Rare Element Reports Additional REE Assays From Bull Hill SW and Initial
REE Assays from Whitetail Ridge
Vancouver B.C. - Rare Element
Resources Ltd. (TSX-V: RES and AMEX: REE) is pleased to announce rare earth
element (REE) assay results from an additional eleven drill holes completed
during the ongoing 2010 core drilling program at the Company's 100% owned Bear
Lodge property, located in northeastern Wyoming, USA (Figure 1). The results
include those for nine drill holes in the Bull Hill Southwest resource area,
where an updated NI 43-101-compliant resource was estimated earlier this year.
Drilling results are also reported from the first two holes drilled by the
Company at the Whitetail Ridge target area. The Whitetail Ridge results are
marked by potentially significant gold mineralization in addition to the
targeted REE mineralization. The objectives of the current drilling program are
to expand the Bull Hill SW oxide resource and upgrade the resource category,
and to explore for additional REE resources at the Bull Hill NW, Whitetail
Ridge, and other target areas.
Highlights of the drill program include the following intercepts:
Bull Hill SW Resource Area
RES10-13 - 8.5' @ 21.66% TREO (total rare earth oxide)
10' @ 5.42%% TREO
RES10-15 - 13' @ 5.20% TREO
RES10-16 -- 45' @ 5.12% TREO
26' @ 4.66% TREO
6.5' @ 6.69% TREO
RES10-17 - 11.5' @ 5.72% TREO
10.5' @ 10.05% TREO
10.5' @ 10.89% TREO
40.5' @ 10.81% TREO
RES10-18 - 46' @ 7.47% TREO
RES10-19 - 58.5' @ 10.55% TREO
Whitetail Ridge Target Area
RES10-20 -- 30' @ 4.72% TREO
25' @ 4.54% TREO
71.5' @ 4.05% TREO
4' @ 9.20% TREO
RES10-21 - 40' @ 3.44% TREO
6.5'' @ 7.10% TREO
80' @ 959ppb Au
Drilling Results
The host for all rare earth mineralization in the Bear Lodge Mountains is a
large alkaline igneous complex that forms the core of the mountain range. Rare
earth mineralization is contained within carbonatite and their near-surface
oxidized equivalents (FMR). FMR refers to the major constituents of the highly
oxidized and leached, former carbonatite dikes that occur in the depth range
from the surface to 300-500 beneath the surface-F (FeOx)-M
(MnOx)-R (REE minerals). A zone of partly oxidized carbonatite, termed
transitional carbonatite has variable thickness and occurs beneath the FMR zone
and above the deeper zone of unoxidized carbonatite.
REE assay values are reported by convention as the combined oxide equivalents
(REO) of the fifteen elements in the lanthanide series + yttrium. The oxide
equivalents are approximately 15.6% higher than the combined metal assay
values. The Bear Lodge project contains predominantly the "light" REE
(lanthanum, cerium, praseodymium, and neodymium), and economically important
quantities of several of the "heavy" REE (europium, dysprosium, and
terbium). TREO refers to the Total of the REO in a drill intercept.
Bull Hill SW Resource Area
REE mineralization in the Bull Hill SW resource area is contained within dikes
and stockwork of FMR, transitional carbonatite, and carbonatite that invade
heterolithic intrusive breccia of the Bull Hill diatreme. Most of the REE
mineralization in the current set of holes occurs within FMR dikes and veins.
Six of the holes reported here were drilled along a bearing of N45�E, two of
the holes were drilled on a bearing of S45�W, and one hole was drilled on a
bearing of N90�W from a series of sites on a resource evaluation grid
established for the Bull Hill SW deposit in conjunction with Ore Reserves
Engineering, the Company's resource estimation consultant (Figure 1). The
bearing, inclination, and significant assay intercepts from the REE-mineralized
sections for each of the drill holes are summarized in Table 1 below.
Table 1. Summary of new REE-mineralized drill intercepts at the Bull Hill SW
Resource Area:
Drill hole RES10-11 (N45E, -45�; t.d. 550 feet)
Interval (feet)
|
Intercept (feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
131-171
|
40
|
25
|
FMR stockwork
|
2.11
|
271-331
|
60
|
45
|
FMR dikes and stockwork
|
2.91
|
Drill Hole RES10-13 (S45W, -45�; t.d. 807 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
79.5-88
|
8.5
|
7
|
FMR dike
|
21.66
|
377-429
|
52
|
30
|
Transitional carbonatite dikes
|
2.68
|
471-491
|
20
|
13
|
FMR and transitional
carbonatite dikes
|
2.19
|
629-639
|
10
|
8
|
Transitional carbonatite dike
|
5.42
|
704-721
|
17
|
15
|
Carbonatite dikes
|
2.81
|
756-790.5
|
34.5
|
25
|
Carbonatite dikes
|
3.16
|
Drill Hole RES10-14 (N45E, -45�; t.d. 522 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
318-391
|
73
|
49
|
FMR dikes and stockwork
|
2.00
|
Drill Hole RES10-15 (N45E, -70�; t.d. 773 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
507-526.5
|
19.5
|
5
|
Transitional carbonatite stockwork
|
2.57
|
566.75-619.5
|
52.75
|
30
|
Carbonatite dikes
|
2.79
|
Drill Hole RES10-16 (S45W, -45�; t.d. 603 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
167-212
|
45
|
32
|
FMR dikes and stockwork
|
5.12
|
245.5-279.5
|
34
|
30
|
FMR dikes
|
3.62
|
354.5-380.5
|
26
|
17
|
Transitional carbonatite dikes
|
4.66
|
426-432.5
|
6.5
|
3
|
FMR dike
|
6.69
|
460-484
|
24
|
16
|
Transitional carbonatite dikes
|
2.39
|
541-544.5
|
3.5
|
2.5
|
Transitional carbonatite dikes
|
7.36
|
Drill Hole RES10-17 (N45E, -60�; t.d. 731 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
36-55.5
|
19.5
|
10
|
FMR dikes
|
2.76
|
155-166.5
|
11.5
|
5
|
FMR dike
|
5.72
|
200.5-211
|
10.5
|
7.5
|
FMR dike
|
10.05
|
243.75-254
|
10.25
|
10
|
FMR dike
|
2.08
|
309-319.5
|
10.5
|
6
|
FMR dike
|
10.89
|
480-520.5
|
40.5
|
30
|
FMR and transitional
carbonatite dike
|
10.81
|
571-581
|
10
|
7.5
|
Carbonatite dikes
|
2.07
|
Drill Hole RES10-18 (N45E, -45�; t.d. 457 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
82-128
|
46
|
30
|
FMR dikes
|
7.47
|
339-347
|
8
|
6
|
FMR stockwork
|
2.48
|
Drill Hole RES10-19 (N45E, -70�; t.d. 647 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
27-32.5
|
5.5
|
2.5
|
FMR dike
|
2.43
|
331-389.5
|
58.5
|
29
|
FMR and transitional
carbonatite dike
|
10.55
|
Drill Hole RES10-22 (N90W, -45�; t.d. 399 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
108-133
|
25
|
18
|
FMR stockwork
|
2.02
|
The drilling results show that the target FMR and carbonatite bodies exhibit
strong REE mineralization over a strike length of more than 1,400 feet (426m).
Detailed correlations of drill intercepts suggest a structural bias toward
vertical or near vertical dips and a transitional change in strike from
northwesterly to almost due north in the northern part of the resource area. Of
the nine holes drilled on the Bull Hill SW deposit, six are in-fill holes and
three are step-off holes that may contribute to additional resources.
Whitetail Ridge target
The Whitetail Ridge REE target area is located approximately 1,500 feet
northwest of the Bull Hill Southwest deposit, adjacent to and west of the Bull
Hill Northwest target. It is marked by a zone of FMR stockwork and a coincident
geophysical anomaly. The size of the geophysical anomaly (approximately 1,400
by 2,000 feet elongate northeasterly) provides an indication that the REE
target may be larger than others in the district. Historic hole WP-1, drilled
within the Whitetail Ridge target area by Hecla Mining Company in 1987,
intersected 430 feet that averaged 2.44% REO in a near- surface intercept from
0 to 430 feet. Within the larger intercept were several 10-foot intercepts with
grades ranging from 5.5 to 13.7% REO. The holes drilled during the 2010 program
were sited based on detailed geological mapping and a ground geophysical survey
(Figure 1). This is the same area previously drilled with a number of holes by
the U.S. Bureau of Mines, which reported a potential large low-grade historic
resource. Initial drilling results are given in Table 2.
Table 2. Summary of initial REE-mineralized drill intercepts at the
Whitetail Ridge target area:
Drill Hole RES10-20 (S25W, -45�; t.d. 838 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
10-40
|
30
|
18
|
FMR stockwork
|
4.72
|
150-175
|
25
|
10
|
FMR dikes and stockwork
|
4.54
|
200-271.5
|
71.5
|
36
|
FMR dikes and stockwork
|
4.05
|
298-302
|
4
|
2.5
|
FMR dike
|
9.20
|
340-389
|
49
|
25
|
FMR dikes
|
2.98
|
770-780
|
10
|
10
|
FMR stockwork
|
2.28
|
Drill Hole RES10-21 (N45E, -45�; t.d. 793 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
TREO (%)
|
110-150
|
40
|
25
|
FMR dikes and stockwork
|
3.44
|
176.5-183
|
6.5
|
6
|
FMR dike
|
7.10
|
220-230
|
10
|
5
|
FMR dikes and stockwork
|
4.20
|
250-260.5
|
10.5
|
8.5
|
FMR stockwork
|
2.90
|
Drill hole RES10-21 also contains a zone of anomalous gold that is partly
coincident with the FMR-hosted REE mineralization (Table 3). The Company is
evaluating this new target signature. The partial coincidence between REE and
gold mineralization was first identified by Newmont's trench sampling in the
Whitetail Ridge area in 2009. Initial drilling at the Whitetail Ridge target
confirms its potential for economic REE mineralization. The geological mapping
and subsequent drilling suggest that the mineralized bodies have both
northwesterly and east-northeasterly structural components. More drilling is
warranted to test the prospect and determine the orientation and extent of the
high-grade mineralization.
Table 3. Summary of gold-mineralized drill intercepts at the Whitetail Ridge
target area:
Drill Hole RES10-21 (N45E, -45�; t.d. 793 feet)
Interval
(feet)
|
Intercept
(feet)
|
Est. true thickness (feet)
|
Mineralized lithology
|
Gold (ppb
|
110-190
|
80
|
55
|
FMR, trachyte/phonolite,
and intrusive breccia
|
959
|
Assaying and Quality Control
ALS Chemex conducted the assaying for the rare earth elements in their
Vancouver, British Columbia assay facility. ALS Chemex Vancouver is accredited
to ISO 9001 and operates according to ALS Group standards consistent with ISO
17025 methods at other laboratories. The samples were prepared and digested
with a lithium metaborate fusion, followed by ICP analysis and a mass
spectroscopy finish for the rare earth element suite (ALS Method Me-81h). The
samples were analyzed for gold using a 30 gram fire assay digestion followed by
an ICP-AES finish (ALS Method Au-ICP21).
Analytical quality is monitored through the use of randomly inserted quality
control samples, including several different standards with varying
concentrations of rare earth elements and gold, blanks, and duplicates, which
are blinded to the analytical laboratory. Results of the analyses at ALS Chemex
are evaluated continuously, and the results indicate acceptable accuracy and
precision. Blank analyses also indicated no issues with carry-over
contamination.
The Company's Vice President Jim Clark states: "We continue to receive
encouraging results from the Bull Hill SW resource area, and we have confirmed
the potential at our Whitetail Ridge target area. The indications of strong
gold mineralization at the Whitetail Ridge prospect are particularly exciting,
and we will be evaluating that aspect of the project in more detail."
Rare Element Resources Ltd (TSX-V: RES: AMEX: REE) is a publicly traded
mineral resource company focused on exploration and development of rare-earth
elements and gold on the Bear Lodge property.
Rare-earth elements are key components of the green energy technologies and
other high-technology applications. Some of the major applications include
hybrid automobiles, plug-in electric automobiles, advanced wind turbines,
computer hard drives, compact fluorescent light bulbs, metal alloys, additives
in ceramics and glass, petroleum cracking catalysts, and a number of critical
military applications. China currently produces more than 95% of the 130,000
metric tonnes of rare-earths consumed annually worldwide, and China has been
reducing its exports of rare earths each year. The rare-earth market is growing
rapidly, and is projected to accelerate if the green technologies are
implemented on a broad scale.
ON BEHALF OF THE BOARD
Donald E. Ranta, PhD, PGeo,
President & CEO
For information, refer to the Company's website at www.rareelementresources.com or contact:
Mark T Brown, CFO, (604) 687-3520 ext 242 mtbrown@pacificopportunity..com .
Donald E Ranta, (604) 687-3520 don@rareelementresources.com
Donald E.
Ranta, PhD, PGeo, serves the Board of Directors of the Company as an internal,
technically Qualified Person. Technical information in this news release has
been reviewed by Dr. Ranta and has been prepared in accordance with Canadian
regulatory requirements that are set out in National Instrument 43-101. This
news release was prepared by Company management, who take full responsibility
for content. Neither 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 release.
Figure 1. Bull Hill area targets and
drill hole locations.