TORONTO, March 30, 2012 /CNW/ - Mag Copper Limited ("Mag Copper") ("QUE"- CNSX) is pleased to announce the results of the updated resource estimate (the "Mineral Resource Estimate") for its Magusi River Copper-Zinc-Silver and Gold deposit (the "Magusi River Deposit"), in Hebecourt Township, Abitibi Region, located 30km North West of Rouyn Noranda, Quebec. The Mineral Resource Estimate has been carried out by Roscoe Postle Associates Inc. ("RPA") and reported in accordance with National Instrument 43-101 ("NI 43-101") requirements.
RPA has prepared the Mineral Resource Estimate for the Magusi River Deposit using 3D block modeling. The effective date of this Mineral Resource Estimate is March 21, 2012.
The following table summarizes the Mineral Resource Estimate:
|Area||Tonnes||Cu%||Zn%||Ag (g/t)||Au (g/t)||NSR ($/t)(1)|
|High Grade Copper||729,000||3.26||0.58||43.4||0.41||183|
|High Grade Zinc||580,000||0.39||8.57||42.1||2.34||174|
- CIM definitions were followed for Mineral Resources.
- Mineral Resources are estimated at a cut-off grade of $110 NSR/tonne.
- Mineral Resources are estimated using an average long-term copper price of US$3.50 per pound, a zinc price of US$0.95 per pound, a gold price of US$1,300 per ounce, a silver price of US$21.00 per ounce, and a US$/C$ exchange rate of 1.00 to 1.00.
- Grade interpolation was carried out with inverse distance squared (ID2) method.
- Mag provided RPA with NSR multipliers per metal unit. The NSR multipliers, which vary with head grades and metal recoveries, are based on SGS Lakefield metallurgical tests. The NSR values were calculated for each assay as well as each block in the model.
- Minimum underground mining width of two metres was used.
The Mineral Resource Estimate is based on approximately 56,200 metres of diamond drilling in 258 holes including 28,170 metres in 119 holes that were carried out during a drill program undertaken on the Magusi River Deposit during 2007-2008. Most of the 2007-2008 holes were NQ diameter.
The Magusi River Deposit is an auriferous copper and zinc rich VMS mineralization. It consists of an east-west striking and 50 degrees south dipping sheet of stratiform, pyritic banded massive sulphides that reaches a maximum thickness of 35 metres.
The Magusi River Deposit is open at depth and laterally and several drill holes indicate a good potential for additional mineralization. Mag Copper currently has a drill program underway at the Magusi River Deposit.
The Mineral Resource Estimate has been prepared by Bernard Salmon, ing. and Holger Krutzelmann P.Eng., each independent qualified persons under NI 43-101, who have also reviewed and approved the contents of this release. The NI 43-101 Technical Report on the Mineral Resource Estimate for the Magusi River Deposit will be filed on SEDAR within 45 days of this press release. Mani Verma, M. Eng., P. Eng., Chief Executive Officer of Mag Copper, a Qualified Person under NI 43-101 has verified the data disclosed in this press release.
Mag Copper is a junior mining exploration and development company engaged in the acquisition, exploration and development of mineral prospects in Canada. Mag Copper's activities are currently focused in the Abitibi Greenstone Belt Region near Rouyn-Noranda, Quebec and the Cu-Au bearing units of the Hough Lake group sediments 60km west of the Sudbury Basin.
This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.
For further information:
Mani Verma, CEO
(416) 479 9795
Web Site: www.magcopper.com