VANCOUVER, Oct. 27, 2016 /CNW/ - (TSXV: SMY)
Search Minerals Inc. ("Search" or the
"Company") is pleased to provide an update on the pilot
plant program (the "Pilot Plant") which is being
conducted by SGS Canada Inc. ("SGS"). The Pilot Plant is
being funded by Atlantic Canada Opportunities Agency
("ACOA") and the Research & Development Corporation of
Newfoundland and Labrador ("RDC") for up to $1.25M of the $1.9M
program cost. The Pilot Plant is using the patent-pending
proprietary technology breakthrough developed by the Company (the
"Search Direct Extraction Process"), which has eliminated
grinding, flotation, and magnetic and gravity separation from the
process flow-sheet. Eliminating these processes has significantly
reduced the capital and operating costs of the processing of
material to a mixed rare earth concentrate.
The program has two phases: a bench-scale program and a
continuous pilot-scale program. The bench-scale work is nearing
completion (target completion is November
2016 for all reporting). Below are some key accomplishments
of the bench-scale testing to date:
- The bench-scale testing has confirmed the leachability of the
FOXTROT material by the Search Direct Extraction Process.
- The removal of uranium from the rare earth leach solution by
ion exchange has been demonstrated. This will provide for low
levels of uranium in the final mixed rare earth oxide for
refining.
- The removal of zinc as a zinc sulfide precipitate has been
demonstrated. This will provide for low levels of zinc in the final
mixed rare earth oxide for refining.
The continuous pilot plant equipment is in the final stages of
design and procurement. A Holoflite unit (the "Holoflite")
has been rented from the Metso Corporation for demonstrating the
use of the Holoflite in the acid thermal treatment step. The unit
has been commissioned at SGS and demonstrated to be able to
continuously treat 10 kg/hour of FOXTROT material at 180 to 200 °C.
The Holoflite system is a heating system normally used to dry
mineral concentrates before shipping that has been adapted for use
in the treatment of Foxtrot material with acid he current target
for completion of the construction of the "front end" pilot plant
is December 2016 (process from ore
crushing to precipitation of a mixed rare earth carbonate or
hydroxide). The completion of the "back end" through to high purity
mixed rare earth oxide will follow closely on these dates.
Greg Andrews, President and CEO,
states, "We are looking forward to completion of the pilot plant,
as it will provide Search with samples of a mixed rare earth
concentrate created from the FOXTROT deposit. These samples will be
crucial to provide potential refineries or new technology companies
with actual product to further separate into individual oxides. We
continue to seek strategic investors and offtake partners and these
samples will help us towards this goal. We are also expecting to
commence foundational environmental work during the pilot plant
operation, which will provide crucial data, such as dry residue
analysis and liquid effluent analysis, as we have initiated the
process to complete environmental applications."
Qualified Person:
Dr. David Dreisinger, Ph.D.,
P.Eng., is the Company's Vice President, Metallurgy and Qualified
Person for the purposes of NI 43-101. Dr. Dreisinger has reviewed
and approved the technical disclosure contained in this news
release as applicable. The company will endeavour to meet high
standards of integrity, transparency, and consistency in reporting
technical content, including geological and assay (e.g., REE)
data.
About Search Minerals Inc.
Led by a proven management team and board of directors, Search
is focused on finding and developing resources within the emerging
Port Hope Simpson Critical Rare Earth Element (CREE) District of
SE Labrador. The Company controls
a belt 70 km long and 8 km wide including its 100% interest in the
FOXTROT Project which is road accessible and at tidewater.
Exploration efforts have advanced "Deepwater Fox" and "Fox Meadow"
as significant new CREE prospects very similar and in close
proximity to the FOXTROT discovery. While the Company has
identified more than 20 other prospects in the District, its
primary objective remains development of FOXTROT by confirming
proprietary processing technology at the pilot plant level (in
progress) and delineation of prospects that will ensure
competitive-low cost production beyond the 14-year mine life
contemplated in the preliminary economic assessment of FOXTROT
completed in April 2016. The FOXTROT Project has a low
capital cost to bring the initial project into production
($152 M), a short payback period, and
is scalable due to Search's proprietary processing technology.
All material information on the Company may be found on its
website at www.searchminerals.ca and on SEDAR at www.sedar.com
About CREE's
Identified as Neodymium (Nd), Europium
(Eu), Terbium (Tb), Dysprosium (Dy) and Yttrium (Y), this valuable
subset of the complete series of seventeen rare earth elements is
considered critical due to high demand and/or constrained domestic
supply. Containing unique properties which enhance the performance
of a range of innovative technologies, CREE's are essential
components in the development of permanent magnets and a variety of
other components used in renewable energy, green technology
automobiles, medical devices, electronics and agricultural
production.
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.
Cautionary Statement Regarding "Forward-Looking"
Information.
This news release includes certain "forward-looking information"
and "forward-looking statements" (collectively "forward-looking
statements") within the meaning of applicable Canadian and
United States securities
legislation including the United States Private Securities
Litigation Reform Act of 1995. All statements, other than
statements of historical fact, included herein, without limitation,
statements relating the future operating or financial performance
of the Company, are forward-looking statements.
Forward-looking statements are frequently, but not always,
identified by words such as "expects", "anticipates", "believes",
"intends", "estimates", "potential", "possible", and similar
expressions, or statements that events, conditions, or results
"will", "may", "could", or "should" occur or be achieved.
Forward-looking statements in this news release relate to, among
other things future events or the Company's future performance,
business prospects or opportunities. Actual future results may
differ materially. There can be no assurance that such
statements will prove to be accurate, and actual results and future
events could differ materially from those anticipated in such
statements. Forward-looking statements reflect the beliefs,
opinions and projections on the date the statements are made and
are based upon a number of assumptions and estimates that, while
considered reasonable by the respective parties, are inherently
subject to significant business, economic, competitive, political
and social uncertainties and contingencies. Many factors,
both known and unknown, could cause actual results, performance or
achievements to be materially different from the results,
performance or achievements that are or may be expressed or implied
by such forward-looking statements and the parties have made
assumptions and estimates based on or related to many of these
factors. Such factors include, without limitation, general
business, economic and social uncertainties; litigation,
legislative, environmental and other judicial, regulatory,
political and competitive developments; and those additional risks
set out in Search's public documents filed on SEDAR at
www.sedar.com. Although Search believes that the
assumptions and factors used in preparing the forward-looking
statements are reasonable, undue reliance should not be placed on
these statements, which only apply as of the date of this news
release and no assurance can be given that such events will occur
in the disclosed time frames or at all. Except where required by
law, Search disclaims any intention or obligation to update or
revise any forward-looking statement, whether as a result of new
information, future events, or otherwise.
SOURCE Search Minerals Inc.