VANCOUVER, BC, June 17, 2022 /CNW/ – Defense Metals Corp. (“defense metals“or the”Company“) (TSX-V:DEFN) (OTCQB:DFMTF) (FSE:35D) is pleased to provide an update on ongoing diamond drilling at its Wicheeda Rare Earth Element (REE) deposit. The 2022 diamond drill has commenced in the North Resource Zone with the first two resource delineation drill holes totaling approximately 615 meters which are now nearing completion.
The two initial drill holes were drilled from the same southwest facing site at dips of -50 and -60 degrees. The holes are designed to establish the eastern carbonatite contact near surface and with the goal of filling resources near drill hole 2021 WI21-33 who gave 3.17% TREO over 196 yards; including 4.29% TREO over 55 meters1 at depth which has extended the high-grade REE mineralization beyond the shell of the Mineral Resource pit. Both holes intersected significant intervals of dolomitic carbonatite visually mineralized in REE, as predicted by the geological model (Image 1).
As announced in its June 7, 2022press release on the commencement of drilling, the Company plans to complete up to 5,000 meters of diamond drilling designed to further delineate existing resources, evaluate exploration targets near the deposit, collect geotechnical and hydrogeological drilling in the goal of optimizing the design of the open pit slopes and generating REE mineralized material for continued metallurgical testing.
Kristopher Raffle, P.Geo., Director and QP of Defense Metals commented: “With the second drill hole of our 2022 resource fill campaign nearing completion, we look forward in the coming days to initiate geotechnical fill and pit slope drill holes in the main deposit and strike zones. high wall of the PEA calendar pit, in addition to the continued construction of a pad for the planned exploration holes With 2022 drilling operations again based on the field camp of the Wicheeda deposit site , we expect to be able to take advantage of logistical efficiencies, including a reduction in the use of helicopters.”
1 True width of REE mineralization estimated at 70-100% of drilled interval
Other Company Updates
The Company participated in the Prospectors and Developers Association of Canada (PDAC) Conference in Toronto, Ontario of June 13, 2022 at June 15, 2022 and met with several industry stakeholders, including shareholders, investment companies and strategic industry companies.
Defense Metals recently staked additional mining claims contiguous to the Wicheeda REE property. The 100% owned Wicheeda REE property now covers 4,244 hectares.
Following the Company’s press release dated May 24, 2022the company paid $100,000 to Digitonic Limited, an independent party to provide investor relations services and to provide content creation, digital marketing and video services.
About Wicheeda REE Property
The 100% owned 4,244 hectare Wicheeda REE property, located approximately 80 km northeast of the town of Prince George, British Columbiais easily accessible by all-weather gravel roads and is close to infrastructure including power lines, the CN railroad and major highways.
The Wicheeda REE project produced a robust 2021 PEA that demonstrated an after-tax net present value (NPV @ 8%) of $517 millionand IRR of 18%2. A unique benefit of the Wicheeda REE project is the production of marketable high quality flotation concentrate. The PEA envisions surface mining at 1.8 Mtpa (million tonnes per annum) with a stripping ratio of 1.75:1 (waste:mill feed) over a mine life ( project) of 19 years producing and an average of 25,423 tonnes of ORR per year. An initial phase 1 stripping ratio of 0.63:1 (waste:mill feed) would provide rapid access to higher grade surface mineralization in the first year and a return on investment of $440 million initial capital within 5 years.
The scientific and technical information contained in this press release with respect to the Wicheeda REE project has been reviewed and approved by Kristopher J. Raffle, P.Geo. (BC) Principal and consultant to APEX Geoscience Ltd. of Edmonton, Alta., a director of Defense Metals and a “qualified person” within the meaning of NI 43-101. Mr. Raffle has verified the disclosed data, which includes a review of the sampling, analytical and testing data underlying the information and opinions contained therein.
2 The 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. Issuer profile of on SEDAR (www.sedar.com).
About Defense Metals Corp.
Defense Metals Corp. is a mining exploration and development company focused on the acquisition, exploration and development of mineral deposits containing metals and elements commonly used in the electric power market, the defense industry, the national security sector and in the production of green energy technologies, such as the rare earth magnets used in wind turbines and in the permanent magnet motors of electric vehicles. Defense Metals owns 100% of the Wicheeda Rare Earth Element property located near Prince George, British Columbia, Canada. Defense Metals Corp. Canada under the symbol “DEFN” on the TSX Venture Exchange, in United Statesunder “DFMTF” on the OTCQB and in Germany on the Frankfurt Stock Exchange under the number “35D”.
For more information, please contact:
Todd HanasBluesky Corporate Communications Ltd.
Vice President, Investor Relations
Tel: (778) 994 8072
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 press release.
Caution regarding “forward-looking” information
This press release contains “forward-looking information or statements” within the meaning of applicable securities laws, which may include, without limitation, statements relating to the progress of the Wicheeda REE project, completion of drilling , upon receipt of drill results, including the expected timing of such results. /trials, the Company’s plans for its Wicheeda REE project, the extent of resources and the scale of the extended resources, the results and expected results, the technical, financial and business prospects of the Company, its project and other questions. All statements in this press release, other than statements of historical fact, that address events or developments that the Company expects to occur, are forward-looking statements. Although the Company believes that the expectations expressed in these forward-looking statements are based on reasonable assumptions, these statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. These 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, expected costs and expenses, the ability to achieve its objectives, that general business and economic conditions will not change materially adversely, that financing will be available when needed and on reasonable terms. This forward-looking information reflects the Company’s beliefs with respect to future events and is subject to risks, uncertainties and assumptions, including risks and uncertainties related to the interpretation of exploration results, risks related to the inherent uncertainty of exploration and cost estimates, the potential for unforeseen costs and expenses and other risks filed under the Company’s profile on SEDAR at www.sedar.com. Although these estimates and assumptions are considered reasonable by the Company’s management, they are inherently subject to significant business, economic, competitive and regulatory risks and uncertainties. Factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, the 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 (including First Nations) acceptance, risks related to unforeseen operational difficulties (including failure of equipment or processes to perform according to specifications or expectations, cost escalation, unavailability of personnel, materials and equipment, governmental action or delays in receipt government approvals, industrial disruptions or other business related measures and unforeseen events to health, safety and the environment), risks related to inaccurate geological and technical assumptions, decline in the price of rare earth elements, the impact of Covid -19 or other viruses and diseases on the capacity business to operate, an inability to predict and counter the effects of COVID-19 on business operations, including, but not limited to, the effects of COVID-19 on the price of raw materials , capital market conditions, restrictions on labor and international travel and supply chains, loss of key employees, consultants or directors, increased costs, results of drilling delays, litigation and the failure of counterparties to perform their contractual obligations. The Company does not undertake to update any forward-looking statements or forward-looking information, except as required by law.