|0.062|18.83|12.39|40.72| 5.53| 0.66|
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|
    |         |Saprolite |   18.1|   246|1.36|0.035|12.19|22.24|42.18| 4.11| 0.63|
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|
    |         |Sub-Total |   39.3|   548|1.39|0.061|19.10|15.28|37.07| 5.74| 0.61|
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|
    |         |          |       |      |    |     |     |     |     |     |     |
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|
    |Inferred | Limonite |   13.5|   154|1.23|0.130|35.67| 3.41| 20.7|  9.5| 2.55|
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|
    |         |Transition|   21.3|   279|1.47|0.060|18.75|13.34|41.04| 5.18| 1.32|
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|
    |         |Saprolite |   26.2|   312|1.28|0.040|12.09|23.42|42.24| 3.82| 0.85|
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|
    |         |Sub-Total |   60.9|   744|1.22|0.058|19.81|15.27|37.30| 5.25| 0.50|
    |_________|__________|_______|______|____|_____|_____|_____|_____|_____|_____|

Table 2:  Mineral Resources at 0.95% Nickel Cut-off Detailed by
Geological Host

Details of Mineral Resource estimation methods, parameters and
assumptions used for this update will be described in a NI 43-101
technical report, which will be released and filed on SEDAR.  A summary
is provided below:

        --  Mineral Resources which are not mineral reserves do not have
            demonstrated economic viability.
        --  The estimate of Mineral Resources may be materially affected by
            environmental, permitting, legal, title, taxation,
            socio-political, marketing, or other relevant issues.
        --  Reported Mineral Resources have been rounded and this may
            result in minor discrepancies.
        --  The most likely cut-off grade for this deposit is not known and
            will need to be confirmed by the appropriate economic studies.
        --  The majority of the samples were crushed and pulverised at the
            SGS laboratory in Goiania and the resultant pulps analysed at
            SGS laboratory in Belo Horizonte using tetraborate fusion X-Ray
            Fluorescence ('XRF').
        --  Full quality assurance and quality control ("QA/QC') procedures
            were implemented, including insertion of standards, duplicates
            and blanks.
        --  Check (umpire) samples representing approximately 5% of the
            mineralised samples were analysed by ACME laboratories in
            Vancouver using XRF.
        --  Bulk density factors ('BDF') were measured from core samples
            and in excess of 7,600 determinations were used in the Resource
            estimation.
        --  A mineral resource confidence classification scheme has been
            applied for reporting the estimates that reflects the
            requirements of NI 43-101, and the CIM Definition Standards.

The data was validated and the Mineral Resource Estimates were prepared
by Marc-Antoine Audet P. Geo., Ph.D, an independent Qualified Person as
defined in NI 43-101.

About Horizonte

Horizonte Minerals Plc is an AIM quoted exploration and development
company with a portfolio of nickel and gold projects in the Carajas
District of Brazil.  The Company is focused on creating value by
generating and rapidly advancing exploration projects in tandem with
joint ventures with major mining companies, providing mid-term cash
flow which is then used to develop the business and pipeline projects.

Horizonte has two committed major mining partners: Teck Resources
Limited, a major strategic shareholder in the Company, and AngloGold
Ashanti Limited, a JV partner on the gold portfolio.

Horizonte owns 100 per cent of the advanced Araguaia nickel project
located to the south of the Carajas mineral district of northern
Brazil; the project has the potential to deliver a resource with size
and grades comparable to other world-class projects in northern Brazil

Horizonte is well funded to accelerate the development of its core
projects.

CAUTIONARY STATEMENT REGARDING FORWARD LOOKING INFORMATION
Except for statements of historical fact relating to the Company,
certain information contained in this press release constitutes
“forward-looking information” under Canadian securities legislation.
Forward-looking information includes, but is not limited to, statements
with respect to the potential of the Company’s current or future
mineral projects; the success of exploration and mining activities; and
cost and timing of future exploration, production and development..
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 statements that
certain actions, events or results “may”, “could”, “would”, “might” or
“will be taken”, “occur” or “be achieved”. In addition, statements
relating to “mineral reserves” or “mineral resources” are deemed to be
forward-looking statements, as they involve the implied assessment,
based on certain estimates and assumptions, that the mineral resources
and mineral reserves described can be profitably mined in the future.
Forward-looking information is based on the reasonable assumptions,
estimates, analysis and opinions of management made in light of its
experience and its perception of trends, current conditions and
expected developments, as well as other factors that management
believes to be relevant and reasonable in the circumstances at the date
that such statements are made, and are inherently subject to known and
unknown risks, uncertainties and other factors that may cause the
actual results, level of activity, performance or achievements of the
Company to be materially different from those expressed or implied by
such forward-looking information, including but not limited to risks
related to: exploration and mining risks, competition from competitors
with greater capital; the Company’s lack of experience with respect to
development-stage mining operations; fluctuations in metal prices;
uninsured risks; environmental and other regulatory requirements;
exploration, mining and other licences; the Company’s future payment
obligations; potential disputes with respect to the Company’s title to,
and the area of, its mining concessions; the Company’s dependence on
its ability to obtain sufficient financing in the future; the Company’s
dependence on its relationships with third parties; the Company’s joint
ventures; the potential of currency fluctuations and political or
economic instability  in countries in which the Company operates;
currency exchange fluctuations; the Company’s ability to manage its
growth effectively; the trading market for the ordinary shares of the
Company; uncertainty with respect to the Company’s plans to continue to
develop its operations and new projects; the Company’s dependence on
key personnel; possible conflicts of interest of directors and officers
of the Company, and various risks associated with the legal and
regulatory framework within which the Company operates.

Although management of the Company has attempted to identify important
factors that could cause actual results to differ materially from those
contained in forward-looking information, there may be other factors
that cause results not to be as anticipated, estimated or intended.
There can be no assurance that such statements will prove to be
accurate, as actual results and future events could differ materially
from those anticipated in such statements. Accordingly, readers should
not place undue reliance on forward-looking information. The Company
does not undertake to update any forward-looking information, except in
accordance with applicable securities laws.

SOURCE Horizonte Minerals plc


Source: PR Newswire