Vancouver, British Columbia-First Bauxite Corp. (“First Bauxite” or the “Company”) (TSX VENTURE:FBX)(FRANKFURT:FBI)(BERLIN:FBI) -
In August 2010 the company announced the discovery of bauxite at surface in the southwestern area of its Waratilla-Cartwright Prospecting Licence (“Warcart PL”) and had started drilling this LWC target on June 3, 2010. Today, the company is pleased to announce that the deposit, now named Bonasika 7, hosts a NI 43-101 compliant unwashed bauxite Indicated mineral resource estimate of 5.9 million tonnes at a grade of 57.7% Al2O3, 8.4% SiO2, 2.5% TiO2, 0.9% Fe2O3 and 29.5% LOI.
The August 2010 news release also announced the mineral resource estimate for the Upper Waratilla Cartwright deposit, which has now been renamed Bonasika 6. These deposits are now referred to as the Bonasika 6 and 7 deposits respectively because they are a part of the Bonasika mineralized region and are key elements to project development. This News Release provides a summary of the exploration work on the Bonasika 7 deposit and presents a Table summarizing all the NI 43 101 compliant resources estimated by Aluminpro to date on the Bonasika Project (Bonasika Mining License and Warcart PL combined).
Since June 2010, 192 resource holes have been drilled on the Bonasika 7 deposit totaling 7017m on an overall 85m x 85m drill pattern. The Company has also excavated bauxite bulk samples for process test work and sent core samples to SGS Lakefield in Ontario for mineralogical studies. Core sampling has been conducted at site and 2489 chemical analyses of the core have been carried out by Acme Laboratories in Vancouver, B.C.
The exploration work on Bonasika 7 has allowed for a NI 43-101 compliant resource estimate for unwashed bauxite over a potentially mineable zone covering some 100ha. While the deposit is exposed at surface, and hence there is ready access to the deposit, the overall average overburden thickness is 28.6m; the bauxite thickness averages 4.1m.
The five Bonasika bauxite deposits have been modeled and the resources estimated and categorized according to the specific drill spacing and continuity of mineralization of each deposit. Bonasika 1, 2 and 5 are located on the Bonasika Mining Licence. Bonasika 6 and 7 are located on the contiguous Warcart PL; small area of the Bonasika 6 deposit extends onto the Bonasika Mining Licence. The mineral resources of Bonasika 1, 2, 5 and 6 were reported in the Feasibility Study completed by Met Chem in July 2010. These resources are presented again in the table below for comparison with the newly estimated Bonasika 7 resources:
As the Inferred mineral resource for each deposit is small, it has not been included and will not be used in any mining plan or economic analysis until upgraded.
The above table testifies to the significant resource potential of the Warcart PL both from the bauxite quality and tonnage perspectives. The Bonasika 6 and 7 resources will form the basis to a Feasibility Study Update that is currently being prepared by Met Chem; this study will provide a NI 43-101 compliant technical report on the Reserves on completion of mine planning, processing and economic studies.
The sonic drill is now exploring an area of bauxite mineralization between the Bonasika 6 and 7 deposits on the Warcart PL. A cluster of eleven holes have intersected sufficient bauxite to suggest another resource may exist in this area.
The drill program continues to be supervised by Mr. Bryan S. Osborne, P.Geo of Aluminpro, who is the designated Qualified Person as defined by NI 43-101. Mr. Osborne has supervised all QA/QC work, reviewed all exploration information for accuracy and overseen preparation of the geological database for provision to Mr. Dominique Butty, EuroGeol of Aluminpro who has assisted in the resource modeling and estimation for all the deposits discussed above.
The CEO of the company Hilbert N Shields commented: “With these results, FBX has now confirmed the geological prognosis that the Bonasika deposits host considerable refractory grade bauxites. While we are comfortable that there is still more bauxite to be inventoried, our focus now is on optimizing the Bonasika Feasibility Study to include the Bonasika 6 & 7 resources in the economic assessment of the project.”
About First Bauxite
First Bauxite Corporation (TSX VENTUREP:FBX) is a Canadian natural resources company engaged in the exploration and development of bauxite deposits, through resource discovery and mining within a niche industrial market. The company has its head-office in Vancouver and its current assets in Guyana, South America and is managed by experienced geoscientists and business development professionals with worldwide experience in the exploration and mining business across a number of mineral commodities. The mission of First Bauxite is to become a near term, medium size producer and supplier of high quality refractory grade sintered (calcined) bauxite. First Bauxite controls a large land package in Guyana’s historical coastal bauxite belt, including the Bonasika Mining License and the Waratilla-Cartwright Prospecting License, covering deposits which were drilled in 1940′s-60′s by ALCAN and which host near surface deposits of refractory grade bauxite. The Company has recently completed a Feasibility Study over the Bonasika Project and announced its results on July 29, 2010. The Feasibility Study defines and confirms the viability of an operation based on sequential mining of the three (3) bauxite deposits located on the Bonasika Mining License by open-pit, truck and excavator mining, with the mined ore trucked for processing at a central wash plant facility located less than 2 km from the Bonasika 1 & 2 pits. The wash plant concentrate will be transported 23 km to the sintering plant and load out facilities at Sand Hills. The Mine will operate at a production rate of 298,500 metric tons (“tonnes”) of raw, dry bauxite per year or 1,148 tonnes per day, the wash plant will produce 162,232 tonnes of washed bauxite concentrate and the two vertical pressurised shaft kilns will produce 100,000 tonnes per year of sintered bauxite final product. The Company drilled two bauxite deposits within the Waratilla Prospecting License. The NI 43-101 compliant Geological Resource outlined in the UWC deposit now called the Bonasika 6, was reported in the Bonasika Feasibility Study and the NI 43-101 compliant Geological Resource outlined in the LWC deposit, now called Bonasika 7 is reported in the Company’s News Release of February 3, 2011. First Bauxite has additional upside potential to the metallurgical bauxite business, through an option agreement with Rio Tinto Mining and Exploration Ltd, whereby Rio can earn up to 75% interest in the Company’s exploration ground by expending up to US$58 million in stages. The Company also recently acquired all of the issued and outstanding shares of Bauxite Corporation of Guyana Inc. (“BCGI”) and accordingly, 100% of its interest in the contiguous Tarakuli and Tarakuli North-West Prospecting Licenses in Northeast Guyana, which host an historical inferred bauxite resource of significant size and quality. For further information on First Bauxite Corporation, please visit our corporate website at www.firstbauxite.com.
On behalf of The Board of Directors of First Bauxite Corporation
Ioannis (Yannis) Tsitos, President & Director
Hilbert N. Shields, CEO & Director
This document contains certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under the Company’s control which may cause actual results, performance or achievements of the Company to be materially different from the results, performance or expectation implied by these forward looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.