DNI METALS INC. (DNI : TSX-Ven)(DG7 : Frankfurt)
TORONTO, June 20, 2012 /CNW/ - DNI Metals Inc. (DNI:TSX-Ven, DG7:FSE) announces that it has made good progress toward resuming drilling on its Alberta polymetallic black shale projects. Drill permit applications were submitted a few weeks ago and expectations are that this season's drill programs will mobilize into the field during July to complete three drill programs intended: (i) to expand and upgrade the existing Buckton initial inferred resource; (ii) to commence drill testing of the Buckton South target which is either an extension of the Buckton Zone 9km to its south or is a separate mineralized Zone which has been extensively sampled and trenched on surface in valley walls; and (iii) to commence probing possible northerly extensions of the Buckton Zone over at least an additional 6km of strike. The Buckton initial Base Metals, Uranium and Specialty Metals inferred resource was announced on October 24, 2011, and related contained REE-Y-Sc-Th inferred resource was announced on January 16, 2012.
Considerable progress has also been made toward the ongoing resource study relating to mineralized black shales overlying the Buckton initial inferred resource. The cover rocks had previously been regarded as "waste" but hold potential for hosting additional mineralized tonnages from which Base Metals, Specialty Metals and Rare Earth Elements (REEs) are recoverable by leaching as announced on March 1, 2012. The foregoing resource study relies on drill core samples from DNI's 2010-2011 drilling, augmented by archived core from historic drilling over the area verification sampling of which has been completed (assay results pending).
Other work in progress includes bioleaching testwork on samples from black shales above and beneath the Buckton inferred resource, and separate collaborative work being carried out at CANMET Mining and Minerals Science Laboratories. This work entails testwork toward the commercialization of a heap leaching process for DNI's polymetallic black shales, specifically focusing on formulating refining procedures for separation of the various Rare Earth Elements (REEs) from the leaching solution into saleable end-products, relying on process technologies from Chinese ionic clay adsorbed REE ores as a guide.
DNI also announces that it has granted 500,000 stock options, pursuant to the Company's Stock Option Plan, to its officers and directors, to allow for the purchase of up to an aggregate of 500,000 common shares at a price of 25 cents per share for up to five years.
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: 69,546,689 post financing
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