TSX Venture Symbol: GWG
CUSIP: 39141Y 10 3
SASKATOON, Sept. 25, 2012 /CNW/ - Great Western Minerals Group Ltd.
("GWMG" or the "Company"), (TSXV: GWG) is pleased to announce it will
undertake a Preliminary Economic Assessment ("PEA") for its Hoidas Lake
rare earth project based on promising large-scale lab results.
Combined beneficiation/metallurgical test work has successfully produced
a rare earth rough concentrate as well as a phosphate concentrate. That
was followed by further hydrometallurgical test work that produced a
mixed rare earth carbonate and fertilizer that can either be saleable
products or used for further rare earth separation.
The large-scale lab results received from the Chinese institute with
which GWMG has been working during the past two years included the
(Summary report at http://www.gwmg.ca/_gwmg-nr-25-sep-12.html):
The test results for the magnetic separation-flotation process indicate
that the total rare earth recovery in the rare earth and apatite
concentrates is 89.45%.
The hydrometallurgical treatment of the rare earth rough concentrate
included sulfuric acid roasting, water leaching, double-salt
precipitation, caustic soda transformation, hydrochloric acid selective
dissolution, radium removal and precipitation by ammonium carbonate. It
resulted in a rare earth recovery of 78.62% in the produced mixed rare
Extraction of rare earths and phosphorus from apatite concentrate using
the developed process included nitric acid treatment, neutralization
and precipitation, sulfuric acid roasting of the residue, water
leaching and preparing rare earth product, plus gypsum precipitation
and liquid ammonia neutralization of the filtrate. It resulted in a
rare earth recovery of 78.64% in the produced mixed rare earth
The combined beneficiation-metallurgical process resulted in an overall
rare earth recovery of 70.33%, comprised of 38.68% from rare earth
rough concentrate and 31.65% from apatite concentrate. The phosphate
recovery from the apatite concentrate was 92.5% in the produced
Nitrogen-Phosphorous complex fertilizer. The specifications of both the
mixed rare earth carbonate and the fertilizer, according to GWMG's
preliminary assessments, meet market requirements.
GWMG President and Chief Executive Officer Jim Engdahl said, "The
promising test results for our Neodymium-enriched Hoidas Lake project
have confirmed the validity of our original assumptions on the
processes that are most likely to be successful. The positive results
from the large-scale lab work have led GWMG to move ahead with a PEA
for Hoidas that will also address the issues of its remote location now
that we have removed the metallurgical bottlenecks from the project."
Gary Billingsley, C.A., P.Eng., P.Geo., Executive Chairman of GMWG, is
the Qualified Person responsible for supervising the preparation of the
contents of this news release.
Great Western Minerals Group Ltd. is an integrated rare earth processor.
Its specialty alloys are used in the battery, magnet and aerospace
industries. Produced at the Company's wholly owned subsidiaries Less
Common Metals Limited in Birkenhead, U.K. and Great Western
Technologies Inc. in Troy, Michigan, these alloys contain aluminum,
nickel, cobalt and Rare Earth Elements. As part of the Company's
vertical integration strategy, GWMG also holds 100% equity ownership in
Rare Earth Extraction Co. Limited, which owns a 74% equity interest in
the Steenkampskraal Mine. In addition to an exploration program at
Steenkampskraal, GWMG also holds interests in four active rare earth
exploration and development properties in North America.
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.
Certain information set out in this News Release constitutes
forward-looking information. Forward-looking statements (often, but
not always, identified by the use of words such as "expect", "may",
"could", "anticipate" or "will" and similar expressions) may describe
expectations, opinions or guidance that are not statements of fact and
which may be based upon information provided by third parties.
Forward-looking statements are based upon the opinions, expectations
and estimates of management of GWMG as at the date the statements are
made and are subject to a variety of known and unknown risks and
uncertainties and other factors that could cause actual events or
outcomes to differ materially from those anticipated or implied by such
forward-looking statements. Those factors include, but are not limited
to, the successful and timely completion of its preliminary economic
assessment at Hoidas Lake, reliance on third parties to meet projected
timelines, commencement of production at Steenkampskraal, risks related
to the receipt of all required, delays in obtaining permits, licenses
and operating authorities in Canada, South Africa and China,
environmental matters, water and land use risks, risks associated with
the industry in general, commodity prices and exchange rate changes,
operational risks associated with exploration, development and
production operations, delays or changes in plans, risks associated
with the uncertainty of reserve or resource estimates, health and
safety risks, uncertainty of estimates and projections of production,
costs and expenses, risks that future exploration results may not meet
exploration or corporate objectives, the adequacy of the Company's
financial resources and the availability of additional cash from
operations or from financing on reasonable terms or at all, political
risks inherent in South Africa and China, risks associated with the
relationship between GWMG and/or its subsidiaries and communities and
governments in South Africa and Canada, radioactivity and related
issues, dependence on a limited number of mineral projects, loss of key
personnel, the factors discussed in the Company's public disclosure
record, and other factors that could cause actions, events or results
not to be as anticipated. In light of the risks and uncertainties
associated with forward-looking statements, readers are cautioned not
to place undue reliance upon forward-looking information. Although GWMG
believes that the expectations reflected in the forward-looking
statements set out in this press release or incorporated herein by
reference are reasonable, it can give no assurance that such
expectations will prove to have been correct. Except as required by
law, GWMG does not assume any obligation to update forward looking
statements as set out in this news release. The forward-looking
statements of GWMG contained in this News Release, or incorporated
herein by reference, are expressly qualified, in their entirety, by
this cautionary statement and the risk factors contained in GWMG's
annual information form available at www.sedar.com.
SOURCE: Great Western Minerals Group Ltd.
For further information:
please contact Dwight Percy, Manager of Investor Relations at (306) 659-4516. Email inquiries should be made to firstname.lastname@example.org and the company website is located at www.gwmg.ca. Inquiries by direct mail should be addressed to Great Western Minerals Group Ltd., 219 Robin Crescent, Saskatoon, SK S7L 6M8.