ARSMF - Ares Strategic Mining Launches Geophysics Survey on Mine Site and Future Mining Areas
(TheNewswire)
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- The Resistivity /Chargeability geophysical survey will identify, map, and potentially quantifyfluorspar mineralizations, seeking to connect the known fluorsparpipes exposed at surface.
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- The survey will follow up by mapping several other areas planned forsubsequent mining activities, where several fluorspar pipes arecongregated together.
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- The results generated from the geophysics program will be followedwith a definitive drilling program to provide the geotechnical andgeometry information for access adit designs, and for efficientmulti-heading access designs for ore extraction for one or morefluorspar pipes.
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- The designs will determine the most efficient process to mine thepipes at the lowest operating costs according to the pipe geometry.
Vancouver, B.C. - TheNewswire - March 17th, 2021— Ares Strategic Mining Inc. (“Ares” or the “Company”)(TSXV:ARS) (OTC:ARSMF) (FRA:N8I1), is pleased to announce, it hascontracted KLM Geoscience geophysics team to conduct fluorspar piperesistivity/chargeability geophysics program on potentially fluorsparrich areas, where fluorspar pipe surface mineralization is and notvisible, for the purposes of identifying potential fluorspar piperesources.
KLM Geoscience will conduct an Induced Polarization/Resistivitypole-dipole geophysical survey consisting of 24,000-line km. Theproposed survey aims to complete 30 IP/RES 400m lines at a dipolelength of 25m, with 400m of current extensions on every line. Figure 1shows the lines being run over the Spor Mountain, in areas wheremultiple pipes are congregated together.
Figure 1 –Resistivity/Chargeability Lines Planned for Initial and PotentialProposed Mining Operations
The fully permitted Lost Sheep mine construction and developmentprogram will launch later this year, with subsequent mining operationson other defined mineralized areas of the Spor Mountain planned tofollow. The Bell Hill Claims constitute the most likely second miningoperation, with drilling on the claims scheduled to begin once thegeophysics program has concluded. The third mining site will bedefined from the geophysics and follow-up drilling program.
James Walker, President and CEO stated: “We have already identifiedover 100 fluorspar mineralized zones at surface across our 2,100 acresof high-grade fluorspar property. Drilling has helped delineate someof these targets for mining, but to further inform planning,identifying how all these fluorspar pipes are connected undergroundwill greatly assist adit designs, and enable multiple pipes to bemined concurrently through the same adit. Initial experiments haveproved extremely promising, so the Company anticipates extremelyuseful data for its mining operations.”
In 2018 the U.S. government classified fluorspar as a CriticalMineral, “deemed critical to U.S. national security and theeconomy”. Fluorspar remains the only non-metallic Critical Mineralwhich is 100% imported in the entire country. Fluorspar’sclassification as a Critical Mineral in the United States translatesto a faster permitting period, enabling mining operations to initiatemore quickly than operations for conventional minerals.
The Company is pleased to announce it has also successfully completedits non-brokered private placement amount (the “Offering”) of3,645,000 shares at a price of $0.50 per share for gross proceeds ofapproximately $1,822,500 to be employed for 2021 project development.A 4-month hold will be placed on the shares before they are eligiblefor trading.
Raul Sanabria, P.Geo., is a qualified person as definedby NI 43-101 and has reviewed and approved the technical contents ofthis news release. Mr. Sanabria is not independent to theCompany as he is a Director and shareholder.
Disclosure: Companies typically rely on comprehensive feasibilityreports on mineral reserve estimates to reduce the risks anduncertainties associated with a production decision. Some industrialmineral ventures are relatively simple operations with low levels ofinvestment and risk, where the operating entity has determined that aformal prefeasibility or feasibility study in conformance with NI43-101 and 43-101 CP is not required for a production decision. TheCompany has not completed a feasibility study on, nor has the Companycompleted a mineral reserve or resource estimate at the Lost SheepMine and as such the financial and technical viability of the projectis at higher risk than if this work had been completed. Based onhistorical engineering work, geological reports, historical productiondata and current engineering work completed or in the process by Ares,the Company intends to move forward with the development of thisasset. The Company further cautions that it is not basing anyproduction decision on a feasibility study of mineral reservesdemonstrating economic and technical viability, and therefore there isa much greater risk of failure associated with its productiondecision. In addition, readers are cautioned that inferred mineralresources are considered too speculative geologically to have economicconsiderations applied to them that would enable them to becategorized as mineral reserves. The development of a mining operationtypically involves large capital expenditures and a high degree ofrisk and uncertainty. To reduce this risk and uncertainty, the issuertypically makes its production decision based on a comprehensivefeasibility study of established mineral reserves. The Company hasdecided to proceed without established mineral reserves, basingdecision on past production and internal projections.
Lost Sheep Fluorspar Project – Delta, Utah
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- 100% owned – 2,100 acres – 108 Claims
- Located in the Spor Mountain area, Juab County, Utah, approximately214 km south-west of Salt Lake City.
- Fully Permitted – including mining permits.
- NI 43-101 Technical Report identified extensive high-grade fluorsparwith low levels of impurities.
- Mining plan approved by BLM 1
First approved by Rex Rowley – Area Manager, Bureauof Land Management – 24th August 1992.
Renewed by Paul B. Baker – Minerals ProgramManager, Bureau of Land Management – 12th December 2016.
ON BEHALF OF THE BOARD OF DIRECTORS OF
ARES STRATEGIC MINING INC.
James Walker
Chief Executive Officer and President
For further information, please contact Mark Bolin byphone at 604-781-0535 or by email at mbolin@aresmining.com
Neither the TSX Venture Exchange norits Regulation Service Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accepts responsibility for theadequacy or accuracy of this release. No stock exchange, securitiescommission or other regulatory authority has approved or disapprovedthe information contained herein.
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