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Thursday, December 01, 2011
Moneta Reaches Critical Milestone on Golden Highway Project
- 1,071,000 OUNCES INDICATED (33.5 M TONNES @ 1.00 G/T)
- 2,069,600 OUNCES INFERRED (47.8 M TONNES @ 1.35 G/T)
December 1, 2011, Timmins, Ontario - Moneta Porcupine Mines Inc. (TSX: ME) (OTC: MPUCF) (XETRA: MOP) ("Moneta") has reached a critical milestone with the completion of its National Instrument ("NI") 43-101 resource estimate for the Windjammer South, Southwest Zone and 55 Zone, all located on its 100% owned Golden Highway Project located east of Timmins, Ontario (Canada).
Highlights include:
- The Mineral Resource Estimate (Table 1) is as follows:
- Indicated: 1,071,000 ounces (33.5 Mt at 1.00 g/t Au);
- Inferred: 2,069,600 ounces (47.8 Mt at 1.35 g/t Au);
- The In-Pit Mineral Resources (Table 1) are as follows (see Table 2 for sensitivity);
- Indicated: 1,001,600 ounces (32.9 Mt at 0.95 g/t Au);
- Inferred: 1,280,000 ounces (40.6 Mt at 0.98 g/t Au);
- Strong potential for both in pit and out of pit resource growth;
Ian C. Peres, President and CEO of Moneta commented, "Moneta has achieved a very significant milestone. Our 100 square kilometer Golden Highway project, including 12 kilometers of strike length along the prolific Destor Porcupine Fault, is now a major component of the Timmins gold camp. The 55 Zone, Southwest Zone and Windjammer Zones remain open and appear to have a similar genesis and the recent NI 43-101 efforts reflect strong predictability of grade continuity and distribution and demonstrate excellent potential for further resource expansion along the large 12km sedimentary belt, the bulk of which remains to be explored. Moneta is well-funded to continue aggressive exploration in 2012."
The Golden Highway Project update includes initial NI 43-101 resource estimates on the 55 Zone and Southwest Zone, in addition to an updated NI 43-101 resource on the Windjammer South zone. An additional seven gold zones, including the newly-discovered Gap Zone, are not currently included in this NI 43-101 resource estimate.
The following tables summarize the NI 43-101 Mineral Resource Estimate in the Indicated and Inferred resource categories at various cut-off grades. For the purpose of this press release, Moneta is reporting the figures at the 0.35 g/t cut-off grade for in-pit resources and 2.00 cut-off grade for out of pit resources, as follows:
|
TABLE 1: MINERAL RESOURCE ESTIMATE |
(1), (2), (3), (4), (5), (6), (7), (8), (9), (10) |
|
|
Category |
Location |
Cutoff Grade (g/t) |
Tonnes |
Au (g/t) |
Au (oz) |
|
|
|
|
|
|
|
|
Indicated |
| Windjammer South |
In Pit |
0.35 |
16,177,400 |
0.86 |
445,800 |
| Southwest Zone |
In Pit |
0.35 |
10,708,300 |
0.97 |
333,300 |
| 55 Zone |
In Pit |
0.35 |
5,997,800 |
1.15 |
222,600 |
| |
|
|
32,883,500 |
0.95 |
1,001,600 |
| Windjammer South |
Out of Pit |
2.0 |
36,200 |
3.06 |
3,600 |
| Southwest Zone |
Out of Pit |
2.0 |
556,200 |
3.41 |
61,100 |
| 55 Zone |
Out of Pit |
2.0 |
56,300 |
2.65 |
4,800 |
| |
|
|
648,600 |
3.33 |
69,400 |
| |
|
TOTAL INDICATED |
33,532,100 |
1.00 |
1,071,100 |
| |
|
|
|
|
|
|
Inferred |
| Windjammer South |
In Pit |
0.35 |
16,766,400 |
0.79 |
427,500 |
| Southwest Zone |
In Pit |
0.35 |
20,455,300 |
1.17 |
766,300 |
| 55 Zone |
In Pit |
0.35 |
3,417,900 |
0.78 |
86,200 |
| |
|
|
40,639,600 |
0.98 |
1,280,000 |
| Windjammer South |
Out of Pit |
2.0 |
76,900 |
2.72 |
6,700 |
| Southwest Zone |
Out of Pit |
2.0 |
6,980,800 |
3.43 |
770,400 |
| 55 Zone |
Out of Pit |
2.0 |
139,100 |
2.83 |
12,700 |
| |
|
|
7,196,800 |
3.41 |
789,700 |
| |
|
TOTAL INFERRED |
47,836,400 |
1.35 |
2,069,700 |
- The mineral resources in this press release were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council.
- Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the estimated Mineral Resources will be converted into Mineral Reserves.
- The Mineral Resources are based on 313 diamond drill holes over a 2km strike of the Golden Highway Project's 55 Zone, Southwest Zone and Windjammer South gold zones and includes drilling from historical operators Lac Minerals (a subsidiary of Barrick Gold) during the period 1994 - 1997, and Noranda Exploration during the period 1983 - 1989.
- Assay composites were capped up to 35 g/t based on geo-statistical support for each zone.
- A modeling cut-off grade of 0.25 g/t Au was only used to create a three-dimensional wireframe for subsequent interpolation.
- A block model was created with 10x10x10 metre blocks using inverse distance cubed grade interpolation. Indicated Mineral resources were classified with a 35 metre search radius.
- A bulk density of 2.80 t/m� was used for all tonnage calculations.
- A gold price of US$1,200/oz and an exchange rate of US$1.00 = C$1.00 was utilized in the Au cut-off grade calculations of 0.35 g/t for open pit and 2.0 g/t for out of pit.
- Open pit mining costs were assumed at C$1.50/t for mineralized material, C$1.50/t for waste rock and C$1.00/t for overburden, while out of pit mining costs were assumed at C$62/t, with process costs of C$11/t, G&A of C$2.00/t, and a 95% metallurgical recovery.
- Totals in the table may not sum due to rounding.
Moneta is reporting the figures at a 0.35 g/t cut-off grade for in pit resources, as follows:
| TABLE 2: IN-PIT RESOURCE AT 0.35 G/T CUTOFF AND SENSITIVITY |
| |
INDICATED |
INFERRED |
| Cutoff Grade (g/t) |
Tonnes |
Au (g/t) |
Au (oz) |
Tonnes |
Au (g/t) |
Au (oz) |
|
0.50 |
23,116,500 |
1.17 |
869,500 |
28,312,500 |
1.22 |
1,114,900 |
|
0.45 |
26,078,200 |
1.09 |
914,800 |
31,579,500 |
1.15 |
1,164,600 |
|
0.40 |
29,157,800 |
1.02 |
956,800 |
35,809,000 |
1.06 |
1,222,300 |
|
0.35 |
32,883,500 |
0.95 |
1,001,600 |
40,639,600 |
0.98 |
1,279,900 |
|
0.30 |
37,359,800 |
0.87 |
1,048,200 |
46,487,600 |
0.90 |
1,341,600 |
|
0.25 |
43,209,500 |
0.79 |
1,099,900 |
53,850,000 |
0.81 |
1,406,400 |
Moneta is reporting the figures at a 2.00 cut-off grade for out of pit resources, as follows:
| TABLE 3: OUT OF PIT RESOURCE AT 2.0 G/T CUTOFF AND SENSITIVITY |
| |
INDICATED |
INFERRED |
| Cutoff Grade (g/t) |
Tonnes |
Au (g/t) |
Au (oz) |
Tonnes |
Au (g/t) |
Au (oz) |
|
2.20 |
554,800 |
3.54 |
63,100 |
6,089,400 |
3.65 |
715,000 |
|
2.00 |
648,600 |
3.33 |
69,400 |
7,196,800 |
3.41 |
789,700 |
|
1.50 |
1,043,600 |
2.72 |
91,300 |
13,103,100 |
2.65 |
1,117,000 |
|
1.00 |
1,825,800 |
2.08 |
121,800 |
22,576,000 |
2.05 |
1,487,000 |
The Golden Highway Project includes Timiskaming sediments along banded iron formation with associated mafic to ultramafic volcanics that define 12 km of the Destor Porcupine Fault Zone in Michaud Township near Timmins, Ontario. Gold mineralization occurs in quartz and quartz-carbonate stockworks and discrete vein zones, all with variable ankerite, hematite and sericite alteration.
The mineral resource estimates were prepared by Eugene Puritch, P.Eng. and Antoine Yassa, P.Geo., of P&E Mining Consultants Inc. ("P&E") of Brampton, Ontario, Independent Qualified Persons ("QP"), as defined by National Instrument 43-101.
A NI 43-101 compliant technical report supporting this mineral resource estimate will be completed by P&E Mining Consultants and filed on SEDAR within 45 days of the date of this press release. Mr. Puritch and Mr. Yassa have reviewed and approved the contents of this news release.
About Moneta
Moneta holds a 100% interest in 5 core projects strategically located along the Destor Porcupine Fault Zone in the world class Timmins Camp with excellent infrastructure including access roads, water, electricity, and mills. The land position is one of the largest - after three gold producers - including the highly prospective Golden Highway Project which covers 12 kilometers of a volcanic/sedimentary belt similar to that which has hosted the bulk of the 85 million ounces mined to date in the Timmins Camp.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Ian C. Peres, President & CEO
416-579-3040 (Toronto)
705-264-2296 (Timmins)
iperes@monetaporcupine.com
This news release includes certain forward-looking statements concerning the future performance of our business, its operations and its financial performance and condition, as well as management's objectives, strategies, beliefs and intentions. Forward-looking statements are frequently identified by such words as "may", "will", "plan", "expect", "anticipate", "estimate", "intend" and similar words referring to future events and results. Forward-looking statements are based on the current opinions and expectations of management. All forward-looking information is inherently uncertain and subject to a variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration and development, fluctuating commodity prices, competitive risks and the availability of financing, as described in more detail in our recent securities filings available at www.sedar.com. Actual events or results may differ materially from those projected in the forward looking-statements and we caution against placing undue reliance thereon. We assume no obligation to revise or update these forward-looking statements. |