|
Lithic (TSX.V:LTH) Increases Crypto Zinc Resource by 40%, Adds Copper and Indium
Category: Investment, Gold, Mining
VANCOUVER, BRITISH COLUMBIA - November 19, 2009 - Lithic Resources Ltd. (TSX VENTURE:LTH) is pleased to announce that it has received an independent resource estimate for its 100% owned Crypto project in western Utah from Mine Development Associates ("MDA") of Reno, Nevada.
Highlights
- a 40% increase in the sulphide zinc resource compared with the previous historical (pre-NI 43-101) estimate
- a significant potential source of indium, a key constituent in flat panel displays and solar panels, located in the continental USA
- mineralization is open in three directions for expansion through additional drilling
- a large, overall resource of zinc, copper and indium, as follows:
| Category | Cutoff ZnEq% | Tonnes | % ZnEq | % Zn | % Cu | g/t In |
| Indicated | 3.00 | 6,298,000 | 6.87 | 4.75 | 0.322 | 46.2 |
| Inferred | 3.00 | 15,832,000 | 6.95 | 5.08 | 0.359 | 34.9 |
| Category | Cutoff ZnEq% | Lbs Zn | Lbs Cu | Kg In |
| Indicated | 3.00 | 659,482,000 | 44,752,000 | 291,000 |
| Inferred | 3.00 | 1,774,360,000 | 125,446,000 | 551,900 |
- a significant volume with higher grades, as follows:
| Category | Cutoff ZnEq% | Tonnes | % ZnEq | % Zn | % Cu | g/t In |
| Indicated | 6.00 | 2,659,000 | 10.48 | 8.01 | 0.369 | 54.5 |
| Inferred | 6.00 | 7,184,000 | 10.22 | 8.04 | 0.441 | 38.4 |
| Category | Cutoff ZnEq% | Lbs Zn | Lbs Cu | Kg In |
| Indicated | 6.00 | 469,349,000 | 21,621,000 | 144,900 |
| Inferred | 6.00 | 1,273,108,000 | 69,892,000 | 275,900 |
Outlook
The President and CEO of the Company, Chris Staargaard, stated that "MDA's resource estimate has confirmed our confidence in the Crypto project. This is a high-quality advanced asset with infrastructure in a politically stable jurisdiction, a mineral deposit that to the best of our knowledge represents the most significant potential indium resource in the continental USA. We believe that the Crypto deposit has the potential ultimately to be developed as a conventional underground mine followed by recovery of lower-grade oxide mineralization near surface. Such an operation would have a minimal environmental footprint and relatively low capital expenses. Furthermore, there is high grade mineralization potentially amenable to early mining and rapid capital payback."
Subject to financing, the Company is planning an intensive program of drilling, metallurgical studies and other work to further expand and investigate the zinc-copper-indium resource, the data from which would lead to a pre-feasibility study. Included in this program would be exploration drilling to follow up on numerous drill intercepts of significant molybdenum, high-grade silver-zinc-lead and outlying zinc-copper mineralization.
Technical
MDA completed the Crypto resource estimate using a highly detailed, three dimensional block model constructed on the basis of both Lithic's and historical drilling. Zinc, copper and indium grades were assigned to each block using inverse distance interpolation. Zinc-equivalent grades used for cutoff reporting used a zinc price of US$0.80/lb, a copper price of US$2/lb and an indium price of US$500/kg to determine the relative value of each metal. All mineralization was diluted to minimum dimensions of 2m by 2m by 3m.
Resource figures reported on a zone by zone basis are as follows:
| | Cutoff ZnEq% | Tonnes | ZnEq% | % Zn | % Cu | g/t In |
| Sulphide |
| Indicated | 3.00 | 5,800,000 | 6.60 | 4.44 | 0.309 | 48.8 |
| Inferred | 3.00 | 13,805,000 | 6.83 | 4.84 | 0.372 | 37.4 |
| Indicated | 6.00 | 2,411,000 | 9.91 | 7.43 | 0.329 | 58.3 |
| Inferred | 6.00 | 6,297,000 | 9.91 | 7.62 | 0.443 | 41.7 |
| Oxide |
| Indicated | 1.00 | 1,114,000 | 5.48 | 4.54 | 0.263 | 10.31 |
| Inferred | 1.00 | 4,644,000 4.45 | 3.73 | 0.165 | 12.55 |
| | Cutoff ZnEq% | Lb Zn | Lb Cu | Kg In |
| Sulphide |
| Indicated | 3.00 | 568,151,000 | 39,446,000 | 283,100 |
| Inferred | 3.00 | 1,472,057,000 | 113,191,000 | 516,400 |
| Indicated | 6.00 | 394,929,000 | 17,491,000 | 140,700 |
| Inferred | 6.00 | 1,057,338,000 | 61,497,000 | 262,300 |
| Oxide |
| Indicated | 1.00 | 111,413,000 | 6,449,000 | 11,500 |
| Inferred | 1.00 | 382,312,000 | 16,932,000 | 58,300 |
| Note: base case in bold, indium not included in ZnEq cutoff for oxides |
MDA noted that a significant proportion of the resources classified as Inferred would have been categorized as Indicated if only zinc and copper values were considered. However, because indium was not assayed in historical work, the lower overall density of samples with indium assays resulted in an Inferred designation for a significant proportion of mineralization that otherwise would have been classified as Indicated.
The technical information in this news release has been prepared in accordance with Canadian regulatory requirements as set out in NI 43-101 and was reviewed by Chris Staargaard, P.Geo, President and Chief Executive Officer of Lithic as well as Paul Tietz, R.P.G., and Steven Ristorcelli, R.P.G., of MDA, the latter two of whom are independent qualified persons as defined in NI 43-101. Quality-control data generated during Lithic's drill program at Crypto were independently reviewed by Dr. Giles Peatfield, P.Eng. A technical report will be filed on SEDAR within 45 days. Further information is available at www.lithicresources.com.
Investors are cautioned that mineral resources that are not mineral reserves do not have demonstrated economic viability. The above mineral resource estimates account for dilution and are based on reasonable assumptions about probable mining and processing methods. However, they do not account for factors such as mineability, selectivity or mining loss. They include Inferred mineral resources that are considered to be geologically speculative and cannot be subjected to sufficient economic analysis for them to be categorized as mineral reserves. US investors are further cautioned that the resources as stated in this news release, while fully compliant with Canadian and other international standards, do not conform with current SEC terminology or rules.
LITHIC RESOURCES LTD.
C.F. Staargaard, President and CEO
"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 release."
For more information, please contact
Lithic Resources Ltd.
C.F. Staargaard
President and CEO
(604) 687-7211
(604) 687-7211
info@lithicresources.com
Published at Investorideas.com and www.Gold-MiningStocks.com and www.MiningSectorStocks.com, portals within the InvestorIdeas.comŽ content umbrella, feature industry and stock news, exclusive articles and financial columnists, audio interviews and podcasts, investor conferences, blogs, and a directory of stocks in the sector. Industry participants are invited to submit news, articles and research.
Mining Stocks Directory: Research mining stocks and gold stocks:
Directory Features Gold Stocks, Silver Stocks, Uranium Stocks, Copper Stocks, Zinc Stocks and Precious Metals TSX, TSX Venture, OTC, NASDAQ, AMEX, NYSE, ASX, AIM and other leading Stock Exchanges -Public companies please contact us with updates, corrections and additions.
Mining Stocks Reach investors following mining stocks at Investorideas.com:
Submit Mining and Gold Stock News
Mining Stocks Investor Awareness Programs
Investors: Sign up for free newsletter, stock and sector news alerts at Investorideas.com. Or publish your own stock picks and share your investing and trading ideas with other investors. Publish your investor ideas today!
www.InvestorIdeas.com - Big Ideas for the Small Cap Investor
Disclaimer: The views and opinions expressed in the research published are those of the individual companies and writers and not necessarily those of Investorideas.comŽ, or any of the industry sector portals . At the time of publication, writers may hold positions in the stocks or companies mentioned.
Investorideas.comŽ or any of the industry sector portals cannot assure accuracy of the research presented. Investors are encouraged to research and verify facts and under no circumstances is Investorideas.comŽ endorsing the content as a recommendation to buy or sell stock.
|
|
