Bullion Monarch Mining Acquires Bauxite Property in Brazil
ST. GEORGE, Utah, April 5, 2011 /PRNewswire/ — Bullion Monarch Mining Inc. (BULM) announces acquisition of the Niquelandia bauxite project located near the town of Niquelandia, Goias, Brazil. Geologists believe the deposit to be located at surface or near surface covering a large area, possibly up to 25 km in length and up to 5 km in width. This project is substantial in scope and validates Bullion Monarch Mining’s decision to allocate significant resources to adequately explore the area. An exploration budget of $1.5 million USD is estimated to be invested in the first year of the project.
Exploration on the property, consisting of surface sampling intended to prove the existence of bauxite mineralization, have returned Al203 content between 28.8% and 61.8% with numerous values greater than 60%. Geologists have concluded that the grade of the aluminum oxide, at the project, is uniformly above the cutoff grade for operating bauxite mines. The Niquelandia project is located as the northeastern extension of a prominent trend that contains the Barro Alto bauxite deposit which is currently under development by Campanhia Brasileira de Aluminio, and the Barro Alto nickel laterite deposits under advanced-stage development by Anglo American.
“Dourave management is excited to be involved in the development of what could be a world class bauxite deposit in a prolific mining center. The geological similarities between the Niquelandia Bauxite project and the nearby Barro Alto Bauxite deposit, along with the high grades of Bauxite with relatively low levels of Silica and Titanium, present the possibility of defining a large volume bauxite resource containing zones of higher-grade, high- quality and possible refractory bauxite. Future development of the project will be supported by excellent infrastructure, with asphalt and all weather road access, close proximity to the major cites of Brasilia and Goiania, availability of cheap hydroelectric power from the Serra da Mesa hydroelectric plant and the proposed extensions of existing rail access (Ferrovia 354) to nearby Uruacu and possibly Niquelandia in the future.”
Brazil is currently the world’s third largest producer of bauxite, representing 14% of the global total. Mineracao Rio Do Norte accounts for 68% of Brazil’s bauxite, followed by Norsk Hydro and Votorantim with 12% and 8% respectively. In May 2010, Norwegian based aluminum producer Norsk Hydro acquired all of Vale’s bauxite and aluminum activities in a $4.9 billion deal representing the largest single foreign direct investment into Brazil’s alumina and bauxite industry for the year 2010. Project infrastructure is uncommonly good due to the proximity of the property to the Nickel Laterite deposit of Vontorantim.
This press release was reviewed by Bryan Miles, B.Sc. Geological Sciences, Professional Geologist, State of California 8739, a qualified person in compliance with national instrument 43-101.
About Bullion Monarch Mining
Bullion Monarch Mining Inc. is a publicly traded (OTCQB: BULM (FRA: BMJ)) gold-focused exploration royalty company with additional interests in bauxite and oil-shale technology. The Company is engaged in a continual review of mining opportunities to create growth for shareholders. The majority of current royalty revenues are derived from a high-quality claim block located in Northeastern Nevada’s Carlin Trend. Bullion Monarch’s portfolio provides for direct leverage to commodity prices as well as the exploration potential of world-class ore deposits. Visit the Company website at www.bullionmm.com for more information.
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SOURCE Bullion Monarch Mining Inc.