|February 02, 2012|
Cadillac Announces Balance of Drilling Results at K1-1 Project at Thierry Property
Toronto, February 2, 2012 - Cadillac Ventures Inc. (TSXV-CDC) ("Cadillac" or the "Company") is pleased to announce results for holes K-11-33 through K-11-42 drilled on the K1-1 open pit project at its Thierry Mine property, located in Northwestern Ontario. Highlights of results appear in the table below.
"Cadillac has now received all of the assays reports resultant from the recent drill program at K1-1, and has commenced a resource update. In addition, upon receipt of the updated resource at K1-1, Cadillac will be internally evaluating the economics of the total tonnage at the Thierry project, comprised of the Thierry Mine Resource and the K1-1 Resource. The proximity of these deposits to each other means that a processing plant can be shared, and material mined from each deposit blended, if the internal economic study supports a decision to re-open at Thierry," stated Norman Brewster, President and CEO of Cadillac.
Thierry Project Deposit Locations
The K1-1 project is located approximately 3 kms to the east of the Thierry Mine project, both being within the boundaries of the 11,538 acre Thierry property, occupying only a small portion of the property.
Existing K1-1 Resource
In late 2011, the Company released an initial inferred mineral resource estimate for K1-1. This inferred resource has been calculated within an economically optimized Whittle pit shell and consists of: 19,897,000 tonnes grading 0.42% Cu, 0.10% Ni, 2.0 g/t Ag, 0.03 g/t Au, 0.05 g/t Pt, 0.15 g/t Pd and an Exploration Target for K1-1 located outside and below the resource pit shell of: 45-55 million tonnes grading between 0.32 to 0.36% Cu, and 0.08 to 0.12% Ni.
About Whittle and the Exploration Target
The inferred resource stated above is derived from the results of Gemcom Whittle, a pit optimization program run upon the basis of Gemcom modeling of mineralized horizons, as carried out by P&E Mining Consultants. The initial inferred resource reflects the limited, initial 16 exploration holes drilled by Cadillac, as well as limited historic data derived from some of the UMEX drilling and other exploration carried out on the property. Inputted into Whittle are parameters which result in a pit design driven by economic considerations such as reducing the strippage ratio and waste within a producing pit and underlying commodity prices determining the cut off grade.
Within the inferred resource stated above there were gaps in data, due simply to lack of drilling to model, which affect the behaviour of the pit, and therefore constrained the resource. Drilling which was able to be modeled in Gemcom, on a current and compliant basis, forms the Exploration Target, this calculation was affected by constraints regarding limitations placed upon the use of historic data, in a fashion similar to the Inferred category of the existing underground Thierry Mine resource.
Historically, as cited in internal documentation, UMEX had identified a larger deposit at K1-1 than Cadillac had delineated prior to the K1-1 Resource calculation and Exploration target based upon the initial 16 holes, the internal UMEX information guided management in the exploration of K1-1 but was not NI 43-101 compliant, and the reader is cautioned accordingly to not rely upon UMEX data.
The 2011 K1-1 Drill Program
In order to address this, and provide more current, compliant data, the 26 hole drill program was designed to address gaps within the pit shell area, as well as test for extensions along strike and at depth. Depicted below are the ten drillholes being reported in this press release, relative to the grey pit shell and the contained inferred resources (not visible). The exploration target resource, contained in 7 mineralized horizons, depicted as coloured bands (green, light blue, red, purple, blue, peach, pink) occurs outside of the light grey pit shell and below the dark grey surface. The drilling was designed to upgrade mineralization from the exploration target category into the resource statement, and if successful add tonnage to both categories, using infill drilling. The illustration below shows the drillhole trace in yellow, some of which were collared in the pit, extending below the pit and the currently modeled mineralized envelopes. Recalculation of the resource, incorporating these drill results, is expected to result in an increase to the resource by the extension of the modeled mineralization and an increase to the data inputted into the Gemcom Whittle pit optimization software.
K1-1 3D model of pits and mineralization with holes K-11-33 thru K-11-42
The highlights of the assays results received to date are included in the following table;
In this program there was a total of 20,868 feet drilled over the twenty-six holes, and a total of 2,590 samples taken (excluding quality assurance and quality control sample protocols). Between holes KH-11-33 to KH-11-42 there were 771 samples taken and assay results received. Of these, 194 gave copper values of 0.3% or above in assay: 152 gave Cu from 0.3 to 0.5%, and 94 gave between 0.5 and 1% Cu. Four gave Cu over 0.9%.
Eighty-eight samples gave 0.1% nickel or over, generally coinciding with high copper values; this includes two samples giving impressive values of 2.00% and 2.13% Ni - in K-11-36 and K-11-35 respectively. A high-nickel interval was expected in K-11-36 (that hole was drilled to test for it) but the K-11-35 interval was not anticipated. These same two samples also carry the highest PGE values in this batch - with noticeably elevated palladium (1.76 and 1.98g/t respectively) and mildly elevated platinum (0.27 and 0.72g/t respectively).
Four hundred and sixty-five samples gave over 1g/t silver (Ag). Thirty-two of these give 4g/t Ag or above; the highest value is 8.1g/t which coincides with the high-Ni interval in K-11-35.
The samples were selected in the field, cut and bagged, sealed with a security seal and transferred by personnel from Billiken Management Services Inc. and bonded courier to the facilities of Agat Laboratories Ltd. in Sudbury, Ontario where they were processed using Total Digestion ICP(Total), with the over limit results further tested by Fire Assay ICPOES, and the gold, platinum and palladium tested by Fire Assay ICP.
Mr. Brian H. Newton, P.Geo, of Billiken Management Services Inc. and a "qualified person" pursuant to NI 43-101 has reviewed and approved the technical information in this press release on behalf of the Company.
Cadillac is a development-focused copper company currently advancing its 100% owned Thierry Property, near Pickle Lake, Ontario. The Thierry Property consists of the past producing Thierry Mine and hosts two NI 43-101 compliant resources: Thierry Mine and K1-1.
Thierry Mine Deposit
The Thierry Mine is a past producing mine with a current resource estimate consisting of 8.3 million tonnes measured and indicated grading 1.73% Cu and 0.20% Ni, and 14.6 million tonnes inferred grading 1.70% Cu and 0.16% Ni, using a cut-off NSR of C$46.30/tonne. The deposit remains open at depth and to the west.
The K1-1 is a potentially open-pit, large tonnage, low grade deposit located approximately 3 km from the past producing Thierry Mine. The inferred mineral resource estimate for K1-1 within a Whittle pit shell consists of the following: 20 million tonnes grading 0.42% Cu, 0.10% Ni, 2.0 g/t Ag, 0.03 g/t Au, 0.05 g/t Pt, 0.15 g/t Pd. The K1-1 Deposit is open along strike and at depth.
For more information regarding Cadillac, please visit the Company's website at www.cadillacventures.com, or call Norman Brewster, President and Chief Executive Officer, at 416 203-7722.
Forward Looking Statements
This news release contains forward-looking statements and information under applicable securities laws, including with respect to recalculation of the resource at K1-1 and the potential impact of drill results on the Thierry Mine Project. 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. Such statements and information 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. Forward-looking information speaks only as of the date on which it is provided and Cadillac assumes no obligation to revise or update these forward-looking statements except as required by applicable law. All dollar amounts are in Canadian dollars unless otherwise noted.
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