Defense Metals announces best Rare Earth Assay Results of 2022 from Wicheeda Project Drilling, including 138 metres of 3.66% TREO
Defense Metals announces best Rare Earth Assay Results of 2022 from
Wicheeda Project Drilling, including 138 metres of 3.66% TREO
VANCOUVER, BC
,
Jan. 24, 2023
/CNW/ - Defense Metals Corp. ("
Defense Metals
" or the "Company"; (TSXV: DEFN) (OTCQB: DFMTF) (FSE: 35D) is pleased
to announce Rare Earth Element ("REE") assay results from the final two core drill holes, totalling 295 metres ("m"), completed during 2022 at its 100% owned
Wicheeda REE Deposit. These assay results are from two exploration geotechnical core drill holes. The final drill hole (WI22-79) returned the best drill intercept
on a grade-times-width basis of the entire 18-hole
5,510 m
(~18,077 feet) 2022 campaign.
Pit slope geotechnical drill hole
WI22-78 (-60
o
dip at azimuth 200
o
)
drilled into the west pit wall intersected well mineralized dolomite carbonatite that assayed
2.63% total rare earth oxide ("TREO") over 97 metres ("m") from surface
within a broader mineralized one returning
2.03% TREO over
168 m
(see
Table 1
and
Figure 1
).
The final drill hole,
WI22-79 (-65
o
dip at 095
o
azimuth)
, drilled within the central area of the Wicheeda Deposit and into the east pit wall intersected an upper
high-grade mineralized dolomite-carbonatite interval
from surface assaying
3.66% TREO over 138
m
; and lower interval grading
0.50% TREO over
43 m
(see
Table 1
Figure 1, and Image 1
).
The upper interval in WI22-79 represents the best mineralized intercept returned of all 2022 holes and ranks among the top 10 reported drill intercepts of the
more than
10,000 m
drilled in 47 holes Defense Metals has completed post-PEA (see "
About the Wicheeda REE Project
").
Luisa Moreno, President, and Director of Defense Metals stated:
"The economic significance of the Wicheeda REE Project is underscored by the fact that the final drill hole yielded the best drill intercept of the 2022
campaign. Since the release of our positive PEA based on drilling completed up to the end of 2019, the last two years of exploration at Wicheeda has
focused on resource expansion, delineation, and detailed pit slope geotechnical drilling designed to place us solidly on the path towards initiation of a
Preliminary Feasibility Study (PFS). With critical minerals and particularly rare earth elements coming into sharper focus as part the rapidly accelerating
transition to electric vehicles, Defense Metals looks forward to continuing to advance the social-environmental, metallurgical, engineering, and
geotechnical aspects of the Wicheeda REE Project during 2023."
Table 1. Final Wicheeda REE Deposit 2022 Diamond Drill Intercepts
1
Hole ID
From (m)
To
(m)
Interval (m)
TREO
2
(%)
Ce
2
O
3
(%)
La
2
O
3
(%)
Nd
2
O
3
(%)
Pr
2
O
3
(%)
Sm
2
O
3
(ppm)
Gd
2
O
3
(ppm)
Eu
2
O
3
(ppm)
Dy
2
O
3
(ppm)
Tb
4
O
7
(ppm)
Ho
2
O
3
(ppm)
WI22-78 (200/-60)
4.6
172.3
167.7
2.03
0.99
0.70
0.21
0.08
221
102
48
25
9
3
including
4.6
101.6
97.0
2.63
1.29
0.93
0.26
0.10
253
113
54
26
9
3
WI22-79 (095/-65)
3
141
138.0
3.66
1.74
1.31
0.39
0.15
381
175
82
38
14
4
and
141
183.7
43
0.50
0.23
0.13
0.08
0.02
171
118
45
49
13
7
Previously Reported
WI22-62 (204/-50)
93
260
167
1.39
0.68
0.43
0.18
0.06
222
101
43
29
9
4
including
121
169
48
2.29
1.13
0.72
0.29
0.10
316
123
54
22
9
2
WI22-63 (204/-60)
148
187
39
2.29
1.12
0.79
0.25
0.09
246
120
47
26
9
3
including
175
184
9
5.08
2.45
1.84
0.52
0.19
472
215
91
49
17
5
WI22-64 (204/-65)
77
269.3
192.3
1.78
0.86
0.58
0.22
0.08
230
116
51
34
10
4
including
77
150
73
3.13
1.51
1.06
0.37
0.13
353
156
71
30
12
3
WI22-67 (197/-60)
30.7
137
106.3
2.53
1.22
0.87
0.28
0.10
307
149
66
36
13
4
including
41
100
59
3.42
1.65
1.19
0.37
0.14
381
184
80
40
16
4
WI22-68 (220/-55)
109.4
233
123.6
3.58
1.69
1.29
0.38
0.14
376
160
71
35
12
3
including
212
230
18
6.70
3.11
2.50
0.71
0.27
619
260
111
47
18
5
WI22-69 (230/-50)
93
314
221
2.14
1.02
0.74
0.24
0.09
260
126
56
36
11
4
including
93
204
111
3.52
1.68
1.25
0.37
0.14
390
181
81
45
16
5
WI22-70 (234/-55)
117
230
113
2.50
1.20
0.84
0.29
0.10
352
180
74
58
17
7
WI22-71 (163/-50)
3.5
210
206.5
1.47
0.72
0.48
0.18
0.06
203
99
43
31
9
4
including
3.5
69
65.5
2.83
1.38
0.96
0.32
0.11
327
147
66
36
12
4
WI22-72 (167/-70)
3
125
122
2.56
1.25
0.85
0.29
0.11
308
139
63
40
12
5
including
3
58
55
3.02
1.47
1.02
0.34
0.12
345
135
69
34
12
4
and
125
222
97
0.90
0.44
0.27
0.12
0.04
152
80
35
30
8
4
WI22-73 (134/-60)
2.3
224
221.7
1.42
0.69
0.46
0.17
0.06
203
100
45
35
10
5
including
2.3
83.5
81.2
2.35
1.14
0.80
0.26
0.09
281
123
57
34
11
4
WI22-74 (139/-65)
2.5
194
191.5
2.03
0.99
0.68
0.23
0.08
247
111
50
30
9
4
including
2.5
32.5
30
3.77
1.83
1.33
0.39
0.15
342
144
68
38
12
4
and
59
115.8
56.8
2.52
1.22
0.87
0.27
0.10
279
120
55
30
10
4
WI22-76 (242/-55)
125
276
151
0.64
0.31
0.20
0.08
0.03
104
60
27
27
7
4
WI22-77 (348/-70)
16.5
93
76.5
0.67
0.32
0.20
0.09
0.03
160
104
44
45
11
6
__________________________
1
The true width of REE mineralization is estimated to be 70-100% of the drilled interval.
2
TREO % sum of CeO2, La2O3, Nd2O3, Pr6O11, Sm2O3, Eu2O3, Gd2O3, Tb4O7, Dy2O3 and Ho2O3.
Figure 1. Wicheeda REE Deposit Cross Section Looking North (CNW Group/Defense Metals Corp.)
Image 1: REE Mineralization Within WI22-79 (49-63.9m interval grades 5.47% TREO) (CNW Group/Defense Metals Corp.)
About the Wicheeda REE Project
The 100% owned, 4,262-hectare (~10,532-acre) Wicheeda REE Project is located approximately 80 km northeast of the city of
Prince George, British Columbia
;
population 77,000. The Wicheeda project is readily accessible by all-weather gravel roads and is near infrastructure, including power transmission lines, gas
pipelines, the Canadian National Railway, and major highways.
The 2021 Wicheeda REE Project Preliminary Economic Assessment technical report ("PEA") outlined a robust after-tax net present value (NPV@8%) of
$517
million
and an 18% IRR
3
. This PEA contemplated an open pit mining operation with a 1.75:1 (waste:mill feed) strip ratio providing a 1.8 Mtpa ("million tonnes per
year") mill throughout producing an average of 25,423 tonnes REO annually over a 16 year mine life. A Phase 1 initial pit strip ratio of 0.63:1 (waste:mill feed)
would yield rapid access to higher grade surface mineralization in year 1 and payback of
$440 million
initial capital within 5 years.
Methodology and Quality Assurance/Quality Control
The analytical work reported on herein was performed by ALS Canada Ltd. ("ALS") at their
Langley
(sample preparation) and
Vancouver
(ICP-MS fusion), B.C.
facilities. ALS is an ISO-IEC 17025:2017 and ISO 9001:2015 accredited geoanalytical laboratory and is independent of the Defense Metals and the QP. Drill core
samples were subject to crushing at a minimum of 70% passing 2 mm, followed by pulverizing of a 250-gram split to 85% passing 75 microns. A 0.1-gram sample
pulp was then subject to multi-element ICP-MS analysis via lithium-borate fusion to determine individual REE content (ME-MS81h). Defense Metals follows
industry standard procedures for the work carried out on the Wicheeda Project, with a quality assurance/quality control ("QA/QC") program. Blank, duplicate, and
standard samples were inserted into the sample sequence sent to the laboratory for analysis. Defense Metals detected no significant QA/QC issues during review
of the data.
Qualified Person
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. (B.C.), Principal and Consultant of APEX Geoscience Ltd. of
Edmonton, Alberta
, who is a director of Defense Metals and a "Qualified Person"
("QP") as defined in NI 43-101. Mr. Raffle has verified the data, which included a review of the sampling, analytical and test methods underlying the data,
information and opinions disclosed herein.
__________________________
3
Independent Preliminary Economic Assessment for the Wicheeda Rare Earth Element Project, British Columbia, Canada, dated January 6, 2022, with an effective date of November 7, 2021, and prepared by SRK Consulting (Canada) Inc. is filed under Defense Metals Corp.'s Issuer Profile on
SEDAR (www.sedar.com).
About
Defense Metals Corp.
Defense Metals Corp. is a company focused on the development of its 100% owned Wicheeda Rare Earth Element mineral deposit, located near
Prince George,
British Columbia
, Canada, that contains metals and elements commonly used in in green energy, aerospace, automotive and defense technologies. Rare earth
elements are especially important in the production of magnets used in wind turbines and in permanent magnet motors for electric vehicles. 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".
For further information, please contact:
Todd Hanas
, Bluesky Corporate Communications Ltd.
Vice President, Investor Relations
Tel: (778) 994 8072
Email:
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 advancing the Wicheeda REE Project, the Company's plans for its Wicheeda REE Project, expanded resource and scale of expanded
resource, expected results and outcomes, plans to complete a PFS, 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 results, risks related to the inherent uncertainty of exploration 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 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
drilling 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.
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CNW 09:00e 24-JAN-23