DNI announces drill results from 2012 drilling and advances the new Buckton South Zone to its first resource study, polymetallic black shale projects, Athabasca region, Alberta

(DNI : TSX-Ven)
(DG7 : Frankfurt)

TORONTO, Jan. 31, 2013 /CNW/ - DNI Metals Inc. (DNI:TSX-Ven, DG7:FSE) announces that it has concluded review of analytical results recently received relating to its 2012 drill programs over the Buckton and Buckton South Zones at its polymetallic black shale projects, Athabasca region, Alberta. The results are consistent with prior assays from the two Zones and with grades from the Buckton Zone inferred resource. The results will enable expansion of the 3.49 billion short ton Buckton Zone inferred resource and delineation of a new initial inferred resource from the Buckton South Zone as a second mineral resource from the Property.

The 2012 drill holes testing the Buckton South Zone are the first ever to be cored over this Zone which had previously been identified relying on surface trenching and downhole subsurface information from historic oil/gas wells.

As previously announced October 4, 2012, the 2012 drill program completed an aggregate of 980m in nine short vertical diamond drill HQ holes spaced approximately 1.2km apart, three of which were cored to test the Buckton South Zone located 8 kilometres to the south of the Buckton Zone inferred resource. The holes successfully confirmed the Buckton South Zone over approximately 3 square kilometres and will enable delineation of an initial inferred resource therefrom. Details of the drilling from the Buckton South Zone are tabulated below showing results from intercepts of the Labiche Formation Shale (LB), the underlying Second White Speckled Shale (2WS), and the Belle Fourche Formation Shale (BF) beneath it.


                 
                 
Buckton South Zone - 2012 Drilling Analytical Results (ppm)
Hole# #1 #6 #7
Formation LB 2WS* LB 2WS BF LB* 2WS BF
From (m) 36.0 97.0 12.5 47.0 57.5 11.9 27.5 45.5
To (m) 97.0 111.5 47.0 57.5 76.3 27.5 45.5 63.5
Length (m) 61.0 14.5 34.5 10.5 18.8 15.6 18.0 18.0
MoO3 3 95 3 74 4 5 97 5
Ni 48 135 55 112 42 46 132 45
U3O8 5 31 5 29 7 7 31 5
V2O5 472 1346 517 1352 405 527 1356 420
Zn 150 260 168 262 124 149 290 128
Cu 33 84 34 83 29 40 90 33
Co 13 20 13 21 12 14 22 12
Li2CO3 367 385 372 401 543 411 341 467
La2O3 43 59 45 59 45 48 58 46
Ce2O3 77 96 80 94 83 85 93 86
Pr2O3 10 14 10 14 10 11 13 10
Nd2O3 35 54 38 53 37 41 52 38
Sm2O3 7 11 7 11 7 8 10 7
Eu2O3 1 2 2 2 2 2 2 2
Gd2O3 6 12 6 11 6 7 10 6
Tb2O3 1 2 1 2 1 1 2 1
Dy2O3 5 10 6 9 5 6 9 5
Ho2O3 1 2 1 2 1 1 2 1
Er2O3 3 5 3 5 3 4 5 3
Tm2O3 0 1 0 1 0 1 1 0
Yb2O3 3 5 3 5 3 4 4 3
Lu2O3 0 1 1 1 0 1 1 0
Y2O3 32 60 36 62 31 39 60 34
Sc2O3 23 18 23 18 24 24 18 22
ThO2 12 12 12 12 12 12 11 12
All holes are vertical; Widths reported are true widths; m=metres; Drill core sampled at a standard 1m interval; Formation intercept represents true thickness of the flat-lying Formations hosting the mineralization within their contacts except where holes were cased directly in the Formation whose upper contact is not visible or available to sampling; All results in ppm; Analyses are weighted averages over the entire intercept of the respective Formations; Mo-U-V-REE-Y-Sc-Th grades re-stated in equivalent oxide; Analyses by Activation Labs, Ancaster, ON; U and Co analyses by INA, REE-Th by Fusion-MS, all other metals by ICP or ICP/MS following 4-acid digestion; In addition to analytical blanks and standards utilized by Actlabs as part of its analytical quality assurance and quality control ("QA/QC") protocols, DNI's QA/QC parameters consist of duplicate analyses as follows: one matrix-matched analytical blank per 10 samples, one duplicate analysis of pulverized pulp per 10 samples, and one duplicate subsample from coarse fraction per 10 samples.

* Hole#1 terminated in Second White Speckled Shale in bad ground, bottom contact was not reached; Hole#7 cased directly in Labiche Formation, intercept length is partial only
 



A resource study to estimate an initial inferred mineral resource from the Buckton South Zone has commenced. The current drilling does not clarify whether the Buckton South Zone is the southerly extension of the Buckton Zone or whether it is a separate stand-alone Zone of similar grade and distribution.

In addition to drilling over the Buckton South Zone, the 2012 drill programs completed four holes to test the projected extention of the Buckton Zone inferred resource northward. The drilling confirmed extension to the Buckton Zone for an additional 3 kilometres to the north of the Buckton resource and expectations are that the current drilling results will serve to expand the Buckton Zone inferred resource northward over up to an additional 4 square kilometres. Two strategically located in-fill holes were completed within the northern portion of the current Buckton inferred resource to enhance the drilling database over that portion. As announced on January 11, 2013, the Buckton Zone inferred resource currently stands at 3.49 billion short tons extending over 14 square kilometres, hosted in the Labiche Formation black Shale and the Second White Speckled Shale "stacked" beneath it. Details of the drilling from the Buckton Zone are tabulated below, showing results from intercepts of the Labiche Formation Shale (LB), the underlying Second White Speckled Shale (2WS), and the Belle Fourche Formation Shale (BF) beneath it.

                                 
                                 
Buckton Zone - 2012 Drilling Analytical Results (ppm)
Hole# #2 #3 #4 #5 #8 #9
Formation 2WS* BF LB 2WS BF LB 2WS BF LB* BF LB* 2WS BF LB 2WS BF
From (m) 81.7 104.0 20.0 77.2 98.0 57.9 101.7 118.8 18.5 96.4 33.2 117.2 136.3 8.0 52.3 63.1
To (m) 104.0 123.5 77.2 98.0 116.0 101.7 118.8 141.5 96.4 121.0 117.2 136.3 147.5 52.3 63.1 83.0
Length (m) 22.3 19.5 57.2 20.8 18.0 43.8 17.1 22.7 77.9 24.6 84.0 19.1 11.3 44.3 10.8 19.9
MoO3 40 4 3 111 5 3 118 4 2 2 3 105 5 4 99 2
Ni 99 42 46 163 37 46 170 40 48 48 47 155 43 48 141 48
U3O8 19 5 5 31 6 5 39 6 5 5 5 31 7 6 30 6
V2O5 926 373 472 1390 325 464 1444 367 468 384 482 1313 387 446 1218 426
Zn 197 113 140 299 103 143 311 116 148 133 148 296 121 142 264 129
Cu 68 27 30 81 27 29 80 25 29 26 33 83 29 32 74 27
Co 21 11 13 25 10 13 24 10 13 11 13 22 10 13 22 11
Li2CO3 351 375 440 361 356 386 345 395 426 424 411 314 387 365 311 483
La2O3 80 44 43 66 43 43 65 46 43 44 43 59 46 38 50 43
Ce2O3 122 80 77 101 77 78 102 83 79 80 76 93 85 67 67 58
Pr2O3 18 10 10 15 10 10 15 10 10 10 9 13 10 8 11 10
Nd2O3 72 36 35 57 36 35 57 38 35 37 35 50 39 32 45 36
Sm2O3 15 7 7 12 7 7 12 7 7 7 7 10 7 6 9 7
Eu2O3 4 1 1 3 2 1 2 2 1 2 1 2 2 1 2 1
Gd2O3 15 6 6 12 6 6 12 6 6 6 5 9 6 6 9 6
Tb2O3 2 1 1 2 1 1 2 1 1 1 1 1 1 1 1 1
Dy2O3 13 5 5 10 5 5 10 6 5 5 5 8 5 5 8 5
Ho2O3 2 1 1 2 1 1 2 1 1 1 1 1 1 1 1 1
Er2O3 7 3 3 5 3 3 5 3 3 3 3 4 3 3 4 3
Tm2O3 1 0 0 1 0 0 1 0 0 0 0 1 0 0 1 0
Yb2O3 6 3 3 5 3 3 5 3 3 3 3 4 3 3 4 3
Lu2O3 1 0 0 1 0 0 1 0 1 0 0 1 0 0 1 0
Y2O3 90 33 32 67 33 32 69 35 32 33 31 57 34 30 54 33
Sc2O3 20 22 23 19 19 22 18 20 22 21 22 17 21 22 18 23
ThO2 15 12 12 12 11 12 12 12 12 12 12 12 12 11 11 13
Widths reported are true widths; m=metres; Drill core sampled at a standard 1m interval; Formation intercept represents true thickness of the flat-lying Formations hosting the mineralization within their contacts except where holes were cased directly in the Formation whose upper contact is not visible or available to sampling; All results in ppm; Analyses are weighted averages over the entire intercept of the respective Formations; Mo-U-V-REE-Y-Sc-Th grades re-stated in equivalent oxide; Analyses by Activation Labs, Ancaster, ON; U and Co analyses by INA, REE-Th by Fusion-MS, all other metals by ICP or ICP/MS following 4-acid digestion; In addition to analytical blanks and standards utilized by Actlabs as part of its analytical quality assurance and quality control ("QA/QC") protocols, DNI's QA/QC parameters consist of duplicate analyses as follows: one matrix-matched analytical blank per 10 samples, one duplicate analysis of pulverized pulp per 10 samples, and one duplicate subsample from coarse fraction per 10 samples.

* Hole#2 Labiche Formation eroded entirely, overburden directly overlies Second White Speckled Shale; Hole#5 is in a slump zone where Second White Speckled Shale is missing and drill hole cased directly in Labiche Formation, intercept for Labiche is partial length only; Hole#8 cased directly in Labiche Formation, intercept for Labiche is partial length only.
 
 

The Buckton Zone inferred resource announced on January 11, 2013, is based on DNI's 2010-2011 drilling together with historic drilling as resampled by DNI, and does not include results from the 2012 drilling. A resource study to revise and expand the Buckton Zone inferred resource will commence in early Spring once the Buckton South Zone resource study has been completed. The revised resource will form the iterative basis for concluding the Preliminary Economic Analysis Study (Scoping Study) which is in progress for the Buckton Zone, and will incorporate preliminary engineering and pit design variables into resource classification criteria..

The Qualified Person in connection with this press release and in respect of the Alberta polymetallic black shale projects is S.F.Sabag PGeo, President and CEO of DNI, who is responsible for verification and quality assurance of the exploration information disclosed in connection with the projects and this release. The 2012 drilling program was implemented by Apex Geoscience Ltd, Edmonton, which has previously implemented and supervised all other drilling on the Property and is the author of all resource studies therefrom.

Neither the 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.

DNI - TSX Venture
DG7 - Frankfurt
Issued: 74,857,022

 

 

 

SOURCE: DNI Metals Inc.

For further information:

DNI Metals Inc. - Shahe Sabag, President & CEO or Denis Clement, Chairman - 416-595-1195
email ir@dnimetals.com. Also visit www.dnimetals.com