TORONTO, Feb. 5, 2013
TORONTO, Feb. 5, 2013 /CNW/ - Duluth Metals Limited ("Duluth") (TSX: DM) (TSX:DM.U) is pleased to present early results from the exploration program currently underway on Duluth's 100% owned exploration properties in the Duluth Complex, northeast Minnesota. The program has successfully identified two new mineralized areas, one consisting of platinum group element ("PGE") mineralization on the East Shore properties which cover the eastern margin of the South Kawishiwi Intrusion (SKI), and a second consisting of copper-nickel-PGE mineralization within the Nickel Lake Macrodike (NLM). The program has consisted of geologic mapping, geochemistry, geophysics, and initial drill testing of targets on the properties which cover 8,850 acres of favorable geology adjacent to Duluth's Twin Metals Project (Fig. 1).
"It's exciting that at the very early stages of our exploration program we have confirmed mineralization in hotter portions of the geological system upstream from the multi-billion ton Twin Metals Minnesota deposits," commented Dean Peterson, Senior Vice President-Exploration of Duluth Metals.
Vern Baker, President of Duluth Metals commented, "We are pleased with the early drill results which have confirmed sulphide mineralization in two key areas of this massive geological system. We will be continuing with further extensive drilling in these two areas of mineralization. One of the key focal points of the next phase of drilling is the East Shore area where higher grade PGM values have been returned from both surface outcrop and preliminary drilling. In addition, the drilling in the Nickel Lake Macrodike has identified mineralization somewhat different to the known mineralization of the adjacent Twin Metals Project. We are currently following up with down-hole EMP geophysical surveys and intend to continue drilling into the spring with holes aimed at higher grade targets within deeper sections of the NLM."
Duluth is also pleased to report that Alan King, one of the world's foremost geophysicists is being retained to consult with the Duluth Exploration team. Mr. King's extensive worldwide expertise on nickel/copper geophysics will be a valuable addition to Duluth's exploration efforts.
Area 1 - East Shore PGE Mineralization
The first new area of mineralization comprises PGE mineralization along the eastern side of the SKI and within the adjacent anorthositic rocks on the East Shore Property as shown in Figures 1 and 2. Geological mapping and geochemical sampling of outcrops and angular boulders this summer identified mineralization along a 2000 foot strike length zone of the eastern contact of the SKI. Outcrop grab sampling returned TPM1 values up to 3.5 grams/tonne (g/t) TPM, and float sampling up to 7.7 g/t TPM (Fig. 2a). Significantly, some of the samples are characterized by high PGE to copper sulphide ratios. The occurrence of this mineralization suggests the potential for high-grade structure-hosted PGE mineralization, which has not been previously recognized in the Duluth Complex.
Initial drilling in the East Shore area has confirmed anomalous TPM values in a flat-lying zone in several holes with highlighted drill intercepts (see Fig. 2b) of PGM rich material as follows: (True thickness is estimated at about 100% of core length.)
Full assay results are shown in the following Table 1:
Area 2 - Nickel Lake Macrodike Mineralization
A systematic surficial geochemical survey in the NLM has defined a series of pronounced base-metal (Fig. 3a) and precious-metal (Fig. 3b) geochemical anomalies. These anomalies highlight the sulfide-bearing nature of the NLM and appear to be sourced from discrete varieties of mapped sulfide-bearing bedrock located on the northern margin of the NLM. The significant base and precious metal geochemical anomaly in Section 20 is currently being drill tested.
Within the NLM, a significant thickness of disseminated Cu-Ni-PGE bearing sulphide has been identified in the initial drilling. Notably, the mineralized material is unlike mineralization in the nearby Spruce Road and Maturi Deposits, having an elevated Cu:Ni ratio of 5:1. The presence of this mineralization in the NLM confirms the existence of sulphide-bearing magmas in the feeder conduit to the mineralized SKI. The high Cu:Ni ratio suggests sulphide fractionation took place within the NLM, and highlights the possibility that the system may contain zones of concentrated Ni-rich sulphide minerals in the feeder conduit.
Significant widths of mineralization in the NLM area have been identified both in surface outcrop and in two drill holes to date (Fig. 4). Highlights from the drilling to date are as follows: (The mineralized body is interpreted to dip at about 60° to the southeast. True thickness is estimated at about 95% of core length).
Full assay results are shown in the following Table 2:
Ongoing drilling efforts are aimed at demonstrating the continuity of this mineralization on strike and at depth, as well as following this mineralization to deeper sections of the NLM. Future drilling efforts within deeper sections of the NLM will focus on looking for higher grade mineralization analogous to that found in the Maturi Deposit and potential concentrations of Ni-rich massive sulphide. Drilling the most prospective area for potential concentrations of massive sulphide at the mouth of the NLM will require summer road building, planned to commence in the spring.
Duluth is continuing with an extensive drilling program into the spring of 2013. Currently there are two drills on the NLM mineralization area and two drills on the East Shore PGM mineralization area. Exploration drilling discussed in this press release is shown on the maps in this Press Release (Figures 1-4), which can also be found on the Company website at www.duluthmetals.com under this press release.
About the Sampling
Duluth Metals adheres to a rigorous QA/QC program as a part of sampling procedures throughout the drill program. Duplicate, blank, and reference standards are inserted into the sample stream prior to submittal the laboratory. Half core samples are crushed and pulverized at ALS Minerals in Thunder Bay, Ontario, and then shipped to its analytical facilities in Vancouver, British Columbia. Samples are analyzed for Au, Pt, and Pd using a 30 gram fire assay with an ICP-AES finish, and for Cu, Ni, and other trace elements using a four acid (near total) digestion and a combination of ICP-MS and ICP-AES finishes. Overlimits are re-analyzed using sodium peroxide fusion, acid dissolution, followed by an ICP-AES finish. The remaining half core samples are stored in Minnesota.
Till samples of approximately 1 kg were collected from the B-horizon and submitted to ALS Minerals in Thunder Bay, Ontario. Samples were dried and sieved to -63 micron, and analyzed for Au, Pt, and Pd using a 30 gram fire assay with an ICP-MS finish, and for Cu, Ni, and 46 other trace elements using a four acid (near total) digestion with an ICP-MS finish. Reference standards and field duplicates are submitted to the sample stream prior to submittal to the laboratory, and internal laboratory standards provide a further check on sample precision.
Phillip Larson, P. Geo. is the Qualified Person for Duluth Metals and Senior Geologist for Duluth Metals, in accordance with NI 43-101 of the Canadian Securities Administrators, and is responsible for Duluth Metal's technical content of this press release and quality assurance of the exploration data and analytical results.
About Duluth Metals Limited
Duluth Metals Limited is committed to acquiring, exploring and developing copper, nickel and platinum group metal (PGM) deposits. Duluth Metals has a joint venture with Antofagasta plc on the Twin Metals Project, located within the rapidly emerging Duluth Complex mining camp in north-eastern Minnesota. The Duluth Complex hosts one of the world's largest undeveloped repositories of copper, nickel and PGMs, including the world's third largest accumulation of nickel sulphides, and one of the world's largest accumulations of polymetallic copper and platinum group metals. Aside from the joint venture, Duluth Metals retains a 100% position on approximately 40,000 acres of mineral interests on exploration properties adjacent to and nearby the Twin Metals Minnesota LLC joint venture.
This press release contains forward-looking statements (including "forward-looking information" within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995) relating to, among other things, the results of drilling operations of Duluth Metals and exploration and mine development. Generally, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Duluth Metals has relied on a number of assumptions and estimates in making such forward-looking statements, including, without limitation, the prices of copper, nickel and platinum group metals (PGMs) and the costs associated with continuing exploration and mining development. Such assumptions and estimates are made in light of the trends and conditions that are considered to be relevant and reasonable based on information available and the circumstances existing at this time. A number of risk factors may cause actual results, level of activity, performance or outcomes of such exploration and/or mine development to be materially different from those expressed or implied by such forward-looking statements including, without limitation, whether such discoveries will result in commercially viable quantities of such mineralized materials, the possibility of changes to project parameters as plans continue to be refined, the ability to execute planned exploration and future drilling programs, possible variations of copper, nickel and PGM grade or recovery rates, the need for additional funding to continue exploration efforts, changes in general economic, market and business conditions, and those other risks set forth in Duluth Metals' most recent annual information form under the heading "Risk Factors" and in its other public filings. Statements related to "reserves" and "resources" are deemed forward-looking statements as they involve the implied assessment, based on realistically assumed and justifiable technical and economic conditions, that an inventory of mineralization will become economically extractable. Forward-looking statements are not guarantees of future performance and such information is inherently subject to known and unknown risks, uncertainties and other factors that are difficult to predict and may be beyond the control of Duluth Metals. Although Duluth Metals has attempted to identify important risks and factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors and risks that cause actions, events or results not to be as anticipated, estimated or intended. Consequently, undue reliance should not be placed on such forward-looking statements. In addition, all forward-looking statements in this press release are given as of the date hereof. Duluth Metals disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws. The forward-looking statements contained herein are expressly qualified by this disclaimer.
Cautionary Note to United States Investors Concerning Estimates of
Indicated and Inferred Mineral Resources
This press release uses the terms "Indicated Mineral Resources" and "Inferred Mineral Resources" in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Definition Standards. While such terms are recognized under Canadian securities legislation, the United States Securities and Exchange Commission does not recognize these terms. The term "Inferred Mineral Resource" refers to a mineral resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. These estimates are based on limited information and it cannot be assumed that all or any part of an "Inferred Mineral Resource" will be upgraded to a higher classification resource, such as "Indicated" or "Measured", as a result of continued exploration. Accordingly, an estimate relating to an "Inferred Mineral Resource" is insufficient to allow meaningful application of technical and economic parameters or to enable an evaluation of economic viability. Under Canadian securities legislation, estimates of an "Inferred Mineral Resource" may not form the basis of feasibility or other economic studies. Investors are cautioned not to assume that all or any part of an "Inferred Mineral Resource" is economically or legally mineable. Investors are also cautioned not to assume that all or any part of "Indicated" will ever be converted into "Mineral Reserves" (being the economically mineable part of an "Indicated" or "Measured Mineral Resource").
1 TPM = platinum+palladium+gold, expressed as grams per tonne.
Image with caption: "Figure 1 - Project Area Location, Bedrock Geology and Resources Map (CNW Group/Duluth Metals Limited)". Image available at: http://photos.newswire.ca/images/download/20130205_C2813_PHOTO_EN_23272.jpg
Image with caption: "Figure 2a - Geologic map of the East Shore area (CNW Group/Duluth Metals Limited)". Image available at: http://photos.newswire.ca/images/download/20130205_C2813_PHOTO_EN_23273.jpg
Image with caption: "Figure 2b - Geologic cross section of the East Shore area (CNW Group/Duluth Metals Limited)". Image available at: http://photos.newswire.ca/images/download/20130205_C2813_PHOTO_EN_23274.jpg
Image with caption: "Figure 3a - Copper geochemical anomaly map of glacial tills within the Nickel Lake Macrodike area (CNW Group/Duluth Metals Limited)". Image available at: http://photos.newswire.ca/images/download/20130205_C2813_PHOTO_EN_23275.jpg
Image with caption: "Figure 3b - Precious metal (Pt+Pd+Au) geochemical anomaly map of glacial tills within the Nickel Lake Macrodike area (CNW Group/Duluth Metals Limited)". Image available at: http://photos.newswire.ca/images/download/20130205_C2813_PHOTO_EN_23279.jpg
Image with caption: "Figure 4 - Geologic Map of the Nickel Lake Macrodike Area (CNW Group/Duluth Metals Limited)". Image available at: http://photos.newswire.ca/images/download/20130205_C2813_PHOTO_EN_23280.jpg
Image with caption: "Figure 4 - Cross Section of the Nickel Lake Macrodike Area (CNW Group/Duluth Metals Limited)". Image available at: http://photos.newswire.ca/images/download/20130205_C2813_PHOTO_EN_23277.jpg
SOURCE: Duluth Metals Limited
|Start Premium Trial||Register For Free|
|P||F||Fund Financial Data (13,000+ funds)|
|P||F||Stock Financial Data (7,000+ stocks)|
|P||F||Stock and Fund Screeners (basic)|
|P||F||Investing Articles and Market Commentary|
|P||F||Articles Archive (>30 days)|
|P||F||Discuss (dozens of stock, fund, bond, and general bulletin boards)|
|P||F||Portfolio Manager (basic)|
|P||F||Morningstar Investment Classroom|
|P||F||Morningstar Investing Classroom Rewards (earn as you learn and redeem for Morningstar merchandise)|
|P||Morningstar Fund Analyst Reports (full research on 2,000 funds and ETFs)|
|P||Morningstar Stock Analyst Reports (full research on 2,000 stocks)|
|P||Morningstar Stock and Fund Stewardship Grades|
|P||Portfolio Manager (advanced with 10 x-ray analyses, including guidance)|
|P||Portfolio Monitor (monthly and on-demand personalized portfolio statements)|
|P||Morningstar Proprietary Stock Information (stock star ratings, buy/sell prices, economic moat ratings, and more)|
|P||Morningstar Stock and Fund Favorites & Red Flags eNewsletters|
|P||Premium Stock and Fund Screeners (advanced with nearly infinite ways to find the best securities for you)|
|P||Discounts on Morningstar newsletters, books, seminars, and more|
Access these features and more when you sign up for Free Membership.
Join Morningstar today. It's Free.
Access these features and more when you sign up for Premium Membership.
Start your free 14-day trial today online
Your subscription may be tax deductible. Please contact your tax advisor.