Canada Carbon Inc.: Phase I Exploration Program Identifies 17 New Anomalous Conductors at Historic Miller Lump/Vein Graphite Mine, Quebec
VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 06/27/13 -- Canada Carbon Inc. (the "Company") (TSX VENTURE: CCB)(FRANKFURT: U7N1) is pleased to announce it has completed the Phase I exploration program on its 100% owned historical Miller Lump/Vein Graphite Mine located 80 kilometres ("km") west of Montreal near Grenville, Quebec. Geophysical surveying and sampling have been completed on the property resulting in the discovery of 17 new, conductive anomalies. Multiple electro-magnetic (EM) survey methods were applied by Geosig Inc. to compare the conductive response of known graphite veins through an orientation study, including those at the historical Miller Graphite Mine site. These geophysical surveys will assist in establishing high priority drill targets for an upcoming 2013 drill program and help to characterize the known graphite occurrences. At this time only 1.3 km2 of the 13.2 km2 Miller Property land package has been surveyed, with the remainder yet to be tested. Graphite samples have now been sent to both SGS Mineral Services (Lakefield) and Activation Laboratories Ltd. (ACTLABS) for purity testing and assaying, the results are expected in the next two weeks.
Miller Project Link: http://www.canadacarbon.com/miller-graphite-project
R. Bruce Duncan, Interim President & CEO of Canada Carbon states: "We are extremely pleased with the results of the Phase I exploration program on our 13.2 km2 land holding at the historic Miller Lump/Vein Graphite Mine. Multiple geophysical surveys over a portion of the property have identified 17 new conductive anomalies and helped define a series of high priority drill targets. Following up on sampling completed in March this year that returned grades as high as 80.1% Cg, the Company is now focused on expanding the recent high grade graphite discoveries. Work completed to date provides a much improved geological context for the Miller property. We anticipate a productive summer exploration season having now completed stripping of overburden and trenching of new anomalies revealing lump graphite veins at surface. A detailed sampling program to define the extent, grade and quality of the graphite mineralization is now underway and will be immediately followed by a drill program."
Instruments used in the Phase I exploration program included the MaxMin II-5, an IMAGEM prototype #2, a Beep-Mat 4+, a TxII 1800W transmitter with ELREC-6 receiver, and an Induced Polarization ("IP") survey. The MaxMin survey covered a total of 4.3 line-km with readings every 12.5 metres. The IMAGEM survey totalled 2.5 line-kilometres over lines adjacent to the historic Miller pit, and 20 readings per metre. The IP survey was done over 1.3 line-kilometres as a follow-up on IMAGEM anomalies. Within the Miller pit, the main vein at the southeast corner was delineated with the Beep Mat and was found to curve east into a brecciated zone comprising several conductive veins.
The IMAGEM survey identified seventeen (17) new anomalies. The two strongest anomalies occur 100 metres west and 20 metres east of the mine pit, with weaker but well-defined anomalous peaks to the southeast of the mine pit. The weaker anomalies are found southeast of the pit, and can be correlated from line to line to form a NW-SE trending conductive axis 320 metres in length. The axis passes north through the historic pit for 90 metres and to the southeast for 230 metres, and corresponds to the contact between marble and quartzite mapped in 1991, which is still open to the north. The Beep Mat 4+ tracked the known graphite vein extending southeast from the mine pit, which continues southeast for 25 metres, then curves east into an area with that generates a broad positive Beep Mat response. The broad response is perpendicular to the IMAGEM conductive axis, and is of particular interest as it is a brecciated zone with several intersecting graphite veins.
The IP survey included three lines as a test of the method over IMAGEM anomalies generated west and east of the Miller pit. Normalized chargeability (NC) was used to compensate for background variations linked to overburden thickness. Accordingly, ten (10) IP anomalies were detected and numbered IP-1 to IP-10. Some anomalies are correlated between lines, with IP-1 extending over 145 metres in a north-south direction, 100 metres west of the mine pit and following a geological contact between marble and quartzite. At one station, the IP-1 conductor is coincident with IMAGEM and Beep Mat anomalies, confirming the presence of a conductive body under shallow overburden. IP-1 appears to follow the southwestern contact of the marble unit with quartzite, and is still open in both directions. IP-4 and IP-5 anomalies are found immediately east of the Miller Pit, where a large graphite vein and brecciated zone are known to occur and where the three other methods also returned conductive signals. IP-7, IP-8 and IP-9 are located over a known geological contact between the marble unit and the paragneiss unit on the eastern part of the survey. The IP survey covered only 0.11 km2 of the Miller property, and therefore the potential for additional anomalous IP responses for the rest of the property still exists.
Remi Charbonneau, Ph.D., P. Geo #290 (an Associate of Inlandsis Consultants s.e.n.c.) is an Independent Qualified Person under National Instrument 43-101, and has reviewed and approved the technical information provided in this news release.
Other News
The Company also announces that it has completed the sale of its Red Chris South Property located in British Columbia to an arm's length purchaser in consideration of the payment of $90,000 and a 1.5% Net Smelter Return Royalty. The Purchaser has the option of purchasing two-thirds of the 1.5% NSR from Canada Carbon for a cash payment of $1 million. The Purchaser also agreed to arrange a replacement reclamation bond of $8,000 in connection with the transaction.
About Miller Graphite Mine
The Miller Graphite Mine, located in Grenville Township is a past graphite and mica producer with unknown graphite reserves remaining. This mine was worked around 1845 and was probably the first graphite operation in Canada. The quantity of produced graphite is unknown but it is reported that 25 rail cars of lump graphite were shipped from this deposit in the year 1900 and sent to the Globe Refining Company of Jersey City, N.J. This yielded thirty-two tons of clean crucible graphite. The Morgan Crucible Company of London and also J.H. Gauthier and Company, Jersey City, used some of this graphite in their crucibles and pronounced it equal to the best graphite known to come from Ceylon (now Sri Lanka). The property covers 13.2 km2 of land and is located 80 km west of Montreal. A main road, located approximately 800 metres from the deposit, is connected by a gravel road to the deposit allowing very easy access. A power line also crosses the property 500 metres south of the deposit. There is no certainty that further exploration will result in the development of similar deposits.
On Behalf of the Board of Directors
CANADA CARBON INC.
R. Bruce Duncan, Interim CEO and Director
"Neither 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 release."
FORWARD LOOKING STATEMENTS: This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. Investors are cautioned that these forward looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. These forward-looking statements are made as of the date hereof and, except as required under applicable securities legislation, the Company does not assume any obligation to update or revise them to reflect new events or circumstances. All of the forward-looking statements made in this press release are qualified by these cautionary statements and by those made in our filings with SEDAR in Canada (available at www.sedar.com).
Contacts:
Canada Carbon Inc.
(604) 638-0971
(604) 638-0973 (FAX)
info@canadacarbon.com
www.canadacarbon.com
