TORONTO, March 22 /CNW/ - Duluth Metals Limited ("Duluth Metals") (TSX: DM) (TSX:DM.U) today announced new assays for the first hole drilled in the 2010 Winter Drilling Program on the Nokomis Deposit, Ely Minnesota. To date, nine holes have been drilled, with assay results having been received for one hole. Hole MEX-158, has intersected 70.0 feet of 1.189% copper, 0.328% nickel, 3.6 g/t silver and 1.404 grams per tonne (g/t) Total Precious Metals (TPM = Platinum+Palladium+Gold) (Cu Equivalent* of 2.69%) within a 180.0 foot section of 0.913% copper, 0.248% nickel, 2.9 g/t silver and 1.039 g/t TPM (Cu Equivalent* of 2.06%).
The winter drilling program has been cut short from the scheduled 13 holes due to unseasonable warm weather. In total, approximately 7,620 meters (25,000 feet) have been drilled. Currently the three drill rigs are being moved to new locations for the start of the Spring 2010 program which will entail approximately 14 holes or approximately 18,288 meters (60,000 feet). The focus of the drilling will be to further evaluate and quantify the significantly higher grade copper, nickel, platinum, palladium, gold and silver zones in portions of the Nokomis Deposit.
A more detailed summary of the assay results for MEX-158 can be found in the table below. True width is estimated at about 90% of core length.
HOLE ZONE FROM TO LENGTH COPPER NICKEL TPM
(feet) (feet) (feet) (%) (%) (g/t)
MEX-158 @0.3% Cu cut-off 2098 2353 255 0.785 0.212 0.862
@0.5% Cu cut-off 2103 2283 180 0.913 0.248 1.039
including 2128 2198 70 1.189 0.328 1.404
@0.5% Cu cut-off 2298 2323 25 0.666 0.164 0.603
Complete gold, platinum, and palladium assays for MEX-158 are as follows:
HOLE ZONE FROM TO LENGTH GOLD -INUM -DIUM
(feet) (feet) (feet) (g/t) (g/t) (g/t)
MEX-158 @0.3% Cu cut-off 2098 2353 255 0.173 0.214 0.475
@0.5% Cu cut-off 2103 2283 180 0.219 0.259 0.561
including 2128 2198 70 0.402 0.288 0.715
@0.5% Cu cut-off 2298 2323 25 0.081 0.155 0.367
"Our objective with the 2010 Winter Drill Program has been to in-fill drill areas that will allow Inferred Resource zones to be converted into Indicated Resources in future resource calculations", stated Dr. Henry J. Sandri, President and CEO of Duluth Metals. "In addition, a few of the holes are designed as step-out holes to continue to test the current boundaries of the deposit. With forty percent of the property still unexplored, we have significant upside potential that Nokomis could increase from its current size. Additionally, holes like MEX-158 continue to prove that there are large, higher grade zones within the deposit; the 70 foot high grade section of MEX-158 represents a 78% grade increase over the global Nokomis average. Not only are the zones producing higher grade, the tonnage in these zones is becoming quite significant."
A map showing the location of drill hole MEX-158 can be viewed on the Company website at www.duluthmetals.com under this press release.
For the 2010 Winter Drill Program, half core samples are being prepared at ALS Chemex Ltd. laboratories in Thunder Bay and then shipped to its analytical facilities in Vancouver. Samples are being analyzed for Au, Pt, and Pd using a standard fire assay with an ICP finish and for 27 other elements using a four acid (near total) digestion and a combination of ICPMS and ICPAES. ICP over limits were re-analyzed using sodium peroxide fusion, acid dissolution followed by ICPAES. The remaining half core samples are being stored in Minnesota.
*Note - Copper Equivalent is based on US metal prices of: Copper - $1.75/lb, Nickel - $7.00/lb, Cobalt - $10.00/lb, Gold - $600/oz, Platinum - $1,100/oz, Palladium - $350/oz and Silver - $8.50/oz, and the methodology with metallurgical recoveries, refining costs and other charges being considered for all metals in accordance with the Net Smelter Return Factors contained in the January 22, 2008, NI 43-101 Scoping Study produced by Scott Wilson RPA.
A presentation on the current and future developments of the Nokomis Deposit will be given by Christopher Dundas, Chairman of Duluth Metals, at 8:37am EST on Thursday March 25, 2010 at the John Tumazos Very Independent Research, LLC Metals and Mining Conference in New York. A live webcast presentation will be available through a link on the Duluth Metals website at www.duluthmetals.com.
David Oliver, P. Geo. and Duluth Project Manager is the Qualified Person, in accordance with NI 43-101 of the Canadian Securities Administrators, and is responsible for the technical content of this press release and quality assurance of the exploration data and analytical results.
About Duluth Metals
Duluth is committed to acquiring, exploring and developing copper, nickel and platinum group metal (PGM) deposits. Duluth's principal property is the Nokomis Deposit located within the rapidly emerging Duluth Complex mining camp in northeastern Minnesota. On January 14, 2010, Duluth announced the signing of a binding heads of agreement with Antofagafota plc on a joint venture development of the Nokomis Project. The Duluth Complex hosts one of the world's largest undeveloped repositories of copper, nickel and PGMs, including the world's third largest accumulation of nickel sulphides, and one of the world's largest accumulations of polymetallic copper and platinum group metals.
This document may contain forward-looking statements (including "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995) relating to Duluth's operations or to the environment in which it operates. Such statements are based on operations, estimates, forecasts and projections. They are not guarantees of future performance and involve risks and uncertainties that are difficult to predict and may be beyond Duluth's control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in forward-looking statements, including those set forth in other public filings. In addition, such statements relate to the date on which they are made. Consequently, undue reliance should not be placed on such forward-looking statements. Duluth disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws.
Web Page: www.duluthmetals.com
SOURCE Duluth Metals Limited
For further information: For further information: Mara Strazdins, Director of Corporate Communications, at firstname.lastname@example.org or at (416) 369-1500; or Henry Sandri, President and CEO, at email@example.com; Minnesota corporate office: telephone (651) 389-9990