Voyageur Minerals Ltd Increases Paradox Lithium Brine Project Acreage
CALGARY, Alberta, May17, 2017(GLOBE NEWSWIRE) --
|
|||||||||||||||
Highlights:
- Total acreage increased by 218% (additional 194 claims)
- Contains the historical Gold Bar Unit 2 oil well:
?EUR?Drilled through the Paradox Formation to 9,682 feet
?EUR?Possible re-entry for brine sampling - Access to road, rail, gas and power infrastructure improved
- Project sits on Robert's Rupture within the Paradox Basin
- 1,700ppm lithium assayed from Clastic Zone 31, 800m away.
- Clastic Zone 31 (containing lithium rich brines) possibly replenished from aquifers below, and an additional 20 untested Clastic Zones possibly containing brines
- Brines from Clastic Zone 31 are at higher temperature (60 ?C compared to 40 ?C)
- There are additional 24 other clastic zones throughout the paradox basin that will be evaluated to determine potential for lithium brine production.
Additional Project Area:
Anson Resources Limited, Voyageur Minerals Ltd's (TSX-V:VM) joint venture partner, has staked an additional 194 placer claims at its ULI Project. The additional area covers 1,570 hectares and increases the project from 89 placer claims with an area of 720 hectares to 283 placer claimswith an area of 2,290 hectares, increasing the project area by 218%.
The additional claims will significantly increase the project's area of influence.
Figure 1 shows the expanded project area, including the location of the historical oil wells where lithium has been previously assayed, this information has been acquired from information which Voyageur feels is reliable.
A chart accompanying this announcement is available at
http://www.globenewswire.com/NewsRoom/AttachmentNg/247897ef-6fab-4330-907a-bf4abd04fb52
The additional area includes the Gold Bar Unit 2 well, which was drilled by Davis Oil Company to a total depth of 9,682 feet.
Figure 2 shows a simplified stratigraphic section from Gold Bar Unit 2 well.
The Gold Bar Unit 2 well intersected the Paradox Formation salt cycles between 4,458 feet and 9,119 feet, and showed the salts had a total thickness of 4,661 feet. The formation contains 29 salt cycles which contain both the salt and brine horizons.
The intersection of Clastic Zone 31 is shown in Figure 2 at 7,080 feet.
The drilling then intersected the Leadville Limestone formation at 9,260 feet. The Leadville Limestone formation is a porous unit containing a large brine aquifer.
A chart accompanying this announcement is available at
http://www.globenewswire.com/NewsRoom/AttachmentNg/a35e3119-3665-4937-a068-7ef81669fa6e
Infrastructure:
With the additional area, access to existing infrastructure improves. This includes highways and sealed roads, a railway, a gas line and a power line. See Figure 3.
A chart accompanying this announcement is available at
http://www.globenewswire.com/NewsRoom/AttachmentNg/8c527ddf-ed50-4c59-af72-51a42c6447bb
A power line, gas pipeline, road and rail line can be seen in the north east corner of the additional claims, enhancing project logistics. The town of Moab 12km away can be easily accessed by road.
Paradox Brine Project Overview:
The Paradox Brine Project is subterranean pressurized brine (SPB) project targeting brines from Clastic Zone 31, approximately 6,000 to 7,000 feet below the surface, and 20 additional brine zones above and below Clastic Zone 31.
During the 1960's, numerous oil wells were drilled in the region and encountered over pressurized brines in a unit of the Pennsylvanian Paradox Formation named the Clastic Zone 31.
The Pennsylvanian Paradox Formation has been defined in numerous oil wells drilled throughout the region. See Figure 1. While most wells were not analyzed for lithium, the Clastic Zone 31 horizon of 2 wells within 1km of the south end of the claims (Long Canyon No.1 and Robert's Well) were assayed and showed lithium values of up to 1,700ppm, and averaged 500ppm Li. The higher lithium values were reported close to the Robert's Rupture geological formation which runs through the Project claims. In addition, bromine, boron and iodine and Magnesium were found to be in high concentrations.
The pressurized brines from Clastic Zone 31 consist of 30 feet of shale, anhydrite and dolomite, and are not part of any oil reservoir. The brines are under pressure (approximately twice the expected pressure of 4,953 psi) and at a higher temperature than would be expected (60 ?C compared to 40 ?C). This resulted in the brines flowing to the surface when intersected by historic drilling.
Phase 1 of a testing program on a synthetically prepared brine with a composition based on the brine composition of samples assayed from Clastic Zone 31 (800m south of the Project area) has found that magnesium could be removed with only a very small loss of 1% Li (less than 3%) occurring during the process (refer to the announcement of 12 April 2017).
The composition of the synthetic brine used in the test work is shown in Table 1.
| Element | Concentration (ppm) |
| Li | 1,700 |
| B | 20,000 |
| Br | 2,500 |
| I | 450 |
| Mg | 34,000 |
| Ca | 3,000 |
| K | 33,000 |
| Na | 43,000 |
| Co3 | 200 |
| SO4 | 500 |
| PO4 | 1.5 |
Table 1: Composition of the synthetic lithium brine solution used in the test work
A low Mg:Li ratio is important for the processing of lithium brines where evaporation ponds are used, with acceptable ratios up to 6. The Paradox Brine Project is expected to have a Mg:Li ratio of 20. Voyageur's joint venture partner Anson Resources has sought to identify a process to enable the extraction of the magnesium. The result of the test work conducted has been that the magnesium has been removed to a battery grade level (<10ppm). The magnesium reduction was achieved with only the lithium loss less than 3%.
In addition, by using a processing plant, thereby avoiding the use of evaporation ponds, processing is reduced to hours compared to multiple months.
Voyageur has engaged two additional processing technology companies and testing is ongoing. Upon conclusion of testing of brine processing technologies Voyageur will select a process which presents the most favorable economics.
Voyageur's Additional Projects:
Lithium King Property
- Voyageur has completed its initial sampling program on its 100% owned Lithium King project located near Bonneville, Utah.
- Lithium King brine water is undergoing processing testing for extraction of lithium from the brine water without having to concentrate the brine or remove magnesium as initial processing steps.
Frances Creek Barite Property
- Voyageur has begun preparations for its 2000m drilling program on its high grade barite project Frances Creek, located in British Columbia.
- Upon completion of drilling Voyageur will begin a feasibility study to bring the project into production in 2018 to establish near term cash flow.
About Voyageur Minerals
- Voyageur is a Calgary based company which owns 100% interest in three Barium Sulfate ("Barite") deposits including two properties which initial work suggests are suitable in grade for the industrial barite market place, and interests in two high grade lithium brine projects in Utah, USA. Voyageur's business plan is to develop its barite deposit at Frances Creek, BC, Canada, for potential near term cash flow, while it continues exploration for critical and strategic minerals.
Qualified Person Statement
The Company's qualified person as defined by NI 43-101, Mr. Randy Henkle, has reviewed this news release and approved it.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.
Cautionary Note Regarding Forward-Looking Statements
This news release contains forward-looking statements relating to the Qualifying Transaction, including statements regarding the acquisition of future assets, the discovery and commercialization of commercial quantities of industrial minerals, the successful commercialization of the Company's assets, expected operational activities, other statements that are not historical facts. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will not occur, which may cause actual performance and results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements. These assumptions, risks and uncertainties include, among other things: the risk that the assets do not provide commercial quantities or grades of marketable minerals, that even if they do contain commercial quantities of marketable minerals that the Company will not be able to economically produce such discoveries, the existence of commercial grades of commercial minerals, timing of obtaining required approvals,state of the economy in general and capital markets in particular, investor interest in the business and future prospects of the Company.
The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities law. Additionally, the Company undertakes no obligation to comment on the expectations of, or statements made, by third parties in respect of the matters discussed above.
The information in this announcement that relates to exploration results and geology is based on information compiled and/or reviewed by Mr Greg Knox, a member in good standing of the Australasian Institute of Mining and Metallurgy. Mr Knox is a geologist who has sufficient experience which is relevant to the style of mineralization under consideration and to the activity being undertaken to qualify as a "Competent Person", as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves and consents to the inclusion in this report of the matters based on information in the form and context in which they appear.
For further information, please contact John Rucci President & CEO (403) 383-8588 jrucci@voyageurminerals.ca Steven R. Livingston VP Finance (403) 471-1659 steve@voyageurminerals.ca