Vancouver, BC / TheNewswire / August 20, 2018 / Global Energy Metals Corporation TSXV:GEMC | OTCQB:GBLEF | FSE:5GE1 (“Global Energy Metals”, the “Company” and/or "GEMC") is pleased to announce that it has engaged ALS Metallurgy PTY Ltd. (“ALS”) of Balcatta, WA, Australia to perform mineralogical, comminution and metallurgical test work to evaluate the potential recovery of cobalt and copper derived from 1/4 portions of NQ mineralized drill core samples collected from recent drilling at the Millennium Cobalt project located in Mt. Isa, Queensland Australia.
Testing by ALS will be used to support and provide further detail on previously conducted preliminary hydrometallurgical studies that demonstrated the potential for the recovery of saleable cobalt and copper concentrates.
“Commencing the metallurgical program following the very successful first phase confirmation drill program gives us a solid head start on understanding of the deposit’s metallurgical properties and economic potential for a future feasibility study,” said Mitchell Smith, President and CEO of Global Energy Metals Corp. “We are excited to be partnering with an experienced and well-seasoned team of professionals, in ALS Metallurgy, who have a unique expertise in cobalt deposits."
The objectives and key deliverables of this test work on two 50kg composite samples derived from portions of mineralised sections from the recently drilled MIDD001 to MIDD010 holes will include the following:
- Head assay and mineralogy with key elements being cobalt and copper,
- Optical microscopy of the two feed samples including ICP analysis and head assay,
- Preliminary comminution parameters (Bond Rod, Ball and Abrasion work index), and
- Cobalt and copper rougher flotation grade and recovery.
This initial test work, which is anticipated to take between 6-10 weeks to complete, is expected to lead to additional work towards determining a potential final cobalt product at Millennium. This work is essential as the Company progresses it’s knowledge of the project for further technical studies.
The metallurgical work is part of a second phase work program at the Millennium Cobalt Project following the successful phase one program that consisted of 10-holes for 1,141 metres of drilling aimed to test the up-dip continuity at the Millennium North deposit and confirm historical estimates of cobalt mineralization reported in 2016 by partner Hammer Metals. Drilling results correlated well with the previous deeper drilling with the further delineation of wide zones of cobalt, copper and gold mineralisation nearer to surface. Analysis and reporting of the drill results can be found in news releases dated June 19, 2018, May 31, 2018, April 30, 2018 and January 17, 2018.
Rock chip sampling was also conducted to test for additional zones of cobalt and copper mineralisation along the Millennium trend and in particular the northern strike extension (“Northern Extension”) where similar host rock units and strong soil geochemical anomalies are located. This zone is located approximately 1 kilometre north of the current Millennium resource as defined. Results indicate high priority targets for further work to expand the known resource area.
The presence of anomalous cobalt and copper in rock chip samples and analogous geology between the Millennium resource area and the Northern Extension indicate that this area is a priority target for further investigation.
Following the exceptional phase one results, GEMC entered into a binding agreement announced June 26, 2018, and is acquiring from Hammer Metals the balance of the Millennium Property and the Mt. Isa Projects, and will now hold 100% of both the Millennium Property and the Mt. Isa Projects in exchange for common shares of GEMC as is equal to 19.9% of the issued share capital on the day prior to the date on which Exchange acceptance for such issuance is sought. This accelerated acquisition of cobalt rich assets positions GEMC as the region’s leading cobalt explorer/developer building a district-scale cobalt opportunity in Queensland Australia’s Mt. Isa prolific mining jurisdiction
The company expects to complete on the transaction in the coming weeks.
The Millennium Cobalt Project:
Millennium is a growth stage exploration cobalt project with a large defined zone of cobalt-copper mineralisation which remains open at depth and along strike. Hammer Metals completed a JORC (2012) Resource estimate in late 2016 and reported 3.1 million tonnes of Inferred Resources* grading 0.14% Co, 0.34% Cu and 0.12 g/t Au (using a CuEq cut-off of 1.0%). Under Canadian reporting standards this resource is considered a “historic estimate”. The 2016 JORC (2012) resource estimate completed by Hammer Metals Ltd. outlined a mineralised zone over a strike length of approximately 1.5 km.
Cobalt-copper mineralisation is associated with shear zones hosted within a sequence of volcanic and sedimentary units. Additional mapping, soil geochemistry and rock sampling has identified an additional 1.5 km of anomalous cobalt-copper mineralisation in geological analogues that occur along a potential strike extension in the northern half (“Northern Target”) of the tenement package. This area has not been tested with any drilling to date. The Northern Target provides excellent opportunity to increase the overall resource potential of the Millennium project.
Prior to GEMC’s involvement, the area had been tested by 63 drill holes (percussion, RC and diamond) for a total of 7,891 metres. Most holes have been drilled within 200 metres of surface, with few holes reaching to depths greater than 250 metres below surface. At present mineralisation remains open at depth along the strike extent of the JORC (2012) resource area.
*This work was based on a technical report by Haren Consulting Pty Ltd., issued November 29, 2016 conforming to JORC (2012) reporting standards for resources estimates. As Hammer uses JORC (2012) categories, it should be noted that the confidence in the estimate of JORC (2012) inferred mineral resources is usually not sufficient to allow the results of the application of technical and economic parameters to be used for detailed planning. For this reason, there is no direct link from an inferred resource to inferred resource as defined under NI 43-101. However, the Company deems this resource still relevant because economic parameters have not changed significantly since publication date and the Company has confidence in the estimate based on review of technical data. A qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves and the issuer is not treating the historical estimate as current mineral resources or reserves. CuEq% = Cu% +(Co%*5.9) +(Au ppm*0.9) +(Ag ppm*0.01). Price assumptions utilised by Hammer for the JORC (2102) resource estimate and drill hole intercepts are (in USD); Au - $1,300/oz, Ag - $20/oz, Co - $27,000/t and Cu - $4,600/t.
Qualified Person
Mr. Paul Sarjeant, P. Geo., the Company’s VP Projects and Director, is the qualified person for this release as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects and has reviewed and verified the technical information contained herein.
Global Energy Metals Corporation
(TSXV:GEMC | OTCQB:GBLEF | FSE:5GE1)
Global Energy Metals is focused on offering security of supply of cobalt, a critical material to the growing rechargeable battery market, by building a diversified global portfolio of cobalt assets including project stakes, projects and other supply sources. GEMC anticipates growing its business by acquiring project stakes in battery metals related projects with key strategic partners. Global Energy Metals currently owns and is advancing the Werner Lake Cobalt Mine in Ontario, Canada and has entered into an agreement to earn-in to the Millennium Cobalt Project in Mt. Isa, Australia.
For Further Information:
Global Energy Metals Corporation
#1501-128 West Pender Street
Vancouver, BC, V6B 1R8
Email: info@globalenergymetals.com
t. + 1 (604) 688-4219 extensions 236/237
Cautionary Statement on Forward-Looking Information:
Certain information in this release may constitute forward-looking statements under applicable securities laws and necessarily involve risks associated with regulatory approvals and timelines. Although Global Energy Metals believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management‘s beliefs, estimates or opinions, or other factors, should change. For more information on Global Energy and the risks and challenges of their businesses, investors should review the filings that are available at www.sedar.com.
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We seek safe harbour.