NORTH VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 22, 2014) - Lion One Metals Limited (TSX VENTURE:LIO)(FRANKFURT:LY1)(OTCQX:LOMLF)(ASX:LLO) ("Lion One" or the "Company") announces it has reached an agreement with Fiji's iTaukei Land Trust Board (the "TLTB") on terms of a 21-year Surface Lease for the Tuvatu Gold Project ("Tuvatu"), located near Nadi on the island of Viti Levu in Fiji.
"The agreement for the Tuvatu Surface Lease was reached after nearly three years and well over 200 consultations and meetings with local communities and landowners," said Lion One Chairman and C.E.O. Walter Berukoff. "With the Surface Lease secured and an approved Environmental Impact Assessment we are now focused on securing a Mining License for Tuvatu."
The Company also announces it has filed its unaudited consolidated interim Q3 Financial Statements on SEDAR and the ASX and provides the following update concerning its activities for the period ending and subsequent to March 31, 2014.
Q3 Highlights
During the three month period ended March 31, 2014 and subsequent the Company:
- Announced the approval of its Environmental Impact Assessment for Tuvatu
- Received notification from Fiji's Mineral Resources Dept. that the Notice of its Mining License Application for Tuvatu was published in the Fiji Government Gazette and in two national newspapers with no objections lodged
- Commissioned an updated independent NI 43-101 Resource Estimate for Tuvatu
- Announced an initial NI 43-101 resource estimate for the Olary Iron Project in South Australia
- Retained working capital of $9,368,332; 60,175,608 common shares outstanding
Environmental Impact Assessment Approved
On February 11, 2014 the Company announced that Fiji's Department of Environment approved the Environmental Impact Assessment ("EIA") for Tuvatu. In addition to ongoing exploration activities, the EIA contemplated the impact of both surface and underground mining at Tuvatu. Fiji's Department of Environment has notified the Mineral Resources Department ("MRD") that the EIA is approved and recommended to the MRD that mining activities may proceed at Tuvatu.
Mining License Application
The Company filed its application for a Mining License with the MRD for Tuvatu in 2013. During the period ending March 31, 2014 the Company was notified by the MRD that the Director of Mines published the Company's Notice of Application in the Fiji Government Gazette and two national newspapers for a period of thirty days in December 2013, with no objections received during the prescribed period. The Company awaits further guidance from the MRD with respect to the status of its Mining License application.
Tuvatu Gold Project Resource Estimate
During the period ended March 31, 2014, the Company commissioned an updated independent geology review and resource estimate (the "Report") for Tuvatu. The Report will incorporate new exploration data generated through the 2012 and 2013 drilling programs and will be carried out and completed by Mining Associates Pty Ltd. of Brisbane, Australia.
Olary Iron Ore Project Resource Estimate
On March 6, 2014, the Company published an initial National Instrument ("NI") 43-101 Mineral Resource Estimate for the Olary Iron Ore Project, in South Australia. The technical report "Olary Iron Project Mineral Resource Estimate, South Australia" was commissioned by the Company's joint venture partner Yukuang Australia (WA) Resources Pty Ltd ("Yukuang") and completed by SRK Consulting Australasia Pty Ltd ("SRK"). The Company confirms it is not aware of any new information or data that materially affects the information included in the original market announcement.
Highlights of the estimate detailed in full in the release of March 6 2014 include:
| Olary Iron Project Resource Estimate Summary |
| Category |
Tonnage |
Fe % |
SIO2% |
Al2O3% |
LOI% |
S% |
P% |
DTR% |
Density |
| Indicated |
214,000,000 |
26.3 |
40.8 |
6.9 |
3.9 |
0.029 |
0.24 |
26.4 |
3.12 |
| Inferred |
296,000,000 |
26.4 |
41.3 |
6.9 |
3.7 |
0.027 |
0.25 |
27.3 |
3.10 |
| Table 1: Summary of Olary Iron Project Resource Estimate using cutoff grade of 20% Fe |
| |
| |
Concentrate |
DTR Concentrate Grades |
| Category |
Tonnage |
Fe % |
SIO2% |
Al2O3% |
LOI% |
S% |
P% |
| Indicated |
57,000,000 |
69.6 |
2.9 |
0.3 |
-3.1 |
0.008 |
0.01 |
| Inferred |
81,000,000 |
69.8 |
2.6 |
0.2 |
-3.1 |
0.009 |
0.008 |
| Table 2: Davis Tube Recovery (DTR) test results and Fe content for the magnetic concentrate for composite RC and Diamond drillhole samples at grind size of 38 microns and 10% DTR cut-off grade |
Qualified Persons
Mr. Paul Francis Hunter, MSc, MAusIMM(CP), Principal Consultant, SRK Australasia, and Mr. Daniel Jasper Kentwell, MSc, FAusIMM, Principal Consultant, of SRK Australasia are Qualified Persons as defined by NI 43-101 and are responsible for the estimate. They have reviewed, verified, and approved the technical information in this news release, and the underlying sample, analytical, and test data. The estimate is classified as an indicated or inferred mineral resource according to CIM Definitions under NI 43-101. Mineral resources are not mineral reserves and have no demonstrated economic viability. The Company is not aware of any environmental, permitting, legal, title, taxation, socio-political, or other issues that may materially affect its estimate of mineral resources. There has been no additional exploration activity that is material to the estimate since the completion date of the SRK estimate.
The information contained in this release has been reviewed and approved by Rob McLeod, P.Geo, a consultant to the Company and a Qualified Person as defined by NI 43-101.
Competent Person Statement
The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Mr. Stephen Mann, who is a Member of the Australian Institute of Mining and Metallurgy (AUSIMM). Mr. Mann has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which the Company is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" (JORC Code). Mr. Mann is a director of Lion One Metals Limited and consents to the inclusion of the information in this announcement in the form and context in which it appears.
About Lion One Metals Limited
Lion One Metals Limited is a Canadian resource company focused on the acquisition, exploration and development of mineral projects worldwide. The Company is focused on advancing the Tuvatu Gold Project in Fiji, the Olary Creek Iron Ore Project in South Australia, and additional exploration-stage projects in Fiji, Australia, and Argentina.
On Behalf of the Board of Directors
Walter H. Berukoff, Chairman of the Board
Neither the TSX Venture Exchange nor its Regulation Service Provider accepts responsibility for the adequacy or accuracy of this release.
This press release may contain "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "proposed", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. This forward-looking information reflects Lion One Metals Limited's current beliefs and is based on information currently available to Lion One Metals Limited and on assumptions Lion One Metals Limited believes are reasonable. These assumptions include, but are not limited to, the actual results of exploration projects being equivalent to or better than estimated results in technical reports, assessment reports, and other geological reports or prior exploration results. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Lion One Metals Limited or its subsidiaries to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the early stage development of Lion One Metals Limited, general business, economic, competitive, political and social uncertainties; the actual results of current research and development or operational activities; competition; uncertainty as to patent applications and intellectual property rights; product liability and lack of insurance; delay or failure to receive board or regulatory approvals; changes in legislation, including environmental legislation, affecting mining, timing and availability of external financing on acceptable terms; not realizing on the potential benefits of technology; conclusions of economic evaluations; and lack of qualified, skilled labor or loss of key individuals. Although Lion One Metals Limited has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. Lion One Metals Limited does not undertake to update any forward-looking information, except in accordance with applicable securities laws.