VANCOUVER, BC, Feb. 7, 2023
/CNW/ - Defense Metals Corp. ("Defense Metals" or the
"Company"; (TSXV: DEFN) (OTCQB: DFMTF) (FSE: 35D) is pleased
to announce it has engaged SRK Consulting (Canada) Inc. ("SRK") to commence site
geotechnical investigations at its wholly owned Wicheeda Rare Earth
Element (REE) Project during 2023. The Company is also pleased to
announce the appointment of Mr. Kevin
Weston as Wicheeda REE Project Development Coordinator.
Craig Taylor, CEO, and Director
of Defense Metals stated:
"We are excited to start this new phase of
development for our Wicheeda Rare Earth Project. Defense Metals is
pleased to continue its relationship with SRK given their prior
involvement in our positive PEA and recently completed pit slope
geotechnical study. Given the rapid pace of project development, we
are also very pleased to announce the appointment of Mr.
Kevin Weston as Project Development
Coordinator. We look forward to Kevin focusing his more than 40
years experience in mine permitting, operations, and project
management on the continued development of Wicheeda; one of the
best rare earth projects globally."
SRK Geotechnical Study
Details
The SRK geotechnical studies will inform the planned Wicheeda
REE Project preliminary feasibility study ("PFS") with respect to
areas of geotechnical engineering, hydrology, site infrastructure,
tailings facilities, geochemistry, and site water management. SRK's
work will include field investigations, including preliminary
characterization of shallow soil subsurface and bedrock
foundations, tasks designed to advance the PFS engineering work
including preliminary characterization of shallow soil subsurface
and bedrock foundations.
The work will facilitate the development of PFS level design
criteria, including siting evaluation, and alternative trade-off
studies focusing on technical, environmental, permitting risk and
socio-economic considerations to support community and stake-holder
engagement. As part of the alternatives assessment a study of
surficial geology and geomorphology to identify potential
geohazards, and identify potential borrow pit areas both for
tailings storage facility ("TSF") construction materials and as
suitable reclamation material for mine closure is planned. In
addition, rock geochemical characterization to support mine
planning/waste management and to develop preliminary water
chemistry predictions will be completed.
Appointment of Project Development
Coordinator
Defense Metals is pleased to announce the appointment of Mr.
Kevin Weston as Wicheeda REE Project
Development Coordinator. Kevin
Weston is a graduate of McGill
University's mining engineering program with more than 40
years of experience in mine permitting, operations, and project
management. Kevin is a proven safety/environmental leader and
community relations builder.
Significantly, Mr. Weston brings a wealth of prior British Columbia project development
experience having been COO of JDS Silver Inc. when, between 2013
and 2017, he oversaw the engineering, successful mine permitting,
and ultimately construction of the Silvertip silver-lead-zinc mine
in northern British Columbia.
Mr. Weston will be instrumental in coordinating the technical,
geological, engineering, environmental, socio-economic and First
Nations engagement aspects of the Wicheeda REE Project in support
of future project development permit applications.
Future permitting of the Wicheeda REE Project is expected to
proceed through the B.C. Ministry of Energy, Mines, and Low Carbon
Innovation Major Mine Permitting Office ("MMPO") and environmental
assessment ("EA") via the BC Environmental Assessment Office
("EAO") as required by British
Columbia's Environmental Assessment Act. B.C.
has a rigorous EA process that carefully evaluates the potential
environmental, economic, social, heritage and health impacts of
proposed projects, as well as potential impacts to First Nations
interests.
About the Wicheeda Rare Earth
Element Property
Defense Metals 100% owned, 4,262-hectare (~10,532-acre) Wicheeda
REE Property 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 hydro power transmission lines, gas pipelines, The nearby
Canadian National Railway and major highways allow easy access to
the port facilities at Prince
Rupert, the closest major North American port to
Asia.
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% IRR1. 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 throughput
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.
Defense Metals and the McLeod Lake Indian Band have entered into
a Mineral Exploration Agreement that establishes a framework for
communication and cooperation going forward and provides current
economic opportunities for the community. In addition, the
agreement provides a roadmap to building a long-term and mutually
beneficial relationship as the exploration activities advance.
|
|
|
1
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).
|
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.
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 completion of the site geotechnical
investigations by SRK, the Company's plans for its Wicheeda REE
Project, making permit applications, 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.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/defense-metals-engages-srk-to-start-pre-feasibility-level-site-geotechnical-investigations--appoints-project-development-coordinator-for-wicheeda-rare-earth-element-project-301740739.html
SOURCE Defense Metals Corp.