HudBay intersects 34.5 meters of 13.35 g/t Au and 5.33% Cu
TORONTO, ONTARIO, Sep 22, 2009 (Marketwire via COMTEX News
Network) -- HudBay Minerals Inc. ("HudBay", "the company") (TSX:HBM)
today announced major new copper and gold drill hole intersections at
its 100% owned Lalor deposit near its Snow Lake concentrator in the Flin
Flon Greenstone Belt.
Recent drill holes intersected what is
believed to be a new zone of significant copper-gold rich mineralization
that is lower in the stratigraphy than the previously announced zinc
rich Base Metal zone and Separate and Contact Gold zones. At Lalor,
HudBay has now identified a zinc rich Base Metal zone, as described in a
NI 43-101 technical report dated September 19, 2008, Separate and
Contact Gold zones, and most recently a new Copper-Gold zone.
Recently,
drill hole DUB263W02 intersected the new Copper-Gold zone, and assayed
13.35 g/t Au, 27.98 g/t Ag, 5.33% Cu and 0.35% Zn over
34.54 meters from 1253.08 to 1287.62 meters. (Please see attached
table).
Notable results were also intersected in drill hole DUB252W01, which
are believed to correlate with the new Copper-Gold zone and which
assayed 12.54 g/t Au, 26.67 g/t Ag, 3.69% Cu, and 0.18% Zn over 9.12
meters from 1140.00 to 1149.12 meters and 8.08 g/t Au, 15.33 g/t Ag,
1.60 % Cu, and 0.12% Zn over 13.39 meters from 1176.00 to 1189.39
meters.
"The copper and gold intersection in hole DUB263W02 is
among the best I have seen in nearly 40 years in the mining business and
the new Copper-Gold zone may be very significant," said Peter R. Jones,
HudBay's chief executive officer. "Excluding the new Copper-Gold zone,
HudBay's target is to reach three million contained ounces of gold. The
Lalor project is our focus and we will continue to advance it to a
production decision with the highest priority."
HudBay also announced today that by early October 2009 it expects to release
the following for the Lalor project:
- An updated NI 43-101 compliant resource estimate for the zinc rich Base Metal zone for use in the Lalor feasibility study;
- A new NI 43-101 compliant conceptual estimate of potential tonnes and grade for the Separate and Contact Gold zones;
- Additional drill hole assay information concerning the Separate and Contact Gold zones;
-
The access method to the Lalor deposit, either by dual shafts, or a
single shaft and ramp from HudBay's Chisel North mine, which is three
kilometers from the deposit; and
- Conceptual project design parameters, including construction and production timelines, and capital costs.
"Since
2007, and especially this past year, considerable effort has been
invested to advance the Lalor project. We have committed to high
standards of transparency to our investors and are pleased to now be
sharing these extraordinary results and our plans with them," said Mr.
Jones. "In addition, we expect to immediately commit to a
pre-feasibility study and consideration of an early access to the
deposit."
HudBay announced the Lalor discovery in March 2007 and
subsequently announced an Indicated Resource of 3.4MT 1.9 g/t Au, 20.5
g/t Ag, 0.71% Cu, 8.82% Zn, and an Inferred Resource of 13.2MT 2.9 g/t
Au, 34.1 g/t Ag, 0.70% Cu, 8.19% Zn (for further details please see
HudBay's NI 43-101 technical report dated September 19, 2008). In
January 2009, HudBay reported the discovery of a new gold zone with the
potential to have principal credits derived from gold mining.
Since
the last press release on Lalor dated May 5, 2009, the ongoing
exploration program at Lalor has focused on extension of the Separate
and Contact Gold zones as well as improving the knowledge of their
continuity.
Five drills continue to operate at Lalor, with two
exploring the extensions to the Separate and Contact Gold zones and the
newly discovered Copper-Gold zone. Two other drills are focused on close
spaced drilling within the Separate and Contact Gold zones to further
confirm gold mineralization continuity and one drill is collecting
metallurgical samples.
----------------------------------------------------------------------------
HOLE From To Core Estimated East North Depth
Length Vertical meters meters meters
meters(1) thickness
meters(2)
----------------------------------------------------------------------------
DUB252W01 1140.00 1149.12 9.12 9.58 2110 5604 -1128
----------------------------------------------------------------------------
and
----------------------------------------------------------------------------
DUB252W01 1176.00 1189.39 13.39 14.06 2102 5607 -1166
----------------------------------------------------------------------------
----------------------------------------------------------------------------
DUB263W02 1253.08 1287.62 34.54 36.95 2271 5762 -1253
----------------------------------------------------------------------------
includes
----------------------------------------------------------------------------
DUB263W02 1256.03 1265.84 9.81 10.50 2273 5762 -1244
----------------------------------------------------------------------------
DUB263W02 1265.22 1265.84 0.62 0.66 2272 5762 -1249
----------------------------------------------------------------------------
and
----------------------------------------------------------------------------
DUB263W02 1276.19 1279.61 3.42 3.65 2271 5762 -1260
----------------------------------------------------------------------------
DUB263W02 1276.19 1277.19 1.00 1.07 2271 5762 -1259
----------------------------------------------------------------------------
----------------------------------------------------------------------------
HOLE From To Au g/t Ag g/t Cu% Zn%
----------------------------------------------------------------------------
DUB252W01 1140.00 1149.12 12.54 26.67 3.69 0.18
----------------------------------------------------------------------------
and
----------------------------------------------------------------------------
DUB252W01 1176.00 1189.39 8.08 15.33 1.60 0.12
----------------------------------------------------------------------------
----------------------------------------------------------------------------
DUB263W02 1253.08 1287.62 13.35 27.98 5.33 0.35
----------------------------------------------------------------------------
includes
----------------------------------------------------------------------------
DUB263W02 1256.03 1265.84 20.48 53.86 10.26 0.65
----------------------------------------------------------------------------
DUB263W02 1265.22 1265.84 125.49 110.09 9.50 0.83
----------------------------------------------------------------------------
and
----------------------------------------------------------------------------
DUB263W02 1276.19 1279.61 63.86 89.96 13.48 0.93
----------------------------------------------------------------------------
DUB263W02 1276.19 1277.19 178.97 90.82 12.20 0.84
----------------------------------------------------------------------------
(1) Intersection assays are a composite of assays calculated from interval
weighted assays over the intersection length.
(2) Vertical thickness is estimated using the local dip of the zone and the
orientation of the drill hole and is provided for projecting to a plan
map.
COLLAR LOCATIONS
----------------------------------------------------------------------------
Hole Core Grid Grid Grid Length Grid Azimuth(4) Dip
Size East North Elevation meters Direction(5)
meters meters meters
----------------------------------------------------------------------------
DUB252(1) NQ 2169 5695 0 1227 123 080 -80.0
----------------------------------------------------------------------------
DUB252W01 NQ 2169 5965 0 1260 123 080 -80.0
----------------------------------------------------------------------------
DUB263(2) NQ 2149 5695 0 1395 083 040 -75.0
----------------------------------------------------------------------------
DUB263W01(3) NQ 2149 5791 0 1476 083 040 -75.0
----------------------------------------------------------------------------
DUB263W02 NQ 2149 5791 0 1422 083 040 -75.0
----------------------------------------------------------------------------
(1) & (2) Dub 263 and Dub 252 (stem holes) have assays pending
(3) Dub 263W01 and Dub 252W01 (wedges) have assays pending
(4) "Azimuth" degrees from True North
(5) Degrees from Grid North, which is 317 degrees from True North
ABOUT LALOR
The Lalor deposit is located in the Chisel
basin portion of the Flin Flon Greenstone Belt and is believed to be the
largest VMS deposit found in this region to date.
- Zinc rich
base metal mineralization occurs in six separate stacked lenses of zinc
rich polymetallic near solid to solid sulphide mineralization
approximately 570 meters to 1,170 meters below surface.
- Contact
Gold zone: Low sulphide precious metal intersections associated with
chalcopyrite and galena occur in zones in contact with the near solid
sulphide mineralization. These intersections are generally high in gold
and silver and are located in the immediate hanging wall or footwall or
displaced several meters away from the near solid sulphide zinc rich
mineralization.
- Separate Gold zone: Low sulphide precious metal
intersections associated with minor chalcopyrite and
minor galena. These intersections are generally significantly removed
from the near solid sulphide lenses and do not appear to have any
association with them; however they merge, overlap and cut through them,
particularly with Zone 20.
- Copper-Gold zone: Disseminated to
near solid chalcopyrite with lesser pyrrhotite and minor pyrite,
sphalerite and galena located approximately 100 meters below the
Separate Gold zones.
For more details please refer to the NI
43-101 compliant technical report for Lalor dated September 19, 2008 and
the May 5, 2009 press release entitled "HudBay's Lalor exploration
yields more precious metals intersections."
The Lalor deposit is
approximately 15 kilometers from HudBay's concentrator in Snow Lake,
Manitoba, an area that is a significant past producer of gold. The
ongoing evaluation and exploration of the Lalor deposit is a primary
focus
for the company, as the Lalor deposit could be of significant financial
benefit to HudBay and support substantial long term activity in the Snow
Lake area.
HudBay Minerals Inc.: Strength to Build the Future
HudBay
Minerals Inc. (TSX:HBM) is a Canadian integrated mining company with
assets in North and Central America principally focused on the
discovery, production and marketing of base metals. The company's
objective is to maximize shareholder value through efficient operations,
organic growth and accretive acquisitions, while maintaining its
financial strength. A member of the S&P/TSX Composite Index and the
S&P/TSX Global Mining Index, HudBay is committed to high standards
of corporate governance and sustainability.
QUALITY ASSURANCE AND QUALITY CONTROL
Exploration
core drilling was NQ size. The core was logged and mineralized
intersections were
marked for sampling and assaying by geologists and geotechnicians
employed by HudBay's Hudson Bay Exploration and Development Company
Limited (HBED) subsidiary. The marked intersections or intervals were
sawn in half by a diamond saw and one half of the core was placed in
plastic bags and tagged with unique sample numbers, while the second
half was returned to the core box and stored. Each bagged core sample
was transported to HudBay's Hudson Bay Mining and Smelting Co., Limited
subsidiary's assay laboratory in Flin Flon, Manitoba where it was dried,
crushed and pulverized and a 250-gram sample was prepared for assaying.
From each 250 gram sample 0.25 grams was removed and leached in aqua
regia and analyzed by ICP-AES for Ag, Cu, Zn, As, Pb, Ni and Fe. Also
from the 250-gram sample, 30 grams was removed for gold determination by
fire assaying with an Atomic Absorption or gravimetric
finish.
Assaying integrity is monitored internally with a quality
control program, which includes the use of assay sample standards,
blanks, duplicates and repeats and externally through national and
international programs. In addition, within each group of 20 core
samples, one core sample has a second 250 gram split collected that will
be check assayed at Acme Analytical Laboratories Ltd., an independent
company in Vancouver, B.C. This news release provides core lengths and
estimates of vertical thickness only. True widths are not provided.
Where metal assays are provided for intersections they are either a
single assay of a sample of the entire intersection length or a
composite of assays calculated from interval weighted assays over the
intersection length.
QUALIFIED PERSON
The data herein and
the contents of this news release have been reviewed by Kelly Gilmore,
B.Sc. P. Geo., Chief Exploration Geologist with HBED, who is a Qualified
Person within the meaning of NI 43-101, with the ability and authority
to verify the authenticity and validity of the data.
FORWARD-LOOKING INFORMATION
This
news release contains "forward-looking information" within the meaning
of applicable Canadian securities legislation. Forward-looking
information includes, but is not limited to, information concerning
HudBay's interpretation of exploration results at Lalor, mineral
resource estimates and potential plans for Lalor as well as HudBay's
exploration and development plans and its strategies and future
prospects. Generally, forward-looking information can be identified by
the use of forward-looking terminology such as "plans", "expects", or
"does not expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates", or
"does not anticipate", or "believes" or variations of such words and
phrases or statements that certain actions, events or results "may",
"could", "would", "might", or "will be taken", "occur", or "be
achieved". Forward-looking information is based on the opinions and
estimates of management at the date the information is made, and is
based on a number of assumptions and subject to a variety of risks and
uncertainties and other factors that could cause actual events or
results to differ materially from those projected in the forward-looking
information. Many of these assumptions are based on factors and events
that are not within the control of HudBay and there is no assurance they
will prove to be correct.
Factors that could cause actual
results to vary materially from results anticipated by such
forward-looking information include changes in market conditions,
variations in ore
grade or recovery rates, risks relating to international operations,
fluctuating metal prices and currency exchange rates, economic factors,
government regulation and approvals, environmental and reclamation
risks, costs, timing and amount of future production, capital
expenditures and requirements for additional capital, changes in project
parameters, the possibility of project cost overruns or unanticipated
costs and expenses, permitting timelines, labour disputes and the
availability of skilled labour, results of exploration and other risks
of the mining industry, failure of plant, equipment or processes to
operate as anticipated, as well as those risk factors discussed in the
Annual Information Form for the year ended December 31, 2008 for HudBay
Minerals Inc. available at www.sedar.com.
Although HudBay has attempted to identify
important factors that could cause actual actions,
events or results to differ materially from those described in
forward-looking information, there may be other factors that cause
actions, events or results not to be anticipated, estimated or intended.
There can be no assurance that forward-looking information will prove
to be accurate, as actual results and future events could differ
materially from those anticipated in such information. HudBay undertakes
no obligation to update forward-looking information if circumstances or
management's estimates or opinions should change except as required by
applicable securities laws. The reader is cautioned not to place undue
reliance on forward-looking information.
(HBM-G)
SOURCE: HudBay Minerals Inc.
HudBay Minerals Inc.
John Vincic, Vice President, Investor Relations
and Corporate Communications
(416) 362 0615
Email: john.vincic@hudbayminerals.com
Website: www.hudbayminerals.com
Copyright (C) 2009 Marketwire. All rights reserved.
News Provided by COMTEX