TORONTO, ONTARIO--(Marketwire - July 7, 2011) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR OVER UNITED STATES NEWSWIRE SERVICES
Montero Mining and Exploration Ltd. (TSX VENTURE:MON) ("Montero") is pleased to announce that drilling has commenced on the Tumbili Target on the south east central side of the Wigu Hill carbonatite complex. Target mineralization has been traced over a 1.2km strike length within a zone of massive intrusive carbonatite with bastnaesite mineralization and indicates the potential for a large-tonnage deposit. Wigu Hill is a Light Rare Earth Element (LREE) project with the mineral bastnaesite being the dominant rare earth mineral.
Preliminary reconnaissance mapping and sampling of the Tumbili target area returned numerous high-grade values with select grab samples assaying between 5.80% to 18.80% total rare earth oxide (TREO). Further detailed mapping and sampling, together with a weakly anomalous total count radiometric anomaly, led to the discovery of the extensive bastnaesite bearing carbonatite Tumbili Target.
Dr. Tony Harwood, President and Chief Executive Officer of Montero commented, "The Tumbili target has been identified through consistent mapping and sampling that has delineated a 1,200m by 500m surface zone of bastnaesite bearing carbonatite mineralization. Sampling of this zone has yielded high-grade values up to 18.80% TREO within a target area with the potential to host significant LREE tonnage. Exploration at the Tumbili target continues to build on the excellent high grade trench and drill results obtained from the Twiga and Tembo targets on which our maiden NI43-101 resource estimate is currently in progress."
The Tumbili Target is located to the east of the Tembo Target (see news release dated 15/06/2011 - http://monteromining.com/news/archive/2011/NR5-160511.pdf). The easterly trending carbonatite dikes and associated carbonatite breccias at Tembo continue to strike to the west and open up into a major occurrence of carbonatite and carbonatite breccias over a strike of 1,200m and a width of about 500m.
To view the Tumbili geology map and geological section click here: http://www.monteromining.com/projects/pdf/Tumbili_Geology.pdf
Detailed mapping and limited trenching has revealed the extent of the Tumbili Target which appears to form a core zone of part of the carbonatite complex, with narrower dikes and associated intrusions spreading out in all directions to other parts of the complex on the hill. The larger carbonatite dikes are dolomitic in composition and rich in bastnaesite and occur as NW-SE and E-W dikes sets. These are intruded by bastnaesite-rich veinlets and narrow dikes up to 20cm wide, which form a stockwork.
On the upper slopes of Tumbili, grab samples returned values of between 6.29% TREO to 14.25% TREO. In addition, bastnaesite mineralization in the carbonatite breccias in Trench 1 returned 2.97% TREO over 12m (see news release 11/04/2011 - http://monteromining.com/news/archive/2011/NR3-110411.pdf) including values up to 7.58% TREO. The breccia zone observed in trenches at Tumbili are different from those observed at Tembo, the breccia fragments are larger and visually appear to be more mineralized, ranging from 10cm to greater than 1.0m in diameter.
A drill program has been designed to determine the size and extent of the rare earth bearing bastnaesite mineralization of the Tumbili Target.
Drilling, trenching and mapping activities are ongoing and samples from the trenches and the boreholes completed to date will be submitted for assay. A program of at least 12 boreholes for a total of 3000m is planned for this immediate drilling program.
Qualified Person's Statement
The technical information contained in this press release has been reviewed by Mr. Mike Evans, M.Sc. Pr. Sci. Nat., who is a qualified person for the purpose of National Instrument 43-101 and a consulting geologist to Montero. Grab samples are selective by nature and are unlikely to represent average grades on the property.
About Montero Mining & Exploration
Montero Mining and Exploration Limited is a mineral exploration and development company focused on the development of our flagship Wigu Hill Rare Earth Element Project in Tanzania. The Wigu Hill project is a high grade undeveloped Light Rare Earth Element deposit where the company's current focus is on reporting an initial NI 43-101 compliant resource on the first two of ten drill target areas tested to date.
Rare Earth Elements (a group of 15 metals) are critical in the advancement and development of emerging "green" technologies and high-tech applications such as electric and hybrid vehicles, wind and hydro power turbines, energy efficient lighting, LCD screens, MRI, x-ray machines and neodymium-based magnets crucial to ear-buds, MP3 Players, microphones, mobile devices and other computing equipment. Currently China produces 97% of world supply of REE's and these are becoming increasingly critical to both 21st Century technological progress and environmentally sustainable development. With the rising prices of REE's and China's control over export quotas, it is becoming imperative that the rest of the world develops new rare earth resources to meet the increasing demand from "green" technology.
Montero's growth strategy is to develop the Wigu Hill Rare Earth Element project and to bring this to account by eventual rare earth production and cash flow. Montero plans to operate in an environmentally and socially responsible manner, adding value to all stakeholders. Montero has 42,365,730 shares outstanding and trades on the TSX Venture Exchange under the symbol MON.
Signed. Dr. Tony Harwood, President and CEO
CAUTIONARY STATEMENT: This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, Montero's objectives, goals or future plans, and the estimated timing and cost of the exploration of the Wigu Hill Project. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, those risks set out in Montero's public documents filed on SEDAR. Although Montero believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Montero disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
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.
Contact Information:
+1 416 840 9197
+1 866 688 4671 (FAX)
ir@monteromining.com
www.monteromining.com