Nuinsco Resources Limited
TSX : NWI

Nuinsco Resources Limited

October 16, 2009 10:58 ET

Nuinsco Provides Update on Prairie Lake Project

Rare earth, phosphorous, niobium, uranium potential being evaluated

TORONTO, ONTARIO--(Marketwire - Oct. 16, 2009) - Nuinsco Resources Limited ("Nuinsco")(TSX:NWI) (www.nuinsco.ca) today provided an update on activities underway at its 100% owned Prairie Lake Project in northwestern Ontario. The Company is continuing to review and analyze past results and is evaluating the viability of dense media separation and magnetic separation as a means of concentrating mineralization. The Company is also conducting flotation separation tests on Prairie Lake mineralization, which includes a broad range of commodities such as rare earth elements (REE) (including lanthanum (La), cerium (Ce), samarium (Sm), neodymium (Nd) and yttrium (Y)), niobium (Nb), tantalum (Ta), phosphorous (P) and uranium (U).

Project highlights include:

  • Year-round access. Prairie Lake is located just 28km north of the Trans-Canada Highway and is accessible by an all-weather road which crosses the property.
  • Vast mineralized area. The Prairie Lake Carbonatite Complex has a surface area of 2.8 km2 (approximately 2km north-south by 1.7km east-west) with a pronounced circular topographic expression and relief of 5-70m above the surrounding plain, further enhancing the accessibility of the project.
  • Uranium resource. The Jim's Showing area at Prairie Lake hosts a near-surface historic (non-NI-43-101-compliant) resource of over 180,000 tonnes grading 0.09% U3O8 and 0.25% Nb2O5.
  • Significant past work. The weighted average of all core samples drilled at Prairie Lake from 1969 to 2008 is 0.13% Nb2O5 (2,502 analyses), 3.93% P2O5 (2,484 analyses) and 0.003% Ta2O5 (1,755 analyses).
  • Near-surface mineralization that continues to depth. Mineralization occurs at surface and carbonatite rock continues to depths of at least 500m with grades similar to those at and near surface. For example: 3.16% P2O5, 0.104% Nb2O5, and 0.003% Ta2O5 over 82.32m (DDH NP0809; 443 to 525.58m) and 3.96% P2O5, 0.082% Nb2O5 and 0.003% Ta2O5 over 372m (DDH NP0810; 125 to 497m).
  • Higher grade intervals. Drilling indicates potential for domains of elevated grade:
    • 18.05% P2O5, 0.76% Nb2O5 and 0.018% Ta2O5 over 1 metre (DDH NP0709; 49-50m)
    • 6.12% P2O5, 1.01% Nb2O5 and 0.007% Ta2O5 over 1 metre (DDH NP0711; 97.5-98.5m)
    • 4.41% P2O5, 0.37% Nb2O5 and 0.059% Ta2O5 over 1 metre (DDH NP0711; 23.75-24.75m).

Paul Jones, President acts as QP under NI 43-101 and has reviewed and approved the contents of this news release.

About Nuinsco Resources

Nuinsco is a growth-oriented, multi-commodity mineral exploration and development company that is focused on uranium, copper, zinc and gold exploration and development in world-class mineralized belts in Canada and Turkey. In addition to its property holdings, Nuinsco owns approximately 9% of the outstanding common shares of precious and base metals producer Gold Hawk Resources Inc. (TSX VENTURE:CGK) and an interest in the Corner Bay copper project owned by Campbell Resources Ltd. (TSX:CCH). Shares of Nuinsco trade on the Toronto Stock Exchange under the symbol NWI.

Please visit the Company's website at www.nuinsco.ca. Should you wish to receive Company news via email, please email catarina@chfir.com and specify "Nuinsco Resources" in the subject line.

The resource estimate quoted herein is based on prior data and reports obtained and prepared by previous operators and the Company. The Company has not completed the work necessary to verify the classification of the mineral resource estimate. The Company is not treating the mineral resource estimate as NI 43-101 defined resources verified by a qualified person. The historical estimate should not be relied upon. This property requires considerable further evaluation which Nuinsco's management and consultants intend to carry out in due course. FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements." All statements, other than statements of historical fact, that address activities, events or developments that Nuinsco believes, expects or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek," "anticipate," "believe," "plan," "estimate," "expect," and "intend" and statements that an event or result "may," "will," "can," "should," "could," or "might" occur or be achieved and other similar expressions. These forward-looking statements reflect the current expectations or beliefs of Nuinsco based on information currently available to Nuinsco. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of Nuinsco to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Nuinsco. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to successfully complete financings, capital and other costs varying significantly from estimates, production rates varying from estimates, changes in world copper and/or gold markets, changes in equity markets, uncertainties relating to the availability and costs of financing needed in the future, equipment failure, unexpected geological conditions, imprecision in resource estimates, success of future development initiatives, competition, operating performance of facilities, environmental and safety risks, delays in obtaining or failure to obtain necessary permits and approvals from government authorities, and other development and operating risks. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Nuinsco disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although Nuinsco believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

Contact Information

  • Nuinsco Resources Inc.
    Rene Galipeau or Sean Stokes
    416.626.0470
    416.626.0890 (FAX)
    admin@nuinsco.ca
    www.nuinsco.ca
    or
    CHF Investor Relations
    Robin Cook
    Senior Account Manager
    416.868.1079 ext. 228
    416.868.6198 (FAX)
    robin@chfir.com
    or
    CHF Investor Relations
    Catarina Cerqueira
    Associate Account Manager
    416.868.1079 ext. 251
    416.868.6198 (FAX)
    catarina@chfir.com