If you have trouble seeing this e-mail, please click here:
Add to your address book or safe list to ensure delivery of email blasts (click for instructions)
Prophecy Reports M&I resource of 22.9 million Tons at 0.57% Ni (263 Million pounds of nickel) at Lynn Lake deposit in Manitoba
Prophecy Resource Corp. (TSX.V: PCY; OTC: PCYRF; Frankfurt: 3P1) (the "Company" or "Prophecy") is pleased to announce the results of an updated independent mineral resource estimate on the Lynn Lake Nickel-Copper property (the "Property") located in the historic Lynn Lake Nickel Camp in Manitoba.
The property is estimated to contain a Measured and Indicated resource of 22.9 million tons at 0.57% nickel and 0.3% copper, together with an Inferred resource of 8.1 million tons at 0.51% nickel and 0.28% copper. The estimate uses a 0.4% Nickel equivalent (NiEQ %) cutoff. The results are summarized in the following Table:
---------------------------------------------------------------------------------------------
Mineral Resource Estimate for Lynn Lake (at a cut-off of 0.4% NiEQ%)
---------------------------------------------------------------------------------------------
Resource Category Tons Ni Grade Cu Grade Ni Contained Cu Contained
(millions) (%) (%) lbs lbs
---------------------------------------------------------------------------------------------
Measured & Indicated 22.9 0.57 0.30 263,028,299 136,133,440
Inferred 8.1 0.51 0.28 81,559,227 45,614,959
---------------------------------------------------------------------------------------------
The updated estimate was completed by Wardrop Engineering Inc ("Wardrop") on January 28, 2010 and prepared in accordance with National Instrument 43-101 ("NI 43-101") Standards of Disclosure for Mineral Projects.
The current estimate updates previous estimates produced by Wardrop in October 2005 and 2007, using ordinary kriging methodology, and includes mineralisation from the N, O and G zones. It has been calculated from an extensive database of 3,709 drill holes with an aggregate length of 399,088 meters (1,309,345 feet). NiEQ% was calculated using a Nickel price of $7.22/lb and a Copper price of $2/lb. Metal recoveries were assumed to be 100% for both Nickel and Copper, as metal recovery options such as bio-leach are being investigated with results pending.
The current estimate does not include mineralisation from the Disco zone discovery made in 2008 which includes intercepts of 47 meters of 0.7% nickel and 18 meters of 1.5% nickel, located 1.5km away from the outlined resource. Wardrop determined that there is not enough drill information to generate an inferred resource for the Disco Zone at this time.
The mineral resource estimate model was completed by Todd McCracken, P. Geo, Principal Geologist with Wardrop Engineering Inc. The material in this news release has been reviewed and approved by Mr. McCracken, a Qualified Person as defined by NI 43-101 and J.W. Morton P. Geo, a director of Prophecy and also a Qualified Person as defined by NI 43-101.
About Prophecy Resource Corp.
Prophecy is a Canadian company focused on the acquisition of advanced mineral assets. On January 21 2009, Prophecy signed a letter of agreement (LOA) to combine with Red Hill Energy (TSX-V: RH), which controls over 1 billion tons of thermal coal resource in Mongolia.
In October 2009, Prophecy entered into an agreement to acquire 100% of Lynn Lake from Victory Nickel Inc. The project is located in the Lynn Lake Nickel Camp, northern, Manitoba approximately 320 km by road northwest of the Thompson mining camp. Historically, Lynn Lake is the third largest nickel producing region in Canada offering excellent mining infrastructure. In October 2009, Prophecy entered into an option agreement to acquire 100% of the Lynn Lake Project from Victory Nickel Inc. (see our news release of October 21, 2009).
Prophecy in January 2010 acquired 80% of a Titan-Vanadium project in Ontario. The project has access to excellent infrastructure with past drill intercepts of 142 meters of 0.27% Vanadium (0.48% Vanadium Pentoxide) from hole RA-5-21 and 174 meters of 0.26% Vanadium (0.46% Vanadium Pentoxide) from hole RA-5-10. The mineralization started from surface to an open vertical depth of 500 meters. The complete horizontal and vertical extent of the deposit is still to be determined.
Prophecy also holds a 60% interest in the Okeover Copper-Molybdenum property in B.C. where, in 2006, Dr. N.C. Carter, PhD, P.Eng, completed a technical report on the Okeover Property pursuant to NI 43-101 that estimated an inferred mineral resource of 86.8 million tons grading 0.31% copper and 0.014% MoS2 at a 0.20% copper cut-off grade. This report is available at
For more information about Prophecy, please contact us toll-free at 1-800-459-5583 or visit our web site at
ON BEHALF OF THE BOARD OF DIRECTORS of
Prophecy Resource Corp.
"JOHN LEE"
John Lee
Chairman
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Click Here for a Free Real-time Stock Quote on TSX-V: PCY
Disclaimer: Vantage Communications Ltd. was paid to distribute this bulletin.
Vantage Communications may or may not own securities in this particular company.
THIS IS NOT A RECOMMENDATION TO BUY OR SELL ANY SECURITY!
You are on this mailing list because you registered for VantageWire News.
Past performance of Companies mentioned does not guarantee future performance.
If you would like to opt out click here.
For more information about this service, please contact
Vantage Communications Ltd. at 1.800.574.0901
Suite 550 - 666 Burrard St, Vancouver, British Columbia V6C 3P6
This email complies with the US Federal CAN-SPAM Act of 2003
