Highlights:
- The district-scale Whistler Project is a 170-sq-km land package
that hosts the Whistler and Island Mountain deposits and several
porphyry targets with excellent potential for resource expansion on
existing deposits as well as new discoveries;
- New resource estimate on the Island Mountain deposit provides
an indicated resource of 0.444 Moz gold equivalent (25.75 Mt
grading 0.53 g/t gold, 1.16 g/t silver, 0.06 % copper or 0.54 g/t
gold equivalent) and an inferred resource of 1.133 Moz gold
equivalent (69.23 Mt grading 0.51 g/t gold, 1.07 g/t silver,
0.06 % copper or 0.51 g/t gold equivalent), both at a 0.3 g/t gold
equivalent cut-off;
- The Island Mountain Resource estimate is in addition to the
previously reported resource estimate for the Whistler deposit. The
combined resource for the Whistler and Island Mountain deposits is
2.694 Moz gold equivalent (104.95 Mt grading 0.51 g/t
gold, 1.77 g/t silver, 0.14 % copper or 0.80 g/t gold equivalent)
in the indicated category and 4.483 Moz
gold equivalent (215.03 Mt grading 0.44 g/t gold, 1.53 g/t
silver, 0.12 % copper or 0.66 g/t gold equivalent) in the inferred
category, both at a 0.3 g/t gold equivalent cut-off;
- Approximately 70,000 metres of historic drilling has been
completed on the Whistler Project with 12,668 metres (34 holes)
completed at the Island Mountain deposit; and
- The deposits are open in several directions and future drill
programs will focus on delineating higher grade, near-surface zones
and adding additional resources to these existing estimates.
VANCOUVER, April 18, 2016 /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") mineral resource estimate for the Island Mountain
deposit, one of several porphyry centers identified on the Whistler
Project, Alaska. The 100%-owned
district-scale Whistler Project (170 sq km) is located 150
kilometres northwest of Anchorage,
Alaska.
Garnet Dawson, CEO, stated: "We
are pleased to report this maiden NI 43-101 resource estimate for
the Island Mountain deposit, which builds on the multi-million
ounce resource we announced on the Whistler deposit last year. In
addition to the Island Mountain and Whistler deposits, there are
several other porphyry centers (Raintree West, Raintree North,
Raintree South, Rainmaker and Cirque) with mineralized
intersections similar to these deposits. Future drill programs will
focus on delineating higher grade, near-surface zones at the
Whistler and Island Mountain deposits, expanding their existing
resource, and developing a better understanding of the size
potential of nearby targets. In conjunction with advancing our
existing project portfolio, the Company continues to evaluate
resource-stage projects in the Americas for potential
acquisition."
Island Mountain Resource Estimate
Brazil Resources engaged Giroux Consulting Ltd. to prepare an
independent NI 43-101 technical report for the Whistler Project,
including the first-time resource estimate on the Island Mountain
deposit. The resource estimates for the indicated and inferred
resource at various cut-off grades are shown in Tables 1 and 2,
respectively. The technical report documenting the procedures and
results of this estimate will be filed on SEDAR within 45 days of
this news release.
Table 1: Island Mountain NI 43-101 indicated resource estimate
at various cut-off grades.
Cut-off
|
Tonnes &
Grade
|
Contained
Metal
|
AuEq1
(g/t)
|
Tonnes
(Mt)
|
Au
(g/t)
|
Ag
(g/t)
|
Cu
(%)
|
Au
Eq.1
(g/t)
|
Au
(Moz)
|
Ag
(Moz)
|
Cu
(Mlb)
|
Au
Eq.
(Moz)
|
0.20
|
51,420,000
|
0.38
|
0.97
|
0.05
|
0.39
|
0.627
|
1.604
|
56.69
|
0.643
|
0.25
|
35,540,000
|
0.46
|
1.06
|
0.05
|
0.46
|
0.520
|
1.211
|
39.18
|
0.529
|
0.30
|
25,750,000
|
0.53
|
1.16
|
0.06
|
0.54
|
0.438
|
0.960
|
34.07
|
0.444
|
0.35
|
19,170,000
|
0.60
|
1.29
|
0.07
|
0.61
|
0.370
|
0.795
|
29.59
|
0.375
|
0.40
|
14,990,000
|
0.67
|
1.42
|
0.08
|
0.68
|
0.321
|
0.684
|
26.44
|
0.325
|
0.45
|
12,120,000
|
0.73
|
1.55
|
0.08
|
0.73
|
0.283
|
0.604
|
21.38
|
0.286
|
0.50
|
10,110,000
|
0.78
|
1.66
|
0.09
|
0.79
|
0.252
|
0.540
|
20.06
|
0.255
|
0.55
|
8,510,000
|
0.83
|
1.76
|
0.09
|
0.84
|
0.226
|
0.482
|
16.89
|
0.229
|
0.60
|
7,200,000
|
0.88
|
1.81
|
0.10
|
0.88
|
0.203
|
0.419
|
15.88
|
0.204
|
0.65
|
6,090,000
|
0.93
|
1.83
|
0.10
|
0.93
|
0.181
|
0.358
|
13.43
|
0.182
|
0.70
|
5,110,000
|
0.98
|
1.87
|
0.10
|
0.98
|
0.161
|
0.307
|
11.27
|
0.161
|
0.75
|
4,240,000
|
1.03
|
1.89
|
0.10
|
1.03
|
0.141
|
0.258
|
9.35
|
0.141
|
0.80
|
3,490,000
|
1.09
|
1.90
|
0.11
|
1.09
|
0.123
|
0.213
|
8.46
|
0.122
|
Table 2: Island Mountain NI 43-101 inferred resource estimate at
various cut-off grades.
Cut-off
|
Tonnes &
Grade
|
Contained
Metal
|
AuEq1
(g/t)
|
Tonnes
(Mt)
|
Au
(g/t)
|
Ag
(g/t)
|
Cu
(%)
|
Au
Eq.1
(g/t)
|
Au
(Moz)
|
Ag
(Moz)
|
Cu
(Mlb)
|
Au
Eq.
(Moz)
|
0.20
|
119,770,000
|
0.39
|
0.94
|
0.05
|
0.40
|
1.509
|
3.620
|
132.05
|
1.533
|
0.25
|
91,340,000
|
0.45
|
0.99
|
0.05
|
0.45
|
1.313
|
2.907
|
100.70
|
1.327
|
0.30
|
69,230,000
|
0.51
|
1.07
|
0.06
|
0.51
|
1.124
|
2.382
|
91.59
|
1.133
|
0.35
|
51,810,000
|
0.57
|
1.18
|
0.06
|
0.57
|
0.944
|
1.966
|
68.54
|
0.953
|
0.40
|
39,840,000
|
0.63
|
1.30
|
0.07
|
0.63
|
0.803
|
1.665
|
61.49
|
0.810
|
0.45
|
31,980,000
|
0.68
|
1.40
|
0.07
|
0.68
|
0.697
|
1.439
|
49.36
|
0.702
|
0.50
|
26,880,000
|
0.72
|
1.46
|
0.08
|
0.72
|
0.621
|
1.262
|
47.42
|
0.624
|
0.55
|
22,370,000
|
0.76
|
1.53
|
0.08
|
0.76
|
0.547
|
1.100
|
39.46
|
0.548
|
0.60
|
18,780,000
|
0.80
|
1.58
|
0.08
|
0.80
|
0.481
|
0.954
|
33.13
|
0.482
|
0.65
|
15,450,000
|
0.84
|
1.64
|
0.09
|
0.84
|
0.415
|
0.815
|
30.66
|
0.415
|
0.70
|
11,930,000
|
0.88
|
1.73
|
0.09
|
0.88
|
0.339
|
0.664
|
23.68
|
0.339
|
0.75
|
8,860,000
|
0.94
|
1.85
|
0.10
|
0.94
|
0.267
|
0.527
|
19.54
|
0.267
|
0.80
|
6,520,000
|
1.00
|
1.95
|
0.10
|
1.00
|
0.209
|
0.409
|
14.38
|
0.209
|
Table 1 and 2 Notes:
- 1Gold-equivalent grade assumes metal prices of
US$1,250/oz gold, US$16.50/oz silver and US$2.10/lb copper and recoveries of 90% for gold
(cyanide), 80% for copper (flotation) and 25% silver (recovery in
copper concentrate).
- A 0.30 g/t gold equivalent has been highlighted as a possible
open pit cut-off based on studies completed at the nearby Whistler
deposit.
- Totals may not represent the sum of the parts due to
rounding.
- The Mineral Resources have been prepared by Giroux Consulting
Ltd. in conformity with "CIM Definition Standards for Mineral
Resources and Mineral Reserves 2014".
Table 3: Whistler and Island Mountain NI 43-101 resource
estimate, Whistler Project.
Deposit
|
Classification
|
Cut-off
|
Tonnes &
Grade
|
Contained
Metal
|
|
|
|
|
Tonnes &
Grade
|
Contained
Metal
|
|
|
AuEq.1,2
(g/t)
|
Tonnes
(Mt)
|
Au
(g/t)
|
Ag
(g/t)
|
Cu
(%)
|
AuEq.1,2
(g/t)
|
Au
(Moz)
|
Ag
(Moz)
|
Cu
(Mlb)
|
Au
Eq.
(Moz)
|
Whistler4
|
Indicated
|
0.3
|
79.20
|
0.51
|
1.97
|
0.17
|
0.88
|
1.280
|
5.030
|
302.00
|
2.250
|
Island
Mtn.5
|
Indicated
|
0.3
|
25.75
|
0.53
|
1.16
|
0.06
|
0.54
|
0.438
|
0.960
|
34.07
|
0.444
|
|
|
|
104.95
|
0.51
|
1.77
|
0.14
|
0.80
|
1.718
|
5.990
|
336.07
|
2.694
|
|
|
|
|
|
|
|
|
|
|
|
|
Whistler4
|
Inferred
|
0.3
|
145.80
|
0.40
|
1.75
|
0.15
|
0.73
|
1.850
|
8.210
|
467.00
|
3.350
|
Island
Mtn.5
|
Inferred
|
0.3
|
69.23
|
0.51
|
1.07
|
0.06
|
0.51
|
1.124
|
2.382
|
91.59
|
1.133
|
|
|
|
215.03
|
0.44
|
1.53
|
0.12
|
0.66
|
2.974
|
10.592
|
558.59
|
4.483
|
Table 3 Notes:
- 1Gold-equivalent grade for the Whistler resource
assumes metal prices of US$990/oz
gold, US$15.40/oz silver and
US$2.91/lb copper.
- 2Gold-equivalent grade for the Island Mountain
resource assumes metal prices of US$1,250/oz gold, US$16.50/oz silver and US$2.10/lb copper and recoveries of 90% for gold
(cyanide), 80% for copper (flotation) and 25% silver (recovery in
copper concentrate).
- Totals may not represent the sum of the parts due to
rounding.
- The Mineral Resources for the Whistler deposit have been
prepared by Moose Mountain Technical Services in conformity with
"CIM Definition Standards for Mineral Resources and Mineral
Reserves 2014". The resource estimate is contained in the amended
and restated technical report titled "NI 43-101 Resource Estimate
for the Whistler Project" authored by Robert J. Morris, M.Sc., P.Geo., Susan C. Bird, P.Eng., and Alan Riles, B.Met, M.AIG, who are each qualified
persons within the meaning of NI 43-101 and independent of the
Company with an effective date of August 15,
2015 (amended and restated as of November 12, 2015).
- The Mineral Resources for the Island Mountain deposit have been
prepared by Giroux Consulting Ltd. in conformity with "CIM
Definition Standards for Mineral Resources and Mineral Reserves
2014".
The Island Mountain deposit is one of several porphyry centers
identified on the Whistler Project (Fig. 1). The deposit
outcrops on the southwest slope of Island Mountain and has been
drilled over a strike length of 300 metres and to a depth of 450
metres; the deposit is up to 400 metres in width. The deposit is
open to depth and to the north where surface mapping, geochemistry
and geophysics have identified coincident hydrothermal breccia,
multi-element geochemical and magnetic anomalies for an additional
400 metres to the north. Gold-copper mineralization is hosted by
intrusive and hydrothermal breccia associated with strong
sodic-calcic alteration, and gold-only mineralization is hosted by
diorite porphyry with vein and disseminated pyrrhotite.
The Island Mountain deposit was first modelled on a series of
cross-sections, followed by longitudinal sections and plans for
both lithology and alteration/mineralization and, from this, a
geologic solids model was produced to constrain the resource
estimate. A total of 8 mineralized geologic domains were modelled.
Thirty-four diamond drill holes totaling 12,668 metres were used to
define the model. Erratic high grade outliers for gold, silver and
copper were capped within each of the geologic domains. Composites
5 metres in length were formed within each of the domains that
honoured the domain boundaries. Variography was used to model the
grade continuity and to determine the search ellipse orientations
and dimensions for interpolation. Ordinary kriging was used to
estimate gold, silver and copper into blocks measuring 10 x 10 x 10
metres in dimension. A total of 218 samples had specific gravity
measurements, which were subdivided into domains to convert volumes
to tonnes. The blocks were classified as Indicated or Inferred
based on grade continuity as measured by semivariograms. A 0.30 g/t
gold equivalent cut-off grade was chosen as a possible open pit
cut-off based on studies completed at the nearby Whistler deposit.
Validation of the model was completed by comparison of the block
model and drill hole grades 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 Gary Giroux, MASc.,
P.Eng. of Giroux Consultants Ltd, who is a Qualified Persons as
defined in NI 43-101, is independent of the Company and has
reviewed and approved the disclosure regarding the Island Mountain
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 Project 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 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, its Whistler Gold-Copper Project
located in the state of Alaska,
United States of America, 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.