Highlights
- Advance the Broken Hammer copper and platinum group elements "PGE" project to production by securing permits, a milling contract and mining contracts;
- Focus exploration on discovery of PGEs on joint venture partner-funded projects.
TORONTO, Jan. 18, 2013 /CNW/ - Wallbridge Mining Company Limited (TSX: WM, FWB: WC7) ("Wallbridge") today provided a business update highlighting its direction for 2013. Immediate plans include advancing the Broken Hammer copper-platinum group element ("PGE") project to production and focused exploration on joint venture partner-funded projects.
"Our strategy of generating high-potential projects and funding exploration through joint ventures, sale of royalties and founding of spin-outs has been successful and will continue. In 2013, exploration will focus on partner-funded projects in Sudbury and we will work to attract new partnerships while advancing our Broken Hammer project into production to generate revenue", stated Marz Kord, President and CEO of Wallbridge, "Longer term, we continue to actively review new opportunities to invest our assets for growth."
At the Broken Hammer copper and PGE project, Wallbridge announced positive results from a prefeasibility study in October, 2012 (see Wallbridge Press Release dated October 16, 2012). The project has a 12-month life with an Earnings Before Taxes, Depreciation, and Amortization ("EBITDA") of $8.4M generating an NPV of $6.0M. Wallbridge is currently working to secure permitting as well as processing and mining contracts for production in 2013.
In addition to the mining project, the mineralization remains open to depth and is interpreted to be part of a much larger mineralized system with exploration upside.
At the Parkin Offset Joint Venture (POJV) Wallbridge and Impala completed two deep drill holes and two wedge-cuts totalling 3,412 metres drilling with borehole geophysical surveys beneath the past producing Milnet Mine in 2012. This drilling expanded the Milnet 1500 Zone 100 metres to the north, over total minimum dimensions of 400 by 50-60 m and unknown thickness. Once the current review of the project is completed, additional drilling may be planned for mid-2013 to coincide with Impala's July through June fiscal year.
The POJV covers a 9.4 km strike length of the Parkin Offset Dyke which includes the past-producing Milnet mine, a small indicated resource, the recently discovered Milnet 1500 Zone and several very high grade surface showings.
Impala completed the $6.2 million expenditure required for it to earn a 50% interest in the property at the end of 2011. Impala may earn an additional 15% interest by funding a Feasibility Study and securing Wallbridge's portion of development funding to commercial production on a project loan basis.
The Sudbury Camp Joint Venture (SCJV) with Lonmin was formed in 2002 to explore for PGEs, nickel and copper on Wallbridge properties in Sudbury, Ontario. Currently, the SCJV includes 7 properties including Skynner Lake, Foy, Windy, Cascaden, Trill, Trill West and Creighton South.
The 2012 SCJV program, which ran from October, 2011, through September, 2012, included eight drill holes totaling 2,545 metres and 30 kms of ground geophysics. The 2013 SCJV program, which runs from October, 2012, through September, 2013, has an approved budget of US $1.0 million funded solely by Lonmin. The main focus of the 2013 program is drill testing of targets on the Skynner Lake project.
The new North Range Joint Venture (NRJV) with Lonmin was finalized in 2012 to explore for PGEs, nickel and copper on Wallbridge properties on the North Range of the Sudbury basin. Currently the NRJV includes 15 properties covering 417 square kms.
The 2013 NRJV program, which runs from October, 2012, through September, 2013, has an approved budget of US $1.1million funded solely by Lonmin. Work will include mapping, prospecting, ground and airborne geophysics as well as drilling to test conductive anomalies.
Prior to work by Wallbridge, the North Range Properties were largely unexplored. The properties include a strike length of over 56 kms of offset dykes, mostly discovered by Wallbridge since 2007. Disseminated nickel, copper and PGE sulfide mineralization exposed at surface within inclusion bearing phases of the quartz diorite offset dykes has been discovered in areas with little previous drilling.
While the focus of work in 2013 will be on the joint ventures with Lonmin Plc and Impala Platinum, Wallbridge also has interests in an additional 12 projects within the Sudbury area.
In 2012, Wallbridge identified new high-grade copper-PGE occurrences on its 78% owned Wisner joint venture (see Wallbridge press release dated October 30, 2012) adjacent to and along trend from Wallbridge's Broken Hammer project. The Wisner joint venture is part of Wallbridge's Wisner Area Properties which also include the 100% owned Wisner East and Bowell properties. The Wisner Area Properties cover 10 kilometers strike length of favourable geology with numerous copper and PGE mineral occurrences and geophysical targets.
The new mineralization discovered in 2012 extended the Southeast Zone Cu-PGE trend where previous preliminary drilling had intersected mineralization, including 1.9 meters containing 7.87% Cu and 2.23 g/t TPM (Total Precious Metals, platinum + palladium + gold). The new occurrences extend the mineralized trend over 80 meters along an IP geophysics anomaly which is untested by drilling for over 400 meters. The occurrences are part of a one-kilometer long trend of CU-PGE mineralization and anomalous geophysics which is along strike from Wallbridge's pre-feasibility stage Broken Hammer Cu-PGE development project.
Exploration work is planned for 2013 to follow up these results as well as advance targets on Wallbridge's East Range, Drury, and Worthington properties.
Wallbridge also holds significant equity interests in spin out companies Duluth Metals Limited (DM:TSX) and Miocene Metals Limited (MII:TSXV).
The Qualified Person responsible for the technical content of this press release is Marz Kord, P. Eng., M. SC., MBA, President & CEO For Wallbridge Mining Company Limited.
About Wallbridge Mining
Wallbridge Mining Company Limited (WM:TSX) is an established junior company, formed in 1996, whose mission is to explore and develop platinum group elements (PGE's) in mining friendly jurisdictions of North America.
Wallbridge is currently exploring and developing a large package of properties in Sudbury, Ontario: Canada's premier mining district. These include the permitting stage Broken Hammer mine development project and significant exploration joint ventures with partners Lonmin Plc, Impala Platinum Holdings Limited.
In 2005, Wallbridge created Duluth Metals Limited (TSX:DM) to explore and develop projects in Minnesota, USA. Duluth Metals has since defined the world's largest undeveloped sulfide PGEs, copper and nickel deposit which it is developing through Twin Metals Limited, a joint venture with copper producer Antofagasta Plc. Wallbridge currently retains 10.1 million shares of Duluth Metals (8.1%).
In 2011, Wallbridge created Miocene Metals Limited (TSXV:MII) to explore and develop porphyry copper-gold-molybdenum projects in British Columbia, Canada, within a previously under-recognized belt of Miocene-age intrusions. These projects are early stage with large mineralized structures and alteration zones that are ready for drilling with potential for large tonnage deposits. Wallbridge currently retains 28.4 million shares of Miocene Metals (42.5%).
Wallbridge has a record of successfully generating high potential mineral projects and structuring partnerships and new companies to create value for its shareholders and its partners.
This press release may contain forward-looking statements (including "forward-looking information" within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995) relating to, among other things, the operations of Wallbridge and the environment in which it operates. Generally, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Wallbridge has relied on a number of assumptions and estimates in making such forward-looking statements, including, without limitation, the costs associated with the development and operation of its properties. Such assumptions and estimates are made in light of the trends and conditions that are considered to be relevant and reasonable based on information available and the circumstances existing at this time. A number of risk factors may cause actual results, level of activity, performance or outcomes of such exploration and/or mine development to be materially different from those expressed or implied by such forward-looking statements including, without limitation, whether such discoveries will result in commercially viable quantities of such mineralized materials, the possibility of changes to project parameters as plans continue to be refined, the ability to execute planned exploration and future drilling programs, the need for additional funding to continue exploration and development efforts, changes in general economic, market and business conditions, and those other risks set forth in Wallbridge's most recent annual information form under the heading "Risk Factors" and in its other public filings. Forward-looking statements are not guarantees of future performance and such information is inherently subject to known and unknown risks, uncertainties and other factors that are difficult to predict and may be beyond the control of Wallbridge. Although Wallbridge has attempted to identify important risks and factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors and risks that cause actions, events or results not to be as anticipated, estimated or intended. Consequently, undue reliance should not be placed on such forward-looking statements. In addition, all forward-looking statements in this press release are given as of the date hereof.
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. The forward-looking statements contained herein are expressly qualified by this disclaimer.
SOURCE: Wallbridge Mining Company Limited