Micrex Development Corp.

TSX VENTURE : MIX


Micrex Development Corp.

November 19, 2012 06:00 ET

Micrex Development Corp.: Drilling Program Assays Completed from St. Charles Quebec

CALGARY, ALBERTA--(Marketwire - Nov. 19, 2012) - Micrex Development Corp. (TSX VENTURE:MIX) is pleased to announce that it has received all the assays and Davis Tube testing results from the recent drilling program on its St-Charles-de-Bourget magnetite project, which consisted of 19 holes totalling 3161 metres.

The results, which are all available on the Company's web site, confirm historical assessments of the property and support Micrex's plan to bring this project into production. Discussions with potential customers and partners are on-going, and Micrex will continue its program to define the resource to NI 43-101 standards.

The St. Charles project aims to produce Ti-magnetite for industrial purposes, with a co-production of ilmenite for the titanium dioxide industry and apatite for the phosphate industry. Ti-magnetite concentrates have been successfully tested for various applications by potential clients.

The drilling program has indicated that the mineralization at St. Charles is sufficiently continuous and abundant to justify a 43-101 compliant resources calculation, which will be undertaken in the coming months. As stated in previous press releases, Micrex is planning a selective mining approach in order to produce various qualities of materials for niche industrial markets, such as titanomagnetite slurry for DMS (Dense Media Slurry) plants for the coal companies, low-titanium magnetite concentrate for production of ferric sulphate used by water treatment plants, ilmenite concentrate for the titanium industry, and apatite concentrate to be use by the fertilizer industry.

Stan Marshall, CEO of Micrex stated "We are pleased with these results, which confirm our assessment of this project. Drilling was required to bring historical results compliant with 43-101 standards. We remain commited to moving this property into production. Typical of industrial mineral projects, end users need to be assured that the specific minerals in the ground meet their technical requirements. Micrex has multiple industrial applications for its planned output, and has had potential customers on site and has shipped product for their own specific (external) testing. The market for our various potential products is great, and Micrex is well positioned to fulfill this demand. We are confident shareholders will soon begin to see positive results from the many years of work and preparation it takes to put a property into production."

The drilling work lead to the identification of three titanomagnetite, ilmenite and apatite mineralized zones: centre, east and west. Those mineralized bodies are approximately parallel, striking at about N170°, dipping west between 45 to 80°. Grades are expressed in weight percent, either of the head-grade or of the magnetite concentrate.

The centre mineralized zone is the main one of interest of the drilling program. Salient features are:

  • Drilled over a strike length of 400 metres, with a thickness between 12 to 40 metres.
  • Drill intersections grading between 24.51% to 46.93 wt% of titanomagnetite, with an average of 36.52 wt%, as recovered by Davis tube testing.
  • Titanomagnetite concentrates show titanium contain between 3.62% to 13.84 wt% (TiO2), with an average of 9.61 wt%.
  • Titanium grades of the mineralization itself range between 8.88% to 15.53 wt% TiO2 with an average of 13.26 wt%, suggestive of approximately 20% ilmenite content on top of the titanomagnetite.
  • Phosphate grades between 7.48% to 10.22 wt% P2O5 with an average of 9.16 wt%. This is equivalent of an average of approximately 20% apatite.
  • Mineralizations have been intersected over apparent lengths between 3.16 to 44.55m, with an average of 16.95m.
  • The mineralized zone remains open to the north and at depth.

The west mineralized zone runs parallel to the center one. Its salient features are:

  • Drilled over a strike length of 400 metres, with a thickness between 4 to 25 metres.
  • Shows a composition similar to the centre zone.
  • Drill intersection grading between 22.03% to 46.62 wt% titanomagnetite, as recovered from Davis tube testing, with an average of 35.23 wt%.
  • Titanium content of the magnetite concentrates between 1.96% to 16.05 wt% (TiO2), with an average of 10.57 wt%.
  • Titanium grades of the mineralization itself range between 9.44% to 16.42 wt% TiO2 with an average of 12.11 wt%, suggestive of approximately 20% ilmenite content on top of the titanomagnetite.
  • Phosphate grades between 6.25% to 10.22 wt% P2O5 with an average of 8.91 wt%. This is equivalent of an average of approximately 17% apatite.
  • Mineralized intercepts range between 3m to 29m with an average of 11.22m apparent length.
  • The west mineralized zone remains open to the north, to the south and at depth.

The East mineralized zone is present only in the northern drilling profiles. Its salient features are:

  • Intersected over a strike length of 250 metres.
  • Estimated thickness between 5 to 25 metres.
  • Magnetite grades between 25.65% to 39.51 wt%, with an average of 29.65 wt%, as recovered by Davis tube testing.
  • Titanium content of the magnetite concentrates between 4.79% to 10.16wt% (TiO2), with an average of 9.54 wt%.
  • Titanium grades of the mineralization itself range between 10.54% to 14.44 wt% TiO2 with an average of 11.92 wt%, suggestive of approximately 20% ilmenite content on top of the titanomagnetite.
  • Phosphate grades between 5.18% to 12.38 wt% P2O5 with an average of 9.17 wt%. This is equivalent of an average of approximately 20% apatite.
  • Mineralized intercepts range between 3m to 22.65m with an average of 9.54m apparent length.
  • The East mineralized zone remains open to the north and at depth.

Assays from the most significant intersects are available on the company's website. Also included are the titanomagnetite abundance as measured by Davis Tube testing, the titanium content of the titanomagnetite, as well as assay results of the headgrade for titanium TiO2 and phosphate P2O5 grades, as well as calculated ilmenite and apatite proportions. The formula use to convert TiO2 into ilmenite assume that part of titanium is hosted in titanomagnetite and that ilmenite is pure FeTiO3 :
%Ilmenite =1.89 x [wt% TiO2 - wt% Magnetite Davis tube * wt% TiO2 Davis tube concentrate].

The formula to convert P2O5 into apatite assumes it is a fluoroapatite and that no other mineral contain phosphate:
% Apatite = 2.39 x Wt% P2O5.

Micrex management is encouraged by these results, especially the following aspects:

  • The sum of titanomagnetite plus ilmenite plus apatite represents, in most cases, more than 70% of the rock as potentially salable products. Note that these three commodities have similar value per ton on the current market.
  • The presence of zones of low-titanium grade magnetite, suitable for ferric sulphate production.
  • The abundance of apatite which is exceeding expectations, and which might then be the most valuable product of the deposit.
  • The proximity of industrial and transportation infrastructure.

Core samples were processed in the IOS laboratory for magnetite recovery by Davis tube testing and density measurement, while assaying is currently being done at ALS-Mineral, an ISO-17025 accredited laboratory. This press release has been reviewed and approved by Mr Réjean Girard, P.Geo from IOS Services Géoscientifiques Inc., a qualified person for the St. Charles project.

Micrex Development Corp. (TSX VENTURE:MIX) is a mineral exploration company based in Alberta, Canada with mining properties in North America. Visit www.mixcorp.com for further details.

MICREX DEVELOPMENT CORP.

Burmis Magnetite/Titanium Property • St. Charles de Bourget Magnetite/Titanium/Rare Earth Property • Fort Steele Placer Property • Bighorn Gold Mine • Mount Royal Gold Mine • Deadwood Gold Mine • Sunburst Gold Property

FORWARD LOOKING STATEMENTS

Certain statements in this news release are "forward-looking statements", which reflect management's expectations regarding its property and business operations. All statements other than statements of historical fact contained in this news release are forward-looking statements. Such forward-looking statements involve risks and uncertainties, as they reflect management's current beliefs and are based on information currently available to management. Actual results may differ materially from those anticipated in the statements made. The forward-looking statements are expressly qualified in their entirety by this cautionary statement. The forward-looking statements are made as of the date of this news release and Micrex assumes no obligation to update or revise them to reflect new events or circumstances except as expressly required by applicable securities law. Further information regarding the uncertainties and risks can be found in the disclosure documents filed by Micrex with the securities regulatory authorities, available at www.sedar.com.

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