Ucore Updates Exploration Work At Lost Pond, Newfoundland
Ucore Rare Metals Inc (TSX-V:UCU) (“Ucore” or the “Company”) is pleased to provide an update on ongoing exploration work performed at the Company’s Lost Pond property located in western Newfoundland. The property is subject to a farm-in agreement with the Kirrin Resources Inc. (TSX-V:KYM; “Kirrin”), with Kirrin acting as both operator and earn-in partner. Lost Pond hosts numerous prospective rare earth element (REE) and uranium showings, a number of which have been explored by both Ucore and Kirrin over the past five years.
Kirrin has initiated a 1,500 meter drilling program at Lost Pond’s main uranium target (the “Cataclastic Zone”; see Kirrin press release dated Dec. 6, 2010). The program, budgeted at CDN$400,000, is scheduled for completion by year end and is budgeted to include five drill holes. Each hole will range between approximately 170 and 380 linear meters. The drilling has an objective of testing the persistence of the Cataclastic Zone uranium-bearing mineralization at depth.
Uranium mineralization at the Lost Pond was first discovered by Shell Minerals in 1981. Recent exploration work by Ucore defined the main uranium showing as a 200 metre wide ‘structural/alteration corridor’ hosting the Cataclastic Zone (up to 0.045% U3O8 over 12.3 m), in addition to parallel higher grade fracture-controlled mineralization (up to 0.752% U3O8 over 0.5 m) (see Ucore press release dated Sept. 16, 2008).
Diamond drilling completed to date, totaling 3,100 linear meters, has documented that the Cataclastic Zone is a steeply plunging body, with the width and uranium concentrations increasing at depth. The deepest hole drilled to date has assayed 0.038 %U3O8 over 20.1 metres, including 0.061 %U3O8 over 3 metres (see Kirrin press release dated Dec. 6, 2010). The current exploration phase will continue to test the potential for increasing width and grade of mineralized at depth.
“We’re pleased with the high quality of work performed by Kirrin Resources at Lost Pond,” said Jim McKenzie, Ucore‘s President and CEO. “Results to date have been very encouraging and we’re looking forward to receiving additional data on the project. This joint venture continues to leverage our potential for success in Newfoundland, as we continue to focus on advancing our flagship heavy REE property at Bokan Mountain, Alaska.”
Ucore Rare Metals Inc. is a well-funded junior exploration company focused on establishing REE, uranium and other rare metal resources through exploration and property acquisition. With multiple projects across North America, Ucore’s primary focus is the 100% owned Bokan – Dotson ridge REE property in Alaska.
In addition to uranium prospects, the Lost Pond property contains significant REE mineralization, located approximately two kilometers east of the Cataclastic Zone. An initial Ucore drilling program yielded, among others, an intersect averaging 4.47 wt.% Total Rare Earth Oxides (“TREO”) over 5.64 m (with dominant Ce2O3, La2O3, Nd2O3 and Y2O3; see Ucore press release dated July 16, 2008), while subsequent Kirrin drilling intersected multiple mineralized zones, including 4.32 wt.% TREO (predominantly Ce2O3, La2O3, Nd2O3 and Y2O3) over 2 m core length in hole LP08-13 and 1.16 wt.% TREO (with similarly predominant Ce2O3, La2O3, Nd2O3 and Y2O3) over 15.3 m core length in hole LPO8-17 (see Ucore press release dated Apr. 14, 2009).
Recent exploration work defined five new REE showings, one of which yielded a grab sample with 10 wt.% TREO (including 4.13 wt.% Ce2O3, 2.22 wt.% La2O3 and 1.88 wt.% Nd2O3; see Ucore press release dated Feb. 8, 2010). Mineralogical investigations by SGS Laboratories of Lakefield, Ontario, showed that the bulk of REE in the mineralized samples is present in monazite (74-90%), a mineral considered relatively easy to “crack” or break apart into its elemental constituents. The SGS work additionally showed that the REE liberation ranges between 80-95% (see Ucore press release dated Apr. 8, 2009).
The Lost Pond property comprises 1,083 contiguous claims, spanning a territory in excess of 270 square kilometres near Newfoundland’s west coast. Situated just 30 kilometres east of Stephenville, Lost Pond is within close proximity to the province’s west coast economic centre at Corner Brook and is highly accessible. The Trans Canada Highway and existing power lines run through the property, in addition to an extensive network of logging roads and access routes.
The Lost Pond property is subject to a farm-in agreement between Ucore Rare Metals Inc and Kirrin Resources Inc whereby Kirrin can earn up to a 50% interest in the property by completing a schedule of annual exploration expenditures and share payments to Ucore (see Ucore press release dated Sept. 16, 2008).
For further information, please contact Mr. Jim McKenzie, President and Chief Executive Officer of Ucore Rare Metals Inc. at: (902) 482-5214.
This press release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration activities and events or developments that the Company expects, 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 or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include exploitation and exploration successes, continued availability of financing, and general economic, market or business conditions.
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.