VANCOUVER, May 4, 2013 /CNW/ -
What a year so far!
With three successful years of exploration behind us, we have shown that
the Lac 50 Trend hosts one of the highest-grade, undeveloped uranium
deposits in the world. We've identified 12 new uranium-mineralized
zones, drilled 87,000+ metres to date (454 diamond drill core and 126
reverse circulation "RC" holes), and increased our property holdings to
Increase in Uranium Resource & Discoveries
Drilling along the Lac 50 Trend in 2012 resulted in a 60% increase in
the NI 43-101 inferred resource estimate, now totalling 43.3 million
pounds U3O8 grading 0.69%. This improves on the previous resource estimate of 27.1
million pounds, and is a 200% increase over our maiden resource
estimate announced in early 2011. In addition, Kivalliq's aggressive RC
exploration drilling campaign identified numerous new zones, several of
which will be further tested by diamond drilling in 2013. Results from
geophysical surveys this season also continue to expand and enhance
Kivalliq's inventory of exploration targets.
Metallurgical Results: High Uranium Extraction, Low Impurity Yellowcake
Not only have we continued to increase our inferred resource base, we
have also demonstrated the potential to extract an attractive final
yellowcake product from the deposits within the Lac 50 Trend.
Preliminary metallurgical test results received to date indicate that
94.1% of uranium can be extracted in 48 hours and 95.9% of uranium
extracted in 72 hours from conventional alkaline leaching. The uranium
value attained from the leach solution was 71.9% (U) for a final
yellowcake product. This was a low impurity product and certainly a
very positive outcome at this early stage.
Financing: $4.5 Million Non-Brokered Deal Closed
To date, Kivalliq has raised approximately $64M in the public markets.
In April of 2013, despite very volatile market conditions, Kivalliq
closed a private placement financing totalling $4.5 million which will
fund the first phase of this year's work program that will include high
priority drilling and geophysical surveys in key areas that must be
completed before ice break-up sometime in June. Pending results and
market conditions, Kivalliq will continue with a second phase of
exploration at Angilak in the third quarter of 2013. Despite our remote
northern location, we have maintained industry beating discovery costs
of $1.32 per lb. U3O8.
A Look Ahead: Exploration & Expansion in 2013
Our technical team continues to deliver exceptional exploration results
with low finding costs, as we work toward extending known resources and
testing new targets. The season has started on an extremely positive
note, with drill confirmation that a prospective new zone exists
between the Eastern Extension and J4, two zones that form part of the
current Lac 50 Trend inferred resource.
Numerous property wide targets, the rate of new discoveries and three
consecutive years of substantial uranium resource growth clearly
demonstrate the "District Scale" potential of the Angilak Property. As
part of our fully-funded phase one work program which includes drilling
3,000m, we have already released news on five holes this year, all of
which have hit radioactive zones.
We expect that this year will continue to provide opportunities for
substantial advancement of the Angilak Property.
Kivalliq is committed to maintaining open communication with
stakeholders. We encourage you to visit our website to review our
latest presentation and sign up to receive Kivalliq news releases at www.kivalliqenergy.com . We also invite you to contact us directly to keep up-to-date on all
the latest advancements as they unfold at 604-646-4527.
The entire Kivalliq team would like to thank you for your continued
All the best,
Jim Paterson, CEO
Kivalliq Energy Corporation
1020 - 800 W Pender Street Vancouver, BC V6C 2V6
Tel: (604) 646-4521; TF: 1 888 331-2269
Fax: (604) 646-4526
SOURCE: Kivalliq Energy Corporation
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