Liberty Mines Acquires Croxall Property and Consolidates Land Package Near Its
TORONTO, Nov. 26, 2012 /CNW/ - Liberty Mines Inc. (TSX: LBE) ("Liberty" or the
"Company") announced today that it has fully exercised its options to acquire
all of the Croxall properties in the Shaw Dome nickel area, which is located
approximately 10 kilometers southwest of Timmins, Ontario and near the
Company's Redstone mill, the only dedicated nickel mill in the region.
"In advance of the expected recovery of nickel prices, we have taken advantage
of the opportunity to acquire all of the Croxall properties, and prepare for
future exploration and production activities," said Mr. Chris Stewart,
President and CEO of Liberty Mines. "Our decision to acquire all of the
Croxall properties is consistent with our strategy to consolidate our land
package in the area and take full advantage of the only nickel concentrate
producing mill in the region."
Mr. Stewart added, "Our long-term success is dependent on advancing deposits
from regional exploration programs through zone discovery, delineation,
economic feasibility analysis and ultimately production. Acquiring the Croxall
properties is the first stage of our long term strategy of delineation of
existing deposits such as Hart, as well as exploration of targets which
currently lie outside existing mine plans."
The acquired properties cover an area of approximately 1,760 hectares and
consist of 110 mining claim units located within Eldorado, Adams, Deloro, and
Shaw Townships. The acquired property is contiguous with Liberty's Redstone
property, which hosts the Redstone Mine and Mill operations.
Liberty entered into three separate option agreements to acquire the
properties beginning in 2006. Since then, Liberty completed cash payments and
issued shares to vendors as well as completed significant exploration programs
in 2007 and 2011 thereby fully exercising its options. These properties,
identified as the "Croxall 1," "Croxall 2," and "Croxall 3" properties, are
collectively known as the "Croxall Property." Property vendors retain Net
Smelter Return ("NSR") royalties on the claims acquired. The royalties total
3% and have buy-back provisions.
The Croxall property is located on the southwest limb of the Shaw Dome, which
is host to several nickel deposits in the Timmins area, including Liberty's
Redstone Deposit, Hart Deposit, Hart East Zone, and the McWatters Deposit
(Figure 1). A significant portion of the Croxall property lies within the
preferred stratigraphic horizon of ultramafic volcanic rocks which are in
close proximity to footwall iron formation, both features deemed prospective
for Kambalda-type nickel deposits such as Liberty's other nickel deposits in
the Shaw Dome. Previous work on the Croxall property discovered the "Mustang
Zone," a nickel zone which the Company believes warrants further
exploration. Highlights of previous drill results on the Mustang Zone
include the interception of 1.20% Ni over 2.4 metres in drill hole CL-11-02.
Figure 1: Liberty's Shaw Dome Property
Resource estimation has not been completed as yet on the Mustang Zone as it is
in early stage exploration. Numerous geophysical (airborne electromagnetic)
anomalies are also present on the Croxall property, which the Company believes
warrant further exploration.
Drilling, Sampling, Analytical Procedures, and Quality Assurance/Quality
The Company's exploration programs are subject to technical and Quality
Assurance/Quality Control (QA/QC) procedures conforming to industry best
practices and NI 43-101.
Liberty conducted exploration diamond drilling on the Croxall property in 2007
and 2011. Drilling in 2007 was contracted to Major Drilling Group
International Inc. (formerly Bradley Bros. Drilling Ltd.), based from its
Timmins Regional office with analytical work completed by ALS Laboratories
Inc. Liberty's 2011 drilling program was contracted to Mallette Drilling
Ltd. of Kenora, Ontario with analytical work being completed by Agat
Laboratories Inc. Liberty routinely employs standard reference materials and
blank materials as part of its QA/QC procedures on drill core samples. Drill
core is sampled according to geological parameters in its standardized
technical procedures which include the core being sawn in half with one half
of the core retained for future reference and one half sent to an accredited
and reputable lab for analysis. Nickel and copper analyses for the work
reported herein were completed via Induced Coupled Plasma - Optical Emission
Spectroscopy (ICP -OES) method. Both ALS and Agat Laboratories routinely
employ their own internal QA/QC measures.
Liberty's exploration programs are conducted under the supervision of Ms.
Heather Miree, P. Geo., V.P. Exploration for Liberty Mines Inc. since May
2012. Ms. Miree is a Qualified Person as defined by NI 43-101 and has
confirmed, supervised, or prepared the scientific or technical information in
this disclosure and has verified the data contained herein.
Ms. Miree is an economic geologist with over 25 years of experience in the
mineral industry. Ms Miree has held senior geological and supervisory roles
with several junior and mid-sized mining companies in the areas of exploration
and operations. Ms. Miree is not independent of Liberty as is an employee of
About Liberty Mines Inc. Liberty Mines Inc. is a mid-tier producer of nickel
and is focused on the exploration, development and production of nickel,
copper, cobalt and platinum group metals from its properties in Ontario,
Canada. It owns and operates the only nickel concentrator in the Shaw Dome, a
prospective nickel belt region near Timmins, Ontario. With a new management
team in place, Liberty is focused on growth initiatives not only through a
more aggressive exploration program on its current properties but also through
potential acquisition or partnership opportunities beyond its core Timmins
No stock exchange, securities commission or other regulatory authority has
approved or disapproved the information contained herein. This News Release
includes certain "forward looking statements". All statements other than
statements of historical fact included in this release, without limitation,
statements regarding future plans and objectives of Liberty, are forward
looking statements that involve various risks and uncertainties. There can be
no assurance that such statements will prove to be accurate and actual results
and future events could differ materially from those anticipated in such
statements. Important factors that could cause actual results to differ
materially from Liberty's expectations are: exploration risks; commodity
prices; regulatory approvals; receipt of mining permits and leases; and
assumed startup and operating costs detailed herein and from time to time in
the filings made by Liberty with securities regulators. Forward-looking
statements speak only as of the date on which they are made. The Company
undertakes no obligation to publicly update any such statement or reflect new
information or the occurrence of future events or circumstances, except where
required by securities regulations. Accordingly, readers should not place
undue reliance on forward-looking statements.
Chris Stewart, President & CEO Liberty Mines (416) 226-4360 ext 203
Joe Racanelli TMX Equicom 416 815 0700 ext 243 email@example.com
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