Highlights:
- The Whistler deposit hosts an indicated resource of 79.2 Mt
grading 0.51 g/t gold, 1.97 g/t silver, 0.17 % copper or 0.88 g/t
gold equivalent (2.25 Moz gold equivalent) and an inferred resource
of 145.8 Mt grading 0.40 g/t gold, 1.75 g/t silver, 0.15 % copper
or 0.73 g/t gold equivalent (3.35 Moz gold equivalent);
- This resource estimate confirms the previously disclosed
historic estimate completed by Kiska Metals Corporation prior to
the acquisition of the project by Brazil Resources;
- The Whistler project (170 sq km) hosts several nearby
gold-copper porphyry targets similar to the Whistler deposit with
excellent potential to increase the existing resource base;
and
- Approximately 70,000 metres of drilling have been completed on
the Project with 19,870 m (48 holes) completed at the Whistler
deposit.
VANCOUVER, Sept. 9, 2015 /CNW/ - Brazil Resources Inc. (the
"Company" or "Brazil Resources") (TSX-V: BRI; OTCQX: BRIZF) is
pleased to announce the results of a National Instrument 43-101
("NI 43-101") compliant mineral resource estimate for the Whistler
deposit, one of several gold-copper porphyry deposits identified on
the Whistler Project, Alaska. As
previously announced, the Whistler project was acquired by Brazil
Resources from Kiska Metals Corporation ("Kiska") pursuant to an
asset purchase agreement. The resource estimate confirms the
historical estimate completed for Kiska as disclosed by the Company
in its press releases dated July 21
and August 6, 2015.
Garnet Dawson, CEO, stated: "We
are pleased to report this multi-million ounce resource estimate
for the Whistler deposit from a very small portion of our 170 sq
km, 100% owned project. The Whistler deposit is one of several
porphyry centers (Raintree West, Raintree East, Rainmaker and
Island Mountain) identified on the property and future exploration
programs will focus on developing a better understanding of their
size potential. The close proximity (<3 km) of the Raintree and
Rainmaker mineralization to Whistler will substantially enhance the
value of the ounces already identified at Whistler. The Company
continues to progress our long-term strategy and is reviewing
projects in the Americas for potential acquisition during this low
point in the commodity cycle."
Whistler Resource Estimate
Brazil Resources engaged Moose Mountain Technical Services to
prepare an independent NI 43-101 technical report, including the
resource estimate on the Whistler deposit. The resource estimate is
based on 48 diamond drill holes (19,870 m) and has an effective
date of August 15, 2015 (Table
1).
Table 1: Whistler deposit NI 43-101 pit constrained resource
estimate.
|
Tonnes &
Grade
|
Contained
Metal
|
Resource
Category
|
Tonnes
(Mt)
|
Au
(g/t)
|
Ag
(g/t)
|
Cu
(%)
|
Au
Eq.1
(g/t)
|
Au
(Moz)
|
Ag
(Moz)
|
Cu
(Mlb)
|
Au
Eq.1
(Moz)
|
Indicated
|
79.2
|
0.51
|
1.97
|
0.17
|
0.88
|
1.28
|
5.03
|
302
|
2.25
|
Inferred
|
145.8
|
0.40
|
1.75
|
0.15
|
0.73
|
1.85
|
8.21
|
467
|
3.35
|
Notes:
|
1.
|
1Gold
equivalent grade calculation for the Whistler Project resource was
based on 75% recovery for gold and silver, 85% recovery for copper,
US$990/oz gold, US$15.40/oz silver and US$2.91/lb
copper.
|
2.
|
Totals may not
represent the sum of the parts due to rounding.
|
3.
|
The Mineral Resources
have been prepared by Moose Mountain Technical Services in
conformity with "CIM Definition Standards for Mineral Resources and
Mineral Reserves 2014".
|
4.
|
Mineral
resources are not mineral reserves and do not have demonstrated
economic viability. There is no certainty that all or any part of
the mineral resource will be converted into mineral
reserves.
|
The Whistler deposit is a structurally controlled porphyry
deposit with gold, copper and silver as the primary economic
metals. There have been three major intrusive episodes that define
the mineralization at Whistler with the earliest diorite phase
being associated with the majority of the mineralization. A major
northwest trending fault ("Divide Fault") separates the
mineralization into two domains, which were modeled separately.
The resource was modeled utilizing a block model with individual
blocks measuring 20x20x10 m. Compositing of gold, silver and copper
grades was completed over 5 m intervals, honoring the domain
boundaries, with composite statistics compiled for comparison with
assay and block model data. The composites were used to create
variograms for gold, copper and silver, in order to help define
rotation and search parameters for the block model interpolation.
Interpolation of gold, silver and copper grades was done by
ordinary kriging in two passes based on the variogram parameters.
Interpolation was restricted by the diorite solid with composites
also restricted within each diorite domain. The conceptual pit
delineated resource is reported within a conceptual pit shell with
45 degree pit slope angles resulting in a strip ratio of 1.3:1
(waste to ore) using a $7.50/t
cut-off or approximately a 0.3 g/t gold cut-off. Specific gravity
values were based on 21 laboratory measurements by ALS Chemex to
give an average density of 2.72 for ore and 2.60 for waste.
Validation of the model was completed by comparison of the block
model values with de-clustered composite values, with values
interpolated by inverse distance, by comparison with swath plots,
grade-tonnage curves and by visual inspections in section and plan
across the deposit.
Quality Control – Quality Assurance Program
The above resource estimate was based on drill programs
completed by previous operators that incorporated control samples
including blanks, duplicates and standards as part of their Quality
Control – Quality Assurance Program. The control samples from these
programs have been reviewed and verified by the Qualified Persons
and the assay results were deemed suitable for resource
estimation.
Qualified Person Statement
The resource estimate disclosed herein was prepared for Brazil
Resources by Susan Bird, P.Eng. and
Robert J Morris, P.Geo. of Moose Mountain Technical Services and
Alan Riles, B.Met., MAIG, who are
Qualified Persons as defined in NI 43-101, are independent of the
Company and have reviewed and approved the disclosure regarding the
Whistler resource estimate.
A technical report respecting the above resource estimate will
be filed under the Company's profile on SEDAR in due course. There
is no new material scientific or technical information respecting
the Whistler deposit since the effective date of the resource
estimate.
Paulo Pereira, Brazil Resources'
President has reviewed and approved the technical information
contained in this news release. Mr. Pereira holds a Bachelors
degree in Geology from Universidade do Amazonas in Brazil, is a Qualified Person as defined in NI
43-101 and is a member of the Association of Professional
Geoscientists of Ontario.
About Brazil Resources Inc.
Brazil Resources Inc. is a public mineral exploration company
with a focus on the acquisition and development of projects in
emerging producing gold districts in Brazil, Paraguay and other regions of the Americas.
Brazil Resources is advancing its Cachoeira and São Jorge Gold
Projects located in the State of Pará, northeastern Brazil and its Rea Uranium Project in the
western Athabasca Basin in
northeast Alberta, Canada.
Cautionary Note
Investors are cautioned not to assume that any part or all of
the mineral deposits in the "indicated" and "Inferred" categories
will ever be converted into mineral reserves with demonstrated
economic viability or that inferred mineral resources will be
converted to the measured and/or indicated categories through
further drilling. In addition, the estimation of inferred
resources involves far greater uncertainty as to their existence
and economic viability than the estimation of other categories of
resources. Under Canadian rules, estimates of Inferred Mineral
Resources may not form the basis of feasibility or other economic
studies.
Forward Looking Statements
This document contains certain forward-looking statements
that reflect the current views and/or expectations of Brazil
Resources with respect to its business and future events, including
statements regarding the estimation of mineral reserves and the
Company's expectations respecting the Whistler project.
Forward-looking statements are based on the then-current
expectations, beliefs, assumptions, estimates and forecasts about
the business and the markets in which Brazil Resources operates.
Investors are cautioned that all forward-looking statements involve
risks and uncertainties, including: the inherent risks involved in
the exploration and development of mineral properties, the
uncertainties involved in interpreting drill results and other
exploration data, the potential for delays in exploration or
development activities, the geology, grade and continuity of
mineral deposits, the possibility that future exploration,
development or mining results will not be consistent with Brazil
Resources' expectations, accidents, equipment breakdowns, title and
permitting matters, labour disputes or other unanticipated
difficulties with or interruptions in operations, fluctuating metal
prices, unanticipated costs and expenses, uncertainties relating to
the availability and costs of financing needed in the future,
commodity price fluctuations, regulatory restrictions, including
environmental regulatory restrictions, or any failure to integrate
acquired companies and projects into the Company's existing
business as planned. These risks, as well as others, including
those set forth in Brazil
Resources' filings with Canadian securities regulators, could cause
actual results and events to vary significantly. Accordingly,
readers should not place undue reliance on forward-looking
statements and information. There can be no assurance that
forward-looking information, or the material factors or assumptions
used to develop such forward looking information, will prove to be
accurate. Brazil Resources does not undertake any obligations to
release publicly any revisions for updating any voluntary
forward-looking statements, except as required by applicable
securities law.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release.
SOURCE Brazil Resources Inc.