|August 18, 2009|
Cadillac Announces Initial Resource Estimate For Burnt Hill
|Toronto, August 18, 2009 -- Cadillac Ventures Inc. (TSXV-CDC) ("Cadillac" or the "Company") is pleased to announce that P&E Mining Consultants Inc. ("P&E") have completed an initial resource estimate for the Burnt Hill Tungsten-Tin Project. The resource estimate was authored by Eugene Puritch, P.Eng, President and co-founder of P&E, who has more than 30 years of resource estimating and mine engineering experience and is a Registered Professional Engineer in Ontario and Saskatchewan. Mr. Puritch is an independent Qualified Person.|
The Burnt Hill Deposit resource estimate is based on 44 diamond drill holes on a 60 metre section spacing over a strike length of approximately 500 metres, and a down dip depth of approximately 400 metres, together with 263 channel samples from previously excavated underground workings. The resource was calculated using inverse squared grade interpolation and 5m x 5m x 5m grade blocks.
Drillhole samples taken from the 2007 nine hole Cadillac drill program were analyzed at Activation Laboratories in Ancaster, Ontario. A protocol inserting certified reference material in the analysis batches was undertaken as part of the quality control program. Activation Laboratories is an independent certified assay laboratory.
The resource estimate was prepared using a 2 year trailing average price of US$230 a metric tonne unit ("MTU") for tungsten ("WO3") which derived a cut-off grade of 0.25% WO3 for underground and 0.10% WO3 for open pit portions of the resource. For the underground resource, the cut-off is based on a C$55/tonne operating cost; 85% process recovery and US$0.90 exchange rate. For open pit resource the cut-off is based on C$20/tonne operating cost; 85% process recovery and US$0.90 exchange rate.
The resource estimate, for the open pit and underground, Indicated and Inferred categories is as follows;
1. Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.
2. The quantity and grade of reported inferred resources in this estimation are uncertain in nature and there has been insufficient exploration to define these inferred resources as an indicated or measured mineral resource and it is uncertain if further exploration will result in upgrading them to an indicated or measured mineral resource category.
3. This press release may use the terms "Measured", "Indicated" and "Inferred" Resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of Measured or Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also cautioned not to assume that all or any part of an Inferred Mineral Resource exists, or is economically or legally mineable.
An NI 43-101 technical report supporting this press release will be available on SEDAR within 45 days of this disclosure. The mineral resources in this press release were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council December 11, 2005.
The table presented above is an initial resource estimate based upon drilling carried out by Cadillac Resources, and sample analysis conducted by previous exploration companies on the project. Cadillac has adequate information and confirmatory sampling to enable the use of this data in the resource estimate. The current resource estimate justifies a further work program to define the Indicated and Inferred resource by drilling certain areas of the deposit where information gaps exist in the currently defined resource.
Burnt Hill has seen intermittent historical production as a source of tungsten, a strategic metal, during periods of conflict that has disrupted other sources of world supply. The property was explored during 1979-80 when existing underground workings were rehabilitated and a new decline ramp was developed to intersect the mineralized zones; a photometric sorter was installed on the property in line with a crushing, screening and sampling plant to test a 14,000 tonne bulk sample. All sample product from that activity was sent to SGS Lakefield for metallurgical testing. Although a historic preliminary feasibility study was completed at the time, work was discontinued following a decline in tungsten and tin prices during the 1980's.
Cadillac is a development focused exploration Company which has two Canadian exploration projects, located in regions that have been historically active, and exploration projects in Spain and Argentina.
The New Alger project located outside of Cadillac, Quebec is wholly-owned, previously producing gold mine, where the Company has commenced a long term drill program designed to identify the scope of mineralization present on the Company's property. The Burnt Hill Project is 51% owned tungsten tin project located outside of Fredericton, New Brunswick. In Spain, the Company is joint venture partner with Minas de Aguas Tenidas, S.A.U. regarding the exploration of a number of high potential properties surrounding the Aguas Tenidas Mine. In Argentina, the Company is currently party to a heads of agreement with Latin American Minerals Inc for a joint venture regarding the Tendal VMS project, La Rioja Province.
For more information regarding Cadillac, please visit our website at www.cadillacventures.com, or call Norman Brewster, President and Chief Executive Officer, at 416 203-7722.
Mike Newbury, P.Eng is the Qualified Person who has reviewed the technical information in this news release on behalf of the Company.
Forward Looking Statements
This news release may contain certain forward-looking statements under applicable securities laws. All statements, other than statements of historical fact, are forward looking. Forward-looking statements are frequently identified by such words as "may", "will", "plan", "expect", "believe", "anticipate", "estimate", "intend" and similar words referring to future events and results. Forward-looking statements are based on the current opinions and expectations of management. All forward-looking information is inherently uncertain and subject to a variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration and development, fluctuating commodity prices, the risks of obtaining necessary licences and permits and the availability of financing, as described in more detail in the Company's securities filings available at www.sedar.com. Actual events or results may differ materially from those projected in the forward-looking statements and the reader is cautioned against placing undue reliance thereon. Cadillac assumes no obligation to revise or update these forward-looking statements except as required by law. All dollar amounts are in Canadian dollars unless otherwise noted.
Neither 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.