NOT FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES
VANCOUVER, BC / ACCESSWIRE / July 28, 2014 / Strata Minerals Inc. (TSXV: SMP) ("Strata" or the "Company”) today announced that it has completed the 2014 exploration drilling programme at the Diamond Mountain Phosphate Project (“Diamond Mountain” or the “Project”) located in Utah.
Drilling operations commenced on June 1, 2014 and were completed July 22, 2014 utilizing one Atlas Copco LF100 track-mounted wireline rig from Major Drilling North America. A total of 2,367 metres of diamond core drilling were completed over 17 holes.
Drilling was conducted on five parcels of Strata’s State Phosphate Lease 52441, totalling 510 hectares. Phosphate mineralization was encountered at depths ranging from 120 to 286 meters and has been initially interpreted through core observation to be within a mineralized zone ranging between 4.1 and 5.2 metres thick and averaging 4.7 metres. Assay results are pending and may result in the modification of these intervals based on minimum grade criteria.
Strata President and CEO, Jason Bahnsen commented: “The preliminary drilling results confirm the presence of significant phosphate mineralisation at Diamond Mountain and are an excellent outcome for our Phase I exploration campaign at the Project. We look forward to receiving assay results and expect to have an initial NI 43-101 resource report on the Project completed by the end of September 2014.”
Table 1 shows the depth and thickness of the phosphate mineralisation drill core intersections for the drill holes that Strata has completed. Figure 1 shows the location for each of the drill holes completed along with the historic US Steel drill hole locations.
The target of the 2014 drill campaign was to confirm the historic phosphate resource (53 million short tons at an average grade of 20% P2O5) defined by US Steel in the early 1970’s, as well as to define additional phosphate mineralisation on Strata’s State Lease areas.
Exploration activities to-date have defined the Diamond Mountain exploration target as running along strike for approximately 3.5 km. Target tonnage of 58 million metric tonnes (Mt) is divided between the State Lease areas on which the drilling occurred (49Mt) and the adjacent Federal Exploration Permit Application areas (9Mt). The Phase I drilling effectively delineated the exploration target area from areas of paleo-erosion in the north and northwest of the exploration area where the ore zone had been removed and replaced with Tertiary conglomerates.
Core samples from each of the mineralisation intercepts have been shipped to SGS in Denver for assay. Samples are undergoing XRF analysis for phosphorus pentoxide (P2O5) and a full suite of associated compounds. Strata expects to receive all assay results by September.
A geologic model of the property has been initiated by Norwest Corporation (“Norwest”) of Salt Lake City, Utah. Norwest’s scope of work also includes the completion of an initial resource estimate and supporting NI 43-101 Technical Report for the Project.
Strata anticipates that it will complete its Phase I obligations under the Option Agreement entered into between the Company and Utah Mineral Resources LLC dated November 12, 2013 (the “Agreement”), resulting in Strata earning an initial 51% interest in the Diamond Mountain Mineral Leases during 2014. Under the Agreement, following completion of the Phase I, Strata can elect to proceed to Phase II which includes the commitment of US$1.5 million in exploration expenditures during 2015 and when complete will result in Strata owning 80% of the Diamond Mountain Phosphate Leases.
Lawrence D. Henchel P. Geo., PG, Vice President Geological Services with Norwest Corporation, in accordance with NI 43-101, is the Qualified Person responsible for the technical content of this release and has reviewed and approved it accordingly. Mr. Henchel is an independent consultant contracted by the Company.
About Strata Minerals Inc.
Strata Minerals Inc. is an emerging, phosphate focused, agricultural nutrient company exploring for commercial-scale phosphate rock mineralization deposits. Armed with the objectives of becoming a supplier to the US and global fertilizer industry and generating wealth for its shareholders, Strata is currently advancing its phosphate exploration projects in Utah, USA and in Western Australia, Australia. All references to the Company in this release include the Company’s wholly owned Australian subsidiary, Strata Minerals Pty Ltd. For further information, please refer to the Company's website at http://www.strataminerals.com/. Additional disclosure of the Company’s financial statements, technical reports, material change reports, news releases and other information can be obtained on SEDAR at http://www.sedar.com/.
For further information, please contact:
Jason Bahnsen, President and CEO
Tel: +1 647 986 7542
Adam Rochacewich, CFO
Tel: +1 647 298 7824
Investor Relations Contact:
Arrowhead Business and Investment Decisions, LLC
Daniel Renaud or Thomas Renaud
Tel: +1 212 619 6889
Company profile: www.abid.co/TSXV.SMP and www.strataminerals.com
Special Note Regarding Forward Looking Statements
This new release includes “forward-looking information” and “forward-looking statements” under applicable Canadian securities laws, which includes statements related to the anticipated timing of a NI 43-101 Technical Report and completing the Company’s Phase I obligations. These statements reflect current beliefs of management of the Company and are based on information currently available which may prove to be incorrect. 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 state 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 is subject to known and unknown risks, uncertainties, and other factors that may cause the actual results, level of activity, performance, or achievements of Strata to be materially different from those expressed or implied by such forward-looking information, including risks associated with the future business and development of the company. Accordingly, readers should not place undue reliance on forward-looking information. Strata does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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.
A qualified person has not done sufficient work to classify the historical estimate as current mineral resources and Strata is not treating the historical estimate as a current resource estimate for the Diamond Mountain Project. The historic resource represents an exploration target and will require significant exploration work and analysis by a qualified person prior to verifying the historic estimate as current mineral resources under NI43-101.
Federal Phosphate Prospecting Permit Application UTU-89373. The potential quantity and grade is conceptual in nature and there has been insufficient exploration to define a mineral resource. It is uncertain if further exploration will results in the target being delineated as a mineral resource.
Table 1 – Diamond Mountain 2014 Exploration Plan – Preliminary Drilling Results
Figure 1 – Diamond Mountain 2014 Exploration Plan – Drill Hole Locations