Nemegosenda
The Nemegosenda property comprises approximately 9000 acres (1800 patented, and an additional 7200 acres staked later in 2008-2010) in Northern Ontario. The property is easily accessible off of Highway 101 between Timmins and Chapleau, Ontario (Chewett and Collins Townships). The patented claims were purchased in January 2008 for $380,000 Canadian -- payable over a four-year period -- and 2% royalty concessions on all mineral and/or metal production from the property. Sarissa Resources, however, retained the right to repurchase 1.5% of the royalty concessions at any time in the future for a predetermined price.
Niobium
Niobium, also known as columbium, is a rare exotic soft metal that is primarily obtained from pyrochlore; a mineral found occurring in carbonatites. Well known for its corrosion resistant and highly conductive properties, niobium's melting point of 2,468°C enables the metal to maintain its qualities at very high temperatures. Approximately 89% of worldwide niobium consumption is dedicated to the production of steel; while 9% is used in the production of "superalloys" and the final 2% is used in the development of superconductor applications within the technology, electronics and medical industries.
Property Details
The Nemegosenda Property (map) was identified in the mid-nineteen fifties through aeromagnetic surveys conducted by Gulf Minerals Canada Limited. Subsequent exploration and testing, as summarized in the Ontario Geological Survey study 34 by R.P Sage (click to read the full report) in 1987, highlighted a number of "higher grade niobium zones."
Other zones within the property have also indicated smaller, but meaningful niobium mineralization. Another area of mineralization of Niobium and rare earths called the ‘South-East’ Area was previously outlined on the property. It occurs 1500 metres south east of the Hawke zone (formerly called ‘D’ Zone).
Exploration Progress
In February 2008, Sarissa engaged the services of Hawk Exploration Consultants, an independent and highly-regarded Toronto-based geological consulting firm to conduct a preliminary assessment report on the property. The report was commissioned to complete an independent review of the historical work done on the property and to assess the compliance with NI 43-101 of Dominion Gulf's historical reserve estimates. This report was completed in May 2008.
Sampling
In June 2008, 15 chip samples were taken from the adit into the main D Zone deposit. The results from all 15 samples taken and assayed confirm the presence of niobium mineralization, tantalum mineralization and rare earth elements ("REE") mineralization within the deposit. The samples were taken over a 300-foot length of the adit, beginning at the face.
Highlights include: niobium (Nb) concentrations of up to 5820 ppm; tantalum (Ta) concentrations of up to 193 ppm; and in the REE's, Neodymium (Nd) concentrations of up to 184 ppm. While the niobium values returned, (equivalent Nb2O5 average of 0.52% over 15 samples), were as expected based on historical work, the samples provided confirmation of the presence of tantalum, uranium, and REE mineralization within the D Zone. The assay results are summarized in the following table.
Note: 1,000 ppm is equivalent to 1 Kg. per tonne; 10,000 ppm is equivalent to 1%.
The samples were assayed at Activation Laboratories Ltd. in Ancaster, Ontario. Full analytical details of the samples can be viewed here.
Follow-up work will include diamond drilling in the D Zone for grade and tonnage calculations; and further sampling in the East Zone where historical trench samples reported anomalous mineralization (non NI 43-101 compliant).
2008-2009 Drill Program 1st Phase
During late 2008 and early 2009 Sarissa drilled nine diamond drill holes in the D Zone portion of the property, totaling 1,842 metres, to seek confirmation and depth extension of the niobium mineralization previously identified by Dominion Gulf Company ("Gulf"). Notably, all the holes returned significant niobium mineralization, averaging 0.4% Nb2O5 over the entire 1,728 metres that were sent for assaying (Table 1 below).
It should be noted that the mineralization continues below what had previously been identified as the depth of the mineralized zone. It has also demonstrated that the mineralized zone increases in grade and depth towards the eastern portion of the zone.
The three drill holes on the eastern end of the current drill sections returned:
DDH-09-73 at 344,525E 5,320,425N includes 194m to 239m = 45m @ 0.77% Nb2O5
DDH-09-74 at 344,550E 5,320,475N includes 167m to 179m = 12m @ 0.71% Nb2O5
Note: DDH-9-74 was stopped at 197m.
DDH-09-77 at 344,575E 5,320,525N includes 131m to 260m = 129m @ 0.56% Nb2O5
For detailed graphs of all drilling holes to date, click here.
Table 1: Drill Hole Summary
Drill Hole Total Nb2O5% Nb2O5%
Metres Weighted Including Weighted
Length Assayed Average (Metres) Average
----------- ----------- ---------- ----------- ----------
DDH 08-69 200 186 0.46 145.5 0.53
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DDH 08-70 245 231 0.33 138 0.43
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DDH 08-71 200 186 0.22 64.5 0.44
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DDH 08-72 209 203 0.42 117 0.54
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DDH 09-73 254 245 0.44 189 0.51
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DDH 09-74 197 182 0.42 87 0.56
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DDH 09-75 98(Fault) 81 0.48 51 0.56
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DDH 09-76 137(Fault) 123 0.5 78 0.58
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DDH 09-77 302 291 0.43 231 0.5
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Totals 1840m 1728m 0.40% 1101m 0.51%
----------- ----------- ---------- ----------- ----------The following table provides summaries of the 2008/2009 program:
D Zone Drill Holes - 2008/2009 Program
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Total metres Drilled 1840
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Total metres Assayed 1728
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Weighted Average Nb2O5% 0.4
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Total of Included metres 1101
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Weighted Average Nb2O5% 0.51
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Ratio of All Assayed/Includes 63.72%
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2008-2009 Drill Program 2nd Phase
This program involved further diamond drilling to continue to expand on the mineralized niobium resource in the Hawke (D) Zone. It was targeted to test the eastern extension, and is conducted under the guidance of Hillar Pintson M.Sc., P.Geo.
In addition the Company has opened up 4 trenches in the SE Zone. Scintillometer readings taken within the trenching area have provided significant readings. The trenching program was conducted initially under the supervision of the late Alan Hawke, and followed up on by geologist Hillar Pintson. It was conducted in the middle of the SE Zone, where forty-nine 2.5 metre continuous channel samples were collected along the northern side of trench 09-5A and submitted for assaying. The average grade over the full 122.5 metre length of the trench was 0.35% Nb2O5. In the 49 samples submitted for assay, highlights included 2 samples of greater than 1% Nb2O5 and 10 samples greater than 0.5% Nb2O5. As well as the significant Nb2O5 results, the samples returned anomalous values of tantalum and uranium, along with 2 samples of greater than ten thousand ppm total rare earth elements.
Complete trench 09-5A assay results for Nb2O5 and REE's (click to open).
Of additional significance is that this trenching program was carried out in an area of the SE Zone that had not previously been drilled, so continues to expand the area of potential mineralization in this area. A follow-up drilling program has been initiated to test the areas underneath the zone exposed during the trenching program.
Metallurgical Testing
A further aspect of this program will entail beginning metallurgical studies. SGS Lakefield Research Ltd. has been retained to conduct a Proof of concept program, which will focus on the recovery of niobium compounds. The multi-disciplinary approach will fully characterize the ore, investigate if physical ore upgrading is feasible by standard ore beneficiation processes, and develop a hydrometallurgical method for the extraction and selective recovery of (initially) the Nb phase. The investigation should be considered as a scoping or pre-feasibility study to establish a baseline flowsheet for targeted product recovery.
So far the first phase of metallurgical testing has been completed and no barriers to extraction have been identified. This correlates well with the previous $1,000,000 of metallurgical research conducted by Dominion Gulf Company in conjunction with the Colorado School of Mines Research Foundation in 1959-1960. The next stage metallurgical testing will focus on a more detailed mineralogical study.
References:
Parts of the following publication were used:
Sage R.P. 1987: Geology of Carbonatite - Alkalic Rock Complexes in Ontario: Nemegosenda Lake Alkalic Rock Copmplex, District of Sudbury; Ontario Geological Survey, Study 34, 132 p."