VANCOUVER, BC, Jan. 24,
2023 /CNW/ - Defense Metals Corp. ("Defense
Metals" or the "Company"; (TSXV: DEFN) (OTCQB: DFMTF) (FSE:
35D) is pleased to announce Rare Earth Element ("REE") assay
results from the final two core drill holes, totalling 295 metres
("m"), completed during 2022 at its 100% owned Wicheeda REE
Deposit. These assay results are from two exploration geotechnical
core drill holes. The final drill hole (WI22-79) returned the best
drill intercept on a grade-times-width basis of the entire 18-hole
5,510 m (~18,077 feet) 2022
campaign.
Pit slope geotechnical drill hole WI22-78 (-60o
dip at azimuth 200o) drilled into the west pit wall
intersected well mineralized dolomite carbonatite that assayed
2.63% total rare earth oxide ("TREO") over 97 metres ("m") from
surface within a broader mineralized one returning 2.03%
TREO over 168 m (see Table
1 and Figure 1).
The final drill hole, WI22-79 (-65o dip at
095o azimuth), drilled within the central area of
the Wicheeda Deposit and into the east pit wall intersected an
upper high-grade mineralized dolomite-carbonatite interval from
surface assaying 3.66% TREO over 138 m; and lower
interval grading 0.50% TREO over 43
m (see Table 1 Figure 1, and Image 1).
The upper interval in WI22-79 represents the best mineralized
intercept returned of all 2022 holes and ranks among the top 10
reported drill intercepts of the more than 10,000 m drilled in 47 holes Defense Metals has
completed post-PEA (see "About the Wicheeda REE
Project").
Luisa Moreno, President, and Director of Defense Metals
stated:
"The economic significance of the Wicheeda
REE Project is underscored by the fact that the final drill hole
yielded the best drill intercept of the 2022 campaign. Since the
release of our positive PEA based on drilling completed up to the
end of 2019, the last two years of exploration at Wicheeda has
focused on resource expansion, delineation, and detailed pit slope
geotechnical drilling designed to place us solidly on the path
towards initiation of a Preliminary Feasibility Study (PFS). With
critical minerals and particularly rare earth elements coming into
sharper focus as part the rapidly accelerating transition to
electric vehicles, Defense Metals looks forward to continuing to
advance the social-environmental, metallurgical, engineering, and
geotechnical aspects of the Wicheeda REE Project during
2023."
Table 1. Final Wicheeda REE
Deposit 2022 Diamond Drill Intercepts1
Hole
ID
|
From
(m)
|
To
(m)
|
Interval
(m)
|
TREO2 (%)
|
Ce2O3 (%)
|
La2O3 (%)
|
Nd2O3 (%)
|
Pr2O3 (%)
|
Sm2O3 (ppm)
|
Gd2O3 (ppm)
|
Eu2O3 (ppm)
|
Dy2O3 (ppm)
|
Tb4O7 (ppm)
|
Ho2O3 (ppm)
|
WI22-78
(200/-60)
|
4.6
|
172.3
|
167.7
|
2.03
|
0.99
|
0.70
|
0.21
|
0.08
|
221
|
102
|
48
|
25
|
9
|
3
|
including
|
4.6
|
101.6
|
97.0
|
2.63
|
1.29
|
0.93
|
0.26
|
0.10
|
253
|
113
|
54
|
26
|
9
|
3
|
WI22-79
(095/-65)
|
3
|
141
|
138.0
|
3.66
|
1.74
|
1.31
|
0.39
|
0.15
|
381
|
175
|
82
|
38
|
14
|
4
|
and
|
141
|
183.7
|
43
|
0.50
|
0.23
|
0.13
|
0.08
|
0.02
|
171
|
118
|
45
|
49
|
13
|
7
|
Previously
Reported
|
WI22-62
(204/-50)
|
93
|
260
|
167
|
1.39
|
0.68
|
0.43
|
0.18
|
0.06
|
222
|
101
|
43
|
29
|
9
|
4
|
including
|
121
|
169
|
48
|
2.29
|
1.13
|
0.72
|
0.29
|
0.10
|
316
|
123
|
54
|
22
|
9
|
2
|
WI22-63
(204/-60)
|
148
|
187
|
39
|
2.29
|
1.12
|
0.79
|
0.25
|
0.09
|
246
|
120
|
47
|
26
|
9
|
3
|
including
|
175
|
184
|
9
|
5.08
|
2.45
|
1.84
|
0.52
|
0.19
|
472
|
215
|
91
|
49
|
17
|
5
|
WI22-64
(204/-65)
|
77
|
269.3
|
192.3
|
1.78
|
0.86
|
0.58
|
0.22
|
0.08
|
230
|
116
|
51
|
34
|
10
|
4
|
including
|
77
|
150
|
73
|
3.13
|
1.51
|
1.06
|
0.37
|
0.13
|
353
|
156
|
71
|
30
|
12
|
3
|
WI22-67
(197/-60)
|
30.7
|
137
|
106.3
|
2.53
|
1.22
|
0.87
|
0.28
|
0.10
|
307
|
149
|
66
|
36
|
13
|
4
|
including
|
41
|
100
|
59
|
3.42
|
1.65
|
1.19
|
0.37
|
0.14
|
381
|
184
|
80
|
40
|
16
|
4
|
WI22-68
(220/-55)
|
109.4
|
233
|
123.6
|
3.58
|
1.69
|
1.29
|
0.38
|
0.14
|
376
|
160
|
71
|
35
|
12
|
3
|
including
|
212
|
230
|
18
|
6.70
|
3.11
|
2.50
|
0.71
|
0.27
|
619
|
260
|
111
|
47
|
18
|
5
|
WI22-69
(230/-50)
|
93
|
314
|
221
|
2.14
|
1.02
|
0.74
|
0.24
|
0.09
|
260
|
126
|
56
|
36
|
11
|
4
|
including
|
93
|
204
|
111
|
3.52
|
1.68
|
1.25
|
0.37
|
0.14
|
390
|
181
|
81
|
45
|
16
|
5
|
WI22-70
(234/-55)
|
117
|
230
|
113
|
2.50
|
1.20
|
0.84
|
0.29
|
0.10
|
352
|
180
|
74
|
58
|
17
|
7
|
WI22-71
(163/-50)
|
3.5
|
210
|
206.5
|
1.47
|
0.72
|
0.48
|
0.18
|
0.06
|
203
|
99
|
43
|
31
|
9
|
4
|
including
|
3.5
|
69
|
65.5
|
2.83
|
1.38
|
0.96
|
0.32
|
0.11
|
327
|
147
|
66
|
36
|
12
|
4
|
WI22-72
(167/-70)
|
3
|
125
|
122
|
2.56
|
1.25
|
0.85
|
0.29
|
0.11
|
308
|
139
|
63
|
40
|
12
|
5
|
including
|
3
|
58
|
55
|
3.02
|
1.47
|
1.02
|
0.34
|
0.12
|
345
|
135
|
69
|
34
|
12
|
4
|
and
|
125
|
222
|
97
|
0.90
|
0.44
|
0.27
|
0.12
|
0.04
|
152
|
80
|
35
|
30
|
8
|
4
|
WI22-73
(134/-60)
|
2.3
|
224
|
221.7
|
1.42
|
0.69
|
0.46
|
0.17
|
0.06
|
203
|
100
|
45
|
35
|
10
|
5
|
including
|
2.3
|
83.5
|
81.2
|
2.35
|
1.14
|
0.80
|
0.26
|
0.09
|
281
|
123
|
57
|
34
|
11
|
4
|
WI22-74
(139/-65)
|
2.5
|
194
|
191.5
|
2.03
|
0.99
|
0.68
|
0.23
|
0.08
|
247
|
111
|
50
|
30
|
9
|
4
|
including
|
2.5
|
32.5
|
30
|
3.77
|
1.83
|
1.33
|
0.39
|
0.15
|
342
|
144
|
68
|
38
|
12
|
4
|
and
|
59
|
115.8
|
56.8
|
2.52
|
1.22
|
0.87
|
0.27
|
0.10
|
279
|
120
|
55
|
30
|
10
|
4
|
WI22-76
(242/-55)
|
125
|
276
|
151
|
0.64
|
0.31
|
0.20
|
0.08
|
0.03
|
104
|
60
|
27
|
27
|
7
|
4
|
WI22-77
(348/-70)
|
16.5
|
93
|
76.5
|
0.67
|
0.32
|
0.20
|
0.09
|
0.03
|
160
|
104
|
44
|
45
|
11
|
6
|
__________________________
1 The true
width of REE mineralization is estimated to be 70-100% of the
drilled interval.
|
2 TREO % sum
of CeO2, La2O3, Nd2O3, Pr6O11, Sm2O3, Eu2O3, Gd2O3, Tb4O7, Dy2O3
and Ho2O3.
|
About the Wicheeda REE
Project
The 100% owned, 4,262-hectare (~10,532-acre) Wicheeda REE
Project is located approximately 80 km northeast of the city of
Prince George, British Columbia;
population 77,000. The Wicheeda project is readily accessible by
all-weather gravel roads and is near infrastructure, including
power transmission lines, gas pipelines, the Canadian National
Railway, and major highways.
The 2021 Wicheeda REE Project Preliminary Economic Assessment
technical report ("PEA") outlined a robust after-tax net present
value (NPV@8%) of $517 million and an
18% IRR3. This PEA contemplated an open pit mining
operation with a 1.75:1 (waste:mill feed) strip ratio providing a
1.8 Mtpa ("million tonnes per year") mill throughout producing an
average of 25,423 tonnes REO annually over a 16 year mine life. A
Phase 1 initial pit strip ratio of 0.63:1 (waste:mill feed) would
yield rapid access to higher grade surface mineralization in year 1
and payback of $440 million initial
capital within 5 years.
Methodology and Quality
Assurance/Quality Control
The analytical work reported on herein was performed by ALS
Canada Ltd. ("ALS") at their Langley (sample preparation) and Vancouver (ICP-MS fusion), B.C. facilities.
ALS is an ISO-IEC 17025:2017 and ISO 9001:2015 accredited
geoanalytical laboratory and is independent of the Defense Metals
and the QP. Drill core samples were subject to crushing at a
minimum of 70% passing 2 mm, followed by pulverizing of a 250-gram
split to 85% passing 75 microns. A 0.1-gram sample pulp was then
subject to multi-element ICP-MS analysis via lithium-borate fusion
to determine individual REE content (ME-MS81h). Defense Metals
follows industry standard procedures for the work carried out on
the Wicheeda Project, with a quality assurance/quality control
("QA/QC") program. Blank, duplicate, and standard samples were
inserted into the sample sequence sent to the laboratory for
analysis. Defense Metals detected no significant QA/QC issues
during review of the data.
Qualified Person
The scientific and technical information contained in this news
release as it relates to the Wicheeda REE Project has been reviewed
and approved by Kristopher J. Raffle, P.Geo. (B.C.), Principal and
Consultant of APEX Geoscience Ltd. of Edmonton, Alberta, who is a director of
Defense Metals and a "Qualified Person" ("QP") as defined in NI
43-101. Mr. Raffle has verified the data, which included a
review of the sampling, analytical and test methods underlying the
data, information and opinions disclosed herein.
__________________________
3
Independent Preliminary Economic Assessment for the Wicheeda Rare
Earth Element Project, British Columbia, Canada, dated January 6,
2022, with an effective date of November 7, 2021, and prepared by
SRK Consulting (Canada) Inc. is filed under Defense Metals Corp.'s
Issuer Profile on SEDAR (www.sedar.com).
|
About Defense Metals
Corp.
Defense Metals Corp. is a company focused on the development
of its 100% owned Wicheeda Rare Earth Element mineral deposit,
located near Prince George, British
Columbia, Canada, that contains metals and elements commonly
used in in green energy, aerospace, automotive and defense
technologies. Rare earth elements are especially important in the
production of magnets used in wind turbines and in permanent magnet
motors for electric vehicles. 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".
For further information, please
contact:
Todd Hanas, Bluesky Corporate
Communications Ltd.
Vice President, Investor Relations
Tel: (778) 994 8072
Email: todd@blueskycorp.ca
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.
Cautionary Statement Regarding
"Forward-Looking" Information
This news release contains "forward–looking information or
statements" within the meaning of applicable securities laws, which
may include, without limitation, statements relating to advancing
the Wicheeda REE Project, the Company's plans for its Wicheeda REE
Project, expanded resource and scale of expanded resource, expected
results and outcomes, plans to complete a PFS, the technical,
financial and business prospects of the Company, its project and
other matters. All statements in this news release, other than
statements of historical facts, that address events or developments
that the Company expects to occur, are forward-looking statements.
Although the Company believes the expectations expressed in such
forward-looking statements are based on reasonable assumptions,
such statements are not guarantees of future performance and actual
results may differ materially from those in the forward-looking
statements. Such statements and information are based on numerous
assumptions regarding present and future business strategies and
the environment in which the Company will operate in the future,
including the price of rare earth elements, the anticipated costs
and expenditures, the ability to achieve its 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. Such forward-looking information reflects
the Company's views with respect to future events and is subject to
risks, uncertainties and assumptions, including the risks and
uncertainties relating to the interpretation of exploration
results, risks related to the inherent uncertainty of exploration
and cost estimates, the potential for unexpected costs and expenses
and those other risks filed under the Company's profile on SEDAR at
www.sedar.com. While such estimates and assumptions are considered
reasonable by the management of the Company, they are inherently
subject to significant business, economic, competitive and
regulatory uncertainties and risks. 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, adverse weather and climate conditions, failure to
maintain or obtain all necessary government permits, approvals and
authorizations, failure to maintain community acceptance (including
First Nations), risks relating to unanticipated operational
difficulties (including failure of equipment or processes to
operate in accordance with specifications or expectations, cost
escalation, unavailability of personnel, materials and equipment,
government action or delays in the receipt of government approvals,
industrial disturbances or other job action, and unanticipated
events related to health, safety and environmental matters), risks
relating to inaccurate geological and engineering assumptions,
decrease in the price of rare earth elements, the impact of
Covid-19 or other viruses and diseases on the Company's ability to
operate, an inability to predict and counteract the effects of
COVID-19 on the business of the Company, including but not limited
to, the effects of COVID-19 on the price of commodities, capital
market conditions, restriction on labour and international travel
and supply chains, loss of key employees, consultants, or
directors, increase in costs, delayed drilling results, litigation,
and failure of counterparties to perform their contractual
obligations. The Company does not undertake to update
forward–looking statements or forward–looking information, except
as required by law.
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