Mining Explorers 2015: Ucore Rare Metals Inc. UXU: TSX.V President and CEO: Jim McKenzie Chief Operating Officer: Ken Collison VP, Business Development: Mark MacDonald Ucore Rare Metals Inc. has its sights set on developing a complete mines-to-metal operation at its Bokan Mountain rare earth elements project in Southeast Alaska. Toward this goal, the company has been working on expanding the heavy REE-enriched Dotson Ridge deposit at Bokan and developing innovative technologies for the separation of the individual REE. In February, Ucore published results of a 3,960-meters drill program completed at Bokan in 2014. The smaller of two rigs drilling at Bokan last year focused on upgrading inferred resources through infill drilling. Of the 12 infill holes drilled, 10 cut significant mineralization. One, LM 14-142, cut multiple intercepts exceeding 1 percent TREO. Highlights from this hole include 2.42 meters of 1.03 percent TREO, 2.76 meters grading 1.65 percent TREO, 3.37 meters grading 1.9 percent TREO and 2.88 meters grading 1.12 percent TREO. The larger rig drilled five holes aimed at expanding the resource to depth. The best intercept of this drilling was 3.0 meters averaging 0.755 TREO, of which 43 percent were HREOs, in hole LM14-143. Incorporating these holes in the calculations, the deposit now contains an estimated indicated resource of 4.79 million metric tons averaging 0.6 percent (63.54 million pounds) total rare earth oxides, a roughly 63 percent increase over the 2.94 million metric tons of indicated resource included in a 2013 estimate. The updated resource provides some of the final bits of information for a feasibility study that builds upon a preliminary economic assessment completed in 2012 that outlines an underground mine feeding 1,500 metric tons of ore to a 750-metric-tons-per-day mill and a state-of-the-art processing facility at Bokan Mountain. The operation outlined in the PEA envisions the production of about 2,500 tons of rare earth oxides per year during the first five years of full production; including an annual output of 105 tons of dysprosium oxide, 15 tons of terbium oxide, and 568 tons of yttrium oxide. With the feasibility study in the works, Ucore has already initiated permitting, and the company is drafting a plan of operations to be submitted by early 2016. Ucore is also working with Utah-based IBC Advanced Technologies to develop a new method of separating rare earths using molecular recognition technology, a process designed to bind selectively with ions based on multiple parameters such as size, chemistry, and geometry. Using a pregnant leach solution prepared from material taken from the Dotson Ridge deposit, IBC developed a three-step process for separating all of the rare earths into individual salts exceeding 99 percent purity. With the technology proven, Ucore contracted IBC to build a pilot plant that will test the technology on a bulk scale. The test plant, “SuperLig-One,” is expected to be completed by year’s end 2015; it will then be relocated to a third-party facility for an independent review of pilot-scale test procedures. Ucore believes the exploration and development of its heavy rare earth-enriched Bokan Mountain project, alongside the cutting-edge REE refining technology separates it from other rare earth-focused companies in North America. Cash and short-term deposits: C$4.2 million (June 30, 2015, including C$2.6 million royalty financing receivable) Working capital: C$3.9 million (June 30, 2015; US$1 million royalty sale closed in August) Market capitalization: C$56 million (Sept. 18, 2015) 210 Waterfront Dr., Suite 106, Bedford, Nova Scotia Canada B4A 0H3 Tel: 902-482-5214 • Fax: 902-492-0197 www.ucore.com |