Reno, Nevada (FSCwire) - EMC Metals Corp. (the “Company” or “EMC”) (TSX: EMC) announces that it has filed on SEDAR a technical report regarding the Preliminary Economic Assessment (“PEA”) on  the Company’s 100% owned Nyngan Scandium Project, located in New South Wales (“NSW”) Australia.  EMC previously announced the results of the PEA by news release dated October 14, 2014. The technical report, entitled NI 43-101F1 Technical Report on the Feasibility of the Nyngan Scandium Project, prepared by the engineering firm of Larpro Pty Ltd, of Brisbane, Australia, and supported by Mining One of Melbourne, Australia and Rangott Mineral Exploration Pty Ltd of Orange, Australia, confirms the technical and economic potential of the Nyngan Scandium Project (the “Project”).  The technical report is available on the Company’s website www.emcmetals.com, as well as on SEDAR at www.sedar.com.

PEA HIGHLIGHTS:

• Capital cost estimate for the Project is US$77.4 million,
• Operating cost estimate for the Project is US$636/kg scandium oxide,
• Oxide product volume is 35,975 kg per year,
• Project Constant Dollar NPV_10%  is US$175 million, (NPV_8% is US$217 million),
• Project Constant Dollar IRR is 40.6%,
• Oxide product grades of 97-99% are estimated, and
• Scandium recovery estimate is 84.3%.

This PEA is preliminary in nature and should not be considered to be a pre-feasibility or feasibility study, as the economics and technical viability of the Project have not been demonstrated at this time. While this PEA does not consider or include any Inferred Mineral Resources, and does include only Measured and Indicated Resources, it remains a preliminary analysis that is not sufficient to enable Project Resources to be categorized as Mineral Reserves.  Furthermore, there is no certainty that the estimates in the PEA will be realized.

The PEA concludes that the Project has the potential to produce 35,975 kilograms of scandium oxide (scandia) per annum, at product grades of 97%-99%, generating an after-tax cumulative cash flow over a 20 year Project life of US$565 million, with an NPV_10% of US$175 million. The PEA also concludes the project can achieve this financial result with a conventional flow sheet, employing high pressure acid leach (HPAL) and solvent extraction (SX) techniques, which have been modeled and validated from METSIM modeling and bench scale/pilot scale metallurgical test work. 

Project Financial Highlights and Key Assumptions

The PEA concludes the Project has the potential for robust economics, based on a capital estimate supported by conventional process designs.  The overall PEA level of accuracy is +/-30%.  The PEA is expressed in US dollars (US$), unless otherwise noted. A foreign exchange rate of US$0.90 (1A$=US$0.90) to United States dollars (US$) was applied in all conversions. No escalation for inflation was assumed in cash flows. All cash flows and discounted cash flows (NPVs and IRRs) in this news release are shown on an after-tax basis, based on a 30% tax rate.

Highlights and key assumptions are as follows:

Table 1.  Nyngan PEA Financial Highlights

ABOUT EMC METALS

EMC is focused on developing the Nyngan Scandium Project into the world’s first scandium-only producing mine.  The Company owns a 100% interest in both the Nyngan Scandium Project, and the adjacent Honeybugle Scandium Property, in New South Wales, Australia. EMC’s interest in both Nyngan and Honeybugle can potentially be reduced to 80% in the future, based on certain granted option rights. 

The Company filed a NI 43-101 technical report with estimates of Measured and Indicated Resource on the Nyngan Project in 2010, has completed extensive metallurgical test work on the resource, and intends to produce and complete a Feasibility Study on the project in late 2015.  In addition, EMC owns a 100% interest in the Tordal Scandium/REE property in southern Norway, with continued exploration efforts targeting scandium and REE minerals.

The technical information in this news release has been reviewed by Willem Duyvesteyn, a Qualified Person as defined by National Instrument NI 43-101. Mr. Duyvesteyn is employed by EMC Metals Corp. 

For additional information please contact:

EMC Metals Corp.

Investor Relations;  Ed Dickinson (CFO) (775)-233-7328 or  (925) 208-1775 or info@emcmetals.com

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

This press release contains forward-looking information that does involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements regarding the short term or long term economic feasibility of scandium production at our Nyngan scandium project, and in general, statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance. Forward-looking information in this press release is based on estimates and opinions of management and qualified persons as defined in NI 43-101 that are providing technical services to EMC, on the dates they are made and are expressly qualified in their entirety by this notice, and by other risk factors disclosed in our public filings. Such statements include metal price assumptions, cash flow forecasts, projected capital and operating costs, metal or mineral recoveries, mine life, production rates and the results of HPAL modelling and testing.  Any of these and other assumptions and forecasts may change due to reasons that impact the industry generally, such as Scandium pricing, or for reasons specific to the project. Except as required by law, EMC assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change.

Cautionary Note to U.S. Investors Regarding Resource Estimates: This press release uses the terms "indicated resources" and "measured resources" which are defined by the Canadian Institute of Mining, Metallurgy and Petroleum, and are required to be disclosed in accordance with Canadian National Instrument 43-101.  The disclosure standards in the U.S. Securities and Exchange Commission’s (SEC) Industry Guide 7 normally do not recognize information concerning these terms or other descriptions of the amount of mineralization in mineral deposits that do not constitute “reserves” by U.S. standards in documents filed with the SEC.  Under U.S. standards, mineralization may not be classified as a “reserve” unless the determination has been made that the mineralization could be economically and legally produced or extracted at the time the reserve determination is made.  Disclosure of “contained ounces” in a resource is permitted disclosure under Canadian regulations; however, the SEC normally only permits issuers to report mineralization that does not constitute “reserves” by SEC standards as in-place tonnage and grade without reference to unit measures. Accordingly, information concerning mineral deposits set forth herein may not be comparable with information presented by companies using only U.S. standards in their public disclosure.

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