VANCOUVER, Feb. 24, 2020 /CNW/ - Defense Metals Corp.
("Defense Metals") (TSX-V:DEFN / OTCQB:DFMTF / FSE:35D) is
pleased to announce that it has informed SGS Canada Inc.
("SGS") of its intention to move forward with pilot plant
processing of its 30 tonne Wicheeda Rare Earth Element Property
("Wicheeda") bulk sample.
Bench-scale flotation (Phase 1a) and hydrometallurgical (Phase
1b) studies led to the successful
development of a flowsheet capable of producing a high grade
48.7% total rare earth oxide (TREO) flotation
concentrate at 85.7% TREO recovery. Subsequent
hydrometallurgical treatment yielded a high grade 67.5% total
rare earth element (TREE) mixed REE hydroxide precipitate via ~90%
TREE leach extraction from the flotation concentrate, and overall
recoveries (into a leach liquor) of 76-78% TREE from the original
bulk sample (See Defense Metals News Releases dated
October 23, 2019; and February 18, 2020).
The success of this yearlong metallurgical flowsheet
optimization process, which showed Wicheeda REE mineralization is
amenable to relatively simple treatment via well-established
flotation, and hydrochloric acid leach / caustic crack REE
extraction methods, gives Defense Metals the confidence to move
forward with initiation of larger-scale pilot plant processing of
the 30 tonne bulk sample.
Defense Metals has reviewed and executed the Phase 2 flotation
pilot plant proposal recommended by SGS. The objectives of pilot
plant testing are to
- Confirm metallurgy in a pilot plant environment,
- Generate data to support engineering, and
- Produce a large amount of concentrate for downstream
hydrometallurgy testing.
The pilot plant will treat up to 30 tonnes of material in a
continuous manner over 180 hours of operation, at an
anticipated feed-rate of approximately 150 kg per hour based on the
test conditions developed under Phase 1a. The approach will
be to first commission the circuit to achieve stable operation and
approach grinding and metallurgical targets. This would be followed
by a series of 6 to 8 optimization runs of similar length to the
commissioning runs. A continuous 48 hour run (or 2 x 24 hour
runs) would serve to confirm metallurgy over extended operation.
The test program including testing and reporting is expected to
commence in April 2020 and take
approximately 17 weeks to complete.
Craig Taylor, CEO of Defense
Metals, stated; "With the decision to move forward with the
flotation pilot plant, Defense Metals has achieved another key
milestone towards advancement of the Wicheeda REE Project. Since
announcing the option agreement to acquire the Wicheeda REE Project
14 months ago we have collected a 30 tonne bulk sample; produced a
maiden mineral resource estimate; completed a highly successful 13
hole, 2,005 metre diamond drill program; and successfully developed
a combined flotation and hydrometallurgical processing flowsheet
for Wicheeda REE mineralization. This has allowed Defense Metals to
exceed its Year 1 and Year 2 exploration spend
commitments within the first 12 months."
About the Wicheeda REE Property
The 1,708 hectare Wicheeda REE Property, located approximately
80 km northeast of the city of Prince
George, British Columbia, is readily accessible by
all-weather gravel roads and is nearby to infrastructure, including
power transmission lines, the CN railway and major highways.
Geologically, the property is situated in the Foreland Belt and
within the Rocky Mountain Trench, a major continental geologic
feature. The Foreland Belt contains part of a large alkaline
igneous province, stretching from the Canadian Cordillera to the
southwestern United States, which
includes several carbonatite and alkaline intrusive complexes
hosting the Aley (niobium), Rock Canyon (REE), and Wicheeda (REE)
deposits.
The Wicheeda REE Property is underlain by Kechika Group
metasedimentary rocks that are intruded by the southeast-trending
Wicheeda carbonatite; a deformed plug or sill approximately 250
metres in diameter that hosts significant REE mineralization. This
intrusion comprises a ferroan dolomite carbonatite core, which
passes gradationally outward into calcite carbonatite. The REE
mineralization is primarily hosted by the dolomitic
carbonatite.
Qualified Person
The scientific and technical information contained in this news
release as it relates to the Wicheeda REE Property has been
reviewed and approved by Kristopher J. Raffle, P.Geo. (BC)
Principal and Consultant of APEX Geoscience Ltd. of Edmonton, AB, a director of Defense Metals and
a "Qualified Person" as defined in National Instrument 43-101 –
Standards of Disclosure for Mineral Projects. Mr.
Raffle verified the data disclosed which includes a review of the
analytical and test data underlying the information and opinions
contained therein.
About Defense Metals Corp.
Defense Metals Corp. is an advanced mineral exploration company
focused on the acquisition of mineral deposits containing
metals and elements commonly used in the electric power
market, military, national security and the production of "GREEN"
energy technologies, such as, high strength alloys and rare earth
magnets. Defense Metals has an option to acquire 100% of the 1,708
hectare Wicheeda Rare Earth Element Property located near
Prince George, British Columbia,
Canada. Defense Metals Corp. trades in Canada under the symbol "DEFN" on the TSX
Venture Exchange, in the United
States, under "DFMTF" on the OTCQB and in Germany on the Frankfurt Exchange under
"35D".
About SGS
SGS is the world's leading inspection, verification, testing and
certification company. We are recognized as the global benchmark
for quality and integrity. With more than 94,000 employees, we
operate a network of more than 2,600 offices and laboratories
around the world.
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.
Forward Looking Information
This news release includes certain statements that constitute
"forward-looking information or statements" within the meaning of
applicable securities law, including without limitation, Defense
Metals plans for its properties/ projects, metallurgical testing
and results, commencement of pilot plant testing, including, but
not limited to objectives, processes and results thereof, other
statements relating to the technical, financial and business
prospects of Defense Metals and its properties, and other
matters.
Forward-looking statements address future events and conditions
and are necessarily based upon a number of estimates and
assumptions. These statements relate to analyses and other
information that are based on forecasts of future results,
estimates of amounts not yet determinable and assumptions of
management. Any statements that express or involve discussions with
respect to predictions, expectations, beliefs, plans, projections,
objectives, assumptions or future events or performance (often, but
not always, using words or phrases such as "expects" or "does not
expect", "is expected", "anticipates" or "does not anticipate",
"plans", "estimates" or "intends", or stating that certain actions,
events or results "may", "could", "would", "might" or "will" be
taken, occur or be achieved), and variations of such words, and
similar expressions are not statements of historical fact and may
be forward-looking statements. Forward-looking statement are
necessarily based upon a number of factors that, if untrue, could
cause the actual results, performances or achievements of Defense
Metals to be materially different from future results, performances
or achievements express or implied by such statements. Such
statements and information are based on numerous assumptions
regarding present and future business strategies and the
environment in which Defense Metals will operate in the future,
including the price of metals and elements, anticipated costs and
the ability to achieve goals, that general business and economic
conditions will not change in a material adverse manner, that
financing will be available if and when needed and on reasonable
terms, and that third party contractors, equipment and supplies and
governmental and other approvals required to conduct Defense Metals
planned exploration activities will be available on reasonable
terms and in a timely manner. While such estimates and assumptions
are considered reasonable by the management of Defense Metals, they
are inherently subject to significant business, economic,
competitive and regulatory uncertainties and risks.
Forward-looking statements are subject to a variety of risks and
uncertainties, which could cause actual events, level of activity,
performance or results to differ materially from those reflected in
the forward-looking statements, including, without limitation: (i)
risks related to uranium, rare earth elements, and other
commodity price fluctuations; (ii) risks and uncertainties relating
to the interpretation of exploration results; (iii) risks related
to the inherent uncertainty of exploration and cost estimates and
the potential for unexpected costs and expenses; (iv) that resource
exploration and development is a speculative business; (v) that
Defense Metals may lose or abandon its property interests or may
fail to receive necessary licences and permits; (vi) that
environmental laws and regulations may become more onerous;
(vii) that Defense Metals may not be able to raise additional funds
when necessary; (viii) the possibility that future exploration,
development or mining results will not be consistent with Defense
Metals expectations; (ix) exploration and development risks,
including risks related to accidents, equipment breakdowns, labour
disputes or other unanticipated difficulties with or interruptions
in exploration and development; * competition; (xi) the potential
for delays in exploration or development activities or the
completion of geologic reports or studies; (xii) the uncertainty of
profitability based upon Defense Metals history of losses; (xiii)
risks related to environmental regulation and liability; (xiv)
risks associated with failure to maintain community acceptance,
agreements and permissions (generally referred to as "social
licence"), including local First Nations; (xv) risks relating to
obtaining and maintaining all necessary government permits,
approvals and authorizations relating to the continued exploration
and development of Defense Metals projects; (xvi) risks related to
the outcome of legal actions; (xvii) political and regulatory risks
associated with mining and exploration; (xix) risks related to
current global financial conditions; and (xx) other risks and
uncertainties related to Defense Metals prospects, properties and
business strategy. These risks, as well as others, could cause
actual results and events to vary significantly.
Factors that could cause actual results to differ materially
from those in forward looking statements include, but are not
limited to, continued availability of capital and financing and
general economic, market or business conditions, the loss of key
directors, employees, advisors or consultants, adverse weather
conditions, increase in costs, equipment failures, litigation,
failure of counterparties to perform their contractual obligations
and fees charged by service providers. Investors are cautioned that
forward-looking statements are not guarantees of future performance
or events and, accordingly are cautioned not to put undue reliance
on forward-looking statements due to the inherent uncertainty of
such statements. The forward-looking statements included in this
news release are made as of the date hereof and Defense Metals
disclaims any intention or obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise, except as expressly required by
applicable securities legislation.
SOURCE Defense Metals Corp.