TSX:RMX | NYSE AMEX:RBY
- Total geological potential of F2
Gold System 13.3 to 16.1 million ounces grading 24.4 to 26.8 g/t
-
TORONTO, Nov. 29 /PRNewswire/ - Rubicon Minerals
Corporation (RMX:TSX | RBY:NYSE-AMEX) ("Rubicon") is
pleased to provide a NI 43-101 compliant inferred mineral
resource estimate for the F2 Gold System, part of its 100%-owned
Phoenix Gold Project located in the heart of the prolific Red Lake
Gold District of Ontario. The
estimate is summarized below:
Inferred Resource
(5 g/t cutoff & 10 gram x metre product minimum) |
Tonnes |
Grade (g/t) |
Grade (oz/ton) |
Contained ounces |
Total Inferred Resource |
6,200,000 |
20.1 |
0.59 |
4,007,000 |
The inferred mineral resource estimate was
prepared by Geoex Limited. ("Geoex") based on 166,886 metres of
diamond drilling in 237 drill holes carried out between
February 27, 2008 (the date of the
initial discovery) and July 31, 2010.
The estimate does not include approximately 41,702 metres of
drilling completed since July 31,
2010. The inferred resource estimate was prepared using the
polygonal calculation method (see below for details) which, in the
opinion of Geoex, is the appropriate method and is typically used
for this type of deposit. The cut-off used is considered to be an
economically reasonable estimate of breakeven mining costs.
"We are very pleased with these initial results.
They demonstrate that the F2 Gold System is already a significant
sized gold deposit. Importantly, the gold grade of 20.1 g/t gold is
high compared to most major gold deposits around the world and is
consistent with the overall Red
Lake camp average grade, which is Red Lake's key advantage. Our objective now,
through our ongoing delineation program is to upgrade part of this
large inferred resource, move towards development and to continue
to expand the gold system. Underground development on the project
has already cross-cut mineralized zones at the 305 metre level and
delineation drilling is underway. Photographs of the new zones are
available on the Company website at www.rubiconminerals.com."
stated David Adamson, President and
CEO.
Geological Potential
In addition to the above referenced inferred
resource estimate, Geoex carried out an evaluation of geological
potential based on an analysis of the distribution of current
drilling (strike length of 898 meters as of July 31,2010) and opportunity for infill and
expansion drilling to depth. The system remains open along strike
and to depth beyond the current limit of drilling.
The geological potential is based on the projection and
extrapolation of the inferred resource present between 0 to 500
metres below surface as this area is considered well drilled and
contains an inferred resource of 3,400,000 tonnes containing
2,680,000 oz at 24.4 g/t or 0.71 oz/ton. In the area between 500
and 1500 metres below surface, drilling is wider spaced and thus
large parts of the system in this area have not been adequately
drill tested, however, in the opinion of Geoex, based on a review
of project data, experience from elsewhere in Red Lake and general observations on lode gold
deposits, the grade and tonnage profile of the area above 500
metres is likely to be replicated to depth with additional
drilling. The results of this analysis are summarized in the table
below:
Depth |
Potential Tonnes |
Potential Grade |
Potential Ounces |
Above 500m (well drilled) |
3,400,000 to 3,700,000 |
24.4 to 26.8 g/t |
2,680,000 to 3,190,000 |
500-1500 metres (wide spaced
drilling) |
6,800,000 to 7,500,000 |
24.4 to 26.8 g/t |
5,330,000 to 6,460,000 |
1500-2500 metres (no drilling -
open) |
6,800,000 to 7,500,000 |
24.4 to 26.8 g/t |
5,330,000 to 6,460,000 |
Total to 2500 metres (open at
depth) |
17,000,000 to
18,700,000 |
24.4 to 26.8 g/t |
13,340,000 to
16,110,000 |
The potential tonnages, grades and ounces set
forth in the analysis of geological potential are conceptual in
nature, as there has been insufficient exploration to define a
mineral resource and it is uncertain if further exploration will
result in the target being delineated as a mineral
resource.
"From the early days of the discovery, we have
always recognized that we are exploring a very robust and large
mineralizing system, which is why we have dedicated significant
drilling efforts to the 9X target area. As suggested by Geoex, the
current 4.01 million ounce inferred gold resource may be only a
small part of the overall gold potential of the F2 Gold System.
Large areas remain to be infill-drilled and the system is open in
all directions. We should also point out, we own 40% of the
exploration real estate in Red
Lake giving us a unique opportunity to find the next F2 Gold
Deposit," stated David Adamson,
President and CEO.
Geoex will prepare an NI 43-101 compliant
technical report in respect of the inferred resource estimate and
geological potential discussed in this release which Rubicon will
file on SEDAR within 45 days of the date this release was
disseminated, and plans to complete a Preliminary Economic
Assessment in respect of the F2 Gold System by the end of Q1,
2011.
Resource Calculation Methodology
The construction of the polygonal and block
models was a product of collaboration between Rubicon and Geoex.
Rubicon personnel included Matt Wunder
P.Geo, V.P. Exploration and Eric
Hinton P.Eng., Project Manager. All data in the resource
evaluation were reviewed by Geoex with Mr. Peter George of Geoex assuming responsibility
for the resource and geological potential estimates upon which the
statements reported herein are based.
Polygonal Resource calculation
Source assay data were audited by a third party
consulting firm (IoGlobal) specializing in data management and
QA/QC analysis and composite intervals were calculated utilizing a
minimum three and also a five gram cut-off and minimum 10 gram
times metre product for all F2 system data to July 31, 2010. No top cut was applied to the data
because, in the opinion of Geoex there is insufficient
geostatistical data to properly determine an accurate top cut value
at this time. The X, Y and Z centroid points were calculated
and horizontal thickness for each composite interval was calculated
utilizing a set of east-west cross sections (local mine grid). The
composite intervals were classified by geological unit and centroid
points for each composite interval were plotted on long sections
for each geological domain utilizing AMine software. Individual
zones were then interpreted in AMine.
The interpretation is largely based on a series
of detailed cross sections confirming geological continuity
vertically down dip and along strike (mine grid north-south).
Polygons were plotted on long sections for each sub zone with
ellipse parameters for the inferred resource of 75 metre vertical
radius and 37.5 metre horizontal radius. Polygons were clipped
where overlapping, clipped where the claim boundary and 15 metres
below where the lake bottom surface was contacted. Polygon
areas were calculated for each centroid point, horizontal thickness
was applied to determine the volume, a specific gravity ("SG") of
2.85 g/cm3 was applied, being derived from the average
SG in preliminary metallurgical studies (see news release dated
October 19, 2010). The volume of each
polygon was calculated and assigned a gold grade. The sum of the
polygons constitutes the inferred resource.
Block Model calculation
In addition to the polygonal resource
calculation, as a means of validating the inferred resource
estimate by an independent method, a block model was calculated
utilizing Surpac software resulting in 5,830,000 tonnes, 3,210,000
ounces at 17.2 g/t or 0.50 opt. The block model results are within
6.7% of the tonnage, 17.1% of the contained ounces and 24.9% of the
grade of the polygonal estimate (6,200,000 tonnes, 4,007,000 ounces
at 20.1g/t gold or 0.59 opt). While Geoex does not consider the
block model the most appropriate method for this type of deposit,
the results are considered to provide strong supporting validation
for the preferred polygonal estimate reported above. It should be
noted that the block model results do not differ significantly
regardless of whether a northeast (East
Bay trend) or northwest (F2 trend) oriented search ellipse
is used in the block model.
Data were audited prior to completion of the block model. For
this inferred resource estimate, the data were treated as one
domain. Assay data were composited at 1.0 metre intervals (no top
cut was applied) and variogram analysis was completed. Two times
the variogram range was utilized for oriented search ellipse
parameters (list parameters) for the inferred resource
calculation. A block size of 2m (E-W) by 4m (N-S) by 12m
(vertical) was selected through an optimization process. Data were
constrained by the lake bottom surface, the claim boundary and a
western boundary was included to exclude any unrelated drilling
carried out prior to February 2008. A
SG of 2.85 g/cm3 was utilized.
Rubicon is a well-funded exploration and development company,
focused on exploring and developing its high-grade gold discovery
at its Phoenix Project in
Red Lake, Ontario. Rubicon
controls over 100 square miles of prime exploration ground in the
prolific Red Lake gold district of
Ontario which hosts Goldcorp's
high-grade, world class Red Lake Mine.
RUBICON MINERALS CORPORATION
"David W. Adamson"
President & CEO
Mineral resources that are not mineral reserves do not have
demonstrated economic viability. The estimate of mineral
resources may be materially affected by environmental, permitting,
legal, title, taxation, sociopolitical, marketing, or other
relevant issues. The quantity and grade of reported inferred
resources in this estimation are uncertain in nature and there has
been insufficient exploration to define these inferred resources as
an indicated or measured mineral resource and it is uncertain if
further exploration will result in upgrading them to an indicated
or measured mineral resource category. The mineral resources in
this press release were estimated using CIM Standards.
Qualified Persons
Rubicon has implemented a rigorous QA/QC program to ensure
best practices in the sampling and analysis of drill core.
Assays were conducted on sawn NQ-sized half core sections.
Delineation drilling intercepts represent true horizontal width.
The saw blade is routinely cleaned between samples when visible
gold is noted during logging and sampling of the drill core. Assays
were conducted by SGS Minerals Services using standard fire assay
on a 30 gram (1 assay ton) sample with a gravimetric finish
procedure. Assays are uncut as is standard practice in Red Lake. Standards, blanks and check assays
were included at regular intervals in each sample batch. Check
assays on 5% of samples are carried out at a third party
independent laboratory. Gold standards were prepared by CDN
Resource Laboratories Ltd. Exploration drill programs and all
data forming the basis of the inferred resource estimate described
in this release were supervised and verified by Terry Bursey, P.Geo,. Regional Manager for
Rubicon and a Qualified Person as defined by NI 43-101. All
data required for the block calculation described in this release
was prepared and verified by Eric
Hinton, P.Eng, Project Manager of Rubicon and a Qualified
Person as defined by NI 43-10. The inferred resource
estimate, including the polygonal resource calculation and the
block model calculation, and the geological potential analysis were
prepared by Peter George, P.Geo.,
President and consulting geologist of Geoex, an independent
Qualified Person as defined by NI 43-101, and he verified all data
received from Rubicon in connection with same.
Cautionary Note to U.S. Readers Regarding Estimates of
Measured, Indicated and Inferred Resources
This press release uses the term "inferred resources."
We advise U.S. investors that while this term is recognized and
required by Canadian regulations, it is not recognized by the SEC.
"Inferred resources" have a great amount of uncertainty as to their
existence, and great uncertainty as to their economic and legal
feasibility. It cannot be assumed that all or any part of an
"inferred mineral resource" will ever be upgraded to a higher
category. Under Canadian rules, estimates of "inferred mineral
resources" may not form the basis of a feasibility study or
prefeasibility studies, except in rare cases. The SEC
normally only permits issuers to report mineralization that does
not constitute "reserves" as in-place tonnage and grade without
reference to unit measures. The term "contained gold ounces"
used in this press release is not permitted under the rules of the
SEC. U.S. investors are cautioned not to assume
that any part or all of a measured, indicated or inferred resource
exists or is economically or legally mineable.
Forward Looking Statements
This news release contains statements that constitute
"forward-looking statements" within the meaning of Section 21E of
the United States Securities
Exchange Act of 1934 and "forward looking information" within the
meaning of applicable Canadian provincial securities legislation
(collectively, "forward-looking statements") . Forward-looking
statements often, but not always, are identified by the use of
words such as "seek", "anticipate", "believe", "plan", "estimate",
"expect", "targeting" and "intend" and statements that an event or
result "may", "will", "should", "could", or "might" occur or be
achieved and other similar expressions. Forward-looking statements
in this document include statements regarding estimates of mineral
resources, estimates of gold grades and in-place ounces, the
preparation and timing of a technical report in respect of the
inferred resource estimate and the proposed Preliminary Economic
Assessment and the timing and nature of future exploration
programs. Our exploration programs are dependent on
projections which may change as drilling continues, or if
unexpected ground conditions are encountered. In addition, areas of
exploration potential are identified which will require substantial
drilling to determine whether or not they contain similar
mineralization to areas which have been explored in more detail.
The description of the extent of mineralized zones is not intended
to imply that any economically mineable estimate of reserves or
resources exists on the Phoenix
project. Similarly, although geological features of the F2 Gold
System are interpreted to show similarities to nearby gold
producing mines owned by third parties, this should not be
interpreted to mean that the F2Gold System has, or that it will
generate similar reserves or resources. Significant additional
drilling is required at F2 to fully understand system size before a
meaningful resource calculation can be completed.
The forward-looking statements that are contained in this
news release are based on various assumptions and estimates by
Rubicon and involve a number of risks and uncertainties. As a
consequence, actual results might differ materially from results
forecast or suggested in these forward-looking statements.
Forward-looking statements involve known and unknown risks,
uncertainties, assumptions and other factors that may cause the
actual results, performance or achievements of Rubicon to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking
statements. Factors that could cause the actual results to differ
include; risks relating to fluctuations in the price of gold; the
inherently hazardous nature of mining-related activities;
uncertainties concerning reserve and resource estimates;
results of exploration, availability of capital and financing on
acceptable terms, inability to obtain required regulatory
approvals, unanticipated difficulties or costs in any
rehabilitation which may be necessary, market conditions and
general business, economic, competitive, political and social
conditions. These statements are based on a number of assumptions,
including assumptions regarding general market conditions, timing
and receipt of regulatory approvals, the ability of Rubicon and
other relevant parties to satisfy regulatory requirements, the
availability of financing for proposed transactions and programs on
reasonable terms and the ability of third-party service providers
to deliver services in a timely manner. Although Rubicon has
attempted to identify important factors that could cause actual
results to differ materially from those expressed or implied in
forward-looking statements, there may be other factors which cause
actual results to differ. Forward-looking statements contained
herein are made as of the date of this news release and Rubicon
disclaims any obligation to update any forward-looking statements,
whether as a result of new information, future events or results or
otherwise, except as required by applicable securities laws. There
can be no assurance that forward-looking statements will prove to
be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
statements.
_______________________________________________________________________________________________________
The Toronto Stock Exchange has not reviewed and
does not accept responsibility for the adequacy or accuracy of this
release.
SOURCE Rubicon Minerals Corporation
Copyright . 29 PR Newswire