Update Provided on Sergipe Potash Project, Brazil
ROAD TOWN, Tortola, British Virgin Islands, July 6 /CNW/ - Talon Metals
Corp., ("Talon" or the "Company") (TSX: TLO) is pleased to announce the
granting of two new exploration licences for potash and to provide an update
on the Sergipe Potash Project located in Sergipe State, Brazil.
In a news release dated May 25, 2009, the Company announced the
acquisition of the Sergipe Potash Project and immediately commenced a detailed
review of the available technical data. Subsequently, Talon submitted an
application for two additional exploration licences within the potash bearing
Sergipe basin, which together comprise a new prospect area, the Ilha das
The Sergipe Potash Project now comprises seven onshore and two offshore
prospects. Talon holds exploration licences for a total area of 21,117
hectares (52,181 acres) and has applications for exploration licences pending
for a further 19,150 hectares (47,320 acres). Currently, the Sergi, Rio do Sal
and Capela prospects are the most attractive onshore prospects and are the
focus of Talon's exploration program.
"The granting of two new exploration licences for potash enhances our
drive to build a significant portfolio of potash projects in Brazil and the
technical information we have acquired and reviewed recently from past
petroleum exploration is very encouraging," said Mr. Stuart Comline, President
and CEO of Talon. "This is particularly so for the Sergi prospect as the data
has confirmed the presence of several potash layers. We will complete the
review of the existing data in order to guide our field based exploration
There is a significant amount of technical data on the Sergipe-Alagoas
sedimentary basin, generated by the oil and gas industry since 1960. To date,
the Company has acquired the logs of 86 historical oil wells within the basin,
some of which are strategically located within Talon's prospect areas.
In addition, the Company is acquiring other existing exploration data,
including 2-D and 3-D seismic data, additional drill logs, downhole
geophysical profiles and the data from a regional gravity survey. All of this
data originated from exploration programs focused on oil and gas and therefore
requires reinterpretation in order to apply it to potash exploration. The
Company expects to receive all the data by the middle of July 2009 and to
complete the evaluation of this historical data by the end of August 2009,
which will correspond to the end of Phase I of the exploration program.
Phase II is planned to commence in September 2009 and would include 2-D
and 3-D seismic surveys over the most prospective targets, followed by a
drilling program, which is currently scheduled to start in November 2009.
Talon is in the process of submitting applications for the licences that are
required to conduct the Phase II field based program.
Sergi is one of the most attractive prospects and has excellent
infrastructure as it is located 37 kilometres southwest of the
Taquari-Vassouras potash mine (the only potash mine in Brazil and which is
operated by Vale) and 18 kilometres from the town of Aracaju (the capital of
There are three historical oil wells within this prospect area, which
were drilled by Petrobras (a Brazilian oil & gas company) between 1969 and
1991. Oil well 1 FT 0001A SE reportedly intercepted seven discrete
potash-bearing layers, composed of sylvinite or sylvinite and carnallite, with
widths ranging from 2.0 metres up to 11.5 metres. The combined width of the
seven layers represents 35.5 metres of potash mineralization, which were
intersected at a depth of between 1,167.5 metres and 1,319 metres.
Wells 1 COL 0001 SE and 1 TC 0001 SE intercepted the evaporite sequence,
which hosts the potash mineralization, but the logs only report the
intersection of anhydrite and halite. Nevertheless, Talon's reinterpretation
of the downhole geophysical profiles suggests the presence of potash
mineralization in both oil wells.
RIO DO SAL PROSPECT
The Rio do Sal prospect is located immediately to north of the town of
Aracaju, some 20 kilometres east of the Sergi prospect.
According to the data recorded in this area, there are five wells within
the property, of which Talon has accessed log data for three of them to date.
Potash mineralization is reported in two oil wells. Well 1 CAU 0002 SE
intersected nine potash layers with widths ranging from 1.5 to 13.0 metres,
and with a cumulative width of 40.0 metres, between an intersection depth of
1,320 metres to 1,438 metres. Well 1 SC 001 SE intercepted an 18 metre-thick
layer of massive carnallite, from a depth of 1,648 metres. The third well
investigated by the Company reportedly intersected the evaporate sequence
(Ibura Member) but did not report any potash mineralization. A
reinterpretation of this data will be undertaken.
The Capela prospect has no existing oil wells within the prospect area,
although two wells, located 2.5 and 3.8 kilometres away from the southern and
south eastern border of the property respectively, reportedly intersected
carnallite mineralization. Of significance, the prospect is within a
geophysically defined basin, some 19 kilometers-long and 1.0 to 3.5
kilometres-wide, which is postulated to be the northern extension of Vale's
Miranda potash deposit.
Preliminary modelling by Talon of the evaporate sequence (Ibura Member)
suggest that the Capela prospect has potential to hold potash mineralization
at depths of less than 1,000 metres.
The acquisition and reinterpretation of oil exploration data in the
Sergipe-Alagoas basin will continue until the end of August 2009, with an aim
of defining the most attractive targets for potash mineralisation and to
delineate the basin structure, based on the reported geology in the well logs
and on geophysical interpretations. Particular emphasis will be placed on
identifying the more continuous and well developed potash deposits, occurring
at the shallowest depths. Much of the reinterpretation is being conducted in
association with experienced consultants, Stratageo SARL, and the results of
this work will be reported as it becomes available.
Talon's exploration programs are being managed by Talon's VP Exploration,
Mr. Paulo Ilidio de Brito (Member: AusIMM), who is a qualified person within
the meaning of National Instrument 43-101. Mr. Ilidio de Brito, who is
responsible for the technical material in this release, has verified the data
disclosed in this release.
Talon is a TSX-listed company focused on the acquisition, exploration and
development of high quality resource projects. The Company has a
well-qualified exploration and management team with extensive experience in
exploration and project management.
Talon has a treasury of approximately CDN$5.5 million and holds 2,450,000
common shares in Beadell Resources Limited (ASX:BDR). Talon has 24,054,222
common shares outstanding.
For further information:
For further information: on Talon please visit the Company's website at
www.talonmetals.com or contact: Erica Belling, VP Investor Relations, Tau
Capital Corp., Tel: (416) 361-9636 x 243, Email: firstname.lastname@example.org