BE Resources Inc.

BE Resources Inc.

March 29, 2011 07:00 ET

BE Resources Expands Beryllium Zone and Adds Rare Earth Element Potential to Warm Springs Project in New Mexico

TORONTO, ONTARIO--(Marketwire - March 29, 2011) - BE Resources Inc. (TSX VENTURE:BER) ("BE" or the "Company") announces that it has encountered positive results for beryllium mineralization from the ongoing drilling program at its Warm Springs Beryllium Project. In addition to the beryllium values now documented to extend over 100 feet of vertical section, assaying for rare earth elements (REE) has returned anomalous values for several of the Heavy Rare Earth Elements, particularly Europium, Gadolinium, Thulium and Lutetium. 

To date, six of the 12 holes are complete with assay results received for the first two (DH10 and DH11), two more (DH12 and DH14) are with the assay lab and the next two (DH16 and DH17) will be sent for assay today. A seventh hole (DH15) is presently being drilled.

Drillhole DH10 encountered over 55 feet of beryllium mineralization with a maximum grade exceeding 0.5 percent beryllium as beryllium oxide (BeO). These results conform to those found by the U.S. Bureau of Mines in the 1960's.

"We are pleased that our drilling program continues to yield positive results," said David Tognoni, President and CEO of BE Resources. "Our drilling program and assaying process are ongoing and we expect to report further results over the coming weeks."

Assay values for the beryllium-mineralized zone of DH10 are reported in the table below.

Interval (feet) Be ppm Be % BeO %
DH10 82-87 668 0.0668 0.186
DH10 90-95 >1000 0.19 0.528
DH10 95-100 >1000 0.24 0.667
DH10 100-105 >1000 0.13 0.361
DH10 105-110 450 0.045 0.125
DH10 110-115 >1000 0.14 0.389
DH10 115-120 667 0.0667 0.185
DH10 120-125 159.5 0.0159 0.044
DH10 125-130 77 0.0077 0.021
DH10 130-135 491 0.0491 0.136
DH10 135-140 131 0.0131 0.036
True widths have not yet been determined.

Although at DH11 assays of samples did not detect notable BE values, anomalous amounts of rare earth elements were discovered, particularly several of the Heavy Rare Earth Elements, such as Europium, Gadolinium, Thulium and Lutetium.

"Given the current price environment for rare earth elements, this could be a significant addition to the existing mineralization at the Warm Springs Project," said Dr. Stewart Jackson, consulting geologist on the assay results.

A complete evaluation of the REE potential will be undertaken in conjunction with the program designed to determine the distribution of Beryllium mineralization within a broad and thick stratigraphically controlled volcanic-hosted target.

The Company has implemented the following quality assurance/quality control (QA/QC) procedures for the Warm Springs exploration project:

All recovered core is carefully logged by four field engineers/geologists working in shifts. The core is maintained at the drilling location under the supervision of a field engineer/geologist. All core is photographed and logged before transfer to the on-site storage unit. This unit is weatherproof and locked for security. The photographs of the core are uniquely labelled and stored on a laptop computer and memory card. The photographs are transferred to the project office where they are reviewed by the project manager and transferred to the project-specific database. The field engineers/geologists and the project manager are employees of AMEC Earth and Environmental, Inc. At the completion of each borehole, the core is cut with an air chisel, as most of the core is soft clays and altered soft volcanics. After the core is sampled, the remaining core is returned to the secure storage for long-term storage and a sample is sent to ALS Minerals, an independent lab, for assay.

ALS Minerals Qualifications and QA/QC

The Company has selected ALS Minerals (ALS) to perform sample preparation (in Reno, Nevada) and assay work (in Vancouver, British Columbia). ALS maintains ISO 9001:2008 and ISO/IEC 17025:2005 certifications, provides all internal quality control data, and maintains a library of detailed laboratory analytical methods required as the necessary documentation for NI 43-101 Technical Reporting. The ALS Quality Management System (QMS) complies with the requirements of International Standards ISO 9001:2008. ALS has implemented the following quality assurance/quality control (QA/QC) procedures for the Warm Springs exploration project sample handling and management, and laboratory procedure and test methods are implemented.

All samples received at ALS undergo the following sample preparation in accordance with ALS Sample Preparation Package – PREP-31 Standard Sample Preparation. Sample preparation is the most critical step in the entire laboratory operation. The purpose of preparation is to produce a homogeneous analytical subsample that is fully representative of the material submitted to the laboratory. The sample is logged in the tracking system, weighed, dried and finely crushed to better than 70 percent passing a 2 mm (Tyler 9 mesh, US Std. No.10) screen. A split of up to 250 g is taken and pulverized to better than 85 percent passing a 75 micron (Tyler 200 mesh, US Std. No. 200) screen.

At ALS, Geochemical Procedure - ME-ICP61a, Evaluation of High Grade Materials Using Conventional ICP - AES Analysis Sample Decomposition was implemented for all of the Company's samples undergoing analysis: The sample is digested in a mixture of nitric, perchloric and hydrofluoric acids. Perchloric acid is added to assist oxidation of the sample and to reduce the possibility of mechanical loss of sample as the solution is evaporated to moist salts. Elements are determined by inductively coupled plasma – atomic emission spectroscopy (ICP - AES).

A summary of the geology is reported in the Company's 2009 NI 43-101 compliant technical report titled "Technical Report on the Warm Springs Beryllium Property, Socorro County, New Mexico USA" dated June 5, 2009 and filed on SEDAR at on July 2, 2009.

Qualified Person

David Tognoni, PE, President & CEO of the Company, is the Qualified Person (as defined under National Instrument 43-101) for the project and is responsible for verification of the data and the contents of this news release. David Tognoni has supervised all aspects of the project including drilling, core sampling and shipping of samples by AMEC personnel.

About BE Resources Inc. and Beryllium

BE Resources Inc. is a junior mineral exploration company focused on advancing the exploration and development of its Warm Springs Beryllium project in New Mexico. BE Resources' target mineral is beryllium, a metal that has been identified as having significant lightness, strength and temperature resistance qualities and is a valuable component used in the aerospace and defence industries.

Alloys are the most common form of beryllium product, accounting for an estimated 75 percent of US consumption. In the US, ceramics (15 percent) incorporating beryllium oxides, also known as beryllia, are the next most important form of beryllium followed by metal (10 percent). Electronic and electrical components, aerospace and defense applications account for around 80 percent of US consumption according to industry analyst Roskill Mineral Services.

Beryllium prices are usually determined on a negotiated basis between producers and end-users with small quantities of highly pure metal (greater than 99 percent pure) traded on the Shanghai Metals Market. Recent prices posted for beryllium were between 5,500 - 6,000 RMB/Kg, the equivalent of about US$135 to US$147 per pound of beryllium oxide, or US$374 to US$408 per pound of beryllium.

Cautionary Statements

Certain statements contained in this news release may contain forward-looking information within the meaning of United States and Canadian securities laws. Such forward-looking information is identified by words such as "estimates", "intends", "plans", "expects", "believes", "may", and "will". There is no assurance that we will ever be able to define a Beryllium or REE resource. We are at an early stage of exploration. Reference is made to the risk factors contained in the Company's annual report on Form 10-K for the year ended December 31, 2009. Most of these factors are outside the control of the Company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the Company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.

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 release.

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