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| September 3, 2008 |
| Nevoro Inc. Announces Drilling Programs for Stillwater, Moonlight and Monarch Projects |
TORONTO, ONTARIO--(Marketwire - Sept. 3, 2008) - Nevoro Inc. (TSX:NVR) (the "Company") is pleased to announce exploration plans for its Stillwater, Moonlight and Monarch projects.
Stillwater Ni-Cu-Co-PGE-Cr Project, Montana
At Stillwater Nevoro plans to test several targets including the "A" and "B" chromitite reefs in the Mountain View area, Ni-Cu-Co mineralization at the Mouat Mine, Ni-Cu-Co mineralization at the Nye Basin and the Volatile Enriched Zone ("VEZ") target. (See Stillwater Location Map). Nevoro anticipates drilling approximately 6,000 m, beginning the second week in September.
In the Mountain View area, Nevoro will drill the PGE-bearing "A" and "B" chromitite reefs. These reefs were originally deposited beneath the PGE-rich J-M Reef, which hosts Stillwater Mining Company's East Boulder and Stillwater mines, which are currently one of the world's largest and highest-grade PGE operation. The "A" and "B" chromitite reefs are analogous to the major PGE-producing UG2 Reef, which occurs beneath the PGE-rich Merensky Reef in the Bushveld Complex of South Africa. The reefs at the Stillwater project vary from less than 1 m to 3 m or more in thickness, with the widths and grades, based on historic sampling, increasing gradually down-dip into an as-yet untested primary magmatic basin developed during emplacement of the Stillwater Complex. In the Stillwater Complex, as in the Bushveld Complex, PGE grades typically increase as the mineralized reefs thicken into troughs or basins thought to be products of magmatic thickening caused by structural subsidence in the floor of the magma chamber.
Drilling at the Mouat Mine and Nye Basin areas will test to confirm the grade and tenor of the nickel, copper and cobalt mineralization discovered by the Anaconda Company ("Anaconda") and others in the 1960s and 1970s, as well as to extend the boundaries of this mineralization. Furthermore, PGE mineralization within these historic deposits, which was never tested in the past, will be ascertained.
In the 1960s and 1970s Anaconda explored the Mouat Mine area, 2 km west of the Stillwater River, with a grid of 127 closely spaced core holes, totaling more than 33,000 m, and 500 m of underground development. This work defined a published historical resource estimate (1987) of 92 million tons grading 0.27% Ni and 0.29% Cu, using a 0.2% Ni cutoff, or 23 million tons grading 0.62% Ni and 0.45% Cu, using a 0.4% Ni cutoff. These are historical resource estimates only and not current resources as defined by National Instrument ("NI") 43-101.
In the Nye Basin area, Anaconda drilled a series of 32 widely spaced drill holes (6,450 m), of which, 25 successfully intersected the favourable magmatic stratigraphy. All 25 were mineralized; collectively averaging 0.6% Ni, 0.5% Cu and 0.06% Co over drill widths of 2 m to 30 m, with individual holes ranging from 0.3% to 1.0% Ni, 0.2% to 1.0 % Cu, and 0.04% to 0.09% Co. A listing of the historical information regarding this drilling is available on Nevoro's website (www.nevoro.com).
To view the Stillwater Location Map, please visit the following link: http://media3.marketwire.com/docs/nvr903.pdf
The VEZ target will be drilled to follow up PGE-anomalies stratigraphically immediately beneath the PGE-rich J-M Reef.
Nevoro will also investigate opportunities for the historic chromite resources at its Stillwater project. The Benbow and Mountain View mines were the primary source of chrome for the USA during the first half of the 1900s and, together with the Benbow East and Nye Basin deposits, have historic resources, as reported by the United States Geological Survey (USGS), of approximately 50 million tons averaging 22% Cr2O3. In 2001, the USGS listed the identified chrome resources of the United States, all of which are contained in the Stillwater Complex, as the largest in the western hemisphere and the 7th largest in the world. In 1988, an interim feasibility study completed for Chrome Corporation of America on only the Mountain View deposit indicated that its development could generate a positive net present value.
Nevoro intends to initiate a marketing study to establish the relative saleability of chrome concentrates versus ferrochrome - the finished product used as an additive, for which there is no substitute, in the production of stainless steel. Following this, Nevoro will commence a scoping study to determine the economic parameters associated with developing these resources.
The technical information presented above including resource estimates, is historical. Nevoro has not done sufficient work to classify these historical estimates as current "mineral resources" or "mineral reserves" as defined in NI 43-101, nor is Nevoro treating the historical estimates as current mineral resources or mineral reserves. Nevoro has not verified the scientific and technical information disclosed, including sampling, analytical and test data underlying such information, because such scientific and technical information was not prepared by Nevoro. The historical estimates should not be relied upon. Nevoro considers that these historical estimates provide a conceptual indication of the potential quantity and grade of the mineral resources on the property. There has been insufficient exploration to define any mineral resource and it remains uncertain if further exploration will result in the target of such exploration being delineated as a current mineral resource.
Moonlight Cu-Au-Ag Project, California
At Moonlight, drilling will resume shortly on the Engels high-grade copper target to determine the lateral extent of the 60 m thick oxide copper zone and the underlying sulfide mineralization at depth. (See Moonlight Location Map). Nevoro plans to add a second drill rig as soon as possible to initiate confirmation and step-out drilling on the large Moonlight Valley porphyry system identified by 199 drill holes, totaling more than 30,000 m, completed by Placer Dome in the 1960s and 1970s and 14 recent confirmation core holes drilled by Sheffield Resources Ltd. ("Sheffield"), totaling 3,400 m, as reported in "Technical Report and Resource Estimate on the Moonlight Copper Property, Plumas County, California for Sheffield Resources Ltd.", by George Cavey, P.Geo., and Gary Giroux, P.Eng, dated April 12, 2007 and filed by Sheffield on SEDAR (www.sedar.com).
Prior to Nevoro's takeover of Sheffield, Sheffield had completed a total of 32 core holes and 15 reverse circulation holes evaluating copper oxide mineralization at the Engels and Moonlight Valley deposits (see Sheffield press releases dated: June 23, 2008, April 9, 2008 and March 18, 2008. These releases were filed by Sheffield on SEDAR (www.sedar.com)). Some of the better intersections included: 3.11% Cu over 33.5 m, 1.4% Cu over 78 m and 1.77% Cu over 78 m.
To view the Moonlight Location Map, please visit the following link: http://media3.marketwire.com/docs/nvr903a.pdf
The Moonlight Valley porphyry system carries a current NI 43-101 compliant indicated resource of 161.57 million tons averaging 0.324% Cu and an inferred resource of 88.35 million tons averaging 0.282% Cu, with gold and silver credits. There are indications from the technical report authored by Cavey and Giroux, that this historical drill grade may be significantly understated.
Monarch Cu-Ni-Zn Project, Nevada
Drilling is currently underway at the Monarch project located about 48 km north of Tonopah, NV, within a zone of rocks containing serpentenites, banded iron formations and massive sulfide gossans. Monarch exhibits many similarities to the Finnish Outokumpu massive sulfide deposit, which contains copper, zinc, cobalt, nickel, vanadium, selenium and minor precious metal values. Samples collected from the Monarch project during an initial site visit returned maximum values of 8,490 ppm copper, 2,400 ppm zinc, 186 ppm cobalt, 2,700 ppm nickel, as well as elevated vanadium, selenium, gold and silver values. Geophysical surveys completed by Nevoro outlined a broad magnetic anomaly with a coincident gravity anomaly, which is being tested by the drill program.
The qualified person under National Instrument 43-101 responsible for all technical data reported in this news release is Mr. Mel Klohn, M.Sc., L.P. Geo., Executive Vice President, Exploration and Director for Nevoro Inc.
About Nevoro Inc.
Nevoro is a TSX-listed exploration and development company focused on the discovery of precious and base metals in the western USA. In addition to the Stillwater nickel-copper-cobalt-PGE-chromite project in Montana and the Moonlight copper project in California, Nevoro holds 11 gold and base metal exploration projects in Nevada and Idaho.
For more information, please visit the Nevoro Inc. website at www.nevoro.com.
CAUTIONARY STATEMENT: All statements, other than historical fact, contained or incorporated by reference in this news release, constitute "forward looking statements" within the meaning of certain securities laws, including the "safe harbor" provisions of the Securities Act (Ontario) and are based on expectations, estimates and projections as of the date of this news release. Such "forward looking statements", reflects management's current beliefs and is based on information currently available to management of Nevoro. In some cases, forward-looking information can be identified by terminology such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "estimate", "predict", "potential", "continue", "intention" or the negative of these terms or other similar expressions concerning matters that are not historical facts. Forward-looking information involves significant risks and uncertainties and in this press release such information includes, but is not limited to, statements regarding potential mineralization, resources, as well as future plans and objectives of Nevoro, including exploration and development. A number of factors could cause actual events or results to differ materially from the events and results discussed in the forward-looking information including risks related to investments, conditions of capital markets, economic conditions, dependence on key personnel, interest rates, regulatory change and availability of future financing. These factors should not be considered exhaustive. In addition, in evaluating this information, investors should specifically consider various factors, including risk factors, which may cause actual events or results to differ materially from any forward-looking statement. In formulating forward-looking information herein, management has assumed that business and economic conditions affecting Nevoro will continue substantially in the ordinary course, including without limitation with respect to general levels of economic activity, regulations, taxes, interest rates and that there will be no material changes. Although the forward-looking information is based on what management of Nevoro considers to be reasonable assumptions based on information currently available to it, there can be no assurance that actual events or results will be consistent with this forward-looking information, and management's assumptions may prove to be incorrect. This forward-looking information is made as of the date of this press release, and Nevoro does not assume any obligation, except as required by law, to update or revise them to reflect new events or circumstances. Undue reliance should not be placed on forward-looking information. | |
| CONTACT INFORMATION:
Nevoro Inc.
William Schara
President & CEO
(416) 363-8238 ext. 224
Email: wschara@nevoro.com
or
Nevoro Inc.
Steven Dawson
Vice President, Corporate Development
(416) 363-8238 ext. 222
Fax: (416) 363-7238
Email: sdawson@nevoro.com
Website: www.nevoro.com
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| INDUSTRY: Manufacturing and Production - Mining and Metals | |
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