Great Western Minerals Group files mineral resource estimate on Steenkampskraal rare earth deposit, South Africa
TSX Venture Symbol: GWG
CUSIP: 39141Y 10 3
SASKATOON, March 7, 2013 /PRNewswire/ – Great Western Minerals Group Ltd.
(“GWMG” or the “Company”, TSX-V: GWG) today announced that has filed
its previously announced National Instrument 43-101 resource estimate
and technical report (the “NI 43-101 Report”).
The NI 43-101 Report, which has been prepared by Snowden Mining Industry
Consultants Inc. (“Snowden”) for the Company’s Steenkampskraal rare
earth property located in the Western Cape of South Africa, is dated
effective December 15, 2012 and is available under the Company’s SEDAR
profile at www.sedar.com.
Highlights (resource estimate unchanged from January 21, 2013 news
-- A mineral resource estimate of 32,000 metric tonnes of total rare earth oxides plus yttrium oxide ("TREO") under the Indicated category and 42,100 metric tonnes of TREO under the Inferred category, each using a 1% TREO cut-off grade (the "Resource Estimate"). -- The new results demonstrate the success of GWMG's exploration programs at Steenkampskraal with a 114% increase in the Indicated Resource and a 219% increase in the Inferred Resource as compared to May of 2012. -- The drilling program at Steenkampskraal supports the goals of: expanding the Resource Estimate; increasing the confidence in the geological model, upgrading the categories of reported resources; providing technical data for mine planning; and to check for mineralisation in those areas of the property where the concentrator and other infrastructure facilities will be located. -- The core logging and assay results of 87 completed drillholes remain to be evaluated and reported in a future update.
The following Table 1 contains the final information relating to the NI
43-101 Report and updates and supersedes the information disclosed on
January 21, 2013.
Table 1: Mineral Resource Estimate for Steenkampskraal at a 1% cut-off grade (as of October 31, 2012) Grade Contained TREO LREO2 HREO2 Resource Estimate1 Tonnes TREO% tonnes tonnes tonnes Monazite Mine Area Indicated 71,500 23.0 16,400 15,200 1,200 Inferred 95,800 17.1 16,400 15,100 1,300 EXP Area Indicated 68,200 18.1 12,400 11,400 1,000 Inferred 181,000 14.2 25,600 23,500 2,100 Upper Tailings Indicated 8,000 9.3 750 690 60 Inferred 1,200 7.5 90 80 10 Lower Tailings Indicated 28,600 8.8 2,500 2,300 200 Inferred 0 0 0 0 0 Category Totals for Updated Resource Indicated 176,000 18.2 32,100 29,600 2,500 Inferred 278,000 15.2 42,100 38,700 3,400 Previous (May 2012) estimate Total (Monazite Mine Area, Upper and Lower Tailings) Indicated 82,090 16.8 13,800 12,700 1,100 Inferred 87,160 16.2 14,100 13,100 1,100
(1) For the Resource Estimate, "tonnes" and "grades" were rounded to 3 significant figures. Apparent errors in the totals may occur due to rounding. (2) "LREO" means lanthanum (La2O3), cerium (CeO2), praseodymium (Pr6O11), neodymium (Nd2O3) and samarium (Sm2O3). "HREO" means europium (Eu2O3), gadolinium (Gd2O3), terbium (Tb4O7), dysprosium (Dy2O3), holmium (Ho2O3), thulium (Tm2O3), ytterbium (Yb2O3) lutetium (Lu2O3) and yttrium (Y2O3). "TREO" includes yttrium.
The NI 43-101 Report was prepared by Mr. Ivor Jones, (BSc. Hons), MSc,
FAusIMM, CP Geo., the Group General Manager of Geosciences with
Snowden. He contributed to and supervised the Resource Estimate for
the main monazite deposit as well as the tailing dams. Mr. Jones
consents to the inclusion in this news release of the matters based on
his information in the form and context in which it appears. Mr. Jones
has sufficient experience relevant to the type of deposit under
consideration and to the activity which he is undertaking to qualify as
a Qualified Person as defined under NI 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101″) and supervised the preparation of the contents of the
Resource Estimate section of this news release.
Snowden was assisted by Dr. John Hancox, Pr.Sci.Nat., of Caracle Creek
International Consulting (Pty) Limited of Johannesburg. Dr. Hancox
provided geological interpretations and the drillhole and underground
channel sampling database for the Resource Estimate. Dr. Hancox has
sufficient experience relevant to the style of mineralization and type
of deposit under consideration and to the activity which he is
undertaking to qualify as a Qualified Person as defined under NI 43-101
and supervised the preparation of the contents of the geology,
exploration, and data assurance sections of this news release. Dr.
Hancox consents to the inclusion in this news release of the matters
based on his information in the form and context in which it appears.
Brent C. Jellicoe, B.Sc. (Hon.), P.Geo., Director of International
Exploration for GWMG, is the Qualified Person responsible for
supervising the preparation of the technical content of this news
About Great Western Minerals Group Ltd.
Great Western Minerals Group Ltd. is engaged in becoming an integrated
rare earth producer. Its specialty alloys are used in the battery,
magnet and aerospace industries. Produced at the Company’s wholly owned
subsidiaries Less Common Metals Limited in Ellesmere, U.K. and Great
Western Technologies Inc. in Troy, Michigan, these alloys contain
transition metals including nickel, cobalt, iron and rare earth
elements. As part of the Company’s vertical integration strategy, GWMG
also holds 100% equity ownership in Rare Earth Extraction Co. Limited,
which controls the Steenkampskraal monazite mine. In addition to an
exploration program at Steenkampskraal, GWMG also holds interests in
four active rare earth exploration and development properties in North
Neither 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.
Certain information set out in this News Release constitutes
forward-looking information. Forward-looking statements (often, but
not always, identified by the use of words such as “expect”, “may”,
“could”, “anticipate” or “will” and similar expressions) may describe
expectations, opinions or guidance that are not statements of fact and
which may be based upon information provided by third parties.
Forward-looking statements are based upon the opinions, expectations
and estimates of management of GWMG as at the date the statements are
made and are subject to a variety of known and unknown risks and
uncertainties and other factors that could cause actual events or
outcomes to differ materially from those anticipated or implied by such
forward-looking statements. Those factors include, but are not limited
to, risks associated with the uncertainty of resource estimates, in
particular those relating to Inferred resources; risks relating to
estimating grades, in particular where interpolation is used to
estimate grades; the successful and timely completion of its
preliminary economic assessment at Hoidas Lake; the successful and
timely completion and the results of its preliminary economic
assessment of the Steenkampskraal project; the construction,
commissioning and operation of the proposed monazite processing
facility and separation facility and mine refurbishment activities; the
adequacy of the Company’s financial resources and the availability of
additional cash from operations or from financing on reasonable terms
or at all; reliance on third parties to meet projected timelines and
commencement of production at Steenkampskraal; risks related to the
receipt of all required approvals including those relating to the
commencement of production at the Steenkampskraal mine, delays in
obtaining permits, licenses and operating authorities in Canada, South
Africa and China, environmental matters, water and land use risks;
risks associated with the industry in general, commodity prices and
exchange rate changes, operational risks associated with exploration,
development and production operations, delays or changes in plans;
health and safety risks; uncertainty of estimates and projections of
production, costs and expenses; risks that future Hoidas Lake or
Steenkampskraal and region exploration results may not meet exploration
or corporate objectives; political risks inherent in South Africa and
China; risks associated with the relationship between GWMG and/or its
subsidiaries and communities and governments in Canada and South
Africa, radioactivity and related issues, dependence on one mineral
project; loss of, and the inability to attract, key personnel; the
factors discussed in the Company’s public disclosure record; and other
factors that could cause actions, events or results not to be as
anticipated. In light of the risks and uncertainties associated with
forward-looking statements, readers are cautioned not to place undue
reliance upon forward-looking information. Although GWMG believes that
the expectations reflected in the forward-looking statements set out in
this press release or incorporated herein by reference are reasonable,
it can give no assurance that such expectations will prove to have been
correct. Except as required by law, GWMG does not assume any obligation
to update forward-looking statements as set out in this news release.
The forward-looking statements of GWMG contained in this News Release,
or incorporated herein by reference, are expressly qualified, in their
entirety, by this cautionary statement and the risk factors contained
in GWMG’s Professional Securities Market listing particulars available
Cautionary Note For US Investors Concerning Estimates of Indicated and
This press release uses the terms “Indicated” and “Inferred” resources.
United States investors are advised that while such terms are
recognized and required by Canadian regulations, the United States
Securities and Exchange Commission does not recognize them. “Inferred”
mineral resources have a great amount of uncertainty as to their
existence, and as to their economic and legal feasibility. It cannot be
assumed that all or any part of an Inferred mineral resource will ever
be upgraded to a higher category. Under Canadian rules, estimates of
Inferred mineral resources may not form the basis of feasibility or
other economic studies except in limited circumstances and with
specific notification to the reader. United States investors are
cautioned not to assume that all or any part of any mineral resources
will ever be converted into mineral Reserves (as defined under NI
43-101). United States investors are also cautioned not to assume that
all or any part of an Inferred mineral resource exists, or is
economically or legally mineable.
SOURCE Great Western Minerals Group Ltd.