TSX: TVI OTCQB: TVIPF
CALGARY, June 4, 2015 /CNW/ - TVI Pacific Inc. (TSX:TVI) (OTCQB:TVIPF) ("TVI" or "the Company") and TVI's Philippine affiliate, TVI Resource Development (Phils.), Inc. ("TVIRD"), are pleased to announce that Agata Mining Ventures Inc. ("AMVI"), a joint venture company in which TVIRD holds a 60% interest and is the operator, has completed an initial 17-hole drill program at the Agata limestone project located in northern Mindanao, the Philippines. Drill results have now confirmed the presence of a high-purity recrystallized limestone deposit covering an area of 600 metres by 650 metres. These results will form the basis for an initial NI43-101 compliant report expected for completion in the third quarter of 2015.
"We are very pleased with these preliminary results as the presence of high-purity metamorphosed limestone at the Agata project could represent another potential source of future cash flow," stated Clifford James, Chairman and CEO of TVI and Chairman of TVIRD. "In addition, the project would benefit from having the same infrastructure established for the nickel laterite direct shipping ore operations and may be supportive of TVIRD's valuation as it seeks a listing on the Philippine Stock Exchange later this year."
Exploration Program Summary
The Agata limestone project is situated to the south of AMVI's current Agata nickel laterite DSO operation and in close proximity to the causeway facilities that were built to support operations. The project consists of a number of separate deposits, of which only one – the Payong Payong deposit covering approximately 27.7 hectares – has been drilled to date. Other deposits occur nearby and will be explored in stages in the future.
AMVI commenced exploration activities focusing on the Payong Payong deposit in early November 2014 (see news on November 27, 2014). The exploration program included a detailed review and verification of previous work carried out in 2011 by Mindoro Resources Ltd. ("Mindoro"), TVIRD's joint venture partner in AMVI, as well as more detailed surface mapping and sampling of the area.
A total of 17 drill holes were completed at 100-metre to 200-metre spacing and core samples exhibited white to grey metamorphosed limestone. The mineralized units comprise intercalating layers of metamorphic rocks and lenses of re-crystallized limestone with assay results ranging from 80% to 100% CaCO3. Significant intercepts above 90% CaCO3 cut-off grade yielded an average of 97% CaCO3.
A preliminary assessment of the drill data suggests that the metamorphosed limestone is relatively clean with minimal to negligible impurities of iron and other base metals. Clay materials occur as fracture fills but can be easily removed through washing.
A model will be produced based on the drillhole data in order to come up with a resource estimate of the limestone prospect. Based on these results, an NI43-101-compliant resource report will be completed in the third quarter of 2015.
Upon completion of the technical report, AMVI may conduct further drilling programs and undertake process test work to determine future mining and processing options. Due to the project's close proximity to the causeway where materials will be shipped, potential operations could benefit from low transport and handling costs.
A map showing drillhole locations and a full table of results are available as PDF links to this news release at www.tvipacific.com.
High-purity limestone is in great demand as a paper coating and whitener for the paper-making industry; as filler in the production of plastics, paints and adhesives; and as calcined and hydrated lime for a variety of industrial purposes. The Payong Payong limestone can also be used as dimension stone in construction and architecture including facing stone, floor tiles, stair treads, window sills and many other high-value applications. Market prices for high-purity limestone currently range from $50 to over $700 per tonne depending on market application, quality and fineness of the product.
Qualified Person and Quality Assurance/Quality Control (QA/QC)
Mike Bue, Bsc. Eng, M.Eng, P.Eng, Technical Advisor and Project Advisory Group member of TVI and a member of the Professional Engineers of Ontario and Canadian Institute of Mining and Metallurgy, is the qualified person under NI43-101 who has approved the technical information in this news release.
Core samples are analyzed in the AMVI-operated Agata mine laboratory using XRF for calcium carbonate and to detect heavy metals such as iron, copper, lead and zinc. Standard QA/QC procedures are implemented in core handling and sampling at Agata. Quality control materials inserted into sample dispatch include third party purchased Certified Reference Materials for limestone, coarse duplicates and blanks. Assay results of QA/QC materials are strictly monitored and re-analysis of the complete batch of samples are carried out when anomalous assay results are noted. Titration method is also used to verify results.
About the Agata Limestone Project
The Agata project is held by AMVI, a joint venture company whose shares are owned by TVIRD and Mindoro Resources Ltd. ("Mindoro"), in which TVIRD holds a 60% interest and is operator. TVI has a 30.66% direct interest in TVIRD and thereby a 24.2% indirect ownership interest in AMVI through its ownership in TVIRD and its 14.4% direct interest in Mindoro, which holds a 15% interest and option to acquire a further 25% in AMVI. The project is located in Agusan del Norte province, within the Caraga mining region on the island of Mindanao, Philippines.
About TVI Pacific Inc.
TVI Pacific Inc. is a Canadian resource company focused on the production, development, exploration and acquisition of resource projects in the Asia Pacific region. TVI's track record of success includes putting the first foreign invested mine into production in the Philippines after the passage of the Philippines Mining Act of 1995. From 2004 to 2014, the Canatuan mine produced 105,200 ounces of gold, 1.8 million ounces of silver, 199,778 dry metric tonnes of copper concentrate and 30,558 dry metric tonnes of zinc concentrate.
TVI currently holds a 30.66% interest in TVIRD, a private Philippine resource company engaged in the production of nickel laterite ore at the Agata project as well as the completion of a definitive feasibility study on a nickel processing facility. Additionally, TVIRD is focused on advancing its 100% owned Balabag Gold-Silver project towards production and achieving a listing on the PSE in 2015. In addition to its interest in TVIRD, TVI also holds (i) a 26.0% equity interest in Foyson Resources Limited; (ii) a 14.4% equity interest in Mindoro Resources Ltd.; (iii) a 10% interest in the Amazon Bay Iron Sands project in Papua New Guinea; and (iv) a 100% investment in shares of TG World.
IMPORTANT INFORMATION REGARDING FORWARD-LOOKING STATEMENTS
Certain information set out in this News Release constitutes forward-looking information. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "intend", "could", "might", "should", "believe", "scheduled", "to be", "will be" and similar expressions. Forward-looking statements in this News Release are based upon the opinions and expectations of management of the Company as at the effective date of such statements. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that those expectations will prove to have been correct. Forward-looking statements are subject to certain risks and uncertainties (known and unknown) that could cause actual outcomes to differ materially from those anticipated or implied by such forward-looking statements. These factors include, but are not limited to, such things as inherent risks associated with the exploration and development of mining properties, ultimate recoverability of mineral reserves, timing, results and costs of exploration and development activities, availability of financial resources or third-party financing, new laws (domestic or foreign), changes in administrative practices, changes in exploration plans or budgets, and availability of equipment and personnel.
Various risks to which the Company is exposed in the conduct of its business (including mining activities) are described in detail in the Company's Annual Information Form for the year ended December 31, 2014, which was filed on SEDAR on March 25, 2015 and is available under the Company's profile at www.SEDAR.com. Subject to applicable securities laws, the Company does not undertake any obligation to publicly revise the forward-looking statements included in this News Release to reflect subsequent events or circumstances.
SOURCE TVI Pacific Inc.
For further information: Shirley Anthony, VP Corporate Communications, TVI Pacific Inc., Phone: 778.999.2771, E-mail: [email protected]