Lion One Metals Limited: drilling commences at Tuvatu Gold project, Fiji
VANCOUVER, BRITISH COLUMBIA–(Marketwire – June 5, 2012) – Lion One Metals Limited (TSX VENTURE:LIO)(OTCQX:LOMLF)(FRANKFURT:LY1) (the “Company”) is pleased to announce that drilling has commenced at the Tuvatu Gold Project, near Nadi on the island of Viti Levu in Fiji. The program consists of a combination of infill and step out holes for a total of 5,000 meters of diamond drilling. The objective of the program is to upgrade existing inferred resources to the indicated category, add new resources, and capture further historic resources. The program is expected to run for three months alongside ongoing metallurgical test work.
The Company expects that the inclusion of data from 87,000 meters of historic drilling and 1,600 meters of underground workings, together with the new drill data, to significantly expand the resource base. Dr. Andrew Richmond of Martlet Consultants Pty. Ltd. of Chapel Hill, Queensland, Australia, has been engaged to review and update the Company’s NI 43-101 Technical Report and Resource Estimate by P&E Mining Consultants Inc., dated October 1, 2010. The new mineral resource estimate, along with data and material from historic feasibility studies completed in 1999 – 2000, will be used to support mineral resource and mineral reserve estimates and the preparation of a preliminary economic assessment, prefeasibility and/or feasibility study.
Ten infill drill holes are planned to test areas of the intersections of the E-W trending Murau-Far West Lodes with the N-S trending Upper Ridge Lodes. See Figure 1 below. Follow up drilling, if warranted, could continue to test these lodes along strike. Extensions of the Murau and Far West Lodes have been mapped at surface over 1,000 meters to the west (see news release dated May 7, 2012). Selected historic drilling intervals from these areas are summarized in Table 1 below True widths were calculated from historic interpretations and the closest down-hole survey:
|Select Historic Drill Holes|
To view a version of the news release with historic assay tables and a map please visit the Company website at http://www.liononemetals.com/i/pdf/news/2012-06-05_NR.pdf
Six step out holes are planned to test mineralized extensions of the Tuvatu and H Lodes in the northern portion of the Tuvatu resource area, where surface mapping has identified continuous mineralization along a strike length of 300 meters. A portion of the gold mineralization hosted in this area is included in the current resource base, but additional data from seven holes drilled subsequent to the last historic resource estimate, previously omitted, is to be incorporated now. Select grab samples taken at 1 meter intervals along strike from an outcrop of the H Lode and abovethe entrance to the exploration decline (Bench 4) in March 2012 have returned assays including 19.55 g/t, 25.5 g/t, 29.7 g/t, 30.8 g/t, and 41.3 g/t gold. These grab sample assay results are summarized in Table 2 below:
|Bench 4 – Selected Grab Samples|
|Sample Number||Au ppm
|Sample Number||Au ppm
Samples are analyzed at Australian Laboratory Services (ALS) Pty. Ltd. an independent and qualified analytical laboratory in Brisbane, Australia. Samples are first prepared and crushed at the ALS facility in Suva, Fiji. Samples are subjected to fire assay with atomic absorption finish for gold and 33 elements, four acids, Inductively Coupled Plasma Spectrometry (ICP-AES). Consistent with industry standard QA/QC protocols, sample standards and blanks are inserted to ensure quality control.
The Tuvatu Gold Project is situated in Fiji along the Viti Levu Lineament, a north-west trending belt that hosts a number of alkaline volcanic centers. These include the world-class Vatukoula Gold Deposit, which lies approximately 50 km to the north east. Low sulphidation, epithermal gold veins at Tuvatu occur along the margins of the eroded Navilawa volcanic center in a multi-phase geologic environment that also hosts copper-gold porphyry mineralization. The Fijian Islands themselves are situated along the margins of the SW Pacific Rim regional tectonic plate, the host of a number of world class epithermal gold-silver and porphyry copper-gold deposits that include Lihir, Porgera, Wafi Golpu, (Papua New Guinea) and Lepanto (Philippines).
Darcy Krohman, P.Geo, C.A., Technical Advisor to Lion One and a Qualified Person for the Company for purposes of National Instrument 43-101 has reviewed the technical information in this news release.
On Behalf of the Board of Directors
Walter H. Berukoff, Chairman of the Board
Lion One Metals Limited
This press release may contain “forward-looking information” within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “proposed”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. This forward-looking information reflects Lion One Metals Limited’s current beliefs and is based on information currently available to Lion One Metals Limited and on assumptions Lion One Metals Limited believes are reasonable. These assumptions include, but are not limited to, the actual results of exploration projects being equivalent to or better than estimated results in technical reports, assessment reports, and other geological reports or prior exploration results. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Lion One Metals Limited or its subsidiaries to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the early stage development of Lion One Metals Limited, general business, economic, competitive, political and social uncertainties; the actual results of current research and development or operational activities; competition; uncertainty as to patent applications and intellectual property rights; product liability and lack of insurance; delay or failure to receive board or regulatory approvals; changes in legislation, including environmental legislation, affecting mining, timing and availability of external financing on acceptable terms; not realizing on the potential benefits of technology; conclusions of economic evaluations; and lack of qualified, skilled labor or loss of key individuals. Although Lion One Metals Limited has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. Lion One Metals Limited does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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