Toronto, Ontario -- October 20, 2015 - Wallbridge Mining Company Limited (TSX: WM, FWB: WC7) ("Wallbridge") today announced that the first phase of drilling has started on its Parkin Properties ("Parkin") in Sudbury, Ontario, as part of the recently announced CAD $11 million funding agreement with Lonmin Plc (see Wallbridge press release dated September 16, 2015). In addition, Wallbridge has released results from this summer's channel sampling of nickel, copper, and platinum group metal ("Ni-Cu-PGM") mineralization at Parkin.
"The current program will focus on expanding and understanding the extents of mineralization around the historic resource and at depth and also investigate the possibility of a bulk sample open pit in the near future", stated Marz Kord, President and CEO of Wallbridge, "The bulk sample program, if proven to be viable, will provide us with more knowledge of ore continuity and metallurgical recoveries whilst generating cash flow in the near term, similar to our Broken Hammer bulk sample that was completed in 2011".
2016 Exploration Program on Parkin Properties
The 2016 program at Parkin will include drilling and borehole electromagnetic (BHEM) surveys to test the underground expansion potential of the historic resource; targeting a 2000 metre length of the Parkin Offset dyke from surface to 600 metres depth. This will include drilling to test the conductors identified earlier this year beneath the resource (see Wallbridge press release dated April 9, 2015) drilling to identify new zones within untested portions of the dyke,and shallow infill drilling under the surface mineralization to evaluate the viability of a starter-pit at surface.
2015 Mechanical Stripping and Channel Sampling
Mechanical stripping earlier this summer uncovered the surface expression of the historic resource at Parkin. The stripping exposed six areas with massive, semi-massive, and net textured Ni-Cu-PGM sulfide mineralization and helped to determine the continuity of higher grade zones within the historic resource (see Wallbridge press release dated June 25, 2015).
Detailed mapping of the stripped outcrops and 149 metres of channel sampling was completed in 18 channels which were cut perpendicular to the offset dyke. A total of 145 channel samples with individual lengths of 0.40-1.50 metres were collected and assayed. Highlight results are presented in Table 1.
Maps of the stripped areas and channel sample locations relative to previous work can be viewed online at: http://www.wallbridgemining.com/s/parkin-offset.asp.
Table 1. Channel Sample Highlights
|*True width, perpendicular to the Parkin Offset dyke; TPM equals Pt + Pd + Au|
About the Parkin Properties
Wallbridge's Parkin Properties are being explored for high-grade polymetallic nickel, copper, and PGMs over a 9.4 km strike length of the Parkin Offset dyke. The properties include the past-producing Milnet Mine, the high-grade Milnet 1500 Zone, and a historic near-surface resource which is under-cut by a number of high-grade drill intersections associated with off-hole borehole electromagnetic conductors.
Detailed geological modelling has identified the potential to expand the historic near-surface resource to 1.5 - 5.0 million tonnes with typical Sudbury grades from surface to 600 metres depth with significant blue-sky potential to depth and along strike. This target is the focus of the current program.
This exploration target is conceptual in nature, is based on the size of the untested area, the nature of nearby mineralization in the historic near-surface resource, the drilling intersections beneath the historic resource, the off-hole conductors, and examples of similar Offset dyke deposits elsewhere in Sudbury. The target is not necessarily indicative of mineralization on the Property and there has been insufficient work to date to determine whether deposits of this size exist. Further drilling and borehole geophysics are necessary to test this potential.
Ni-Cu-PGM mineralization on Wallbridge's Parkin Properties is typical of that hosted by quartz diorite offset dykes in the Sudbury mining camp. Examples include the prolific deposits at Vale's North and South Mines hosted by the Copper Cliff Offset dyke; Vale's recently commissioned Totten Mine in the Worthington Offset Dyke and KGHM International Ltd.'s recent discovery on its Victoria project, also hosted in the Worthington Offset dyke.
Under the terms of the recent Parkin Amendment (see Wallbridge press release dated September 16, 2015), Lonmin may earn a vested Initial Interest of 50% of Wallbridge's interest in all of the Parkin Properties by making the following payments and funding the following aggregate Exploration Costs and Development Costs on the Parkin Properties totalling up to CAD $11.083 million on or before September 30, 2019, which also includes reimbursing Wallbridge for its cash payments pursuant to Wallbridge's option to purchase Impala Platinum Holdings Limited's ("Implats") interest in the Parkin Properties. Upon vesting, Lonmin will have the option to earn up to an additional 15% interest in each property by committing to fund them through to a definitive feasibility study.
Effective December 31, 2014, Wallbridge entered into an Option Agreement with Impala Platinum Holdings Limited ("Implats") to purchase their entire remaining 49.6% interest in the joint venture at a substantial discount to Implats' $7.2 million past expenditure by making cash payments over five years. To maintain the option, Wallbridge has made the minimum initial cash payment of $100,000 which was due on or before June 30, 2015. This option frees Wallbridge to advance this high quality asset.
Samples were prepared at ALS Chemex Ltd. laboratories in Sudbury and then shipped to their analytical facilities in Vancouver. Samples were analyzed for Au, Pt, and Pd by standard lead oxide collection fire assay fusion with an atomic emission spectrometry (ICP-AES) finish. Samples were analyzed for base metals, silver and trace elements using a four acid (HCIO4-HNO3-HF and HCI) near total digestion and a combination of ICP-MS and ICP-AES finish. ICP-MS over limits were re-analyzed using HNO3-HClO4-HF-HCl acid digestion, HCl leach and ICP-AES (some conditions require an AA finish). Sulphur was analyzed using Total Sulphur by LECO.
The Qualified Person responsible for the technical content of this press release is Joshua Bailey, P.Geo., M.Sc., Vice President Exploration For Wallbridge Mining Company Limited.
About Wallbridge Mining
Wallbridge is working to become a mid-tier mining company with sustainable revenue through acquisition, discovery, development, and production of metals. This will be achieved by building on our current assets and the strengths and capabilities demonstrated by our recent successes in developing and operating our Broken Hammer open pit, as well as our ongoing partner-funded exploration joint ventures, and the value generated within our spin-out companies.
In Sudbury, Canada, Wallbridge is currently producing copper and platinum group metals (PGMs) at its open-pit Broken Hammer operation. It also has active partner-funded exploration underway for nickel, copper, and PGMs on its Parkin Properties and other North Range Joint Venture and Sudbury Camp Joint Venture properties. Outside of Sudbury, Wallbridge has exposure to active exploration for copper and gold in Jamaica and British Columbia through its 18% ownership of Carube Copper Corp. ("Carube Copper", CUC:TSX-V). Carube Copper's activities in Jamaica benefit from funding by its joint venture partner OZ Minerals Limited ("OZ Minerals").
Wallbridge's growth strategy is to focus on value-accretive near-term production opportunities (internal or external) while maintaining active exploration for large-scale discovery upside.
Wallbridge's sustainability strategy drives a high standard of performance with respect to safety, health, the environment, and the community. This corporate social responsibility focus provides support for Wallbridge's ongoing activities and is important for attracting high-quality people, high-quality opportunities, and partner funding.
For Further Information
Please visit the Company's website at www.wallbridgemining.com, or contact:
Wallbridge Mining Company Limited
Joshua Bailey, M.Sc., P.Geo
Vice President Exploration
Tel: (705) 682-9297 ext. 240
Vice President Corporate Communications
Tel: (705) 682-9297 ext. 263
This press release may contain forward-looking statements (including "forward-looking information" within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995) relating to, among other things, the operations of Wallbridge and the environment in which it operates. Generally, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Wallbridge has relied on a number of assumptions and estimates in making such forward-looking statements, including, without limitation, the costs associated with the development and operation of its properties. Such assumptions and estimates are made in light of the trends and conditions that are considered to be relevant and reasonable based on information available and the circumstances existing at this time. A number of risk factors may cause actual results, level of activity, performance or outcomes of such exploration and/or mine development to be materially different from those expressed or implied by such forward-looking statements including, without limitation, whether such discoveries will result in commercially viable quantities of such mineralized materials, the possibility of changes to project parameters as plans continue to be refined, the ability to execute planned exploration and future drilling programs, the need for additional funding to continue exploration and development efforts, changes in general economic, market and business conditions, and those other risks set forth in Wallbridge's most recent annual information form under the heading "Risk Factors" and in its other public filings. Forward-looking statements are not guarantees of future performance and such information is inherently subject to known and unknown risks, uncertainties and other factors that are difficult to predict and may be beyond the control of Wallbridge. Although Wallbridge has attempted to identify important risks and factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors and risks that cause actions, events or results not to be as anticipated, estimated or intended. Consequently, undue reliance should not be placed on such forward-looking statements. In addition, all forward-looking statements in this press release are given as of the date hereof.
Wallbridge disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws. The forward-looking statements contained herein are expressly qualified by this disclaimer.