TORONTO, ONTARIO--(Marketwire - March 31, 2011) - Continental Precious Minerals Inc. (News - Market indicators) (the "Company" or "Continental") announced today that it has filed an NI 43-101 compliant technical report on its 100% owned Lill-Juthatten Licence, located in northern Sweden.
Highlights:
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Indicated Resource of 855,000 tonnes, grading at 4.74 pounds per ton of uranium oxide
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93% of the resources is classified as indicated
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Advanced stage exploration prospect with gridded, resource definition drilling
The Lill-Juthatten uranium deposit is located approximately 600 kilometres northwest of Stockholm at an elevation of about 700 metres above sea level, in an area close to the Norwegian border. The property was drilled extensively in the late 1970s and early 1980s by the Sveriges Geologiska Undersökning or the Geological Survey of Sweden (the "SGU") and associated state companies. Uranium mineralization occurs in the form of pitchblende disseminated in granite.
| The updated resource estimate is summarized in the table below: |
| Lill-Juthatten Resources at a 0.035% U Cut-Off Grade |
| Lill-Juthatten Resources |
| |
Indicated |
Inferred |
| tonnes |
855,000 |
67,000 |
| U3O8(%) |
0.237 |
0.204 |
| U3O8(lbs/ton) |
4.74 |
4.08 |
| Lbs U3O8 |
4,470,000 |
300,000 |
| |
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| |
|
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| (1) |
|
Mineral resources, which are not mineral reserves, do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues. |
| (2) |
|
The quantity and grade of reported Inferred resources in this estimation are uncertain in nature and there has been insufficient exploration to define these Inferred resources as an Indicated or Measured mineral resource and it is uncertain if further exploration will result in upgrading them to an Indicated or Measured mineral resource category. |
| (3) |
|
The mineral resources in this news release were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council. |
"With an indicated resource of almost 4.5 million pounds of uranium oxide, Lill-Juthatten demonstrates the potential of our Swedish exploration licences beyond that of our flagship property, MMS Viken," said Ed Godin, President and CEO.
The Lill-Juthatten licence was initially granted on March 3, 2005 and was renewed on March 3, 2008 for an additional three-year term, which ended on March 3, 2011. Continental filed a renewal application in February 2011. Given the large backlog of applications being handled by the Swedish Inspectorate of Mines, Continental believes that the renewal will not be received by Continental for at least four months. Continental has no reason to believe that the renewal will not be granted.
Gerald A. Harron, P.Eng. of G.A. Harron & Associates Inc., together with Eugene Puritch, P.Eng. of P&E Mining Consultants Inc. and Michele Cote of MPH Consulting Limited, each an independent qualified person under National Instrument 43-101, are responsible for the technical disclosure contained in this news release. Mr. Harron has also verified the data disclosed in this news release.
About Continental Precious Minerals Inc.
Continental Precious Minerals Inc. is a multi-mineral exploration company with multiple interests and exploration licences in Sweden. Since March 2005, Continental's primary goal has been to advance its Swedish assets. The Company is also evaluating other opportunities as they emerge in current market conditions.
Cautionary Statement Regarding Forward-Looking Statements
The indicated and inferred resource estimates contained in this news release are estimates only and are not equivalent to reserves and do not mean that the mineral resource can be economically mined. This news release also contains forward-looking statements regarding the Company's expectation that the Lill-Juthatten licence will be renewed. Actual developments may differ materially from those contemplated by these statements because the Company must rely on the Swedish Inspectorate of Mines to grant the renewal. Reference is also made to those factors discussed in the Company's disclosure documents filed on SEDAR (www.sedar.com). The forward-looking statements contained in this news release represent the Company's views and expectations as of the date of this release and should not be relied upon as representing its views and expectations at any subsequent date.
