TORONTO, April 5, 2012 /CNW/ - Wallbridge Mining Company Limited (TSX: WM, FWB: WC7) ("Wallbridge") today announced that South African platinum producer Impala Platinum Holdings Limited (Impala) has advised Wallbridge that, having completed the $6.2 million in required expenditures, it intends to vest its 50% interest in Wallbridge's Parkin Offset Property in Sudbury.
"Impala has been a strong partner and we look forward to continuing exploration of the Parkin project with them in the coming years," stated Marz Kord, President of Wallbridge, "Impala's continued participation and their vesting decision will allow Wallbridge to advance the Parkin project while minimizing dilution to our current shareholders."
Under the terms of the Option and Joint Venture Agreement dated August 19, 2008, and subsequent amendments (the "Agreement"), Impala has earned a 50% undivided interest in the Parkin Offset Property by having completed the funding of C$6.2 million in exploration expenditures during the Option Phase of the Agreement. Impala has provided formal notice of its intention to proceed with the joint venture phase of the Agreement subject to South African Reserve Bank approval.
Under terms of the Agreement, a 50/50 Joint Venture will now be formed between Wallbridge and Impala, with each partner funding its proportionate share. Wallbridge will be the initial Operator. Operation of the Joint Venture will be governed by a management committee with each partner having votes in proportion to its ownership interest.
Impala has the option to acquire an additional 15% undivided interest in the Property, exercisable by completing at its sole cost a Definitive Feasibility Study on a deposit which is in whole or in part on the Property and providing an undertaking to arrange the financing contemplated by the Definitive Feasibility Study.
The Parkin Offset Joint Venture is exploring for platinum group metals, nickel, copper and gold within the 9.4 kilometre Parkin Offset dyke on the northeast margin of the Sudbury basin. The next phase of exploration is expected to start this quarter and will include greater than 5000 metres of drilling focused on the Milnet Mine area and the recently discovered Milnet 1500 Zone.
The Property includes the Milnet Mine property, a southern block of claims which are held 1.5% by Xstrata Nickel, and two blocks of claims on either side of the Milnet Mine property which are subject to an option and joint venture agreement between Wallbridge and Champion Bear Resources.
The Milnet Mine reported past production of 157,130 tons averaging 2.25 g/t Pt, 2.98 g/t Pd, 0.33 g/t Au, 1.49 % Ni and 1.54 % Cu. Drilling beneath the Milnet Mine in 2009, Wallbridge discovered the Milnet 1500 zone intersecting 14.24 metres containing 1.50 g/t Pt, 2.52 g/t Pd, 3.99 g/t Au, 0.78 % Ni and 2.57 % Cu from 1499.66 to 1513.90 metres down hole (see Wallbridge Press Release dated November 13, 2009). More recent drilling intersected 8.0 metres containing 1.40 g/t Pt, 2.68 g/t Pd, 0.23 g/t Au, 4.11 % Ni and 0.60 % Cu from 1473.00 to 1481.00 metres down hole (see Wallbridge Press Release dated October 14, 2011).
The Parkin Offset dyke hosts Ni-Cu-PGE mineralization typical of other offset dykes in Sudbury, such as at Vale's Copper Cliff North and South mines and the Totten mine development. Exploration is at an early stage and the property has very significant discovery potential.
Samples were prepared at ALS Chemex Ltd. laboratories in Sudbury and then shipped to their analytical facilities in Vancouver. Samples were analyzed for Au, Pt, and Pd by standard lead collection, fire assay fusion with an atomic emission spectrometry (ICP-AES) finish. Samples were analyzed for base metals, silver and trace elements using a four acid (HNO3-HCIO4-HF and HCI) near total digestion and a combination of ICP-MS and ICP-AES finish.
The Qualified Person responsible for the technical content of this press release is Joshua Bailey P.Geo., Vice President Corporate Development For Wallbridge Mining Company Limited.
About Wallbridge Mining
Wallbridge Mining Company Limited (WM:TSX) is an established metals company working to build sustainable growth for investors through discovery and development of mineral resources.
Wallbridge specializes in nickel, copper, platinum, palladium and gold projects in mining friendly jurisdictions of North America, with a particular focus on Sudbury, Ontario. Wallbridge's position in Sudbury offers unique large-scale discovery upside in Canada's premier mining district.
Wallbridge has a record of generating high potential projects and financing exploration through joint ventures or spin-out companies. Wallbridge has 48 exploration to pre-feasibility stage mineral projects. These include 12 joint ventures with partners Impala Platinum Holdings Limited, Lonmin Plc, Xstrata Nickel and a number of junior mining companies.
Wallbridge also holds significant equity interests in spin-out companies Duluth Metals Limited (DM:TSX) and Miocene Metals Limited (MII:TSV).
This document may contain forward-looking statements relating to operations of Wallbridge or its subsidiaries or to the environment in which they operate. Such statements are based on operations, estimates, forecasts and projections. They are not guarantees of future performance and involve risks and uncertainties that are difficult to predict and may be beyond Wallbridge's control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in forward-looking statements, including those set forth in other public filings. In addition, such statements relate to the date on which they are made. Consequently, undue reliance should not be placed on such forward-looking statements. Wallbridge disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws.