Defense Metals
Receives Hydrometallurgical Pilot Plant Proposal
From SGS Canada Inc.
News
Release - Vancouver,
British Columbia – April
20,
2021
- InvestorsHub NewsWire - Defense
Metals Corp. ("Defense
Metals") (TSX-V:DEFN / OTCQB:DFMTF / FSE:35D) is pleased to
announce
that
it
has
received
the
formal
Wicheeda
Rare Earth Element ("REE")
Project
continuous
hydrometallurgical pilot plant proposal from SGS
Canada Inc. ("SGS").
Defense
Metals is currently advancing the road accessible Wicheeda Critical
Rare Earth Element (REE) Property, which is located close to
infrastructure approximately 80 kilometres northeast of Prince
George, British Columbia (BC).
The Wicheeda project has
indicated mineral resources of 4,890,000 tonnes averaging 3.02%
LREO (Light Rare Earth Elements) and inferred mineral resources
of 12,100,000
tonnes averaging 2.90% LREO[1].
The Company's
highly successful 26-tonne
flotation
pilot plant campaign, also
completed
at the SGS Lakefield,
ON metallurgical test facility,
yielded approximately 1,200
kilograms
of high grade REE mineral concentrate. Initiation of the
hydrometallurgical pilot plant
test
program is the next step in establishing
overall flowsheet
operability at scale.
The test program will utilize representative flotation concentrate
generated during
the flotation
pilot plant campaign
and is expected to be completed in stages comprising initial gangue
leach;
caustic crack;
primary acid leach;
caustic re-crack;
impurity removal;
and REE precipitation. Parallel investigations
into operability of acid and caustic regeneration; operability of
gangue leach and caustic crack and primary acid leach circuits
using recycled reagents; in addition to tailings neutralization
studies will also be completed.
Once initiated,
subject to the Company securing sufficient financing,
completion of the various staged pilot campaigns is expected to
take approximately 6 months. Key objectives of the
planned hydrometallurgical pilot plant will be:
-
To provide proof of operability of the proposed hydrometallurgical
flowsheet for treatment of
flotation concentrate under representative processing conditions
including recycled process
streams;
-
To produce sufficient purified mixed rare earth hydroxide sample
for downstream
REE separation testing (leading
to the production of a saleable NdPr oxide
product);
-
To confirm final product purity;
-
To generate representative samples for solid-liquid separation
testing,
for use in the development of engineering cost
estimates
for key equipment.
As previously announced SGS (see
Defense Metals News Release dated
March 1,
2021)
SGS is nearing completion pre-pilot
infill
hydrometallurgical
testwork,
initiated during late 2020, designed to assist in the finalization
of the pilot plant flowsheet. The Company expects SGS to complete
the remainder of pre-pilot testwork within 4-6 weeks
time.
Craig
Taylor, CEO of Defense Metals, stated: "Since
initiating its option to acquire 100% of the Wicheeda REE Project
in late
2018 and subsequently collecting a 26-tonne bulk sample, Defense
Metals has rapidly advanced Wicheeda from an attractive prospect to
compelling resource-stage project. Flotation
and hydrometallurgical flowsheet development was completed in
parallel with our highly
successful 2019
diamond drill campaign
that
led to an upgraded and expanded mineral resource
estimate.
We are
now
excited
to take the next step in demonstrating scale-up operability of the
Wicheeda REE beneficiation
process,
leading
to the
production of a saleable NdPr oxide product."
About
the Wicheeda REE
Property
The 1,708 hectare
Wicheeda REE Property, located approximately 80 km northeast of the
city of Prince George, British Columbia, is readily accessible by
all-weather gravel roads and is nearby to infrastructure, including
power transmission lines, the CN railway and major
highways.
Geologically, the
property is situated in the Foreland Belt and within the Rocky
Mountain Trench, a major continental geologic feature. The Foreland
Belt contains part of a large alkaline igneous province, stretching
from the Canadian Cordillera to the southwestern United States,
which includes several carbonatite and alkaline intrusive complexes
hosting the Aley (niobium), Rock Canyon (REE), and Wicheeda (REE)
deposits.
Qualified
Person
The scientific and
technical information contained in this news release as it relates
to the Wicheeda REE
Property
has been reviewed and approved by Kristopher
J. Raffle, P.Geo. (BC) Principal and Consultant of APEX Geoscience
Ltd. of Edmonton, AB, a
director
of Defense Metals and a "Qualified Person" as
defined in National Instrument 43-101 – Standards
of Disclosure for
Mineral Projects. Mr. Raffle verified
the data disclosed which includes a review of the analytical and
test data underlying the information and opinions contained
therein.
About
Defense
Metals Corp.
Defense
Metals Corp.
is
a
mineral
exploration company focused on the acquisition of
mineral
deposits containing metals and elements commonly
used in the electric power market, military, national security and
the production of "GREEN" energy
technologies, such as, high
strength alloys
and rare
earth magnets.
Defense
Metals has
an option to acquire 100% of the 1,708
hectare
Wicheeda Rare Earth Element Property
located
near
Prince
George, British Columbia, Canada.
Defense
Metals Corp. trades in Canada under the
symbol "DEFN"
on the TSX Venture Exchange, in
the
United States, under "DFMTF" on the OTCQB and in
Germany
on the Frankfurt
Exchange under "35D".
For
further information, please contact:
Todd
Hanas, Bluesky Corporate Communications Ltd.
Vice
President, Investor Relations
Tel:
(778) 994 8072
Email:
todd@blueskycorp.ca
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.
Cautionary
Statement Regarding "Forward-Looking" Information
This news release
contains "forward-looking information or statements" within the
meaning of applicable securities laws, which may include, without
limitation, statements relating to
the pilot
plant proposal from SGS, the completion of the pilot plant
and the
expected outcomes, plans for its
Wicheeda Property, the advancement and development of the Wicheeda
Property, expected demand for
REE products,
the
technical, financial and business prospects of the Company, its
project and other matters. All statements in this news release,
other than statements of historical facts, that address events or
developments that the Company expects to occur, are forward-looking
statements. Although the Company believes the expectations
expressed in such forward-looking statements are based on
reasonable assumptions, such statements are not guarantees of
future performance and actual results may differ materially from
those in the forward-looking statements. Such statements and
information are based on numerous assumptions regarding present and
future business strategies and the environment in which the Company
will operate in the future, including the price of rare earth
elements, the ability to achieve its goals, that general business
and economic conditions will not change in a material adverse
manner, that financing will be available if and when needed and on
reasonable terms. Such forward-looking information reflects the
Company's views with respect to future events and is subject to
risks, uncertainties and assumptions, including those filed under
the Company's profile on SEDAR at www.sedar.com.
While
such estimates and assumptions are considered reasonable by the
management of the Company, they are inherently subject to
significant business, economic, competitive and regulatory
uncertainties and risks. Factors that could
cause actual results to differ materially from those in forward
looking statements include, but are not limited to, continued
availability of capital and financing and general economic, market
or business conditions, adverse weather conditions, failure to
maintain or obtain
all
necessary government permits, approvals and authorizations, failure
to maintain community acceptance (including First Nations),
decrease in the price of rare earth elements, the impact of
Covid-19 or other viruses and diseases on the Company's ability to
operate increase in costs, litigation, and failure of
counterparties to perform their contractual obligations. The
Company does not undertake to update forward-looking statements or
forward-looking information, except as required by
law.