Trading Symbol: TSXV: BMC
Shares Outstanding: 166,283,160
WINDSOR, NS,
March 20, 2013 /CNW/ - Buchans
Minerals Corporation (TSXV: BMC) ("Buchans Minerals" or the
"Company"), and Minco plc (AIM Market: MIO) ("Minco")
are pleased to announce further drilling results for the
Woodstock manganese project in
New Brunswick. The second
batch of assays from the current program includes results from 5
drill holes located on two sections cutting across the Plymouth deposit. These results include 3
holes on section 12 North where the deposit is interpreted to be
approximately 190 metres wide at surface and extending to depths of
230 metres or more and 2 holes on section 15 North where
mineralization is projected to be 45 metres wide at surface and
extend to depths of 140 metres or more. A map of the drill hole
locations, sections and detailed assays can be viewed on the
Company's website at http://www.buchansminerals.com.
Highlights from the three holes on section 12
North include hole PL-14 that intersected 11.08% Mn over 202.5
metres core length from 3.5 to 206.0 m (136 m approximate true
width); hole PL-16 that intersected 10.1% Mn over 99.0 metres
core length from 89.0 to 188.0 m (78 m approximate true width),
as well as two lower intercepts of 11.56% Mn over 30.0 metres
core length and 13.23% Mn over 39.0 m core length (23
metres and 31 metres approximate true widths respectively).
The most easterly hole on this section, PL-13, intersected
11.43% Mn over 19.0 metres core length from 11.8 to 30.8 m
(16 m approximate true width).
Highlights from the two holes on section15 North
include hole PL-12 that returned assays averaging 10.82%
Manganese over 53.0 metres core length from 56.0 to 109.0
metres (45 m approximate true width) and hole PL-15, that returned
an upper intercept averaging 10.01% Manganese over 21.0 metres
core length from 152.0 to 173.0 metres (17 m approximate true
width) and a lower intercept averaging 10.06% Manganese over
36.0 metres core length from 185.0 to 221.0 metres (30 m
approximate true width).
Mineralization within the Plymouth deposit is interpreted to be hosted
by a steep west dipping, sedimentary sequence that likely
represents several lobes of mineralization within a synclinal fold
structure. The 2013 drill program was designed to allow estimation
of a National Instrument 43-101 ("NI-43-101") compliant Inferred
resource estimate for the historic Plymouth deposit. The program adds to
drilling results obtained by Buchans Minerals in 2011 (5 holes,
PL-11-6 to 11-10) as well as four historic holes drilled by past
operators in 1987 (PL-87-2 to 87-5) for which the Company has
examined archived drill cores and obtained full assay
certificates.
Drill Program Update:
The 2013 drill program is now complete and included 15 holes
totaling 4,082 metres of drilling. Buchans Minerals and Minco
added one extra hole to the original proposed program, PL-25 on
section 15N. This hole was completed on March 15 and was designed to test mineralization
below hole PL-11 that returned assays averaging 11.25% Manganese
over 113.85 metres core length (95 m approximate true width) within
the west-central portion of the deposit (February 14, 2013 press release). Sampling is
expected to be complete over the next week and additional assays
from other holes are expected to be available in the coming days.
Buchans Minerals intends to complete a NI 43-101 compliant Inferred
resource on the Plymouth deposit
by the end of April, 2013.
Summary of Plymouth drilling results: (core
lengths and intercept depths in metres)
Section 12N (near surface width 190
metres):
- Hole PL-13: 11.43% Mn over 19.0 m (11.8 - 30.8 m)
- Hole PL-14: 11.08% over 202.5 m (3.5 - 206.0 m)
- Hole PL-16: 10.11% over 99.0 m (89 - 188 m) &
11.56% over 30.0 m (215 - 245 m) & 13.23% over 39.0
m (302 - 341 m)
Section 13N (near surface width 225
metres):
- Hole PL-11: 11.25% Mn over 113.85 m (51.65 - 165.5
m)
- Hole PL-10: 11.27% over 101.0 m (10 - 111 m) &
11.67% over 78.0 m (153 - 231 m)
- Hole PL-09: 8.61% over 44.0 m (10 - 54 m) &
12.51% over 78.0 m (69 - 147 m)
Section 14N (near surface width 90
metres):
- Hole PL-08: 9.22% Mn over 63.0 m (80 - 143 m)
- Hole PL-07: 11.43% Mn over 89.0 m (21 - 110 m)
- Hole PL-06: 11.41% Mn over 45.0 m (5 - 50 m)
Section 15N (near surface width 45
metres):
- Hole PL-12: 10.82% Mn over 53.0 m (56 - 109 m)
- Hole PL-15: 10.01% Mn over 21.0 m (152 - 173 m) &
10.06% over 36.0 m (69 - 147 m)
A drill hole location map, drill sections and
detailed assays for each of the above holes can be referenced on
the Company's website at http://www.buchansminerals.com
(February 14, 2013, September 26, 2011 and September 7, 2011 news releases).
Plymouth Historic Resource:
The Plymouth deposit is comprised
of a non NI-43-101 compliant, historic, uncategorized resource
estimate totaling 151.2 million tons (46.5
million tonnes) averaging 10.9% Mn (manganese) and 13.3% Fe
(iron). This estimate was compiled by Strategic Manganese
Corporation in 1957 and is reported to include mineralization
extending from surface to depths of 500 feet (152 metres). The
historical resource estimate is based on data obtained and prepared
by previous operators and neither Buchans Minerals nor Minco has
located original assay sheets or details of the estimation
methodology or the key assumptions or parameters, underlying the
estimate. A qualified person has not done sufficient work to verify
or classify the historical mineral resource estimate as current
mineral resources. Neither Buchans
Minerals nor Minco is treating the historic resource estimate as NI
43-101 defined current mineral resources verified by a qualified
person, and the estimate should not be relied upon.
Verification and classification of the historical resource estimate
as current mineral resources will require considerable further
evaluation. For this reason, the Company has undertaken the current
resource drilling program to provide sufficient reliable
information to complete a NI 43-101 compliant resource estimate of
the Plymouth mineralization.
The Company has retained independent consultants, Mercator
Geological Services Limited, of Dartmouth
Nova Scotia to complete a new NI-43-101 compliant estimate
of resources upon completion of the current drill
program.
1 Historic resource estimate
from an article written by K.O.J.
Sidwell, 1957: The Woodstock,
N.B., Iron-Manganese Deposits. Transactions of the Canadian
Institute of Mining and Metallurgy, Volume LX, 1957, p.231-236. The
article reports the resource is compiled from data acquired from a
total of 17,388 feet (5,300 metres) of drilling.
Minco Option:
Minco has the right to earn up to 50% interest in Canadian
Manganese Company Inc. ("CMC"), a wholly-owned subsidiary of
Buchans Minerals that owns 100% of the Woodstock manganese property. Minco has
committed to earning a 10% interest in CMC by making phase one
expenditures of $1.250 million to
fund drilling and resource estimation for an inferred resource at
the Plymouth deposit as well as
complete additional hydrometallurgical test work on the deposit to
optimize the flowsheet to produce high-grade electrolytic manganese
metal ("EMM").
Following this initial commitment, Minco will
have 30 days to elect to continue with further expenditures of
$750,000 over a period of six months
(phase two expenditures) to complete a preliminary economic
assessment ("PEA") on the Plymouth
deposit to earn a further 10% interest in CMC. If Minco elects not
to proceed with the second phase of expenditures, Buchans will have a 90-day option to buy back
Minco's 10% interest in CMC for $1.250
million.
Upon completion of the PEA, Minco will have an
exclusive 3 month option to elect to earn a further 30% interest in
CMC by completing an NI 43-101 compliant pre-feasibility report on
the Plymouth deposit within two
years (the budget to be determined at that time). Buchans Minerals
will be the operator for all work programs performed under the
option agreement with Minco.
Qualified Persons & QAQC:
Paul Moore, MSc, P.Geo., (NL),
Vice-President Exploration for Buchans Minerals is acting as a Qualified
Person in compliance with NI-43-101 with respect to the geological
technical information contained in this release and has reviewed
and approved the contents for accuracy. Except the historical
mineral resource estimate disclosed in this news release,
Paul Moore has verified the data
disclosed in this release, including the sampling, analytical and
test data underlying the information contained in this release, in
accordance with Buchans Minerals'
QA/QC protocols as described below. Results presented
from past work include drilling results and assays previously
released by Buchans Minerals in 2011 (2011 drilling assays) as well
as assays and geological information available in the public domain
as reported by past workers in 1988 in New Brunswick Department of
Natural Resources and Energy Open File Report 90-4.
Logging, sampling and assaying procedures were
completed by Buchans Minerals
personnel as per Buchans Minerals QA/QC protocols as described in
detail in the Company's press release of February 14, 2013. All assaying is being
conducted by ALS Minerals as per procedures described in the
Company's press release of February 14,
2013.
About Buchans Minerals
Buchans Minerals is an Atlantic
Canada based resource company that has three main assets
that include its 100% owned base metal properties near Buchans in Central
Newfoundland (optioned to Minco plc.), its 100% owned
manganese property located near Woodstock (optioned to Minco) in New Brunswick and its 50% owned gold &
copper Long Range Property in central Newfoundland.
About Minco plc
Minco plc, registered in the Republic of
Ireland and listed on the AIM Market of the London Stock
Exchange (AIM: MIO) is involved in exploration and development
activities in Canada at its
Buchans, zinc-copper-lead-silver,
volcanogenic massive sulphide ("VMS") properties under joint
venture with Buchans Minerals Corporation, and indirectly in
exploring and developing silver-zinc properties in Central Mexico through its 29% shareholding in
Xtierra Inc., a company listed on the TSX Venture Exchange.
Minco holds 30 million shares (approximately
29%) in Xtierra Inc. listed on the TSX Venture Exchange (TSX.V:
XAG). Minco also holds 15 million shares (approximately 10%)
in Buchans Minerals listed on the TSX Venture Exchange (TSX.V:
BMC). For further information of Minco refer to Minco's website at
www.minco.ie.
Forward Looking Statements &
Disclaimer
Information set forth in this news release may involve
forward-looking statements under applicable securities laws.
Forward-looking statements are statements that relate to future,
not past, events. In this context, forward-looking statements often
address expected future business and financial performance, and
often contain words such as "anticipate", "believe", "plan",
"estimate", "expect", and "intend", statements that an action or
event "may", "might", "could", "should", or "will" be taken or
occur, or other similar expressions. All statements, other than
statements of historical fact, included herein including, without
limitation; statements about the potential of the Buchans Minerals
projects, are forward-looking statements. By their nature,
forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause our actual results,
performance or achievements, or other future events, to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. Such factors include, among others, the following
risks: the need for additional financing; operational risks
associated with mineral exploration; fluctuations in commodity
prices; title matters; environmental liability claims and
insurance; reliance on key personnel; the potential for conflicts
of interest among certain officers, directors or promoters with
certain other projects; the absence of dividends; competition;
dilution; the volatility of our common share price and volume and
the additional risks identified the management discussion and
analysis section of our interim and most recent annual financial
statement or other reports and filings with the TSX Venture
Exchange (the "Exchange") and applicable Canadian securities
regulations. Forward-looking statements are made based on
management's beliefs, estimates and opinions on the date that
statements are made and Buchans
Minerals undertakes no obligation to update forward-looking
statements if these beliefs, estimates and opinions or other
circumstances should change, except as required by applicable
securities laws. Investors are cautioned against attributing undue
certainty to forward-looking statements.
Neither the Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the Exchange)
accepts responsibility for the adequacy or accuracy of this
release, and no securities regulatory authority has either approved
or disapproved of the contents of this release.
SOURCE BUCHANS MINERALS
CORP.