Results of Metallurgical Drilling at Bobbys Pond and Daniels Pond Properties in Newfoundland
Toronto, 25 January, 2016 – Minco Plc (AIM – “MIO”) (“Minco” or the “Company”) is pleased to announce assay results for its recently completed drill programme on the Company’s Bobbys Pond and Daniels Pond VMS deposits in Central Newfoundland, drilled primarily to collect fresh rock samples for metallurgical testing.
A total of 781 metres of diamond drilling in seven (7) twin holes was completed in November and December 2015 for the collection of unoxidized samples for new metallurgical testwork.
Select assays from the 2015 metallurgical drilling programme are provided in bold below together with a comparison with the earlier assays returned from adjacent twinned holes.
Notes: * Historic drill holes (2005 to 2007) assays; Holes identified with “M” (suffix) are 2015 metallurgical holes. True thicknesses are estimated to range between 60% and 80% of reported widths.
Representative samples from the drilling at the Bobbys Pond and Daniels Pond deposits were collected and blended to produce representative composite metallurgical samples, which approximately correspond to previously published Indicated mineral resource estimates for the two deposits. The metallurgical samples, ranging in weight from 100 to 120 kilograms for each deposit, have been submitted to Thibault & Associates Inc. in Fredericton, New Brunswick for new mineralogical investigation, grindability characterization, acid generation assessment, and bench scale flotation testing.
Minco has also submitted a total of four, 5 to 10 kg samples to Thibault & Associates for bench scale Dense Media Separation (“DMS”) testing. The DMS sampling includes two samples from Bobbys Pond deposit, one sample from Daniels Pond deposit collected from the recently completed drilling programme and one sample from the Tulks Hill deposit obtained from drilling in 2007. The DMS testing is designed to assess the amenability of mineralized samples from the deposits to physical upgrading (pre-concentration) at each site as a potential means of reducing transportation to reduce downstream processing costs.
KEY METALLURGICAL STUDIES UNDERWAY
On 2 December 2015, Minco announced that, through its wholly owned subsidiary Buchans Minerals Corporation (“Buchans Minerals), it had entered into a collaboration agreement with Canadian Zinc Corporation (TSX: CZN; OTCQB: CZICF) (“Canadian Zinc”) to undertake a research programme to complete physical and metallurgical bench scale studies on seven volcanogenic massive sulphide (“VMS”) deposits located in central Newfoundland and to share research data on their respective central Newfoundland Cu-Pb-Zn-Ag-Ag deposits.
The collaboration agreement between Buchans Minerals and Canadian Zinc is focused on seven VMS deposits located in central Newfoundland. Three of the deposits are held by Buchans Minerals (Bobbys Pond, Daniels Pond and Tulks Hill) and four of the deposits are held by Canadian Zinc (Lemarchant, Boomerang-Domino, Tulks East, and Long Lake).
The total cost of the research project is estimated at $735,000 with Buchans Minerals and Canadian Zinc each contributing up to $100,000. The Research & Development Corporation of Newfoundland and Labrador is providing Canadian Zinc funding of $535,000 for the research project through the GeoEXPLORE Industry-led R & D Technology Development and Demonstration Program.
The intent and objective of the program is to determine the technical and economic viability of developing the companies’ key deposits into producing operations by utilizing a central milling facility. The concept is based on the potential that collectively, the satellite deposits can be economically mined, pre-concentrated, trucked and then milled simultaneously or sequentially through a central mill.
Paul Moore, P.Geo. and Benjamin Batson, P.Geo., are Qualified Persons within the meaning of National Instrument 43-101, and have reviewed the technical contents of this release.
Drill cores were logged and sampled by Minco’s geological and technical staff with cores descriptively logged on site, aligned, marked for assay sampling and split longitudinally using a diamond saw. Samples consisted of either halved or quartered NQ-sized core (47.6 mm diameter core) with the remaining half or ¾ of the core retained by Minco and shipped to Thibault and Associates in Fredericton for final sample selection and blending as required for the current metallurgical test program.
As part of Minco’s QA/QC protocols, samples were bagged, tagged, sealed and delivered by Minco personnel directly to Eastern Analytical Limited’s laboratory in Springdale, Newfoundland. Samples were nominally one metre in length, except where specific geologic parameters required a different interval be sampled. Sample preparation was completed by Eastern Analytical with each sample crushed to approximately -10 mesh and split using a riffle splitter to approximately 300 grams. Each sample split was pulverized using a ring mill to approximately 98% -150 mesh. In addition to regular samples, blank samples (one per 20 samples) and certified standards (one per 20 samples) were submitted for sample preparation and assay. Assay results for the standards and blanks were reviewed by Minco technical staff and found to have returned results within acceptable limits for the standards and blanks used.
All assays were completed by Eastern Analytical by the Ore Grade Assay procedure for Cu, Pb and Zn using a 200 mg sample digested in nitric and hydrochloric acid and analyzed by the atomic absorption (AA) method. Silver assays were completed using a 1,000 mg sample digested in hydrochloric and nitric acid and analyzed by AA (Atomic Absorption spectroscopy). Gold assays were completed by standard ½ assay ton fire assay using the AA method.
ABOUT MINCO PLC
Minco PLC incorporated in the Republic of Ireland and listed on the AIM Market of the London Stock Exchange (“MIO”), is an exploration and development company currently engaged in zinc-lead exploration in Canada, the United Kingdom and Ireland, and is also evaluating its Woodstock manganese project in New Brunswick, Canada.
Minco Plc, through its wholly owned subsidiary Buchans Minerals Corporation, holds interests in four advanced base metal properties in the Buchans area of central Newfoundland, which contain the following deposits:
Tulks North property (which contains the Daniels Pond deposit) with an Indicated Mineral Resource of 1.16 million tonnes grading 4.44% zinc, 2.12% lead, 0.31% copper, 87.79 g/t silver and 0.60 g/t gold, as well as an additional Inferred resource totaling 445,000 tonnes grading 3.88% Zn, 1.74% Pb, 0.27% Cu, 81.63 g/t Ag and 0.52 g/t Au.
Bobbys Pond property (which contains the Bobbys Pond deposit) with an Indicated Mineral Resource of 1.10 million tonnes grading 4.61% zinc, 0.44% lead, 0.86% copper, 16.6 g/t silver and 0.2 g/t gold plus an additional Inferred Mineral Resource of 1.18 million tonnes grading 3.75% zinc, 0.27% lead, 0.95% copper, 10.95 g/t silver and 0.06 g/t gold (RPA, July 2008).
Tulks Hill property (49% Buchans Minerals/ 51% Prominex Resource Corp) (which contains the Tulks Hill deposit) with an Indicated Mineral Resource of 431,000 tonnes grading 3.97% zinc, 1.61% lead, 0.89% copper, 35.09 g/t silver and 1.17 g/t gold (RPA, July 2008).
Buchans property (which contains the Lundberg deposit). The Lundberg copper-zinclead/deposit is the most advanced undeveloped deposit in the district and consists of a large lower grade resource being evaluated for open pit mine development. The Lundberg deposit hosts Indicated resources of 23.4 million tonnes grading 1.41% Zn, 0.60% Pb, 0.35% Cu, 5.31 g/t Ag and 0.07 g/t Au, and Inferred resources of 4.3 million tonnes averaging 1.29% Zn, 0.54% Pb, 0.27% Cu, 4.47 g/t Ag and 0.08 g/t Au. (Peter C. Webster, P. Geo., Mercator Geological Services Limited, 2013).
Minco also holds an approximate 26% shareholding in Xtierra Inc., (TSXV- “XAG”), which holds mineral properties in Mexico, and a 2% NSR royalty on the Curraghinalt gold property in Northern Ireland, currently being explored by Dalradian Resources Inc. (TSX-“DNA”).
For further information contact:
|Warren MacLeod: Director, President Buchans Minerals
Danesh Varma: CFO & Company Secretary
Peter McParland: Director – Ireland
John Frain: Davy (NOMAD)
Saif Janjua: (Corporate Advisor) (Broker, Beaufort Securities)
|+1 709 725 0555
+44 (0) 8452 606 034
+353 (0) 46 907 3709
+353 (0)1 6796363
+44 (0) 20 7382 8415
# # # # #