TORONTO, May 5, 2011 /PRNewswire/ -- Duluth Metals Limited ("Duluth Metals" and "Company") (TSX: DM) (TSX: DM.U) is pleased to announce an aggressive spring/summer exploration and drilling program on the Company's 100% owned exploration properties. The Duluth Metals' land position in the Duluth Complex provides an exciting opportunity for future growth outside of the joint venture, while the Twin Metals Project is being advanced by Twin Metals Minnesota LLC. The exploration program is fully financed by the Company which had US$38 million in the treasury as of March 28, 2011.
The spring/summer program on the exploration properties includes:
- Follow-up and evaluation of a 7,053 line kilometre airborne VTEM-Magnetic survey over a 649 square kilometre area within the Duluth Complex which identified high priority targets for follow-up
- Evaluation of 2D and 3D models of magnetic susceptibility, gravity anomalies, and conductivity over the region
- Interpretation of the VTEM-Magnetic survey has been completed by Condor Consulting Inc., a world leader in airborne geophysical analysis
- A budgeted US$6 Million (10,000 meter) drilling program, with drilling on the first target area commencing in June
- A regional glacial till geochemistry and mineralogy program to detect and delineate unexposed mineralization
- Additional geological mapping coordinated with geophysics and geochemistry
- Expansion of the exploration team to 12 people in order to conduct a comprehensive summer field program.
Duluth Metals holds 31,000 acres of high value, grassroots exploration interests in the Duluth Complex. These properties were acquired on the basis of Duluth Metals' expertise on the mineral potential of mafic intrusions in general and the Duluth Complex in particular. This expertise led to the discovery of the world-class Nokomis Deposit, which based on the qualified resource(1) contains over 7.75 billion pounds of Indicated copper and 3.82 billion pounds of Inferred copper; 2.43 billion pounds of Indicated nickel and 1.25 billion pounds of Inferred nickel; and, 11.67 million ounces of Indicated precious metals (platinum+palladium+gold) and 6.03 million ounces of Inferred precious metals. The Company's strategy is to explore close to our known deposits and leverage our exploration team's knowledge of the Duluth Complex mineralizing system in new and innovative ways.
The primary focus is exploration for high-value mafic intrusion-hosted copper-nickel-platinum group metals deposits, including magma conduit-hosted nickel-rich massive sulphides, stratiform platinum-palladium reef style mineralization, as well as Nokomis-style copper-nickel-platinum group metals-rich disseminated sulphides. A budget of $8 Million is allotted for the full 2011 exploration program. While drilling will commence on selected state and private lands in early June, the Company still awaits the issuance of several pending Federal Prospecting Permits.
Phillip Larson, P. Geo. is the Qualified Person for Duluth and Senior Geologist for Duluth, in accordance with NI 43-101 of the Canadian Securities Administrators, and is responsible for Duluth's technical content of this press release and quality assurance of the exploration data and analytical results.
(1)The current NI 43-101 compliant Resource Estimate dated December 2009 for the Nokomis Deposit consists of 550 million tonnes of Indicated Resources grading 0.639% copper, 0.200% nickel, 0.660 grams per tonne TPM (TPM = Pt + Pd + Au) for a copper equivalent (CuEq) grade of 1.51%, plus an additional 274 million tonnes of Inferred Resources grading 0.632% copper, 0.207% nickel, 0.685 grams per tonne TPM for a CuEq grade of 1.53% (see December 10, 2009, Technical Report On The Mineral Resource Estimate For The Nokomis Deposit On The Nokomis Property, Minnesota, U.S.A. on http://www.sedar.com.)
About Duluth Metals Limited
Duluth Metals Limited is committed to acquiring, exploring and developing copper, nickel and platinum group metal (PGM) deposits. Duluth Metals has a joint venture with Antofagasta plc on the Twin Metals Project, located within the rapidly emerging Duluth Complex mining camp in north-eastern Minnesota. The Duluth Complex hosts one of the world's largest undeveloped repositories of copper, nickel and PGMs, including the world's third largest accumulation of nickel sulphides, and one of the world's largest accumulations of polymetallic copper and platinum group metals. Aside from the joint venture, Duluth Metals retains a 100% position on approximately 31,000 acres of mineral interests on exploration properties adjacent to and nearby the Twin Metals Minnesota LLC joint venture.
About Twin Metals Minnesota LLC
Twin Metals Minnesota LLC is a new joint venture company, which is 60% owned by Duluth Metals and 40% by Antofagasta plc. The joint venture's principal asset is called the Twin Metals Project, located within the Duluth Complex mining camp in north-eastern Minnesota.
This document may contain forward-looking statements (including "forward-looking information" within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the US Private Securities Litigation Reform Act of 1995) relating to, among other things, the operations of Duluth, the environment in which it operates, timing and amount of capital expenditures, results of exploration and mine development, the availability of funding to Duluth and timing of geological reports. Such statements are based on operations, estimates, forecasts and projections. They are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that are difficult to predict and may be beyond the control of Duluth. A number of important factors could cause actual outcomes and results to differ materially from those expressed in forward-looking statements, including those set forth in the annual information form under the heading "Risk Factors" and in the other public filings of Duluth. Consequently, undue reliance should not be placed on such forward-looking statements. In addition, all forward-looking statements in this press release are given as of the date hereof. Duluth disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws.
For further information:
Mara Strazdins Vern Baker Director of Corporate Communications President Telephone: +1(416)369-1500 ext. 222 Telephone: +1(651)389-9990 Email: firstname.lastname@example.org Email: email@example.com
SOURCE Duluth Metals Limited