Forsys Metals Corp

Forsys Metals Corp

July 09, 2007 10:00 ET

Forsys Upgrades Resource to 62.1 Mlbs at the Valencia Uranium Deposit, Namibia

TORONTO, ONTARIO--(Marketwire - July 9, 2007) - Forsys Metals Corp ("Forsys" or the "Company") (TSX:FSY) is pleased to announce that the mineral resource at the Company's wholly-owned Valencia Uranium Deposit ("Valencia"), located in Namibia, Africa has been upgraded to 62.1 Mlbs U3O8.

As described in the Company's announcement on June 28, 2007 regarding the updated National Instrument 43-101 Technical Report ("Report") on Valencia, the Report outlines the Company's continuing optimization efforts at Valencia including pit designs, detailed cost analysis, and metallurgical flow sheets. This effort has further optimized the base case information previously outlined in the Pre-Feasibility Study ("PFS"), reported by Forsys on May 16, 2007.

The Report describes the increased resource and reserve of the Valencia Deposit based on optimization work of the data compiled during the PFS.

The Mineral Resources reported in Table 1 below have been classified as Measured, Indicated and Inferred Resources in accordance with the guidelines of the CIM Definition Standards (CIM, 2005). The resource has been constrained to a maximum depth of 380 m below surface.

Table 1 Summary of Valencia Uranium Mineral Resource, June 2007
Category Cut-off Tonnes U3O8 U3O8
U3O8 (kg/t) (millions) (kg/t) (Mlbs)
Measured 0.06 18.2 0.14 5.6

Indicated 0.06 146.0 0.11 35.8

Total Measured and Indicated 0.06 164.2 0.11 41.4

Inferred 0.06 92.4 0.10 20.7
All tabulated data has been rounded to one decimal place for tonnage and
two decimal places for U3O8 grades.

Table 1 describes a mineral resource (total measured, indicated and inferred) of 62.1 Mlbs U3O8, as compared to the 49.6 Mlbs U3O8 outlined in the PFS which was reported on May 16, 2007, representing an increase of 25% (illustrated in Figures 1 and 2).

The Mineral Reserves for the Valencia Deposit are reported in Table 2 and were classified as Probable Reserves using the guidelines of the JORC code, which is a recognized foreign code under NI 43-101.

Table 2 Summary of Valencia Uranium Reserve, June 2007
Category Cut-off Tonnes U3O8 U3O8 metal
U3O8 (kg/t) (M) (kg/t) (tonnes)
Measured 0.06 16.9 0.14 2,400

Indicated 0.06 99.9 0.12 11,600
Probable 0.06 117 0.12 13,900

Table 2 describes a mineral reserve (probable) of 117 Mt, as compared to the 88 Mt outlined in the May 2007 PFS, representing an increase of 33%.

These upgraded resources and reserves are based on the ongoing optimization studies currently underway with Forsys personnel and the Company's various external consultants. It must be noted that no new drilling results have been included in these updates and that the increases reported are strictly based on refinements of information available at the time of the publication of the PFS.

Ongoing drilling at the East Zone of Valencia (as shown in Figures 1 and 2) is designed to identify additional resources that may exist within the current pit limits, in addition to increasing confidence in the resource at depth. If results are favorable this will allow the declaration of additional Mineral Reserves.

NOTE: To view the plan view of the resource with proposed pit design and the isometric view of the resource with proposed pit design, please click on the following link:

Engineering and exploration programmes, including activities such as diamond drilling (exploration and geotechnical), detailed plant design, metallurgy and environmental studies are ongoing at Valencia. These efforts will contribute to the ongoing Valencia Project Feasibility Study.

The Company currently has more than 1,000 Valencia assay samples at the laboratory awaiting analysis. These samples were obtained from five holes drilled in the Joly Zone and four of the five holes completed in the East Zone at Valencia.

Mr. Rick Bonner, P. Geol., Exploration Manager of Forsys, is the designated Qualified Person responsible for the Company's exploration programmes as well as for the general content of this news release.

Mr. Dag Kullmann, FSAIMM, Engineering Manager of Forsys, is the designated Qualified Person responsible for the reporting of Mineral Reserves and the management of the Feasibility Study.

Shares Outstanding: 74,486,704

Contact Information

  • Forsys Metals Corp.
    Duane Parnham
    (416) 601-1286 in Toronto
    Westport Resources Namibia (Pty) Limited
    Mr. Rick Bonner, P. Geol.
    Exploration Manager
    +264 61 219 462