Symbol: CNG - TSX.V
VANCOUVER, Aug. 14, 2012 /CNW/ - Canadian Mining Company Inc. (TSX.V: CNG; the "Company") has recently acquired consent to the use of data as reported in the historic non-compliant 1994 Exploration Programme Reserve Estimate and Mine Feasibility Review and Recommendation Report and the historic non-compliant 2001 Exploration Program and Resource Evaluation Report on the Sun Group of Claims. This historic data is beneficial for Canadian Mining's upcoming NI 43-101 drill program and will significantly reduce the related costs.
NI 43-101 Drill Program
On the recommendation of the Company's Qualified Person, John Beck of Beck and Associates, the Company will be engaging a local driller to carry out the drill program. Having a compliant NI 43-101 Resource Report will not only establish the size and grade of the zeolite deposit, but it will also assist the Company in getting its zeolite certified for use by municipalities, organic growers and companies engaged in radiation containment. The 43-101 paves the way for a 10,000 tonne bulk sample and near term sales to local markets, such as organic growers, vineyards, composting, animal waste treatment, livestock poultry and swine producers.
Sourcing Processing Mill
For several months Canadian Mining has been sourcing an appropriate mill to process its zeolite, which will allow the Company to command market prices from customers who have very specific requirements. Processed zeolite is used in applications such as radiation containment and concrete infrastructure applications. The Company is pleased to report a mill has been sourced and it is currently being evaluated by the Company's qualified person, following a recent on-site inspection. Predicated on securing financing, the Company is targeting to have the mill operational in early 2013.
Clinoptilolite Zeolite for Radiation Clean-up
Clinoptilolite Zeolite, the same zeolite contained in the Canadian Mining Company's zeolite deposits has been used to clean up after many major radioactive disasters around the world including the Three Mile Island meltdown in Pennsylvania in 1979 and Chernobyl in 1986 where over 500,000 tonnes of Clinoptilolite Zeolite was dropped by helicopter on the plant site in the Ukraine as well as being introduced into the feed of dairy cows in the region to remove cesium-137 from the milk they produced.
In a news release dated July 3, 2012, the Company reported that it was approached by Hiroyuki Kunitake, Trade Commissioner, Investment, Energy and Resources in the Embassy of Canada in Tokyo, Japan to provide samples of its Clinoptilolite Zeolite for possible radiation remediation application for the Fukushima Daiichi Nuclear Power Plant disaster.
Further communication with the Trade Commissioner in the last 30 days, has revealed an expression of interest, from a Japanese purchaser for the Company's zeolite subject to Canadian Mining's zeolite meeting certain specifications. Tests will be conducted following the September 2012 harvest of rice fields treated with 70,000 tonnes of zeolite. If the result is favorable, zeolite will be put in another area of 70,000 hectares for which more than 50,000 tonnes of zeolite will be required in the spring of 2013.
As previously reported the Company forwarded samples at the request of a different potential customer who tested the samples in Japan and reported the results exceeded expectations.
During the past several months the Company has been exploring several financing options including equity, convertible debenture and asset-secured debt financings. In addition, the company has been actively seeking a buyer for its Sonora, Mexico silver property, and is currently is in discussions with interested parties.
On behalf of the Board
Ray Paquette CEO
Please see our web site for additional details: www.canadianmining.ca
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SOURCE: Canadian Mining Company Inc.
For further information:
Ray Paquette CEO