#REE #Stock News - Defense Metals (TSXV: $DEFN.V) (OTCQB: $DFMTF)
Upgrades and Expands Mineral
Resource Estimate for Wicheeda #RareEarthElement Project; @defensemetals
Vancouver,
British Columbia – September 12, 2023:
Investorideas.com
Newswire, -Mining/Metals/ Green Energy Stock news- Defense
Metals Corp. (“Defense Metals”
or the “Company”) (TSX-V:DEFN / OTCQB:DFMTF/
35D: FSE)
is pleased to announce an updated Mineral
Resource Estimate (the 2023 MRE) for the development of its Wicheeda Rare Earth
Element (REE) deposit located in British Columbia, Canada.
Read this news,
featuring DEFN in full at https://www.investorideas.com/news/2023/mining/09121DEFN-Upgrades-Expands-REE.asp
Highlights
of the 2023 Wicheeda REE Deposit Mineral Resource Estimate
·
6.4
million tonne Measured Mineral Resource, averaging 2.86% Total Rare Earth Oxide
(TREO[1]);
·
a 27.8 million tonne Indicated Mineral
Resource, averaging 1.84 % TREO;
·
and an 11.1 million tonne Inferred
Mineral Resource, averaging 1.02% TREO,
all reported at a cut-off grade of 0.5% TREO within a
conceptual open pit shell;
·
Total Measured and Indicated (M+I)
Mineral Resources of 34.2 million tonnes, averaging 2.02% TREO, is a
significant upgrade representing a conversion of 101% of the 2021 MRE
comprising some indicated and mostly inferred resources (see Defense Metals’
news release of November 24, 2021) to M+I on a contained metal basis;
·
Measured and Indicated resources are
inclusive of 17.8 million tonnes of dolomite carbonatite, averaging 2.92% TREO;
·
The 2023 MRE represents a 17% increase in
TREO on a contained metal basis, or 31% tonnage increase, in comparison to the
prior 2021 MRE.
·
The 2023 MRE is based on an updated
geological model that incorporates an additional 10,350 metres of drillhole
data, from 45 holes drilled by Defense Metals during 2021 and 2022.
Craig Taylor, CEO of Defense Metals, stated, “Defense
Metals is excited to release our updated mineral resource estimate for the
Wicheeda Deposit, one of North Americas most advanced Rare Earth development projects.
With over 10,000 metres of additional drilling completed since our 2021 mineral
resource we have now converted 100% of the that resource to the measured and
indicated categories, in addition to growing the overall resource by 17%. Importantly,
we believe the upgrading of resources now demonstrates that we have established
the tonnage and grades necessary to carry forward into our ongoing preliminary
feasibility study.”
The
effective date of the 2023 MRE is August 28, 2023, and a technical report
relating to the PEA will be filed on SEDAR within 45 days of this news release.
The 2023 MRE was prepared by APEX Geoscience Ltd. (APEX).
2023
Mineral Resource
The
Wicheeda REE deposit is a southeast-trending, north to northeast dipping
syenite-carbonatite intrusive complex having dimensions of approximately 450 m
north-south by 250 m east-west which intrudes a mixed sedimentary host rock
package (limestone). Relatively high REE grade dolomite-carbonatite rocks,
which outcrop at surface, and form the main body of REE mineralization are
surrounded by an envelope of intermediate REE grade hybrid
xenolithic-carbonatite rocks that intrude lower REE grade syenite.
The 2023
MRE comprises a 6.4 million tonne Measured Mineral Resource, averaging 2.86%
TREO CeO2, La2O3,
Nd2O3, Pr6O11, Sm2O3, Eu2O3,
Gd2O3, Tb4O7, Dy2O3
and Ho2O3); 27.8 million tonne Indicated Mineral
Indicated Resource, averaging 1.84% TREO; and 11.1 million tonne Inferred
Mineral Resource, averaging 1.02% TREO, reported at a cut-off grade of 0.5%
TREO within a conceptual Pseudoflow algorithm open pit shell; see Table 1 and
Figure
1.
The 2023
MRE is based on an updated geological model incorporating an additional 10,350
metres of drilling within 45 holes drilled by Defense Metals during 2021 and
2022.
Table
1:
Wicheeda Mineral Resource (effective date August 28, 2023)
Category |
Tonnes |
TREO |
TREO |
CeO2 |
La2O3 |
Pr6O11 |
Nd2O3 |
Sm2O3 |
Gd2O3 |
Eu2O3 |
Dy2O3 |
Tb4O7 |
Ho2O3 |
(Million) |
(%) |
(kt) |
(%) |
(%) |
(%) |
(%) |
(ppm) |
(ppm) |
(ppm) |
(ppm) |
(ppm) |
(ppm) |
|
Measured |
6.4 |
2.86 |
183 |
1.39 |
1.00 |
0.11 |
0.31 |
312 |
139 |
63 |
35 |
12 |
4 |
Indicated |
27.8 |
1.84 |
516 |
0.89 |
0.62 |
0.07 |
0.21 |
232 |
111 |
50 |
32 |
10 |
4 |
M&I |
34.2 |
2.02 |
699 |
0.98 |
0.69 |
0.08 |
0.23 |
247 |
116 |
52 |
32 |
10 |
4 |
Inferred |
11.1 |
1.02 |
113 |
0.50 |
0.31 |
0.04 |
0.13 |
166 |
91 |
38 |
35 |
9 |
5 |
Notes for Resource
Table:
·
The 2023 MRE is classified according to the CIM
“Estimation of Mineral Resources and Mineral Reserves Best Practice Guidelines”
dated November 29th, 2019 and CIM “Definition Standards for Mineral
Resources and Mineral Reserves” dated May 10th, 2014.
·
The 2023 MRE was prepared by Warren Black, M.Sc.,
P.Geo. and Tyler Acorn, M.Sc., of APEX Geoscience Ltd under the
supervision of the QP, Michael Dufresne, M.Sc., P.Geo. in accordance with CIM
Definition Standards.
·
Mineral Resources that are not Mineral Reserves do
not have demonstrated economic viability. There has been insufficient exploration to
allow for the classification of the indicated and inferred resources tabulated
as a measured mineral resource; however, it is reasonably expected that the
majority of the indicated and inferred mineral resources could be upgraded to
measured or indicated mineral resources with continued exploration. There is no
guarantee that any part of the mineral resources discussed herein will be
converted to a mineral reserve in the future.
·
All figures are rounded to reflect the relative
accuracy of the estimates. Totals may not sum due to rounding.
·
Median rock densities are supported by 8,075
measurements applied: 2.95 g/cm3 (mineralized dolomite-carbonatite),
2.90 g/cm3 (unmineralized dolomite-carbonatite), 2.85 g/cm3 (mineralized xenolithic-carbonatite),
2.76 g/cm3 (unmineralized xenolithic-carbonatite), 2.73 g/cm3 (syenite), and
2.76 g/cm3 (limestone).
·
The reasonable prospect for eventual economic
extraction is met by reporting the Mineral Resources at a cut-off grade of
0.50% TREO (total rare earth oxide, sum of 10 oxides:
CeO2, La2O3, Nd2O3, Pr6O11, Sm2O3,
Eu2O3, Gd2O3,
Tb4O7, Dy2O3 and Ho2O3), contained
within an optimized open pit shell.
·
The cut-off grade is calculated, and the open pit
shell is optimized based on the assumption that the hydrometallurgical processing
can produce mixed REE carbonate precipitates. The parameters utilized, as in
the 2021 MRE, include the following considerations:
•
TREO price: $18.66/kg
•
Exchange rate of 1.30 C$:US$
•
Precipitate production grades of 81.09% of TREO
•
Processing costs include $21.47/t of mill feed for
flotation plus a variable cost for hydrometallurgical plant that varies based
on the feed grade. The average cost of hydrometallurgical plant is assumed to
be $1,204/t of concentrate.
•
Mining cost of C$2.00/t for mill feed and waste
•
G&A Costs of C$3.33/t for mill feed.
•
The overall process recoveries: For TREO>=2.3%,
recovery is 69.6%; between 2.3% and 1.5% TREO, recovery is 65.3%; and less than
1.5% TREO, recovery is 52.2%. These assume variable flotation recoveries and a
constant 87% hydrometallurgical recovery.
•
Overall pit slope angles vary by zone between 40
and 48 degrees.
Figure
1: Cross Section of the Wicheeda RE Deposits 2023 MRE
The 2023
MRE for the Wicheeda REE Deposit includes inferred mineral resources that are
considered too speculative geologically to have the economic considerations
applied to them that would enable them to be categorized as mineral reserves.
Mineral resources that are not mineral reserves do not have demonstrated
economic viability.
Mineral Resource Estimate
Methodology
1.
The
drillhole database comprised of drilling that intersected the estimation
domains consists of 14 exploration diamond drillholes (totalling 2,107 meters)
completed in 2008 and 2009 by Spectrum Mining and 58 exploration core drillholes
during 2019, 2021 and 2022 by Defense Metals (totalling 12,073 metres), providing
a total of 4,903 drill core samples analyzed for REE by multi-element fusion
ICP-MS.
2.
The 3D
geological modeling integrates assay and geological data collected from diamond
core drilling; surface geologic mapping; soil geochemical; and airborne
magnetic and radiometric geophysical surveys.
3.
Ordinary
kriging is employed to estimate metal concentrations using a three-step pass
search strategy guided by domain-specific variography. The estimates utilize
capped composites with a 3-meter length.
4. Measured Resources are categorized
within a search ellipse of 35 m by 30 m by 15 m with a minimum of 3 drillholes.
Indicated Resources are categorized within a search ellipse of 90 m by 60 m by 30
m with a minimum of 3 drillholes. Inferred Resources are categorized within a
search ellipse of 120 m by 120 m by 30 m with a minimum of 2 drillholes.
Table
2:
Mineral Resource cut-off sensitivity
Category |
Cut-off |
Tonnes1 |
TREO2 |
TREO |
CeO2 |
La2O3 |
Pr6O11 |
Nd2O3 |
Sm2O3 |
Gd2O3 |
Eu2O3 |
Dy2O3 |
Tb4O7 |
Ho2O3 |
TREO
(%)2 |
(Million) |
(%) |
(kt) |
(%) |
(%) |
(%) |
(%) |
(ppm) |
(ppm) |
(ppm) |
(ppm) |
(ppm) |
(ppm) |
|
Measured |
0.25 |
6.7 |
2.74 |
184 |
1.33 |
0.96 |
0.11 |
0.29 |
301 |
136 |
61 |
36 |
12 |
4 |
0.5 |
6.4 |
2.86 |
183 |
1.39 |
1.00 |
0.11 |
0.31 |
312 |
139 |
63 |
35 |
12 |
4 |
|
0.75 |
6.3 |
2.90 |
182 |
1.41 |
1.01 |
0.11 |
0.31 |
315 |
140 |
64 |
35 |
12 |
4 |
|
1 |
6.2 |
2.93 |
182 |
1.42 |
1.02 |
0.11 |
0.31 |
318 |
141 |
64 |
35 |
12 |
4 |
|
1.5 |
5.9 |
3.01 |
178 |
1.46 |
1.05 |
0.12 |
0.32 |
324 |
143 |
65 |
35 |
12 |
4 |
|
2 |
5.2 |
3.18 |
165 |
1.54 |
1.12 |
0.12 |
0.34 |
338 |
148 |
68 |
37 |
12 |
4 |
|
2.5 |
4.1 |
3.43 |
140 |
1.66 |
1.21 |
0.13 |
0.36 |
358 |
157 |
72 |
38 |
13 |
4 |
|
Indicated |
0.25 |
36.1 |
1.49 |
546 |
0.72 |
0.50 |
0.06 |
0.17 |
197 |
98 |
43 |
31 |
9 |
4 |
0.5 |
27.8 |
1.84 |
516 |
0.89 |
0.62 |
0.07 |
0.21 |
232 |
111 |
50 |
32 |
10 |
4 |
|
0.75 |
23.0 |
2.10 |
487 |
1.02 |
0.71 |
0.08 |
0.24 |
257 |
120 |
54 |
32 |
10 |
4 |
|
1 |
19.5 |
2.33 |
456 |
1.13 |
0.79 |
0.09 |
0.26 |
277 |
128 |
58 |
33 |
11 |
4 |
|
1.5 |
13.9 |
2.78 |
387 |
1.35 |
0.96 |
0.11 |
0.30 |
312 |
141 |
64 |
34 |
12 |
4 |
|
2 |
10.3 |
3.15 |
324 |
1.53 |
1.10 |
0.12 |
0.34 |
339 |
151 |
69 |
36 |
12 |
4 |
|
2.5 |
7.6 |
3.46 |
264 |
1.68 |
1.21 |
0.14 |
0.37 |
363 |
161 |
74 |
38 |
13 |
4 |
|
Inferred |
0.25 |
21.8 |
0.70 |
153 |
0.34 |
0.21 |
0.03 |
0.09 |
126 |
75 |
30 |
34 |
8 |
5 |
|
0.5 |
11.1 |
1.02 |
113 |
0.50 |
0.31 |
0.04 |
0.13 |
166 |
91 |
38 |
35 |
9 |
5 |
|
0.75 |
5.9 |
1.39 |
81 |
0.68 |
0.44 |
0.06 |
0.17 |
206 |
103 |
45 |
33 |
9 |
4 |
|
1 |
3.6 |
1.72 |
62 |
0.85 |
0.55 |
0.07 |
0.21 |
240 |
116 |
51 |
35 |
10 |
4 |
|
1.5 |
1.7 |
2.26 |
39 |
1.12 |
0.74 |
0.09 |
0.26 |
289 |
136 |
60 |
37 |
11 |
4 |
|
2 |
1.0 |
2.62 |
27 |
1.29 |
0.87 |
0.11 |
0.29 |
317 |
148 |
65 |
41 |
12 |
5 |
|
2.5 |
0.5 |
3.03 |
14 |
1.49 |
1.02 |
0.12 |
0.33 |
335 |
156 |
69 |
44 |
13 |
5 |
Notes
1. 1 Tonnes constrained within an
open pit shell.
2.
2 TREO %
sum of CeO2, La2O3, Nd2O3,
Pr6O11, Sm2O3, Eu2O3,
Gd2O3, Tb4O7, Dy2O3
and Ho2O3.
3. Grades are reported as
in-situ grades.
Table 2 above illustrates the
sensitivity of the 2023 MRE to different cut-off grades for a potential
open-pit operation scenario with reasonable outlook for economic extraction.
The reader is cautioned that the figures provided in these tables should not be
interpreted as a statement of mineral resources. Quantities and estimated
grades for different cut-off grades are presented for the sole purpose of
demonstrating the sensitivity of the resource model to cut-off grade.
Table 3: Wicheeda Mineral
Resource by Lithology (cut-off grade of 0.5% TREO)
Lithology |
Category |
Tonnes |
TREO |
TREO |
CeO2 |
La2O3 |
Pr6O11 |
Nd2O3 |
Sm2O3 |
Gd2O3 |
Eu2O3 |
Dy2O3 |
Tb4O7 |
Ho2O3 |
(Million) |
(%) |
(kt) |
(%) |
(%) |
(%) |
(%) |
(ppm) |
(ppm) |
(ppm) |
(ppm) |
(ppm) |
(ppm) |
||
Dolomite
Carbonatite |
Measured |
5.9 |
2.98 |
177 |
1.44 |
1.04 |
0.12 |
0.32 |
320 |
142 |
65 |
35 |
12 |
4 |
Indicated |
11.8 |
2.88 |
342 |
1.40 |
1.01 |
0.11 |
0.31 |
315 |
141 |
64 |
34 |
12 |
4 |
|
M&I |
17.8 |
2.92 |
519 |
1.41 |
1.02 |
0.11 |
0.31 |
316 |
141 |
64 |
34 |
12 |
4 |
|
Inferred |
0.6 |
2.66 |
15 |
1.30 |
0.91 |
0.11 |
0.29 |
281 |
134 |
60 |
37 |
11 |
4 |
|
Xenolithic-Dolomite
Carbonatite |
Measured |
0.3 |
1.43 |
5 |
0.69 |
0.46 |
0.06 |
0.17 |
209 |
107 |
47 |
35 |
10 |
5 |
Indicated |
11.6 |
1.22 |
142 |
0.59 |
0.38 |
0.05 |
0.15 |
188 |
95 |
42 |
30 |
9 |
4 |
|
M&I |
12.0 |
1.22 |
147 |
0.60 |
0.39 |
0.05 |
0.15 |
189 |
95 |
42 |
30 |
9 |
4 |
|
Inferred |
4.0 |
1.28 |
51 |
0.63 |
0.40 |
0.05 |
0.16 |
198 |
98 |
43 |
32 |
9 |
4 |
|
Syenite |
Measured |
0.1 |
0.81 |
1 |
0.39 |
0.26 |
0.03 |
0.10 |
138 |
84 |
34 |
32 |
9 |
5 |
Indicated |
4.1 |
0.74 |
31 |
0.36 |
0.22 |
0.03 |
0.10 |
132 |
73 |
31 |
28 |
7 |
4 |
|
M&I |
4.2 |
0.74 |
31 |
0.36 |
0.22 |
0.03 |
0.10 |
132 |
73 |
31 |
28 |
7 |
4 |
|
Inferred |
5.8 |
0.73 |
42 |
0.36 |
0.21 |
0.03 |
0.10 |
136 |
78 |
33 |
33 |
8 |
5 |
|
Limestone |
Measured |
0.0 |
1.05 |
0 |
0.49 |
0.34 |
0.05 |
0.13 |
178 |
120 |
43 |
63 |
14 |
10 |
Indicated |
0.2 |
0.81 |
1 |
0.38 |
0.25 |
0.03 |
0.11 |
156 |
117 |
41 |
62 |
14 |
10 |
|
M&I |
0.2 |
0.83 |
2 |
0.39 |
0.26 |
0.03 |
0.11 |
157 |
117 |
41 |
63 |
14 |
10 |
|
Inferred |
0.7 |
0.73 |
5 |
0.34 |
0.22 |
0.03 |
0.09 |
143 |
111 |
39 |
70 |
14 |
11 |
Table 3 above illustrates the 2023 MRE by lithology
which illustrates the relatively high REE grade nature of the dominant dolomite
carbonatite unit, intermediate grade xenolithic dolomite carbonate rocks and
lower grade syenite and limestone lithologies peripheral to the main body of
the Wicheeda REE Deposit.
Qualified Persons
The
scientific and technical information contained in this news release as it
relates to the Wicheeda REE Project has been reviewed and approved by Kristopher J. Raffle, P.Geo. (BC),
Principal and Consultant of APEX Geoscience Ltd. of Edmonton, AB, a director of
Defense Metals and a “Qualified Person” as defined in NI 43-101. Mr. Raffle verified the data disclosed
which includes a review of the analytical and test data underlying the
information and opinions contained therein.
About the Wicheeda REE
Property
Defense Metals 100% owned, 6,759-hectare
(~16,702-acre) Wicheeda Project is located approximately 80 km northeast of the
city of Prince George, British Columbia, Canada; population 77,000. The
Wicheeda Project is readily accessible by all-weather gravel roads and is near
infrastructure, including hydropower transmission lines and gas pipelines. The
nearby Canadian National Railway and major highways allow easy access to the
deep-water port facilities at Prince Rupert, the closest major North American
port to Asia.
About
Defense Metals Corp.
Defense Metals Corp. is a mineral
exploration and development company focused on the development of its 100%
owned Wicheeda Rare Earth Element Deposit located near Prince George, British
Columbia, Canada. Defense Metals Corp. trades in Canada under the symbol “DEFN”
on the TSX Venture Exchange, in the United States, under “DFMTF” on the OTCQB,
and in Germany on the Frankfurt Exchange under “35D”.
Defense Metals is a proud member of
Discovery Group. For more information please visit:
National Instrument 43-101 Technical Report
A technical report for the Wicheeda Project
will be prepared in accordance with National Instrument 43-101 and will be
filed on SEDAR at www.sedarplus.ca and on the Defense Metals’ website within 45 days of this news
release. Readers are encouraged to read the technical report in its entirety,
including all qualifications, assumptions and exclusions that relate to the
details summarized in this news release. The technical report is intended to be
read as a whole, and sections should not be read or relied upon out of context.
For
further information, please contact:
Todd Hanas, Bluesky
Corporate Communications Ltd.
Vice President, Investor
Relations
Tel: (778) 994 8072
Email: todd@blueskycorp.ca
Neither
the 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 news release.
Cautionary
Statement Regarding "Forward-Looking" Information
This
news release contains "forward–looking information or statements"
within the meaning of applicable securities laws, which may include, without
limitation, statements relating to completion of the PFS and the expected
timelines, the completion of the environmental tests on flotation and
hydrometallurgical and the expected timelines, advancing the Wicheeda REE
Project, the technical, financial and business prospects of the Company, its
project and other matters. All statements in this news release, other than
statements of historical facts, that address events or developments that the
Company expects to occur, are forward-looking statements. Although the Company
believes the expectations expressed in such forward-looking statements are
based on reasonable assumptions, such statements are not guarantees of future
performance and actual results may differ materially from those in the
forward-looking statements. Such statements and information are based on
numerous assumptions regarding present and future business strategies and the
environment in which the Company will operate in the future, including the
price of rare earth elements, the anticipated costs and expenditures, the
ability to achieve its goals, that general business and economic conditions
will not change in a material adverse manner, that financing will be available
if and when needed and on reasonable terms. Such forward-looking information
reflects the Company's views with respect to future events and is subject to
risks, uncertainties and assumptions, including the risks and uncertainties
relating to the interpretation of exploration and metallurgical results, risks
related to the inherent uncertainty of exploration and development and cost
estimates, the potential for unexpected costs and expenses and those other
risks filed under the Company's profile on SEDAR at www.sedar.com. While such
estimates and assumptions are considered reasonable by the management of the
Company, they are inherently subject to significant business, economic,
competitive and regulatory uncertainties and risks. Factors that could cause
actual results to differ materially from those in forward looking statements
include, but are not limited to, continued availability of capital and
financing and general economic, market or business conditions, adverse weather
and climate conditions, failure to maintain or obtain all necessary government
permits, approvals and authorizations, failure to maintain community acceptance
(including First Nations), risks relating to unanticipated operational
difficulties (including failure of equipment or processes to operate in
accordance with specifications or expectations, cost escalation, unavailability
of personnel, materials and equipment, government action or delays in the
receipt of government approvals, industrial disturbances or other job action,
and unanticipated events related to health, safety and environmental matters),
risks relating to inaccurate geological, metallurgical and engineering
assumptions, decrease in the price of rare earth elements, the impact of
Covid-19 or other viruses and diseases on the Company's ability to operate, an
inability to predict and counteract the effects of COVID-19 on the business of
the Company, including but not limited to, the effects of COVID-19 on the price
of commodities, capital market conditions, restriction on labour and
international travel and supply chains, loss of key employees, consultants, or
directors, increase in costs, delayed results, litigation, and failure of
counterparties to perform their contractual obligations. The Company does not
undertake to update forward–looking statements or forward–looking information,
except as required by law.
Disclaimer/Disclosure: Investorideas.com is a digital publisher of third
party sourced news, articles and equity research as well as creates original
content, including video, interviews and articles. Original content created by
investorideas is protected by copyright laws other than syndication rights. Our
site does not make recommendations for purchases or sale of stocks, services or
products. Nothing on our sites should be construed as an offer or solicitation
to buy or sell products or securities. All investment involves risk and
possible loss of investment. This site is currently compensated for news
publication and distribution, social media and marketing, content creation and
more. Contact each company directly regarding content and press release
questions. Disclosure this
DEFN news is a paid news release on investorideas.com – learn more about
costs and services https://www.investorideas.com/News-Upload/ More disclaimer info: https://www.investorideas.com/About/Disclaimer.asp Please read Investorideas.com privacy policy: https://www.investorideas.com/About/Private_Policy.asp
About Investorideas.com
https://www.investorideas.com/About/
Sign up for free stock news alerts at Investorideas.com
https://www.investorideas.com/Resources/Newsletter.asp
Renewable Energy Stocks: investing ideas in renewable
energy stocks
Like Renewable Energy Stocks? View our Renewable Energy Stocks
Directory
Get News Alerts on
Renewable Energy Stocks
Mining Sector Stocks- investing ideas in mining stocks
Like Mining Stocks? View our Mining Stocks Directory
Get News Alerts on Mining Stocks