Rare
Element Resources Ltd. (TSX-V: RES and AMEX: REE) is pleased to
announce rare earth element (AMEX:REE)
assay results from an additional sixteen drill holes completed during its
2010 core drilling program at the Company's 100% owned Bear Lodge property,
located in northeastern Wyoming, USA (Figure 1). Select REE assay intervals
are also reported from two reverse circulation (RC) drill holes completed
during the Company's 2010 Sundance gold exploration program. Assays are
pending for the final fifteen core holes. The current results are from the
Bull Hill Southwest resource area (14 core holes), the Bull Hill NW resource
area (two core holes), and a potential new target area that may be the
northwestern extension of the Whitetail Ridge target area (2 RC holes). An
updated NI 43-101-compliant resource estimate for the Bull Hill SW and Bull
Hill NW resource areas was completed in May, 2010. The objectives of the 2010
drilling program were to expand the Bull Hill SW oxide resource and upgrade
the resource category, and to explore for additional REE resources at the
Bull Hill NW and Whitetail Ridge target areas. Previous assay results from
the Bull Hill SW resource area and the Whitetail Ridge REE target area were
reported in news releases dated 15 September and 9 November 2010, and 10
January 2011.
Highlights
from the current group of assays include the following intercepts:
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Bull Hill SW Resource Area
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RES10-33 -
RES10-34 -
RES10-37 -
RES10-38 -
RES10-39 -
RES10-40 -
RES10-41 -
RES10-48 -
RES10-56 -
RES10-58 -
RES10-62 -
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47.5 ft @ 3.97% TREO (total rare earth
oxide)
107.5 ft @ 3.06% TREO
53.5 ft @ 2.88% TREO
161 ft @ 4.10% TREO (includes 64 ft @ 6.38% TREO)
143 ft @ 3.30% TREO
76.5 ft @ 10.01% TREO
34 ft @ 4.06% TREO
60 ft @ 7.41% TREO (includes 17 ft @ 14.14% TREO)
88 ft @ 3.46% TREO
12 ft ' @ 7.17% TREO
102 ft @ 4.20% TREO' (includes 25 ft@ 8.79% TREO)
99 ft @ 4.25% TREO
73 ft @ 3.10% TREO
293 ft @ 3.51% TREO (includes 23 ft @ 7.29% TREO and 42.3 ft @
5.03% TREO)
17.5 ft @ 8.41% TREO
79 ft @ 4.50% TREO
80 ft @ 4.73% TREO (includes 17 ft @ 14.29% TREO)
115 ft @ 3.20% TREO
115 ft @ 5.81% TREO (includes 27 ft @ 13.52% TREO)
50 ft @ 4.21% TREO
24 ft @ 4.32% TREO
179 ft @ 8.78% TREO (includes 24 ft @ 12.53% TREO, 5 ft @
15.80% TREO, 10 ft @ 19.91% TREO, and 36.5 ft @ 18.51% TREO)
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Bull Hill NW Resource Area
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RES10-42 -
RES10-43 -
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14 ft @ 16.53% TREO
11 ft @ 4.82% TREO
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New REE Target Area
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SUN-079 -
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30 ft @ 4.69% TREO
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Jim
Clark, Vice President Exploration states: "The current assay set
includes some of the best results to date. The data show that the Bull Hill
SW deposit is open to the southeast, with excellent REE grades right up to
the limit of drilling. The results from drill hole RES10-33 demonstrate that
strong REE mineralization is present west of the West Bull Hill fault and
open up a significant area for further resource definition. We are excited
about the results from the two SUN reverse circulation holes. The SUN holes
were drilled in the Carbon gold target, some 1200 feet (366 m) from Whitetail
Ridge, and suggest that the Whitetail Ridge target area may be larger than
originally conceived. The current results will be incorporated into our next
NI 43-101 compliant resource estimate, planned for completion early in the
second quarter of 2011."
Drilling
Results
The
REE deposits in the Bear Lodge Mountains of northeastern Wyoming occur within
a large alkaline igneous complex that domes adjacent Paleozoic and Mesozoic
sedimentary rocks. The REE mineralization is hosted in dikes and veins of carbonatitic intrusive bodies and their near-surface
oxidized equivalents (FMR). FMR refers to the major constituents of the
highly oxidized, former carbonatite dikes that
occur in the depth range between the surface and 300-500 feet (91 - 152
meters) beneath the surface- F (FeOx)-M (MnOx)-R (REE minerals). A zone of partly oxidized carbonatite, termed transitional carbonatite
has variable thickness and occurs beneath the FMR zone and above the deeper
zone of unoxidized carbonatite.
REE
assay values are reported by convention as the combined oxide equivalents
(REO) of the fifteen elements in the lanthanide series + yttrium. The oxide
equivalents are approximately 15.6% higher than the combined metal assay
values. The Bear Lodge project contains predominantly the "light"
REE (lanthanum, cerium, praseodymium, and neodymium), and economically
important quantities of several of the "heavy" REE (europium,
dysprosium, and terbium).
Bull Hill SW Resource Area
REE
mineralization in the Bull Hill SW resource area is contained within
intrusive dikes, veins, and stockwork of FMR, transitional
carbonatite, and carbonatite
that invade heterolithic intrusive breccia of the
Bull Hill diatreme. Stockwork
refers to a rock cut by a network of small veins or dikes that contain the
mineralization. Much of the low-grade mineralization (1-2.5% REO) within the
Bull Hill area deposits occurs in stockworks.
Most of the REE mineralization in the current set of holes occurs within FMR
dikes and veins.
Nine
of the holes reported here were drilled along a bearing of N45ºE from a
series of sites on a resource evaluation grid established for the Bull Hill
SW deposit in conjunction with Ore Reserves Engineering, the Company's
resource estimation consultant (Figure 1). Four holes were drilled on the
grid along a bearing of S45ºW, and one hole was drilled on a due east
bearing. The bearing, inclination, and significant assay intercepts from the
REE-mineralized sections for each of the drill holes are summarized in Table
1 below.
Table
1. Summary of new REE-mineralized drill intercepts at the Bull Hill SW Resource
Area:
Drill
hole RES10-29 (N45E, -55º; t.d. 1,106 feet)
Interval
(feet)
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Intercept
(feet)
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Est. true
thickness
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Mineralized lithology
|
TREO (%)
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260-488
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228
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131
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FMR stockwork (260-288') and carbonatite dikes and veins (288-488')
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3.71 (includes 87.5ft @ 4.62%
TREO)
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529.5-550.5
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21
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15
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Carbonatite dikes
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3.09
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586.5-690
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103.5
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44
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Carbonatite dikes
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2.37
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728-754
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26
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9
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Carbonatite dikes
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3.01
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934-968
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34
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12
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Carbonatite dikes
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2.13
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Drill
Hole RES10-31 (N45E, -70º; t.d. 796 feet)
Interval
(feet)
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Intercept
(feet)
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Est.
true
thickness
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Mineralized lithology
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TREO (%)
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28.5-35
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6.5
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5.6
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FMR dike
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15.94
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139.5-144.5
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5
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4.3
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FMR dike
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2.57
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328-334.5
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6.5
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6.5
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FMR stockwork
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4.45
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Drill
Hole RES10-33 (S45W, -60º; t.d. 806 feet)
Interval
(feet)
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Intercept
(feet)
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Est.
true
thickness
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Mineralized
lithology
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TREO (%)
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9.5-57
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47.5
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43
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FMR stockwork
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3.97
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323.5-431
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107.5
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69
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Carbonatite dikes and stockwork
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3.06
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495-505.5
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10.5
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10
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Carbonatite dikes
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9.57
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Drill
Hole RES10-34 (N45E, -45º; t.d. 755 feet)
Interval
(feet)
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Intercept
(feet)
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Est. true thickness
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Mineralized lithology
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TREO (%)
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45-80
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35
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12
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FMR dike
and stockwork
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2.37
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186.5-240'
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53.5
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27
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FMR dikes
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2.88
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260-421
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161
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103
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FMR dikes and stockwork (260-310');
transitional carbonatite (310-421')
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4.10 (includes 64ft @ 6.38%
TREO)
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436.5-579.5
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143
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72
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Transitional carbonatite dikes and stockwork
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3.30
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595-635
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40
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17
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Carbonatite dikes and stockwork
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1.81
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Drill
Hole RES10-36 (S45W, -45º; t.d. 490 feet)
Interval
(feet)
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Intercept
(feet)
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Est.
true
thickness
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Mineralized
lithology
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TREO (%)
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300-347.5
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47.5
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31
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Transitional carbonatite
stockwork
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1.88
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Drill
Hole RES10-37 (S45W, -80º; t.d. 431 feet)
Interval
(feet)
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Intercept
(feet)
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Est. true
thickness
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Mineralized lithology
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TREO (%)
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19.5-96
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76.5
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20
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FMR dikes
and stockwork
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10.01
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165-185
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20
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12
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Transitional carbonatite dikes
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2.70
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245.5-279
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33.5
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24
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Transitional carbonatite dikes and stockwork
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3.97
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328.5-347
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18.5
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12
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Transitional carbonatite dikes and stockwork
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1.66
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384-418'
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34
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24
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Transitional carbonatite dikes
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4.06
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455.8-466
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10.2
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3.5
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Transitional carbonatite dike
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5.79
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Drill
Hole RES10-38 (N45E, -60º; t.d. 856 feet)
Interval
(feet)
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Intercept
(feet)
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Est. true
thickness
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Mineralized lithology
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TREO (%)
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21-81
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60
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46
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FMR dikes
and stockwork
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7.41 (includes 17ft @ 14.14%
TREO)
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186.5-274.5
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88
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44
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FMR dikes
and stockwork
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3.46
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472.5-488
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15.5
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10
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Transitional carbonatite dikes and stockwork
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3.61
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594-606
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12
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9
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FMR dikes and stockwork
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7.17
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Drill
Hole RES10-39 (S45W, -46.5º; t.d. 490 feet)
Interval
(feet)
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Intercept
(feet)
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Est. true
thickness
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Mineralized lithology
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TREO (%)
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10-112
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102
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72
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FMR dikes
and stockwork
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4.2 (includes 25ft @ 8.79%
TREO)
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184-283
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99
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86
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FMR dikes
and stockwork
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4.25
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416-489
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73
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63
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Transitional carbonatite dikes and stockwork
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3.10
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Drill
Hole RES10-40 (N45E, -70º; t.d. 746 feet)
Interval
(feet)
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Intercept
(feet)
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Est. true thickness
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Mineralized lithology
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TREO (%)
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200-493
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293
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168
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FMR veins and stockwork (200-270');
transitional carbonatite dikes and stockwork (270-493
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3.51 (includes 23ft @ 7.29% TREO
and 42.3ft @ 5.03% TREO
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704-735
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31
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15.5
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Transitional carbonatite dikes and stockwork
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2.89
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Drill
Hole RES10-41 (N45E, -45º; t.d. 646 feet)
Interval
(feet)
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Intercept
(feet)
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Est.
true
thickness
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Mineralized
lithology
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TREO (%)
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176-199
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23
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20
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FMR dikes and stockwork
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4.37
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221.5-239
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17.5
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15
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FMR dikes and veins
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8.41
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393-433
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40
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31
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FMR stockwork
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3.31
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Drill
Hole RES10-48 (N45E, -70º; t.d. 561 feet)
Interval
(feet)
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Intercept
(feet)
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Est. true
thickness
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Mineralized lithology
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TREO (%)
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72-87.5
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15.5
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8
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FMR dike
and stockwork
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2.63
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205.5-219
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13.5
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12
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FMR dike
and stockwork
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2.02
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340-368.5
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28.5
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24
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FMR dike and transitional carbonatite stockwork
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2.36
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482-561
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79
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45
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Transitional carbonatite dike
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4.50
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Drill
Hole RES10-56 (N45E, -45º; t.d. 419 feet)
Interval
(feet)
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Intercept
(feet)
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Est.
true
thickness
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Mineralized
lithology
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TREO (%)
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63-143
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80
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51
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FMR dikes and stockwork
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4.73 (includes 17ft @ 14.29%
TREO)
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205-320
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115
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81
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FMR dikes and stockwork
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3.20
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376-381
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5
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4.8
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FMR dike
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4.56
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Drill
Hole RES10-58 (N45E, -70º; t.d. 766 feet)
Interval
(feet)
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Intercept
(feet)
|
Est. true
thickness
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Mineralized lithology
|
TREO (%)
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22-40
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18
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6
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FMR veins
and stockwork
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3.42
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57-113
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56
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28
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FMR veins
and stockwork
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2.16
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132-247
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115
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57.5
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FMR dikes
and stockwork
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5.81 (includes 27ft @ 13.52%
TREO)
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285-327
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42
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42
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FMR stockwork
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2.19
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407-457
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50
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43
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FMR veins
and stockwork
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4.21 (includes 11ft @ 9.29%
TREO)
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477-501
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24
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21
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FMR/strong veins and stockwork
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4.32
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Drill
Hole RES10-62 (N90E, -45º; t.d. 393 feet)
Interval
(feet)
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Intercept
(feet)
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Est. true thickness
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Mineralized lithology
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TREO (%)
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54-233
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179
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137
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FMR dikes and stockwork
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8.78 (includes 24ft@12.53% TREO, 5ft@15.80%TREO, 10ft @
18.91%TREO, and 36.5ft @ 18.51%TREO)
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260-275
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15
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13
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FMR dikes and stockwork
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3.92
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The
drilling results continue to demonstrate that the target FMR and carbonatite bodies exhibit strong REE mineralization over
a strike length of more than 1400 feet (426m). Interpretive correlations of
drill intercepts suggest a structural bias toward vertical or near vertical
dips and a transitional change in strike from northwesterly to almost due
north in the northern part of the resource area. The results from drill holes
RES10-56, RES10-58, and RES10-62 indicate that significant widths of strong
REE mineralization continue to the southeast to the current limit of
drilling, and that the Bull Hill SW resource remains open in that direction.
Bull Hill NW Resource Area
REE
mineralization in the Bull Hill NW resource area is contained within
intrusive dikes, veins, and stockwork of FMR,
transitional carbonatite, and carbonatite
that invade trachytic and phonolitic intrusive
rocks of the Bear Lodge alkaline complex. Significant results from two
exploration holes in the Bull Hill NW resource/target areas are reported in
Table 2.
Table
2. Summary of new REE-mineralized drill intercepts in the Bull Hill NW
Resource Area:
Drill
Hole RES10-42 (S45W, -65º; t.d. 777 feet)
Interval
(feet)
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Intercept
(feet)
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Est.
true
thickness
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Mineralized
lithology
|
TREO (%)
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117-127
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10
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4
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FMR dikes and stockwork
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2.91
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337-351
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14
|
9
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FMR dike
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16.53
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729-771
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42
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14
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Carbonatite dikes and stockwork
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1.52
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Drill
Hole RES10-43 (N90W, -45º; t.d. 626 feet)
Interval
(feet)
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Intercept
(feet)
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Est.
true
thickness
|
Mineralized
lithology
|
TREO (%)
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152-163
|
11
|
6
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FMR dikes and veins
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4.82
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198-213.5
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15.5
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11
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FMR dike and stockwork
|
2.76
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495-502
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7
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6.6
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Transitional carbonatite dike
|
3.23
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The
results from the two Bull Hill NW drill holes show significant REE
mineralization in FMR/carbonatite dikes and stockwork. The structural controls for the mineralized
bodies remain incompletely understood in the target area.
Potential New Target Area
Two
reverse circulation drill holes completed during the Company's 2010 Sundance
gold exploration program cut significant REE mineralization in FMR vein
material that intrudes trachytic and syenitic
intrusive rocks. The drill holes are located just south of the Carbon gold
target and about 1,200 feet (366m) northwest of the Whitetail Ridge REE
exploration target. The REE mineralization may portend the northwestern
extension of the Whitetail Ridge system or, alternatively, a distinct FMR/carbonatite mineralized system. REE-bearing intercepts
from drill holes SUN-076 and SUN-079 are given in Table 3. If this
mineralization is a continuation of the Whitetail Ridge dike system and the
Bull Hill SW system, its total length may reach up to 5000 feet (1500m) in length
Table
3. Summary of REE-mineralized intercepts in reverse circulation drill holes
from the 2010 Sundance gold exploration project:
Drill
Hole SUN-076 (N45W, -45º; t.d. 615 feet)
Interval
(feet)
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Intercept
(feet)
|
Est.
true
thickness
|
Mineralized
lithology
|
TREO (%)
|
100-110
|
10
|
-
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FMR drill chips
|
1.66
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Drill
Hole SUN-079 (S80W, -45º; t.d. 775 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est.
true
thickness
|
Mineralized lithology
|
TREO (%)
|
0-5
|
5
|
-
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FMR drill chips
|
1.69
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15-45
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30
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-
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FMR drill chips
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4.69
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Assaying
and Quality Control
ALS
Chemex conducted the assaying for the rare earth
elements in their Vancouver, British Columbia assay facility. ALS Chemex Vancouver is accredited to ISO 9001 and operates
according to ALS Group standards consistent with ISO 17025 methods at other
laboratories. The samples were prepared and subjected to lithium metaborate fusion, followed by ICP analysis and a mass
spectroscopy finish.
Analytical
quality is monitored through the use of randomly inserted quality control
samples, including standards, blanks, and duplicates, which are blinded to
the analytical laboratory. Results of the analyses at ALS Chemex
are evaluated continuously by the Company's QA/QC consultant, Dr Jeffrey Jaacks, who is a
Qualified Person according to National Instrument 43-101, and the results
indicate acceptable accuracy and precision. Blank analyses also indicate no
issues with carry-over contamination.
Option
Grant
The
Company has issued stock options to a director and officer and consultants
for a total of 403,000 options to purchase common shares of the Company at an
exercise price of $15.16 per share for a period of five years, expiring on 11
January 2016, subject to the TSX Venture Exchange's approval.
Figure
1. Drill hole locations: http://files.newswire.ca/675/Figure_1_Drill_Site_Locations.pdf
Rare
Element Resources Ltd (TSX-V: RES: AMEX: REE) is
a publicly traded mineral resource company focused on exploration and
development of rare-earth elements and gold on the Bear Lodge property.
Rare-earth
elements are key components of the green energy technologies and other
high-technology applications. Some of the major applications include hybrid
automobiles, plug-in electric automobiles, advanced wind turbines, computer
hard drives, compact fluorescent light bulbs, metal alloys, additives in
ceramics and glass, petroleum cracking catalysts, and a number of critical
military applications. China currently produces more than 95% of the 130,000
metric tonnes of rare-earths consumed annually
worldwide, and China has been reducing its exports of rare earths each year.
The rare-earth market is growing rapidly, and is projected to accelerate if
the green technologies are implemented on a broad scale.
ON
BEHALF OF THE BOARD
Donald E. Ranta, PhD, PGeo,
President & CEO
Donald
E. Ranta, PhD, PGeo, serves the Board of
Directors of the Company as an internal, technically Qualified Person.
Technical information in this news release has been reviewed by Dr. Ranta and has been prepared in accordance with Canadian
regulatory requirements that are set out in National Instrument 43-101.
This news release was prepared by Company management, who take full
responsibility for content. Neither 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
|