Defense Metals Corp. Continues to Drill High Grade at Wicheeda With 3.23% Total Rare Earth Oxide Over 162 Metres; Including 4.21% Over 45 Metres From Surface - Confirms Significant Mineralization At Depth With Potential to Expand Mineral Resource
Defense Metals Corp. Continues to Drill High Grade at Wicheeda With
3.23% Total Rare Earth Oxide Over 162 Metres; Including 4.21% Over 45
Metres From Surface - Confirms Significant Mineralization At Depth With
Potential to Expand Mineral Resource
VANCOUVER, BC
,
March 8, 2022
/CNW/ - Defense Metals Corp. ("
Defense Metals
" or the "
Company
") (TSX-V: DEFN)(OTCQB: DFMTF) (FSE: 35D) is
pleased to announce results for an additional six diamond drill holes totalling 845 metres from the Company's 29 hole, 5,349 metre diamond drill program
completed during fall 2021. Drill holes WI21-39 and WI21-40 collared from the same pad, and holes WI21-41 through WI21-44 sited 100 metres north were
designed to further delineate the Wicheeda Rare Earth Element (REE) deposit.
Drill hole
WI21-40
returned
3.23% TREO (total rare earth oxide) over 162 metres
1
.
Along with previously reported drill hole WI21-33 on section grading
3.17% TREO over 196 metres, these two holes yielded the highest-grade x width of the 2021 drill program to date. In addition to significant composite
mineralized widths, these holes continue to demonstrate the presence of higher-grade zones of carbonatite at surface and at depth extending below the current
resource pit shell.
The Company continues to receive additional assay results from the 2021 Wicheeda REE Deposit resource expansion and delineation campaign that will be
released in the coming days and weeks.
Luisa Moreno
, President, and Director of Defense Metals commented:
"Drilling at depth within the northern Wicheeda Deposit has intersected significant new
zones of high-grade REE mineralization with the potential to expand the mineral resource, and importantly may also contribute to supporting higher grades
across the range of potential mine life."
Resource infill drill hole
WI21-39 (-60
o
dip / 285
o
azimuth)
returned assays of
2.62% TREO over 110 metres
1
and in conjunction with WI21-36 and WI21-37
completes sectional drilling within the northern quarter of the Wicheeda Deposit confirming the presence of high-grade dolomite carbonatite within 2019 near
surface drill holes to a vertical depth of 175 metres and horizontal width of 160 metres (
Table 1 and
Figure 1
).
Delineation drill hole
WI21-40 (-60
o
dip / 285
o
azimuth)
intersected mineralized dolomite carbonate from surface grading
3.23% TREO over 162 metres
1
;
including higher grade intervals from surface of
4.21% TREO over 44.75 metres
1
, and at depth of
3.67% TREO over 71 metres
1
extending 15 metres below the
current resource pit shell (
Figure 2
). Importantly drill holes
WI21-33, WI21-36, and WI21-40
establish the presence of a previously unrecognized zone of high-
grade dolomite carbonate at depth within the northeast quadrant of the Wicheeda Deposit. Mineralized zones within WI21-40W and WI21-33 extend downhole 60
and 80 metres respectively below the current resource, and 15 and 32 metres below the resource pit shell providing the potential to expand mineral resources.
_____________________________
1
The true width of REE mineralization is estimated to be 70-100% of the drilled interval.
Drill hole
WI21-44
(-60
o
dip / 240
o
azimuth)
collared 100 metres to the north intersected a mixed interval of dolomite carbonatite near surface and REE
mineralized syenite at depth high averaging
1.72% TREO over 108 metres
; including
2.59% TREO over 54 metres
near surface (
Figure 3
).
Table 1. Wicheeda REE Deposit 2021 Diamond Drill Intercepts
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)
WI21-39 (285/-60)
4
114
110
2.62
1.28
0.87
0.30
0.10
320
158
73
42
13
5
and
114
224.8
110.8
0.72
0.35
0.21
0.10
0.03
129
75
31
30
8
4
WI21-40 (345/-65)
2.75
165
162.25
3.23
1.57
1.11
0.36
0.13
370
158
70
39
13
4
including
2.75
47.5
44.75
4.21
2.05
1.46
0.46
0.16
452
197
92
61
18
7
including
96
167
71
3.67
1.79
1.26
0.41
0.14
411
173
75
35
13
3
WI21-43 (045/-85)
10.75
124.1
113.35
0.55
0.26
0.17
0.07
0.02
121
84
33
35
9
5
WI21-44 (240/-60)
17.5
125.6
108.1
1.72
0.83
0.57
0.20
0.07
266
141
69
47
14
6
including
35
89
54
2.59
1.24
0.87
0.29
0.10
384
205
102
70
20
9
WI21-33 (350/-80)
5.00
201.00
196
3.17
1.52
1.07
0.37
0.13
382
181
81
42
14
4
including
5.00
55.25
50.25
3.63
1.74
1.26
0.41
0.14
396
181
84
52
16
6
including
146.00
201.00
55.00
4.29
2.07
1.48
0.47
0.17
489
232
112
52
18
5
WI21-34 (040/-55)
3.00
117.00
114.00
2.97
1.46
1.02
0.33
0.11
323
134
58
23
9
2
including
3.00
70.00
67.00
3.84
1.89
1.34
0.41
0.15
379
160
69
29
11
3
WI21-35 (080/-55)
1.20
121.00
119.80
3.87
1.87
1.34
0.43
0.15
434
200
88
52
17
6
WI21-36 (108/-80)
1.10
174.00
172.90
2.34
1.14
0.78
0.27
0.09
293
134
59
35
11
4
including
1.10
35.65
34.55
3.45
1.66
1.21
0.38
0.13
374
170
72
37
13
4
including
136.00
174.00
38.00
3.02
1.46
1.05
0.33
0.12
337
157
68
40
13
4
WI21-37 (108/-45)
2.00
139.85
137.85
3.19
1.56
1.10
0.35
0.12
351
144
66
30
11
3
including
2.00
57.00
55.00
4.00
1.96
1.38
0.42
0.15
427
164
76
35
12
3
WI21-38 (220/-70)
1.35
82.00
80.65
3.08
1.50
1.07
0.33
0.12
346
154
70
40
13
4
including
1.35
24.75
23.4
6.01
2.91
2.14
0.62
0.23
607
246
114
60
20
6
A series of short drill holes
WI21-41 (-55
o
dip / 025
o
azimuth), WI21-42 (-70
o
dip / 025
o
azimuth), and WI21-43 (-85
o
dip / 045
o
azimuth)
totalling 285 metres
successfully delineated the northeast margin of the deposit. Drill hole
WI21-43
intersected several carbonate dykes, syenite and limestone host rocks above
resource cut-off averaging 0.55% TREO over 113 metres (
Figure 3
).
________________________
2
TREO % sum of CeO
2
, La
2
O
3
, Nd
2
O
3
, Pr
6
O
11
, Sm
2
O
3
, Eu
2
O
3
, Gd
2
O
3
, Tb
4
O
7
, Dy
2
O
3
and Ho
2
O
3
.
Figure 1. Drill Section Holes WI21-36, WI21-37, and WI21-39 (CNW Group/Defense Metals Corp.)
Figure 2. Drill Section Holes WI21-33, WI21-36, and WI21-40 (CNW Group/Defense Metals Corp.)
Figure 3. Drill Section Holes WI21-43 and WI21-44 (CNW Group/Defense Metals Corp.)
About the Wicheeda REE Property
The 100% owned 2,008-hectare Wicheeda REE Property, located approximately 80 km northeast of the city of
Prince George, British Columbia
, is readily
accessible by all-weather gravel roads and is near infrastructure, including power transmission lines, the CN railway, and major highways.
The Wicheeda REE Project yielded a robust 2021 PEA that demonstrated an after-tax net present value (NPV@8%) of
$517 million
, and 18% IRR
3
. A unique
advantage of the Wicheeda REE Project is the production of a saleable high-grade flotation-concentrate. The PEA contemplates a 1.8 Mtpa (million tonnes per
year) mill throughput open pit mining operation with 1.75:1 (waste:mill feed) strip ratio over a 19 year mine (project) life producing and average of 25,423 tonnes
REO annually. 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 QA/QC
The analytical work reported on herein was performed by ALS Canada Ltd. (ALS) at
Langley
(sample preparation) and
Vancouver
(ICP-MS fusion), B.C. 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.
_______________________
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
).
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. (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 sampling, analytical and test data underlying the information and opinions
contained therein.
About
Defense Metals Corp.
Defense Metals Corp. is a mineral exploration and development company focused on the acquisition, exploration and development of mineral deposits containing
metals and elements commonly used in the electric power market, defense industry, national security sector and in the production of green energy technologies,
such as, rare earths magnets used in wind turbines and in permanent magnet motors for electric vehicles. Defense Metals owns 100% of the Wicheeda Rare
Earth Element Property 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".
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, drill results including anticipated timeline of such results/assays, the Company's plans for its
Wicheeda REE Project, expanded resource and scale of expanded resource, expected results and outcomes, 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 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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CO: Defense Metals Corp.
CNW 05:00e 08-MAR-22