(TheNewswire)
April 12, 2021 – TheNewswire - Rockport, Ontario -New Age Metals Inc. (TSXV:NAM ) ; ( OTC:NMTLF ) ; ( FSE:P7J.F) (“NAM” or “Company”) is pleased to announceagreements with leading engineering firms to complete aPre-Feasibility Study of its 100% owned River Valley Palladium Projectnear Sudbury, Ontario (Canada). The Pre-Feasibility Study will be undertaken over the next 8 to 12months, with completion slated for early 2022 .
The Pre-Feasibility Study will be completed by fourengineering firms: P&E Mining Consultants Inc. for Initial MineralReserve estimation, mine planning, economic analysis and Project Lead;SGS Canada Inc. and D.E.N.M. Engineering Ltd. for mineral processingand metallurgical test work; Knight-Piésold Consulting for design ofthe tailings facility and open pit geotechnical engineering; and StoryEnvironmental for environmental and community impact interactions andpermitting. P&E Mining Consultants Inc. will be updating theMineral Resource Estimate and leading the preparation of thePre-Feasibility Study NI 43-101 Technical Report.
Harry Barr, Chairman and CEO, said, “ We are extremely pleased to have assembledsuch an impressive team for our Pre-Feasibility Study . These firms will work together with NAM to optimize thevalue of the River Valley Palladium Project, by maximizing theeconomic aspects while minimizing the environmental impacts andbenefitting the local communities. The River Valley Project will be verywell-timed for the green metal revolution .”
Work for the Pre-Feasibility Study is planned tocommence this month. Four new holes will be drilled by NAM to recoverfresh material for new mineral processing and metallurgical testwork. The SGS Canada Inc. andD.E.N.M team will work on the material to optimize recovery ofpalladium, platinum, gold, copper, nickel, rhodium andcobalt . This work will build on previous studiesby SGS Lakefield in 2012 and include, for the first time, systematicrhodium recovery determinations. Knight-Piésold Consulting willcomplete the first geotechnical and geomechanical studies of theProject, based on new drilling and excavations by NAM in the areas ofthe open pit mines, processing plant, waste dumps and tailingsfacilities, as outlined in the Preliminary Economic Assessment(“PEA”) of June 2019 (Figure 1). Story Environmental will continuebaseline environmental studies and build effective relationships withlocal government agencies and communities, including First Nations,for future permit applications and approvals.
Figure 1. Fourof the northwestern most mineralized zones and design open pits fromthe 2019 Preliminary Economic Assessment of the River Valley PalladiumProject. The mineralized zones and design open pits models will beupdated as part of the Pre-Feasibility Study.
Overall, the Pre-Feasibility Study asled by P&E will consider optimized mine production and mineralprocessing rates based on a potentially more valuable Updated MineralResource Estimate than that which underpinned the 2019 PEA . The 2019 PEA had a positive economic outcome . For the Pre-Feasibility Study, however,River Valley Project economics are expected to benefit markedly fromhistorically high palladium and rhodium metal prices, new more tightlyconstrained domain models of the mineralized zones, and a shift to NetSmelter Return-based reporting . In tandem withthe Pre-Feasibility Study, NAM plans to continue explorationgeophysical and drilling programs to add, expand and upgrade MineralResources and investigate the grades and distribution of rhodium inthe priority mineralized zones of the River Valley Palladium Project.
About River Valley
The River Valley Palladium Project islocated 100 road-km east from the City of Sudbury. The Project area is linked to Sudbury by a network ofall-weather highways, roads and rail beds and isaccessible year-round with hydro grid and natural gas power nearby. River Valley enjoys the strong support of local communities, likethe village of River Valley, 20 km to the south. A fully executedMemorandum of Understanding is in place with the local First Nation. Environmental baseline studies re-commenced in 2020.
The current Mineral Resource Estimatewas announced in a Company press release dated January 15, 2019 and isbased on metal prices substantially lower than today . At a cut-offgrade of 0.35 g/t PdEq, the Mineral Resource consists of: 99 Mtgrading 0.52 g/t Pd, 0.20 g/t Pt, 0.03 g/t Au and 0.06% Cu, or 0.90g/t PdEq in the Measured and Indicated classifications; and 52 Mtgrading 0.31 g/t Pd, 0.15 g/t Pt, 0.04 g/t Au and 0,04% Cu, or 0.63g/t PdEq in the Inferred classification. Contained metal contentsare 2.4 Moz Pd+Pt+Au or 2.9 Moz PdEq in the Measured and Indicatedclassifications and 0.8 Moz Pd+Pt+Au or 1.1 Moz PdEq in the Inferredclassification.
The 2019 PEA results for the River Valley PalladiumProject were announced in a press release dated June 27, 2019. The PEAoutlines a 20,000 t/day open pit mine and processing plant operationproducing an average of 119,000 ounces of PdEq per year over a minelife of 14 years. Using base case metal prices of US$1,200/oz Pd,$1,050/oz Pt and $3.25/lb Cu, the PEA showed a pre-tax NPV 5% of US$261 million and a pre-tax IRRof 13%. At a +20% palladium price of $1,440/oz Pd, the pre-taxNPV 5% increases to $501Mand the pre-tax IRR to 19%. The current price of Pd is approximately $2,600/oz Pd.
About NAM
New Age Metals is a junior mineral exploration and development companyfocused on the discovery, exploration and development of green metalprojects in North America. The Company has two divisions; a PlatinumGroup Metals division and a Lithium/Rare Element division.
The PGM Division includes the 100% owned, multi-million-ounce,district scale River Valley Project, one of North America’s largestundeveloped Platinum Group Metals Projects, situated 100 km fromSudbury, Ontario. The Company has recently completed a PreliminaryEconomic Assessment on the project and, plans are to complete a Pre-Feasibility Study by the end of thefirst quarter of 2022 . In Alaska, the Company owns 100% of theGenesis PGM-Cu-Ni Project.
The Lithium Division is one of the largest mineral claim holders inthe Winnipeg River Pegmatite Field, where the Company is exploring forhard rock lithium and various rare elements such as tantalum andrubidium. 2021 plans include dronegeophysics on three of the Company’s seven projects and a drillprogram on the Company’s Lithium Two Project.
Our philosophy is to be a project generator with the objective ofoptioning our projects with major and junior mining companies throughto production. The Company is actively seeking an option/ jointventure partner for its road-accessible Genesis PGM-Cu-Ni project inAlaska and for all or part of our Lithium Division in Manitoba.
The Company will be participating inRenmark’s Virtual Non-Deal Roadshow Series on Monday, April 12, at4:00 pm EST. The presentation will feature Harry Barr, New AgeMetal’s Chairman & CEO presenting to shareholders, investors andinstitutions. Topics covered will include the River Valley ProjectPrefeasibility Study and ongoing geophysical programs on the ManitobaLithium Division. The discussion will highlight development andoperating strategies and strategic direction for 2021 and beyond.Investors interested in participating in this event must registerusing the link below. As a reminder, registration for the live eventmay be limited but accessed for replay after the event. A replay linkwill be available on the Company’s investor website.
REGISTER HERE: https://www.renmarkfinancial.com/live-registration/renmark-virtual-non-deal-roadshow-tsx-v-nam-otcqb-nmtlf-2021-04-12-130000
The Company has issued 73,297 common shares at a deemed value of $0.185 per share to AgoraInternet Relations Corp. ("AGORACOM") pursuant to the termsof the March 2020 agreement. The securitiesissued represent the final payment for services under the terms of theagreement and are subject to a four month plus one day hold periodexpiring August 13, 2021.
Investors are invited to visit theNew Age Metals website at www.newagemetals.com where they can reviewthe company and its corporate activities. Any questions or commentscan be directed to info@newagemetals.com or Harry Barr at Hbarr@newagemetals.com or Cody Hunt at Codyh@newagemetals.com or call 613 659 2773.
If you have not done so already, we encourage you tosign up on our website ( www.newagemetals.com ) to receive our updated news.
Qualified Persons
The contents contained herein that relate toExploration Results or Mineral Resources for the River Valley Projectis based on information compiled, reviewed or prepared by Dr. BillStone, P.Geo., a consulting geoscientist for New Age Metals. Dr.Stone is the Qualified Person as defined by National Instrument 43-101and has reviewed and approved the technical content of this newsrelease.
On behalf of the Board of Directors
“ Harry Barr”
Harry G. Barr
Chairman and CEO
Neither the TSX Venture Exchange nor its RegulationServices Provider (as that term is defined in the policies of the TSXVenture Exchange) accepts responsibility for the adequacy or accuracyof this release. Cautionary Note Regarding Forward Looking Statements:This release contains forward-looking statements that involve risksand uncertainties. These statements may differ materially fromactual future events or results and are based on current expectationsor beliefs. For this purpose, statements of historical fact may bedeemed to be forward-looking statements. In addition,forward-looking statements include statements in which the Companyuses words such as “continue”, “efforts”, “expect”,“believe”, “anticipate”, “confident”, “intend”,“strategy”, “plan”, “will”, “estimate”, “project”,“goal”, “target”, “prospects”, “optimistic” or similarexpressions. These statements by their nature involve risks anduncertainties, and actual results may differ materially depending on avariety of important factors, including, among others, the Company’sability and continuation of efforts to timely and completely makeavailable adequate current public information, additional or differentregulatory and legal requirements and restrictions that may beimposed, and other factors as may be discussed in the documents filedby the Company on SEDAR (www.sedar.com), including the most recentreports that identify important risk factors that could cause actualresults to differ from those contained in the forward-lookingstatements. The Company does not undertake any obligation to reviewor confirm analysts’ expectations or estimates or to releasepublicly any revisions to any forward-looking statements to reflectevents or circumstances after the date hereof or to reflect theoccurrence of unanticipated events. Investors should not place unduereliance on forward-looking statements.
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