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Mason Graphite Reports Additional High Grades in Remaining 2012 Drill Program Results


News provided by

Mason Graphite Inc.

Apr 03, 2013, 17:11 ET

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MONTREAL, April 3, 2013 /CNW/ - Mason Graphite Inc. ("Mason Graphite" or the "Company") (TSX.V: LLG) is pleased to report assay results for the remaining 104 drill holes from the 2012 mineral resource expansion program at its Lac Guéret project in northeastern Quebec. This drill program was designed to test for mineralization extending outside of the July 2012 resource envelope within its hosted GC Zone, as well as in the GR Zone, a prospective secondary target located less than one kilometre away from it (see Figure 1). Mineralization with similar grades was successfully identified in both zones.

The new results for 86 drill holes from the GC Zone (see Table 1) and 18 drill holes from the GR Zone (see Table 2) conclude the 26,500 metre drill  program conducted in the second half of 2012 (see Nov. 21, 2012 and Feb. 28, 2013 press releases for previously reported results).

Significant drill intercepts obtained from the GC and GR zones in this group of results include:

GC Zone

  • Hole LG-221 intersected 55 meters at 26.1 % Cgr
  • Hole LG-234 intersected 128 meters at 21.1 % Cgr, including 27 meters at 37.3 %
  • Hole LG-235 intersected 197 meters at 17.1 % Cgr, including 39 meters at 33.9 %

GR Zone

  • Hole LG-248 intersected 31 meters at 20.2 % Cgr
  • Hole LG-257 intersected 32 meters at 15.9 % Cgr

High grade drill intercepts from holes LG-221 (55 meters at 26.1 % Cgr) and LG-222 (36 meters at 27.5 % Cgr) located in the GC zone suggest a possible extension to the northeast of the July 2012 mineral resource envelope. The Company intends to follow up on these holes of interest in the next phase of drilling.

Benoît Gascon, CEO of Mason Graphite commented, "We are very pleased with the new high grade intercepts. Overall, this exploration program has returned very good results that have confirmed the presence of mineralization well beyond the boundary of the current mineral resource envelope. We are particularly excited by the confirmation of continued mineralization to the northeast of the current mineral resource in the GC zone and we look forward to following-up on the good results in the newly drilled GR Zone. It is clear to us that further drilling will be required to establish the full extent and potential of both zones; however in the short term we anticipate that the new results from the GC zone will contribute to mineral growth in the upcoming resource estimate."

An updated mineral resource estimate using the Company's July 2012 resource calculation and the 145 new drill results from the GC zone is expected for completion in the coming months by Roche Ltd. Consulting Group, who also completed the Company's previous resource calculation.  Progress on the Preliminary Economic Assessment, conducted by Met-Chem and based on the July 2012 mineral resource calculation, is well advanced and the Company expects to release its results in the first part of the second quarter of 2013. The Lac Guéret project currently hosts a mineral resource of 300,000 tonnes at 24.4% Carbon as Graphite ("Cgr") in the Measured category and 7.3 million tonnes at 20.2% Cgr in the Indicated category (see Technical Report dated July 3 2012 for details).

Table 1 - Most relevant drill results from the GC zone (86 drill holes totaling approximately 13,040 meters)

                         
Drill hole #  
 
From 
(m)
To 
(m)
Length
(m) 1
Graphite 
(Cgr %)
 
 
Drill hole #  
 
From 
(m)
To 
(m)
Length 
(m) 1
Graphite 
(Cgr %)
LG-076   47 76 29 12.1   LG-116   No significant mineralization  
    116 165 49 12.1   LG-118   85 101 15 20.6
LG-077   9 30 21 11.7       108 117 9 12.6
LG-078   9 22 13 20.2   LG-119   16 25 9 12.2
    35 45 9 12.8       48 60 12 12.6
    97 126 30 10.3   LG-120   25 38 13 10.5
LG-079   7 32 25 23.4   LG-121   No significant mineralization  
    48 112 64 14   LG-122   69 92 23 12.4
  incl. 103 111 8 32.8   LG-123   No significant mineralization  
    147 164 17 17.7   LG-126   83 118 35 11.6
LG-080   6 30 24 14.7   LG-127   52 64 12 10.6
    54 101 47 11.6   LG-128   4 39 35 8.9
    128 143 16 12.3   LG-129   No significant mineralization  
LG-081   26 33 7 14.3   LG-130   78 97 19 6.6
    46 66 20 12.9   LG-134   17 52 35 9.4
    99 107 8 20.9       83 105 23 13.5
LG-082   11 19 9 14.4   LG-219   No significant mineralization  
    34 58 24 10.4   LG-220   90 96 7 22.5
LG-083   No significant mineralization       105 156 51 17.9
LG-085   108 137 29 12.8   LG-221   41 96 55 26.1
    142 151 9 18.5   LG-222   13 50 36 27.5
LG-086   9 50 41 13.5   LG-223   7 27 20 16.1
  incl. 12 27 15 24.3   LG-232   43 64 21 9.9
    62 119 57 12.6   LG-233   6 14 8 17.2
LG-087   4 15 11 14.8   LG-234   101 230 128 21.1
    23 36 14 13.4     incl. 203 230 27 37.3
    49 63 15 16.5       234 250 16 16.4
    129 156 27 12.5       267 296 29 25.2
LG-088   81 97 17 11.3     incl. 277 290 12 36.4
    115 141 26 19.1   LG-235   74 271 197 17.1
LG-089   42 66 24 9.9     incl. 192 230 39 33.9
LG-090   9 23 14 10.8   LG-236 (2)     106 186 80 16.9
LG-091   No significant mineralization     incl. 146 166 20 29.7
LG-092   No significant mineralization   LG-237 (2)   81 114 33 14.8
LG-093   21 25 5 40.3       150 186 37 15.4
    32 41 9 11.3   LG-238   No significant mineralization  
    111 141 30 9.2   LG-239   78 174 96 12.6
LG-094   4 66 62 12.3     incl. 99 110 11 29.7
LG-095   134 165 32 17.2   LG-240   No significant mineralization  
  incl. 146 156 11 30.4   LG-241 (2)   82 111 29 16.2
LG-096   93 130 37 9.7       173 186 14 17.3
LG-098   56 65 9 11.6   LG-242   No significant mineralization  
LG-099   8 21 13 12.9   LG-243 (2)   86 141 55 17.5
LG-100   No significant mineralization     incl. 116 126 11 28.4
LG-101   40 90 50 10.8       156 186 30 11
    109 119 11 19.8   LG-320   No significant mineralization  
    164 178 14 18.5   LG-321   No significant mineralization  
LG-102   8 47 39 10   LG-322   No significant mineralization  
    56 69 13 21.3   LG-323   No significant mineralization  
LG-103   8 20 12 20   LG-324   No significant mineralization  
    30 48 18 8.1   LG-325   No significant mineralization  
LG-104   115 135 20 9.1   LG-326   No significant mineralization  
LG-105   77 85 8 15.9   LG-327   No significant mineralization  
    90 106 15 12.8   LG-328   No significant mineralization  
LG-106   51 66 15 10.9   LG-329   No significant mineralization  
LG-107   4 36 32 13.3   LG-330 (2)   114 186 72 22.2
LG-109   No significant mineralization   LG-331   No significant mineralization  
LG-110   53 66 12 12.8   LG-332   109 183 75 9.7
    99 109 10 11.5   LG-333   97 110 14 11
    167 185 18 14.2   LG-334   No significant mineralization  
LG-111 (2)   24 44 20 12.6   LG-335   68 93 25 17.7
    130 144 15 16.8   LG-337   No significant mineralization  
    176 192 17 12.6   LG-338   87 110 23 16.2
LG-112   4 38 34 15.4       114 148 34 9.7
    42 59 17 10   LG-339   88 125 36 14.5
LG-113   116 132 15 12.9              
LG-114   59 87 29 12.7              
LG-115   36 60 25 13.9              
                         

Table 2 - Most relevant drill results from the GR Zone (18 drill holes totaling approximately 2,320 meters)

                     
Drill hole # From
(m)
To
(m)
Length
(m) 1
Graphite
(Cgr %)
  Drill hole # From
(m)
To
(m)
Length
(m) 1
Graphite
(Cgr %)
LG-244 No significant mineralization   LG-255 No significant mineralization
LG-244 No significant mineralization   LG-256 (2) 57 104 47 10.0
LG-244 No significant mineralization   LG-257 (2) 38 71 32 15.9
LG-247 41 69 28 10.8     90 95 5 18.8
  72 99 27 12.2   LG-258 6 20 14 17.5
LG-248 11 42 31 20.2     102 117 15 10.2
  80 87 8 13.2   LG-259 (2) 6 29 22 11.1
LG-249 14 26 13 10.0     92 102 11 8.7
LG-250 92 104 13 9.0   LG-260 42 50 8 10.0
LG-251 57 74 17 7.3     155 167 12 11.3
LG-252 42 57 14 15.9   LG-261 (2) 86 102 17 17.4
LG-253 7 19 12 17.9     132 152 20 11.2
  52 63 11 12.7            
LG-254 4 17 13 11.8            
Notes:
  1.   Lengths are measured drill intervals - the true thickness is not known at this stage;
  2.   Mineralization found at end of hole;
  3.   Length figures are rounded to nearest integer for clarity.

See "Technical Report on the Lac Guéret Graphite Project" dated July 3, 2012 under Mason Graphite's profile on SEDAR at www.sedar.com for additional information, including exploration information and data verification.

Quality Control and Assurance

The drill program was supervised by Benoît Moreau, P.Eng.  Nathalie Guillemette, P. Geo., M.Sc., a Consultant to the Company and a Qualified Person as defined by NI 43-101, has reviewed and approved the technical information contained in this news release.

Analyses for this drilling campaign were carried out by AGAT Laboratories Ltd. in Mississauga, Ontario, a company independent from Mason Graphite, exercising a thorough Quality Control and Assurance program (QA/QC) with Mason Graphite personnel inserting one blank, two standards and one duplicate every 100 samples. AGAT Laboratories is an accredited analytical laboratory. Carbon as graphite ("Cgr") assays reported in this press release were obtained by using the LECO analytical technique ASTM E1915-07A with a detection limit of 0.01% Cgr. Drill holes were sampled over an average of 1.5 metre intervals.

Engagement of Investor Relations Firm

The Company would also like to announce that it has retained Transcend Resource Group, a full-service Investor Relations company for a period of three months starting on March 15, 2013 for a fee of CAD$5,000/month to help increased the Company's exposure through its large network of retail and institutional clients.

About Mason Graphite

Mason Graphite is a Canadian mining company focused on the exploration and development of its 100% owned Lac Guéret graphite property, which is located in northeastern Québec near the main service center of Baie-Comeau. The Lac Guéret graphite property currently hosts a National Instrument 43-101 compliant Mineral Resource of about 300,000 tonnes at 24.4% Cgr in the Measured category and 7.3 million tonnes at 20.2% Cgr in the Indicated category. (see news release issued on July 16, 2012). Exploration potential exists on the property with the current Mineral Resource based on exploration of only 17% of one well defined zone. Mason Graphite is led by Benoit Gascon, CA CMA, who has held 20 years of executive positions at Timcal, including over 6 years as CEO. Timcal, now owned by Imerys, is one of the largest graphite producers in the world.

Cautionary Statements Regarding Forward Looking Information

This press release contains "forward-looking information" within the meaning of Canadian securities legislation. All information contained herein that is not clearly historical in nature may constitute forward-looking information. Generally, such forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: (i) volatile stock price; (ii) the general global markets and economic conditions; (iii) the possibility of write-downs and impairments; (iv) the risk associated with exploration, development and operations of mineral deposits; (v) the risk associated with establishing title to mineral properties and assets; (vi) the risks associated with entering into joint ventures; (vii) fluctuations in commodity prices; (viii) the risks associated with uninsurable risks arising during the course of exploration, development and production; (ix) competition faced by the resulting issuer in securing experienced personnel and financing; * access to adequate infrastructure to support mining, processing, development and exploration activities; (xi) the risks associated with changes in the mining regulatory regime governing the resulting issuer; (xii) the risks associated with the various environmental regulations the resulting issuer is subject to; (xiii) risks related to regulatory and permitting delays; (xiv) risks related to potential conflicts of interest; (xv) the reliance on key personnel; (xvi) liquidity risks; (xvii) the risk of potential dilution through the issue of common shares; (xviii) the Company does not anticipate declaring dividends in the near term; (xix) the risk of litigation; and (xx) risk management.

Forward-looking information is based on assumptions management believes to be reasonable at the time such statements are made, including but not limited to, continued exploration activities, no material adverse change in metal prices, exploration and development plans proceeding in accordance with plans and such plans achieving their stated expected outcomes, receipt of required regulatory approvals, and such other assumptions and factors as set out herein. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking information. Such forward-looking information has been provided for the purpose of assisting investors in understanding the Company's business, operations and exploration plans and may not be appropriate for other purposes. Accordingly, readers should not place undue reliance on forward-looking information. Forward-looking information is made as of the date of this press release, and the Company does not undertake to update such forward-looking information except in accordance with applicable securities laws.

 

Image with caption: ""Figure 1 - Plan view with drill hole locations at Lac Guéret (CNW Group/Mason Graphite Inc.)". Image available at: http://photos.newswire.ca/images/download/20130403_C2302_PHOTO_EN_25129.jpg

SOURCE: Mason Graphite Inc.

For more information about Mason Graphite, visit www.masongraphite.com or contact: 

Investor Relations
+1 (416) 861-1685
[email protected]

Simon Marcotte, Vice-President Corporate Development
+1 (416) 309-2133

Benoît Gascon, President & CEO
+1 (514) 289-3574

Montreal Office
2000 McGill College ave., Suite 2210
Montreal, QC H3A 3H3

Toronto Office
65 Queen Street West, Suite 800
Toronto, ON M5H 2M5

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Mason Graphite Inc.

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