Berkh Uul JSC (MSE:BEU) Announces Receipt of a NI 43-101 Compliant Resource Report for its Delgerkhan Fluorspar Deposit
ULAANBAATAR, MONGOLIA–(Marketwire – Oct. 7, 2012) – Berkh Uul JSC (MSE:BEU) is pleased to announce the receipt of a NI 43-101 compliant Resource Report from Micromine, the international geological consulting firm, for the Delgerkhan Fluorspar Project.
- Indicated resource of 6.62million tons of Fluorspar ore grading 33.7% and inferred resource of 3.02 million tons of Fluorspar ore grading 33%
A total indicated and inferred resource of 9.64 million tons of ore or 3.22 million tons of contained fluorspar (CAF2)
Based on the current estimated price for fluorspar, the gross in situ value of the Delgerkhan deposit is USD 1.06 billion
- a 10% grade cutoff is applied
- Resource partially open at depth
- Substantial exploration potential along strike of the deposit
- All resources reported are entirely contained within the company’s 100% held mining lease
Between September and November 2011, Berkh Uul JSC engaged the professional management services of CBM LLC, which exclusively provides consulting services to Berkh Uul JSC’s controlling shareholder Firebird and its group of companies, to assist in the design and implementation of an1800 meter drilling program over the Delgerkhaan mining license under the guidance of international resource consultancy firm Micromine.
The drilling program focused on confirming historic joint Mongolian and Russian drilling to to bring the resource into a NI 43-101 compliant resource format. In addition, the drilling targeted deeper unexplored veining to extend the down dip depth of the deposit. 3D wireframe modelling was undertaken, taking the historic mining into account.
Berkh Uul JSC produced fluorspar until 2008 when operations were shut down. The company is moving onto the prefeasibility stage of the project, which it hopes to complete in the first quarter of 2013. Berkh Uul JSC is committed to reopening Delgerkhan, historically one of the largest producing fluorspar mines in Mongolia.