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Hard
Creek Nickel Corporation (TSX:HNC - News) announced today the Company is in receipt of a
Metallurgical Report, authored by Mr. Mike Ounpuu, which
confirms significantly improved flotation performance for the 100% owned Turnagain Project. "We are happy to report that the
new flotation regime, which uses standard reagents and off-the-shelf
equipment and technology, is capable of producing concentrates containing in
excess of 15% nickel while maintaining recoveries equal to or better than
previous results," said Mark Jarvis, President of Hard Creek Nickel
Corporation.
"Initial
variability testwork shows that the new
metallurgical regime is robust across different zones of the Turnagain deposit. The Preliminary Assessment (PA)
released in April, 2010, which modeled an on-site refinery to upgrade low
grade nickel concentrates may, subject to a more comprehensive program of
variability testwork, be amended to model the sale
of concentrate to smelters. Eliminating the on-site refinery would result in
significant capital cost savings and a reduction in the technical risk of the
project."
Following
a strategic review of the Turnagain Project by the
Board and senior management of the Company, a decision was made in the summer
of 2010 to focus our efforts on a Metallurgical Improvement Program (MIP). A
steering committee comprised of industry experts was established to guide and
review the MIP.
Initially
a series of ten batch flotation tests were conducted in late 2010 and early
2011 on a 162 metre continuous sample composite
collected from a horizontal drill hole (Hole 10-265) within the proposed
starter pit area in the Horsetrail Zone. Drill hole
10-265 was completed in September of 2010 and is a twin of an earlier drill
hole completed in 2008 (Hole 08-264).
The
initial flotation tests were followed up by two locked cycle tests. The
results reported in previous press releases (November 1, 2010 and January 5,
2011) represent an improvement in concentrate grade and quality, at similar
or better recoveries, compared to all previous metallurgical testwork. The locked cycle test results, including
previously unreported assays for platinum, palladium and cobalt, are reported
below:
Table 1: Locked Cycle Test Results for Sample 10-265
(SGS Canada in Vancouver, January 2011)
---------------------------------------------------------------------
Head Assay
Concentrate
------------------
----------------------------------------
Test
Ni % MgO % Ni % Ni % Recovery MgO
% Fe:MgO
---------------------------------------------------------------------
LCT-1
0.31
40.8
16.0 65.0 7.8 4.7
---------------------------------------------------------------------
LCT-2
0.33
37.6
21.3
62.1
7.0
4.6
---------------------------------------------------------------------
---------------------------------------------------------------------
Head Assay
Concentrate Assay
---------------------------
-------------------------------
Test
Pt (g/t) Pd (g/t)
Co % Pt
(g/t) Pd (g/t) Co %
---------------------------------------------------------------------
LCT-1
0.030
0.025
0.016
1.05
1.58
0.75
---------------------------------------------------------------------
LCT-2
0.030
0.025
0.016
1.09 1.86 1.10
---------------------------------------------------------------------
Since
the completion of the initial flotation tests, seven additional samples from
various locations within the Turnagain deposit were
selected to test the robustness of the most recent flotation test procedure.
The batch flotation test results shown in Figure 1 and listed in Table 2
suggest the new procedure will work reliably across the deposit in producing
a concentrate exceeding 15% nickel with recoveries estimated at or above 50%.
Importantly, MgO levels have been reduced to levels
acceptable to most nickel smelters.
To
view Figure 1 please click on the following link: http://media3.marketwire.com/docs/0209HNC.pdf
Table 2: Summary Results of Turnagain Batch
Flotation Tests
-------------------------------------------------------------------------
Head Assay
Concentrate
------------------------- ---------------------------------
Sample
Ni % S
% MgO
% Ni % Rec Ni % MgO
% Fe:MgO
-------------------------------------------------------------------------
V37
0.27
1.4
40.4
47.7 21.6 5.72 6.9
-------------------------------------------------------------------------
V125
0.30
0.6 40.4 37.9 19.2 10.2 3.2
-------------------------------------------------------------------------
V27
0.29
0.5
40.5
46.9 23.2 7.57 4.4
-------------------------------------------------------------------------
V121
0.34
0.5 37.6 43.8 21.0 7.78 4.3
-------------------------------------------------------------------------
V79
0.28
1.4
42.5
29.8 20.4 10.40 2.9
-------------------------------------------------------------------------
V38
0.27
1.5
38.4
58.8 24.9 5.57 6.3
-------------------------------------------------------------------------
V80
0.26
1.3
46.5
48.1 28.7 3.13 11.5
-------------------------------------------------------------------------
08-264 (F-11)
0.29
1.1
39.8
43.4 17.7 6.42 5.4
-------------------------------------------------------------------------
10-265 (F-5)
0.32
1.2 39.3 55.0 26.4 4.81 7.2
-------------------------------------------------------------------------
Flow
sheet optimization and variability testwork is
ongoing. The Company has received permits for the 2011 drill program to
collect fresh metallurgical samples. Results from the variability testing
will be fed into a geometallurgical block model
which will form the basis of a new mining plan.
"Although
we are still at an early stage in the variability testing, we have learned
enough about the metallurgical response of different zones in the deposit to
the new flotation regime to be confident a significant portion of the Turnagain deposit will be amenable to upgrading to a high
quality, smeltable concentrate at reasonable
recoveries," said Mr. Jarvis. "This breakthrough is anticipated to
enhance the overall project economics and reduce the technological risk
profile."
Preparation,
compositing and laboratory testing of the drill core samples summarized in
this press release were performed at SGS Canada in Vancouver, B.C. under the
supervision of Jake Lang, B.E.Sc. of SGS Canada and the direction of metallurgist Mike Ounpuu.
This
press release contains "forward looking statements". Such
forward-looking statements involve a number of known and unknown risks,
uncertainties and other factors which may cause the actual results, performance
or achievements of the company's plans to materially differ from any future
results, performance or achievements expressed or implied by such
forward-looking statements. Known risks include, but are not limited to,
financing risks, commodity price risks, scheduling risks and engineering
risks. Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date the statements
were made, and readers are advised to consider such forward-looking statements
in light of the risks set forth in the company's continuous disclosure
filings as found at www.sedar.com.
This
news release has been reviewed and approved by Neil Froc,
P. Eng, a Qualified Person consistent with NI
43-101.
MARK
JARVIS, President
HARD
CREEK NICKEL CORPORATION
The
Toronto Stock Exchange does not accept responsibility for the accuracy or
adequacy of this news release.
Contact:
Contacts:
Hard Creek Nickel Corporation
Mark Jarvis
President
604-681-2300
604-681-2310 (FAX)
info@hardcreek.com
www.hardcreeknickel.com
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