Patent Enforcement reviews Yorke-Hardy resource details
2005-01-20 18:01 ET - News Release
Shares issued 23,259,000
PAL Close 2005-01-19 C$ 0.55
Mr. Ian McDonald reports
PEARL PROVIDES FURTHER PARTICULARS ON YORKE-HARDY DEPOSIT
Patent Enforcement and Royalties Ltd. (PEARL), at the request of the TSX Venture Exchange, has provided further details with respect to the mineral resource located in the Yorke-Hardy deposit as referred to in the company's news in Stockwatch dated Nov. 22, 2004, and Jan. 18, 2005. The resource was evaluated by Giroux Consultants Ltd. pursuant to a report dated Dec. 17, 2004, as amended Jan. 12, 2005, entitled, "A Resource Evaluation of Yorke-Hardy Molybdenum-Tungsten Deposit." For the purposes of the disclosure in this news, Gary Giroux, PEng, is the qualified person in accordance with National Instrument 43-101. The report was filed on SEDAR on Jan. 18, 2005.
The results of the resource evaluation are shown below at various ranges of MoS(2) cut-offs. Until an economic evaluation is completed, the economic cut-off for this deposit is unknown. Mineral resources which are not mineral reserves do not have demonstrated economic viability.
MEASURED
MoS(2)
cut-off MoS(2)
(%) Tonnes (%)
0.170 6,070,000 0.286
0.240 3,490,000 0.347
0.480 290,000 0.566
INDICATED
MoS(2)
cut-off MoS(2)
(%) Tonnes (%)
0.170 102,610,000 0.259
0.240 41,120,000 0.348
0.480 4,590,000 0.656
INFERRED
MoS(2)
cut-off MoS(2)
(%) Tonnes (%)
0.170 15,170,000 0.234
0.240 4,310,000 0.325
0.480 480,000 0.593
In consultation with the qualified person, the company has determined that 0.10 per cent MoS(2) is the minimum acceptable cut-off grade to report. Until an economic evaluation is completed, the economic cut-off for this deposit is unknown. The following table sets out the measured plus indicated resource at cut-offs ranging from 0.10 per cent MoS(2) to 0.60 per cent MoS(2).
MoS(2) Tons Tonnes
cut-off greater greater
(%) than than
cut-off cut-off
(tons) (tonnes)
0.10 254,150,000 230,570,000
0.15 149,820,000 135,910,000
0.16 134,100,000 121,660,000
0.17 119,800,000 108,680,000
0.18 106,740,000 96,840,000
0.19 94,140,000 85,400,000
0.20 82,980,000 75,280,000
0.22 64,080,000 58,130,000
0.24 49,170,000 44,610,000
0.26 39,030,000 35,410,000
0.28 31,360,000 28,450,000
0.30 25,450,000 23,080,000
0.32 20,700,000 18,780,000
0.34 17,390,000 15,780,000
0.36 14,460,000 13,110,000
0.38 12,110,000 10,990,000
0.40 10,260,000 9,310,000
0.42 8,700,000 7,900,000
0.44 7,360,000 6,680,000
0.46 6,360,000 5,770,000
0.48 5,380,000 4,880,000
0.50 4,460,000 4,040,000
0.55 3,000,000 2,720,000
0.60 2,140,000 1,940,000
MoS(2) Grade Million Million
cut-off greater pounds pounds
(%) than MoS(2) Mo
cut-off
MoS(2) Wo(3)
(%) (%)
0.10 0.193 0.034 981.02 588.02
0.15 0.240 0.035 719.14 431.05
0.16 0.250 0.035 670.50 401.90
0.17 0.261 0.035 625.36 374.84
0.18 0.271 0.035 578.53 346.77
0.19 0.283 0.035 532.83 319.38
0.20 0.295 0.035 489.58 293.46
0.22 0.320 0.036 410.11 245.82
0.24 0.348 0.037 342.22 205.13
0.26 0.373 0.037 291.16 174.52
0.28 0.399 0.037 250.25 150.00
0.30 0.424 0.037 215.82 129.36
0.32 0.450 0.038 186.30 111.67
0.34 0.474 0.038 164.86 98.82
0.36 0.499 0.038 144.31 86.50
0.38 0.524 0.038 126.91 76.07
0.40 0.548 0.038 112.45 67.40
0.42 0.573 0.037 99.70 59.76
0.44 0.599 0.037 88.17 52.85
0.46 0.623 0.037 79.25 47.50
0.48 0.651 0.037 70.05 41.99
0.50 0.685 0.037 61.10 36.62
0.55 0.763 0.036 45.78 27.44
0.60 0.839 0.035 35.91 21.52
Details of key assumptions, parameters and methods used to estimate the mineral resource
The Yorke-Hardy resource evaluation used drill hole data collected by Amax and Climax Molybdenum Co. from 1958 to 1980. A total of 166 drill holes containing 17,737 assays for MoS(2) were available for analysis. Drill hole assays were evaluated and capped based on log normal cumulative probability plots. Five samples were capped at 4.80 per cent MoS(2) and 21 samples were capped at 0.24 per cent WO(3). A mineralized geologic solid was used to constrain grade estimation, and uniform 25-foot (7.6-metre) composites were produced for MoS(2) and WO(3) within this solid. Variography showed maximum continuity for both MoS(2) and WO(3) of 600 feet (183 metres) at azimuth 075 degrees, dip zero degrees, and 400 feet (122 metres) at azimuth 165 degrees, dip minus 55 degrees. A block model was superimposed on the geologic solid with blocks 50 by 50 by 25 feet (15.2 by 15.2 by 7.6 metres) in dimension. Grades were estimated for each block in the model by ordinary kriging in three passes. The search ellipses were oriented parallel to the major directions of anisotropy and passes used progressively longer search ellipses with pass one at one-quarter of the semivariogram ranges, pass two at one-half the ranges and pass three the full ranges in each direction. A minimum of four composites were required during any pass to estimate a block. If the minimum four composites were not found within the particular search ellipse, the block was not estimated during that pass. During any pass if more than 16 composites were found, the closest 16 were used. Specific gravity was measured for 1,997 core samples during drill programs, using the weight in air compared with the weight in water procedure. As no correlation between grade and specific gravity could be established, an average of 2.66 was used for tonnage conversion. Classification of the resource used both the pass the blocks were estimated in (a measure of drill density) and the relative kriging standard error (RKSD) for MoS(2) (which takes the semivariogram parameters into account). Measured blocks were estimated during pass one and had an RKSD of less than 0.22. Indicated blocks were estimated during pass one or pass two and had an RKSD greater than 0.22 and less than 0.4. All other blocks estimated were classed as inferred.
Extent to which estimate of mineral resource may be materially affected by any known relevant issues.
Neither the company's consulting geologist, Mr. Giroux, nor management of the company is aware of any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues that may materially affect the estimate of the mineral resource. The property is nine kilometres northwest of Smithers, B.C., in western-central British Columbia. PEARL is planning to initiate prefeasibility and feasibility work on Yorke-Hardy as soon as practicable to, among other things, assess all environmental, permitting, marketing and other relevant issues.
Completion of the transaction is subject to a number of conditions, including, but not limited to, exchange acceptance and disinterested shareholder approval. The transaction cannot close until the required shareholder approval is obtained. There can be no assurance that the transaction will be completed as proposed or at all. Investors are cautioned that, except as disclosed in the management information circular to be prepared in connection with the transaction, any information released or received with respect to the change of business may not be accurate or complete and should not be relied upon. Trading in the securities of PEARL should be considered highly speculative. |
