(TheNewswire)
May 12, 2021 – TheNewswire- Rockport, Ontario - New Age Metals Inc.(TSXV:NAM ) ; ( OTC:NMTLF ) ; ( FSE:P7J.F) (“NAM” or “Company”) is pleased toannounce initiation of a metallurgical study at its 100% ownedflagship River Valley PGM Project near Sudbury, Ontario. The primary purpose of the study is toinvestigate the optimal flow sheet parameters for processingmineralized material from the River Valley PalladiumProject. The results of the metallurgical studywill be incorporated into the Company’s Prefeasibility Study(“PFS”) of River Valley (see Company press release dated April 12,2021), which is slated for completion in H1 2022.
Four new HQ-size drill holes have been designed toprovide fresh mineralized material for the 2021 metallurgical study(Figure 1); one hole each on the Dana North, Dana South, Lismer Northand Lismer Ridge mineralized zones (Table 1). These zones combined representapproximately
4 km of the 16 km long River Valley Palladium Deposit . Each HQ-size hole will be drilled for approximately 200 mdown through sulphide mineralized material and provide up to 1000 kgof fresh mineralized rock and wall rock for the assaying andmetallurgical testwork purposes.
A contract with Multi Drillingof Rouyn-Noranda (Quebec) has been signed and the drilling is plannedto commence in early June 2021.
Harry Barr, NAM Chairman and CEO comments, “Previousmetallurgical test work studies on the River Valley Project focused onfresh mineralized drill core and surface samples from the Dana Northand Dana South Zones. For the2021 metallurgical study, the sampling is being expanded southwards toinclude the strategic Lismer North and Lismer Ridge Zones, to completecoverage of the Indicated and Measured Mineral Resources in thenorthern 4 km strike-length of the 16 km long River ValleyDeposit . The metallurgical results will beincluded in the Prefeasibility Study for development planning of abulk-tonnage, open pit mining operation at the River Valley PalladiumProject.”
Figure 1. Map showing the locations of the plannedmetallurgical drill holes on four of the mineralized zones (red) ofthe River Valley Palladium Deposit near Sudbury, Ontario.Mineralization continues for another 12km southwest (not shown inFigure 1).
TABLE 1 PLANNED COLLAR LOCATIONS, ORIENTATIONS AND LENGTHS FOR THE 2021 METALLURGICAL DRILL HOLE PROGRAM AT RIVER VALLEY | ||||||||
HoleID | Mineralized Zone | Core Size | Collar_X | Collar_Y | Collar_Z | Azimuth | Dip | Length (m) |
DN-21-01m | Dana North | HQ | 555,290 | 5,172,680 | 330 | 146 | -57 | 200 |
DS-21-01m | Dana South | HQ | 555,490 | 5,172,040 | 304 | 128 | -55 | 200 |
LN-21-01m | Lismer North | HQ | 556,038 | 5,171,653 | 288 | 104 | -57 | 185 |
LN-21-02m* | Lismer North | HQ | 556,480 | 5,171,471 | 317 | 136 | -59 | 200 |
LR-21-01m | Lismer Ridge | HQ | 556,950 | 5,171,007 | 320 | 306 | -64 | 215 |
*Contingency for LNZ-21-01m Collar coordinates NAD83 z17N |
Planned drill holes DN-21-01m and DS-21-02m will samplethe Dana North and Dana South Zones respectively (Figure 1), which arethe key zones for any initial mining operations at River Valley.
Hole LN-21-01m will sampleLismer North, where the highest grades of rhodium (0.877 g/t Rh) atRiver Valley have been intersected in historical drilling . Hole LR-21-01m will sample the much larger Lismer RidgeZone for the first material from there to undergo metallurgicaltestwork.
The metallurgical study will be managed by DavidSalari, P.Eng. of D.E.N.M Engineering Ltd in Burlington, Ontario. Thedrill core samples will be transported to SGS Canada Inc. ofLakefield, Ontario (“SGS”) for assaying, compositing, variability,mineralogical, grinding, environmental and Platsol TM studies on thecomposited samples. SGS completed an initial metallurgical testworkstudy on the Dana North and Dana South Zones in 2012, which will bereferenced for initial testing conditions and testwork results. This new metallurgical studywill be the first-time materials from outside the Dana North and DanaSouth Zones are included in testwork studies. Details of themetallurgical testwork program will be the subject of a future pressrelease.
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 is accessible year-roundwith hydro grid and natural gas power nearby. Environmental baselinestudies re-commenced in 2020 and continue through 2021.
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 contents are 2.4 MozPd+Pt+Au or 2.9 Moz PdEq in the Measured and Indicated classificationsand 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 $2,900/oz Pd.
AboutNAM
New Age Metals is a junior mineral exploration anddevelopment company focused on the discovery, exploration anddevelopment of green metal projects in North America. The Company hastwo divisions; a Platinum Group Metals division and a Lithium/RareElement division.
The PGM Division includes the 100% owned,multi-million-ounce, district scale River Valley Project, one of NorthAmerica’s largest undeveloped Platinum Group Metals Projects,situated 100 km from Sudbury, Ontario. The Company has recentlycompleted a Preliminary Economic Assessment on the projectand, plans areto complete a Pre-Feasibility Study by the end of the first quarter of2022 . In Alaska, the Company owns 100% ofthe Genesis PGM-Cu-Ni Project, an early-stage explorationproperty.
The Lithium Division is one of the largest mineralclaim holders in the Winnipeg River Pegmatite Field, where the Companyis exploring for hard rock lithium and various rare elements such astantalum, cesium, and rubidium. 2021 plans include drone geophysics on three of theCompany’s seven projects and a drill program on the Company’sLithium Two Project.
Our philosophy is to be a project generator with theobjective of optioning our projects with major and junior miningcompanies through to production. The Company is actively seeking anoption/ joint venture partner for its road-accessible GenesisPGM-Cu-Ni project in Alaska and for all or part of our LithiumDivision in Manitoba.
Investors are encouraged to visit the New Age Metalswebsite at http://www.newagemetals.com where they can review the company, the projects and its corporateactivities. Any questions or comments can be directed to thefollowing: info@newagemetals.com or Harry Barr atHbarr@newagemetals.com or Cody Hunt at Codyh@newagemetals.com or call613 659 2773.
Opt-in List
We encourage you to sign up on our website ( www.newagemetals.com ) to receive our updated news.
QualifiedPersons
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
43-101 and has reviewed and approved the technical content of thisnews release.
On behalf of the Board of Directors
“ Harry Barr”
Harry G.Barr
Chairman andCEO
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.
Copyright (c) 2021 TheNewswire - All rights reserved.