August 5, 2010 - Toronto - Pele Mountain Resources Inc. (TSX Venture: GEM) ("Pele" or the "Company") announced today that Dr. William H. Bird P. Geo., has accepted Pele's invitation to become the first appointment to its Rare-Metals Advisory Board.
Dr. Bird has more than 40 years of mining-industry experience and is renowned for his expertise in rare-earth elements ("REE"). He has served as a senior executive of several successful publically traded resource companies, including as CEO of Rare Element Resources Ltd. (TSX Venture: RES), owner of the Bear Lodge REE and gold deposits, from 2005 until 2007. He is currently President and CEO of Medallion Resources (TSX Venture: MDL), which is focused on the acquisition and exploration of REE projects. Dr. Bird earned a Ph.D. in Geology from the Colorado School of Mines.
Dr. Bird stated, "Pele's Eco Ridge Deposit is an example of the prolific Elliot Lake quartz-pebble conglomerate uranium deposits, which have historically produced over 300,000,000 million pounds of uranium and which also have produced rare-earth elements as a by-product of uranium production. In view of the fact that the Elliot Lake deposits have well-understood mineralogy, have produced REE commercially in the past and have great infrastructure already in place, they are capable of producing again relatively quickly."
REEs are critical components in many high-tech and clean energy applications including hybrid motor vehicles, flat screen monitors, high-power magnets and a wide range of military applications. Although demand for REEs is growing rapidly, their availability is limited, with more than 97-percent of global production controlled by China, which has imposed restrictions on their export. Pele management believes that Eco Ridge has the potential to provide industry with a significant and dependable supply of REE.
In 2008, Pele filed a Project Description with the Federal Government's Major Projects Management Office. The document details Pele's approach to sustainable development at Eco Ridge. With its excellent regional infrastructure, well-understood geology, and politically-stable and mining-friendly jurisdiction, Elliot Lake is an ideal location for the development of a new, long-term, secure, and reliable supply of uranium and REE.
Al Shefsky, president and CEO of Pele stated, "The formation of Pele's Rare-Metals Advisory Board affirms our commitment to collaborating with highly skilled experts to advance our flagship Eco Ridge Mine Project. Although Yttrium was the primary REE produced historically at Elliot Lake, the development of many new strategically critical applications has created growing demand for a wide range of REE. Pele's Eco Ridge deposit contains the full range of REE, including the highly valued 'heavy' REE, which past production and more recent leach recovery analysis at SGS and MIRARCO have confirmed can be extracted from the conglomerate deposits at Elliot Lake. We are looking forward to working with Dr. Bird and our new Advisory Board to add value to the project from the extensive REE mineralization at Eco Ridge."
About Pele
Pele Mountain Resources has generated and advanced high-quality mineral projects since 1996, discovering and developing the mineral wealth of Northern Ontario. At its Eco Ridge Mine uranium project, Pele is focused on the sustainable development of a safe, secure, and reliable operation near Elliot Lake. At its high-grade Highland gold properties, Pele's goal is to identify mineable, near-surface gold resources. At its 270 square kilometre Pigeon River project, Pele is exploring magnetic targets in search of Ni/Cu/PGE deposits. The Company also holds the Ardeen Gold and Sudbury Nickel projects, which are actively explored under option/JV agreements with Coventry Resources Ltd. and Wallbridge Mining Company, respectively. Pele's shares are listed on the TSX Venture Exchange under the symbol "GEM".
For further information please contact Al Shefsky, President, at (800) 315-7353, or visit the Pele website at www.pelemountain.com.
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. Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe Pele's future plans, objectives or goals, including words to the effect that Pele or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements. The economic viability of the 43-101 mineral resource at Pele's Elliot Lake Project has not yet been demonstrated by a preliminary feasibility study.