VANCOUVER, Sept. 19, 2014 /PRNewswire/ - Brazil Resources
Inc. (the "Company" or "Brazil Resources") (TSX-V: BRI; OTCQX:
BRIZF) is pleased to announce that it has received a National
Instrument 43-101 ("NI 43-101") technical report (the "Technical
Report") on its Rea Uranium Project (the "Rea Project"),
Western Athabasca Basin. The
Company acquired the Rea Uranium Project as part of its acquisition
of Brazilian Gold Corporation late last year. It is controlled 75%
by Brazil Resources Inc. and 25% by Areva Resources Canada Inc. The
independent Technical Report summarizes historic exploration
programs and highlights two prominent uranium targets for follow-up
exploration.
The Rea Project is located 185 km
north-northwest of Fort McMurray,
Alberta in the western portion of the Athabasca Basin, an underexplored area that
has seen renewed exploration activity as a result of recent near
surface, high-grade discoveries in the nearby Patterson Lake area
(Rea Location Map). The Project consists of 12 contiguous
exploration permits covering approximately 885 sq km. that surround
Areva's Maybelle River Project, which hosts the relatively shallow
(150 m below surface), high-grade Maybelle uranium deposit. The
Athabasca Basin contains some of
the largest and highest grade uranium deposits in the world and is
currently estimated to contribute approximately 15.5% of the annual
world-wide uranium production.
The recommended exploration program, as outlined
in the Technical Report, is focused on two high priority targets
(North Zone and West Zone; Rea North and West Zone Map). The North
Zone target is located directly north of Areva's permits, where the
Maybelle River Shear Zone ("MRSZ") can be traced for an additional
11 km to the north by geophysics and drilling on the Rea Project.
Historic drilling (7 holes) in this area has tested the MRSZ over a
strike distance of approximately 3 km, with several of these holes
intersecting fault breccias in the overlying Athabasca Basin sedimentary rocks along with
associated clay alteration, dravite, geochemically anomalous
uranium and pathfinder elements (copper, lead, nickel, arsenic,
boron and vanadium), features commonly associated with
unconformity-type uranium deposits. The recommended drill holes
(approx. 6 holes totaling 2,600 m) will test below these historic
holes closer to the intersection of the MRSZ and the unconformity
separating the Athabasca Basin
sedimentary rocks and the underlying Archean basement. Most of the
uranium mineralization discovered to date in the Athabasca Basin is located at or near the
unconformity, where it is cut by a re-activated basement shear
zone. The West Zone target is an airborne EM conductor located 1.5
km west of the Maybelle deposit and sub-parallel to the MRSZ. The
recommended program will include a ground EM survey to better
define the location of the airborne EM conductor and will be
followed-up by diamond drilling.
Historic exploration programs were completed by
a number of companies including Eldorado Nuclear Ltd. and Uranerz
Exploration and Mining Limited ("Uranerz") from the mid-1970's to
the late-1990's on ground now covered mostly by the Rea and
Maybelle River Project. The programs included various geochemical
surveys (lake, stream and soil), boulder prospecting, airborne and
ground geophysics and diamond drilling that led to the discovery of
the relatively shallow, high-grade Maybelle deposit by Uranerz in
1988. Since that time, most of the ground was allowed to lapse by
prior owners, except for a small strip of permits covering the
north-northwest to southeast trending MRSZ that hosts the Maybelle
deposit.
In 2005, a large land package surrounding the
Maybelle River Project was acquired by Brazilian Gold Corporation
("BGC") and subsequently optioned to UraMin Inc. in 2006; UraMin
Inc. was purchased by Areva in 2007 and BGC was acquired by Brazil
Resources in 2013. Historic exploration programs completed on the
Rea Project during the period from 2005 to 2012 by prior operators
included: airborne magnetics, EM and gravity surveys, ground EM and
induced polarization (IP) surveys, and diamond drilling (8 holes
totaling 1,908 m). The programs were successful in mapping the
northern and southern continuation of the MRSZ (EM conductor high),
which hosts the Maybelle deposit, onto the Rea Project as well as
several parallel conductors to the west and east of the MRSZ, which
are considered prospective for uranium mineralization. The Company
and previous owners have not completed sufficient work to date to
identify economic uranium mineralization at the Rea Project. Due to
the historic nature of prior exploration programs and results and
the lack of full quality assurance and control procedures, the
authors of the technical report could not independently verify
historic exploration results.
The authors of the Technical Report are
Irvine R. Annesley, Ph.D., P.Geo.
and Roy Eccles, M.Sc., P.Geol. The
Technical Report will have an effective date of September 12, 2014. For further information
regarding the Rea Project, readers should refer to the Technical
Report, which the Company intends to file on the SEDAR website in
due course. Mr. Eccles completed a site visit to the Rea Project on
July 8, 2014. Dr. Annesley and Mr.
Eccles are both Qualified Persons in their respective fields as
defined by NI 43-101, are independent of Brazil Resources, and have
reviewed the relevant technical information as disclosed in this
news release.
Paulo Pereira,
Brazil Resources' Vice President of Exploration has reviewed and
approved the technical information contained in this news release.
Mr. Pereira holds a Bachelors degree in Geology from Universidade
do Amazonas in Brazil, is a
Qualified Person as defined in NI 43-101 and is a member of the
Association of Professional Geoscientists of Ontario.
About Brazil Resources Inc.
Brazil Resources Inc. is a public mineral
exploration company with a focus on the acquisition and development
of projects in emerging producing gold districts in Brazil, Paraguay and other parts of South America. Currently, Brazil Resources is
advancing its Cachoeira and São Jorge Gold Projects located in the
State of Pará, northeastern Brazil.
Forward Looking Statements
This document contains certain
forward-looking statements that reflect the current views and/or
expectations of Brazil Resources with respect to its business and
future events, including the Company's expectations respecting the
Rea Project and future exploration program. Forward-looking
statements are based on the then-current expectations, beliefs,
assumptions, estimates and forecasts about the business and the
markets in which Brazil Resources operates. Investors are cautioned
that all forward-looking statements involve risks and
uncertainties, including: the inherent risks involved in the
exploration and development of mineral properties, the
uncertainties involved in interpreting drill results and other
exploration data, the potential for delays in exploration or
development activities, the geology, grade and continuity of
mineral deposits, the possibility that future exploration,
development or mining results will not be consistent with Brazil
Resources' expectations, accidents, equipment breakdowns, title and
permitting matters, labour disputes or other unanticipated
difficulties with or interruptions in operations, fluctuating metal
prices, unanticipated costs and expenses, uncertainties relating to
the availability and costs of financing needed in the future,
including to fund any exploration programs on the Rea Project,
commodity price fluctuations or regulatory restrictions, including
environmental regulatory restrictions. These risks, as well as
others, including those set forth in Brazil Resources' filings with Canadian
securities regulators, could cause actual results and events to
vary significantly. Accordingly, readers should not place undue
reliance on forward-looking statements and information. There can
be no assurance that forward-looking information, or the material
factors or assumptions used to develop such forward looking
information, will prove to be accurate. Brazil Resources does not
undertake any obligations to release publicly any revisions for
updating any voluntary forward-looking statements, except as
required by applicable securities law.
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 news release.
Brazil Resources Inc.
Stephen Swatton, Chief Executive
Officer
Patrick Obara, Chief Financial
Officer
Telephone: (855) 630-1001
SOURCE Brazil Resources Inc.
PDF available at:
http://stream1.newswire.ca/media/2014/09/19/20140919_C9316_DOC_EN_42820.pdf
PDF available at:
http://stream1.newswire.ca/media/2014/09/19/20140919_C9316_DOC_EN_42821.pdf