Nuinsco Resources Limited: High REE Content Minerals Discovered at Prairie Lake
June 26, 2013 — Toronto, Ontario (Source: Marketwired) — Nuinsco Resources Limited (“Nuinsco” or the “Company”))(TSX:NWI) (www.nuinsco.ca) today reported that recent work has identified the rare earth mineral ancylite in drill core from the Company’s 100%-owned Prairie Lake phosphorus/rare metals project in northwestern Ontario. This discovery is significant due to the fact that ancylite contains higher concentrations of rare earth elements (“REEs”) than other minerals containing REEs at Prairie Lake.
“In addition to a high concentration of REEs, the benefits of ancylite are its high specific gravity (~4 gm/cm3) which means that standard, cost-effective dense media concentration can be used and leaching using a proven, safe mild hydrochloric acid solution is a possibility,” said Paul Jones, President. “Finding such a highly-concentrated source of REEs that can be easily processed and extracted, in combination with the already recognized significance of phosphorus-bearing apatite and niobium-bearing pyrochlore, enhances the possibilities with regard to Prairie Lake’s economic viability.”
Ancylite is a strontium-rich REE-carbonate with high concentrations (typically >50wt%) of REOs (Rare Earth Oxides). The ancylite mineralization forms part of a mineral assemblage that includes burbankite (another REE-carbonate mineral), and strontianite (SrCO3). The ancylite was identified in an intersection of ferrocarbonatite in drill hole NP1007 (427.16-429.06m) grading 0.87% REE over 1.9m (see news release issued October 20, 2011). A review of other intersections of ferrocarbonatite at Prairie Lake, for which geochemical assay data are available, has identified another much thicker (~15m) and shallower (160.92-175.85m) zone of potential REE mineralization with REEs averaging >0.6% in DDH NP10-06; the mineralogy of this second zone will form the basis of ongoing mineralogical studies into the REE potential of the Prairie Lake carbonatite complex.
Electron microprobe analyses of the Prairie Lake ancylite, conducted at Carleton University, show REO contents that average 52 ± 2 wt%, which are comparable to those from other carbonatite-hosted zones of rare earth mineralization around the world. However, it is noteworthy that the Prairie Lake ancylite is enriched in neodymium (critical to the manufacture of permanent magnets) relative to other carbonatite-hosted zones of REE mineralization. Ancylite is the major REE-bearing mineral at the Bear Lodge carbonatite (Wyoming), where a measured and indicated resource of 6.8 million tonnes grading 3.75 wt% REO has been established by Rare Element Resources Ltd.
The results reported here are part of ongoing studies into metallurgy and mineralogy of Prairie Lake carbonatite complex mineralization. Additional test work and concentrate production is being conducted by COREM in Quebec City and will aim to optimize mineral liberation, improve apatite flotation technology and upgrade the apatite flotation concentrate. This work is part of ongoing evaluation of the project that also includes studies to develop a resource from the existing 515-630 million tonne Exploration Target Mineralization Inventory (“ETMI”) (produced in 2011), development of the opportunity for niobium concentrate production and identification of commercial markets for Prairie Lake phosphorus mineralization including fertilizers and detergents which are the number one and two end-use markets for phosphates worldwide according to Global Industry Analysts, Inc. in its recently published report titled “Phosphates: A Global Strategic Business Report.”
About Prairie Lake
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Located about 45 kilometres northwest of Marathon, Ontario, Nuinsco’s Prairie Lake property covers the entire 2.8 km2 (at surface) Prairie Lake carbonatite complex and is easily accessible from the TransCanada Highway.
The NI-43-101-compliant ETMI (see news release issued October 26, 2011) is 515 – 630 million tonnes grading between 0.09-0.11% Nb2O5 (0.9 to 1.1 kg/tonne) and 3.0-4.0% P2O5 – making Prairie Lake one of the world’s ten largest carbonatite-hosted niobium deposits (and in North America second only to the Iron Hill Project in Colorado, USA, in contained tonnes – the grade at Prairie Lake is however greater). The current metallurgical work establishes the project as a substantial, recoverable, phosphorus inventory. The suite of minerals of potentially economic significance also includes tantalum (Ta), uranium (U) and REEs (including lanthanum (La), cerium (Ce), samarium (Sm), neodymium (Nd) and yttrium (Y)). The ETMI was undertaken by Eugene Puritch, P.Eng. and Antoine Yassa, P.Geo of P&E Mining Consultants Inc. of Brampton, Ontario.
All exploration work at Prairie Lake is supervised by Laura Giroux, P.Geo, Senior Geologist, who acts as Nuinsco’s Qualified Person under National Instrument 43-101. Ms. Giroux has reviewed and approved the technical contents of this news release. The potential quantity and grade of the ETMI is conceptual in nature and 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.
About Nuinsco Resources Limited
Nuinsco is a growth-oriented, multi-commodity mineral exploration company that is focused on world-class mineralized belts in Canada and internationally. In addition to its property holdings in Ontario, Saskatchewan and Turkey, Nuinsco owns common shares in Coventry Resources Limited (TSX:CYY) and Victory Nickel Inc.(TSX:NI),and a 50% interest in CBay Minerals Inc. (50% Nuinsco, 50% Ocean Partners Investments Limited), a private company that is a dominant player in Quebec’s Chibougamau mining camp with assets including a permitted mill and tailings facility, eight past-producing copper/gold mines and a 96,000 acre land position. Shares of Nuinsco trade on the Toronto Stock Exchange under the symbol NWI.
Annual and Special Meeting
As a reminder, the Company’s Annual and Special Meeting for Shareholders (“ASM”) will take place on June 28, 2013, at 4:00 p.m. Toronto Time at the Toronto Board of Trade, 1 First Canadian Place, Toronto, Ontario. The ASM will be webcast and can be accessed at www.gowebcasting.com/4421 and through Nuinsco’s website at www.nuinsco.ca.
FORWARD-LOOKING STATEMENTS: This news release contains certain “forward-looking statements.” All statements, other than statements of historic fact, that address activities, events or developments that Nuinsco believes, expects or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as “seek,” “anticipate,” “believe,” “plan,” “estimate,” “expect,” and “intend” and statements that an event or result “may,” “will,” “can,” “should,” “could,” or “might” occur or be achieved and other similar expressions. These forward-looking statements reflect the current expectations or beliefs of Nuinsco based on information currently available to Nuinsco. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of Nuinsco to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Nuinsco. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to successfully complete financings, capital and other costs varying significantly from estimates, production rates varying from estimates, changes in world copper and/or gold markets, changes in equity markets, uncertainties relating to the availability and costs of financing needed in the future, equipment failure, unexpected geological conditions, imprecision in resource estimates, success of future development initiatives, competition, operating performance of facilities, environmental and safety risks, delays in obtaining or failure to obtain tenure to properties and/or necessary permits and approvals, and other development and operating risks. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Nuinsco disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although Nuinsco believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
Raj Shah has professional experience working for over a half a dozen years at financial firms such as Merrill Lynch and First Allied Securities Inc., ... <Read more about Raj Shah>