VANCOUVER , Sept. 19, 2014 /CNW/ - Brazil Resources Inc. (the "Company"
or "Brazil Resources") (TSX-V: BRI; OTCQX: BRIZF) is pleased to
announce that it has received a National Instrument 43-101 ("NI
43-101") technical report (the "Technical Report") on its Rea Uranium
Project (the "Rea Project"), Western Athabasca Basin. The Company
acquired the Rea Uranium Project as part of its acquisition of
Brazilian Gold Corporation late last year. It is controlled 75% by
Brazil Resources Inc. and 25% by Areva Resources Canada Inc. The
independent Technical Report summarizes historic exploration programs
and highlights two prominent uranium targets for follow-up exploration.
The Rea Project is located 185 km north-northwest of Fort McMurray,
Alberta in the western portion of the Athabasca Basin, an underexplored
area that has seen renewed exploration activity as a result of recent
near surface, high-grade discoveries in the nearby Patterson Lake area
(Rea Location Map). The Project consists of 12 contiguous exploration permits covering
approximately 885 sq km. that surround Areva's Maybelle River Project,
which hosts the relatively shallow (150 m below surface), high-grade
Maybelle uranium deposit. The Athabasca Basin contains some of the
largest and highest grade uranium deposits in the world and is
currently estimated to contribute approximately 15.5% of the annual
world-wide uranium production.
The recommended exploration program, as outlined in the Technical
Report, is focused on two high priority targets (North Zone and West
Zone; Rea North and West Zone Map). The North Zone target is located directly north of Areva's permits,
where the Maybelle River Shear Zone ("MRSZ") can be traced for an
additional 11 km to the north by geophysics and drilling on the Rea
Project. Historic drilling (7 holes) in this area has tested the MRSZ
over a strike distance of approximately 3 km, with several of these
holes intersecting fault breccias in the overlying Athabasca Basin
sedimentary rocks along with associated clay alteration, dravite,
geochemically anomalous uranium and pathfinder elements (copper, lead,
nickel, arsenic, boron and vanadium), features commonly associated with
unconformity-type uranium deposits. The recommended drill holes
(approx. 6 holes totaling 2,600 m) will test below these historic holes
closer to the intersection of the MRSZ and the unconformity separating
the Athabasca Basin sedimentary rocks and the underlying Archean
basement. Most of the uranium mineralization discovered to date in the
Athabasca Basin is located at or near the unconformity, where it is cut
by a re-activated basement shear zone. The West Zone target is an
airborne EM conductor located 1.5 km west of the Maybelle deposit and
sub-parallel to the MRSZ. The recommended program will include a ground
EM survey to better define the location of the airborne EM conductor
and will be followed-up by diamond drilling.
Historic exploration programs were completed by a number of companies
including Eldorado Nuclear Ltd. and Uranerz Exploration and Mining
Limited ("Uranerz") from the mid-1970's to the late-1990's on ground
now covered mostly by the Rea and Maybelle River Project. The programs
included various geochemical surveys (lake, stream and soil), boulder
prospecting, airborne and ground geophysics and diamond drilling that
led to the discovery of the relatively shallow, high-grade Maybelle
deposit by Uranerz in 1988. Since that time, most of the ground was
allowed to lapse by prior owners, except for a small strip of permits
covering the north-northwest to southeast trending MRSZ that hosts the
Maybelle deposit.
In 2005, a large land package surrounding the Maybelle River Project was
acquired by Brazilian Gold Corporation ("BGC") and subsequently
optioned to UraMin Inc. in 2006; UraMin Inc. was purchased by Areva in
2007 and BGC was acquired by Brazil Resources in 2013. Historic
exploration programs completed on the Rea Projectduring the period from 2005 to 2012 by prior operators included:
airborne magnetics, EM and gravity surveys, ground EM and induced
polarization (IP) surveys, and diamond drilling (8 holes totaling 1,908
m). The programs were successful in mapping the northern and southern
continuation of the MRSZ (EM conductor high), which hosts the Maybelle
deposit, onto the Rea Project as well as several parallel conductors to
the west and east of the MRSZ, which are considered prospective for
uranium mineralization. The Company and previous owners have not
completed sufficient work to date to identify economic uranium
mineralization at the Rea Project. Due to the historic nature of prior
exploration programs and results and the lack of full quality assurance
and control procedures, the authors of the technical report could not
independently verify historic exploration results.
The authors of the Technical Report are Irvine R. Annesley , Ph.D.,
P.Geo. and Roy Eccles , M.Sc., P.Geol. The Technical Report will have an
effective date of September 12, 2014 . For further information regarding
the Rea Project, readers should refer to the Technical Report, which
the Company intends to file on the SEDAR website in due course. Mr.
Eccles completed a site visit to the Rea Project on July 8, 2014 . Dr.
Annesley and Mr. Eccles are both Qualified Persons in their respective
fields as defined by NI 43-101, are independent of Brazil Resources,
and have reviewed the relevant technical information as disclosed in
this news release.
Paulo Pereira , Brazil Resources' Vice President of Exploration has
reviewed and approved the technical information contained in this news
release. Mr. Pereira holds a Bachelors degree in Geology from
Universidade do Amazonas in Brazil , is a Qualified Person as defined in
NI 43-101 and is a member of the Association of Professional
Geoscientists of Ontario .
About Brazil Resources Inc.
Brazil Resources Inc. is a public mineral exploration company with a
focus on the acquisition and development of projects in emerging
producing gold districts in Brazil , Paraguay and other parts of South
America . Currently, Brazil Resources is advancing its Cachoeira and São
Jorge Gold Projects located in the State of Pará, northeastern Brazil .
Forward Looking Statements
This document contains certain forward-looking statements that reflect
the current views and/or expectations of Brazil Resources with respect
to its business and future events, including the Company's expectations
respecting the Rea Project and future exploration program.
Forward-looking statements are based on the then-current expectations,
beliefs, assumptions, estimates and forecasts about the business and
the markets in which Brazil Resources operates. Investors are cautioned
that all forward-looking statements involve risks and uncertainties,
including: the inherent risks involved in the exploration and
development of mineral properties, the uncertainties involved in
interpreting drill results and other exploration data, the potential
for delays in exploration or development activities, the geology, grade
and continuity of mineral deposits, the possibility that future
exploration, development or mining results will not be consistent with
Brazil Resources' expectations, accidents, equipment breakdowns, title
and permitting matters, labour disputes or other unanticipated
difficulties with or interruptions in operations, fluctuating metal
prices, unanticipated costs and expenses, uncertainties relating to the
availability and costs of financing needed in the future, including to
fund any exploration programs on the Rea Project, commodity price
fluctuations or regulatory restrictions, including environmental
regulatory restrictions. These risks, as well as others, including
those set forth in Brazil Resources' filings with Canadian securities
regulators, could cause actual results and events to vary
significantly. Accordingly, readers should not place undue reliance on
forward-looking statements and information. There can be no assurance
that forward-looking information, or the material factors or
assumptions used to develop such forward looking information, will
prove to be accurate. Brazil Resources does not undertake any
obligations to release publicly any revisions for updating any
voluntary forward-looking statements, except as required by applicable
securities law.
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.
Brazil Resources Inc.
Stephen Swatton , Chief Executive Officer
Patrick Obara , Chief Financial Officer
Telephone: (855) 630-1001
SOURCE Brazil Resources Inc.