VANCOUVER, BRITISH COLUMBIA - December 11, 2014 - MGX Minerals Inc. ("MGX" or the "Company") (CSE: XMG) is pleased to report assay results from the recently completed diamond drill program at its flagship Driftwood Creek magnesium deposit (the "Property") located in southeastern British Columbia.
Eight drill holes were completed over the Eastern Zone of the deposit and all ended in magnesite mineralization, which was observed to a depth of 57 meters, and suggests the zone remains open at depth. Seven of the eight drill holes were spaced within 30 meters of each other and will provide a high degree of certainty for the upcoming National Instrument (N.I.) 43-101 compliant resource estimate.
"The results look very encouraging," stated Vice President of Exploration and non-independent Qualified Person Andris Kikauka. "The relatively high (>5%) silicon dioxide content can be removed by flotation process (SGS Lakefield, 2008) and other compounds of interest (magnesium oxide, calcium oxide and iron oxide) approach the specifications required for producing calcined or dead-burned magnesite that are suitable materials for export markets."
Summary of select drill intercepts are listed below:
DDH | From (m) | To (m) | Width (m)* | MgO% | CaO% | SiO2% | Fe2O3% | LOI% |
14-1 | 1 m | 27 m | 26 m | 42.55 | 0.75 | 5.86 | 0.75 | 47.93 |
14-2 | 2 m | 51 m | 49 m | 43.04 | 1.06 | 5.18 | 0.74 | 48.55 |
14-2A | .35 m | 36 m | 35.65 m | 41.83 | 1.5 | 6.83 | 0.93 | 46.91 |
14-3 | 2.8 m | 9 m | 6.2 m | 41.04 | 1.16 | 8.33 | 0.98 | 46.05 |
14-3 | 21 m | 63 m | 42 m | 41.52 | 1.33 | 6.49 | 0.88 | 47.44 |
14-4 | 0.8 m | 9 m | 8.2 m | 43.2 | 1.24 | 4.12 | 0.86 | 48.64 |
14-4 | 21 m | 66 m | 45 m | 41.92 | 2.08 | 4.71 | 0.77 | 48.54 |
14-5 | 24 m | 71.63 m | 47.63 m | 41.43 | 1.64 | 6.87 | 0.78 | 47.5 |
14-6 | 3 m | 18 m | 15 m | 42.62 | 1.92 | 5.54 | 0.86 | 47.48 |
14-6 | 30 m | 36.58 m | 6.58 m | 41.92 | 0.69 | 9.01 | 0.97 | 45.53 |
14-7 | .2 m | 54 m | 53.8 m | 43.1 | 1.17 | 4.93 | 0.93 | 47.13 |
* Width refers to drill hole intercepts, true widths have not been determined. Complete drill results available on MGX website and SEDAR.
Two historic resource estimates* (non N.I. 43-101 compliant) were completed on the Property by past operators. Kaiser Resources Ltd. (Morris, 1978) estimated a non N.I. 43-101 compliant Inferred resource of 22.5 million tonnes of magnesite using a specific gravity of 2.5 and Canadian Occidental Ltd. (Rodgers, 1989) estimated a non N.I. 43-101 compliant Inferred resource of 29.4 million tonnes of magnesite at a specific gravity of 3.0.
*These are historical resource estimates that do not comply with the current CIM Definition Standards on Mineral Resources and Mineral Reserves as required by NI 43-101. A Qualified Person has not done sufficient work to upgrade or classify these historical resources estimates to current mineral resources prepared in accordance with NI 43-101. The issuer is not treating the historical estimate as current mineral resources and the historical estimate should not be relied on.
The Company also completed rock chip sampling on the eastern zone of the Property. Samples were collected and submitted to ALS Minerals in North Vancouver, British Columbia for chemical analysis using XRF whole rock analysis for oxides. Geochemical analysis results were as follows:
Sample | ID # From | ID # To | # of Samples | Total Length | MgO% | CaO% | SiO2% | Fe2O3% | LOI% |
Rock | 501 | 506 | 6 | 18 m | 42.63 | 0.94 | 6.26 | 0.72 | 48.09 |
Click to view 1:2,500 scale plan view of drill holes and rock chip samples.
Qualified Persons
Andris Kikauka, Vice President of Exploration for MGX Minerals, and a non-independent Qualified Person as defined by N.I. 43-101, has reviewed the information contained in this news release and has verified the data.
About Magnesite
Magnesite in its purest form is 47.6% Magnesium Oxide ("MgO"). Magnesite generally serves as an excellent feedstock for the production of MgO. MgO in turn is a valuable and widely used industrial mineral. Uses of MgO include abrasives, animal feed supplements, chemicals, coatings, construction, electrical, fertilizers, foundries, glass manufacture, insulation, lubricating oils, pharmaceuticals, plastics manufacture, refractory and ceramics, rubber compounding, steel industry, sugar refining, sulfite wood pulping, and wastewater treatment. At this time MGX is focused on the refractory and steel industries.
About MGX Minerals
MGX Minerals (CSE: XMG) is a diversified Canadian mining company engaged in the acquisition and development of industrial mineral deposits in western Canada that offer near-term production potential, minimal barriers to entry and low initial capital expenditures. For more information please visit the Company’s website at www.mgxminerals.com
For further information on MGX, please contact:
Jared Lazerson
Chief Executive Officer
MGX Minerals Inc.
Telephone: 604.681.7735
Email: jared@mgxminerals.com
Forward-Looking Statements
This press release contains forward-looking information or forward-looking statements (collectively "forward-looking information") within the meaning of applicable securities laws. Forward-looking information is typically identified by words such as: "believe", "expect", "anticipate", "intend", "estimate", "postulate" and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking information provided by the Company is not a guarantee of future results or performance, and that actual results may differ materially from those in forward-looking information as a result of various factors. The reader is referred to the Company's public filings for a more complete discussion of such risk factors and their potential effects which may be accessed through the Company's profile on SEDAR at www.sedar.com
MGX Minerals Inc. 1080 Howe St.
Suite 303
Vancouver, BC V6C 2T1
Tel: 604.681.7735
www.mgxminerals.com |