VanadiumCorp releases NI 43-101 report on Lac Dore 13th April 2015 VanadiumCorp News Releases Vanadiumcorp releases NI 43-101 report on Lac Dore 2015-04-13 22:15 ET – News Release Mr. Adriaan Bakker reports NI 43-101 TECHNICAL REPORT: LAC DORE VANADIUM PROJECT WITH FIRST RESOURCE ESTIMATE COMPLETE IOS Geoscientifique Inc. and Geopointcom Inc. have completed the NI 43-101 technical report, disclosing the first resource estimate for Vanadiumcorp Resource Inc.’s Lac Dore vanadium project. A complete copy of the report can be found at SEDAR. The Lac Dore vanadium project is composed of 100-per-cent-owned mining claims spanning 45 square kilometres located 30 kilometres southeast of the mining town of Chibougamau, in central Quebec, Canada. Calculation indicates the presence of an inferred resource at 99,104,000 tonnes grading 0.43 per cent vanadium oxide. This resource represents 26,067,000 tonnes of magnetite concentrate grading 1.08 per cent of recoverable V2O5, for a mine life of 36.8 years. The estimation is based on assay results from the magnetite concentrate by Davis tube testing, rather than the more conventional head grade assays. A recovery factor of 95 per cent was used for the hydrometallurgical process, according to historical testing, but no recovery was factored in for magnetite concentration since calculation is made directly from concentrates. An overall 66.6-per-cent recovery on head grade was calculated back. In completing the report, adjustment of the pit was made to increase pit optimization and accuracy. This was achieved by resolving uncertainty with a claim boundary to increase confidence in the resource estimate. The result was a small decrease in overall tonnage and an increase in grade from the initial resource statement, disclosed in the company’s news release dated Feb. 27, 2015. Adriaan Bakker, chief executive officer of Vanadiumcorp, stated: “This is a landmark step in advancing the Lac Dore project to production. The report utilizes over 50 years of work to validate significant tonnage, significant mine life, good metallurgy, production scenarios and comparisons to leading global producers. Of key importance is the confirmation of high-quality mineralization with low impurities, such as low silica (less than 1 per cent). Our main objective is to establish the ability to produce high-purity vanadium products at the mine, and keep that added value in Canada. Nearby infrastructure, coupled with strong community and government alliances, bode very well for the production potential of Lac Dore. Vanadiumcorp has established a world-class vanadium resource in mining-friendly Quebec, positioning the company as the supply solution for vanadium in North America.” INFLUENCE OF MARKET PRICE ON RESOURCE ESTIMATES: RESOURCE SENSITIVITY TO MARKET PRICE Market price V2O5 ($ (U.S.)/pound) $4.00 $5.50 $7.00 Mineralization (metric tonne) 68,798,000 99,104,000 111,209,000 Waste (metric tonne) 103,808,000 165,690,000 205,388,000 Magnetite concentrate (metric tonne) 19,633,000 26,067,000 28,844,000 Strip ratio: waste/magnetite 1.51 1.67 1.85 Recoverable V2O5 tonnage (metric tonne) 226,090 282,370 303,660 Grade of the magnetite concentrate (% V2O5) 1.15% 1.08% 1.05% Eq. grade of the resource (66.6% net recovery) 0.49% 0.43% 0.41% The limits used for the resource estimation of the East deposit included the usage of ordinary Kriging method with omnidirectional variograms: a pit depth of 200 metres with a 50-degree slope, a cut-off magnetite abundance of 15 per cent with mining costs set at $1.80 per metric tonne, magnetite concentration cost at $2.50 per metric tonne and roasting cost set at $40 per metric tonne of magnetite based on industry standards. A market value of $5.50 (U.S.) per pound of V2O5 was chosen, representing the stable average pricing for the last 10 years. Mining rates were constrained by the capacity of a conventional rotary kiln five metres in diameter, which represents the current maximum technically achievable. Highlights of the resource estimate include: Hydrometallurgical recovery: 95 per cent, already factored in the resource estimate; Inferred resource tonnage: 99,104,000 metric tonnes of 0.43 per cent V2O5; Waste tonnage: 165.69 million metric tonnes; Mining life: 36.8 years; Pit ratio: 1.67 to account for waste removal; Magnetite content: 26,067,000 metric tonnes or 26.3 per cent; Recoverable vanadium grade in magnetite: 1.08 per cent V2O5; Total recoverable vanadium: 282,370 metric tonnes V2O5 or 621 million pounds; Roasting throughput: 82 tonnes per hour, or 708,000 tonnes per year; Milling rate: 2,692,000 tonnes per year; Mining rate: 7,188,000 tonnes per year, including waste removal; Vanadium pentoxide production of 7,700 tonnes per year. Beneficiation tests on the Lac Dore magnetite were conducted by at least eight different groups or laboratories, meaning that this part of the process is well mastered. Extensive metallurgical testing on Lac Dore mineralization was carried out by past owners of the project, and indicates clearly the suitability of the mineralization to beneficiation, and the recoverability of vanadium by conventional alkali-roasting, as well as smelting processes. Both tested routes, alkali roasting and intensive fusion, have been commercially operated worldwide upon similar ore for more than 50 years and are proven technologies. Laboratory and pilot plant tests on Lac Dore mineralization were carried out by various independent laboratories, which indicated clearly that the mineralization behaves similarly to other vanadiferous-magnetite deposits in production in South Africa, China and Russia. The report describes in detail the market potential for vanadium-strengthened steel and vanadium batteries in North America, the need for adequate domestic supply, and the potential for the Lac Dore project to fulfill the growing need. The report stated: “The increasing dependency of supply of vanadium demand in USA and Canada from unstable or government-oriented jurisdictions, like Venezuela, South Africa, Russia and China, is of great concern. No strategic stockpile is available any more in United States. “Vanadium has long been considered as a strategic metal by the American government. North American vanadium consumption outpaces production by 10,000 tonnes annually.” By comparison, the Lac Dore project would produce about 7,700 tonnes annually. The resource classification definitions used for this report are those published by the Canadian Institute of Mining, Metallurgy and Petroleum in its document, CIM definition standards for mineral resources and reserves, dated as of Nov. 27, 2010. Procedures and classification used are outlined in the report by Christian D’Amours and Rejean Girard that is now filed on SEDAR and available at the company’s website. Resources were classified as inferred based on the fact that they were calculated from historical drill holes only with their intrinsic uncertainties. This release was approved by Mr. Girard, PGeo. Mr. Girard is a qualified person as defined by National Instrument 43-101. The portion related to the resource estimation has also been approved by Mr. D’Amours, PGeo, a qualified person as defined by National Instrument 43-101. Click here for the latest vanadium industry news… Click here for the latest climate change news… More information on company activities and vanadium redox batteries, including global installations, can be found on the company’s website at www.vanadiumcorp.com VanadiumCorp, Suite 400, 1505 West 2nd, Vancouver, BC, Canada, Vancouver, BC V6H 3W4 Canada Share This Tweet Share Share Email Related Posts High Purity Iron Produced Using Hydroelectricity VanadiumCorp is pleased to announce the first reactor installation is complete, in operation and successful and consistent recovery of high purity electrolytic iron directly from VTM concentrated from drill core from the Company’s Lac Doré Vanadium Project using conventional milling and magnetic separation. VanadiumCorp and Electrochem Technologies & Materials Inc. 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