EDMONTON, ALBERTA--(Marketwire - July 22, 2010) -
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Shear Minerals Ltd. ("Shear") (TSX VENTURE:SRM) is pleased to announce that SRK Consulting (Canada) Inc. ("SRK") has prepared for Shear this mineral resource estimate for the Jericho Diamond Project ("Jericho") located in Nunavut, Canada which, as previously announced on July 19, 2010, is to be acquired by Shear from Tahera Diamond Corp. an Benachee Resources Inc. This estimate will be filed as part of an independent National Instrument 43-101 ("NI 43-101") technical report which is currently being finalized.
Mineral Resource Statement*(1), Jericho Kimberlite, Nunavut, Canada
SRK Consulting (Canada) Inc, July 21, 2010 |
| Indicated |
|
|
|
|
| Kimberlite Domain |
Constrained By |
Tonnes |
Carats |
Grade |
| |
|
|
|
|
| North Lobe |
Open Pit |
720,000 |
490,000 |
0.68 |
| |
|
|
|
|
| Central Lobe, NW, domain 131 |
Open Pit |
673,000 |
996,000 |
1.48 |
| |
|
|
|
|
| |
Underground |
224,000 |
332,000 |
1.48 |
| |
|
|
|
|
| Mine Stockpiles |
|
156,000 |
65,000 |
0.42 |
| Inferred |
|
|
|
|
| Kimberlite Domain |
Constrained By |
Tonnes |
Carats |
Grade |
| |
|
|
|
|
| F1N Lobe |
Open Pit |
445,000 |
155,000 |
0.34 |
| |
|
|
|
|
| Central Lobe, SE, domain 132 |
Open Pit |
564,000 |
649,000 |
1.15 |
| |
|
|
|
|
| |
Underground |
34,000 |
39,000 |
1.15 |
| |
|
|
|
|
| South Lobe |
Open Pit |
671,000 |
282,000 |
0.42 |
| |
|
|
|
|
| |
Total Indicated |
1,773,000 |
1,883,000 |
1.06 |
| |
|
|
|
|
| |
Total Inferred |
1,724,000 |
1,125,000 |
0.65 |
(1)The mineral resource was developed at a cut-off of C$34 per tonne at a diamond value of US$78 for North lobe, US$88 for F1N lobe, US$112 for Central domain 131, US$106 for Central domain 132 and US$90 for South lobe, at a currency exchange rate of C$0.87 per US$. Mineralized material with an estimated value of less than C$100 was limited within a Whittle pit shell using costs of C$5 per tonne mining and C$34 per tonne processing. Material was evaluated for underground mining at a cut-of of C$100 per tonne. All mineral resources were cut-off at the 190m level. Diamond recovery is assumed at a bottom size cut-off of 1mm.
(2)These results are preliminary in nature and include inferred mineral resources that are considered to speculative geologically to have the economic consideration applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary assessment will be realized. |
The mineral resource was defined using all available drilling, sampling and production data. The volume model utilized drill core logging data to formulate solid models for each kimberlite domain. Diamond grade-size distribution models were created using PQ mini-bulk, underground bulk sample data as well as production data from focused mining batches. A size dependant diamond recovery model was based upon a 90% recovery of diamonds greater than +3 DTC sieve by weight. This recovery factor is applied to the diamond grade-size models and results in a recoverable diamond grade. The grade model assumes recovery of diamonds larger than 1mm. SRK is presently preparing an updated 43-101 compliant report for the Jericho property. The SRK qualified person for this Mineral Resource is Mike Johnson, P.Geo.
About Shear Minerals Ltd.
Shear is a Canadian-based exploration company focused on diamond exploration in the Canadian North, where it explores established diamond districts and has discovered new ones. Shear currently has a portfolio of eight diamond projects, seven of which are drill-ready. Shear has advanced its 62.3% ownership of Churchill Diamond Project into an expanding diamond district hosting 88 kimberlites in the Kivalliq region of Nunavut.
On July 19, 2010, Shear announced that it had entered into a definitive purchase and sale Agreement with Tahera Diamond Corp. and Benachee Resources Inc. to acquire a 100% interest in Jericho and processing facilities and all supporting exploration assets, located in the Kitikmeot region of Nunavut.
Jericho is Nunavut's first and only diamond mine. It is located 420 km northeast of the City of Yellowknife and is accessible by air all year and by winter road from Yellowknife. The project was mined from 2006 to 2008, and produced 780,000 carats of diamonds from 1.2 million tonnes of kimberlite mined from the open pit operation. Over $200 million was invested in the development of the Jericho operations including the construction of a 2,000 tonne per day diamond recovery plant, maintenance facility, fuel farm, and offices and accommodation for 225 personnel.
Pamela Strand, P. Geol., is the Qualified Person under NI 43-101, who has reviewed and approved the contents of this news release. SRK's Mike Johnson, P.Geo. is an independant Qualified Person under NI 43-101 and has approved the contents of this new release.
On behalf of the Board
SHEAR MINERALS LTD.
Pamela Strand, P. Geol., President
This news release may contain forward looking statements, being statements which are not historical facts, including, without limitation, statements regarding potential mineralization, exploration results, resource or reserve estimates, anticipated production or results, sales, revenues, costs, "best-efforts" financings or discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from Shear's expectations are in its documents filed from time to time with the TSX Venture Exchange and provincial securities regulators, most of which are available at www.sedar.com. Shear disclaims any intention or obligation to revise or update such statements
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.