IPM Commences Pilot Scale Test Program
Toronto, December 19, 1996 -- International Precious Metals Corporation (IPM) announced today that, based
on successful bench scale tests for gold and platinum, it has begun a scaled up pilot plant test program.
Samples recovered from its leach process were assayed by two independent laboratories, one Canadian
based and the other U.S. based. The gold assay results were reported as follows:
November 1996 Leach Results
Lab A
Lab B
Sample No.
oz./ton
grams/tonne
oz./ton
grams/tonne
111
0.312
10.69
0.266
9.13
118
0.312
10.69
0.272
9.33
147
0.228
7.82
0.189
6.48
158
0.363
12.43
0.309
10.59
201
0.270
9.26
0.237
8.11
207
0.298
10.20
0.266
9.13
The samples selected are representative samples from six of the 121 holes drilled by IPM earlier this year on
the first of six 1 square kilometer BRX grids. The original grid of 121 drill holes to 30 meters depth (100 feet)
tested 50 million tons of BRX (Black Rock Extended) material. The above samples are representative of the
entire hole from the locations detailed in the accompanying diagram at the end of this release. These results
contrast with the results obtained by IPM earlier in 1996 largely due to a breakthrough in assaying of the
material. The previous results were obtained via a leaching process that by its very nature failed to produce
total material values but rather a minimal recoverable number. These new results are both higher and
reproducible, with a very high degree of correlation.
March 1996 Leach Results
Averages on Holes
Sample No.
oz./ton
grams/tonne
111
0.068
2.33
118
0.057
1.95
147
0.068
2.33
158
0.042
1.44
201
0.037
1.27
207
0.046
1.58
The significance of these greatly improved recovery values is profound for IPM - it breaks an eighteen month
technical log-jam and enables the company to carry out assaying with a high degree of confidence, thus
allowing for the work on recovery techniques to be advanced at a greater rate. The company's sustained
technical effort produced the breakthrough, substantiating the recovery of significant amounts of physical gold
as demonstrated by the comparison of results. Platinum results from these same bench scale tests are
awaiting returns of verification assays.
IPM will be able to apply the bench scale of this leach process as a routine assay procedure for most future
BRX work, as well as specific check assaying on the original grid samples. This should enable IPM to bring the
1 square kilometer grid to resource status in the first half of 1997. Drilling will also commence on the five
additional grids as previously outlined in the company's regional exploration program in 1995. Results from the
five grids will then be incorporated with the existing results from the original grid in order to determine the
overall scale of the BRX project during 1997. Additionally, exploration drill holes from the primary source
material (hard rock) of up to 150 meters in depth and hard-rock core samples previously obtained during the
1996 diamond drilling program will also be tested for recovery.
On December 16th, IPM instructed an independent laboratory to initiate a scaled-up recovery test program.
First stage testing will start with 50 pound samples and in the second stage will move up to 1,000 pound
samples in a pilot scale facility. This round of pilot scale testing should take approximately eight weeks to
complete. During the normal course of the small scale and pilot scale tests, IPM's mining consultants Behre
Dolbear & Co., Inc. will continue their participation as an integral part of the program. The precious metal
products from the pilot scale tests will be evaluated by refiners who have already tested samples from the
bench scale program and have expressed interest in purchasing the precious metal concentrates.
The company believes it is now in a very good position to advance the BRX project to a resource status during
the first half of 1997 utilizing the existing BRX grid and the additional five that IPM plans to drill in order to
augment the overall resource status. Proceeds from warrants that have been exercised and those that the
company expects to be exercised will provide the funding for this work. |
