Nevado Resources Corporation

Nevado Resources Corporation

January 26, 2011 07:00 ET

Nevado Starts 10,000 Metre Diamond Drilling Program at La Blache Iron-Titanium-Vanadium Property in Northern Quebec

MONTREAL, QUEBEC--(Marketwire - Jan. 26, 2011) - NEVADO RESOURCES CORPORATION (TSX VENTURE:VDO)(FRANKFURT:NSV) (the "Corporation" or "Nevado") today announced the start of a 10,000 metre diamond drilling program on the Corporation's wholly owned La Blache Iron-Titanium-Vanadium Property (the "Property").

  • Program to evaluate six lenses, outline NI 43-101 Inferred Mineral Resources
  • First of six drill-testing targets are the 3.5 km by 1 km Farrell-Taylor and the 4 km by 2 km Lac La Blache West Occurrences
  • Geological and geophysical modeling outlines 200 m thick target of combined disseminated, semi-massive and massive iron and titanium oxides at Farrell-Taylor

The drilling will test six (6) of the seven (7) recently discovered disseminated, semi-massive and massive iron and titanium oxides (magnetite-ilmenite) lenses found during the summer-fall 2010 surface exploration program. The findings will be used to evaluate the potential size of each lens and outline National Instrument ("NI") 43-101 Inferred Mineral Resources.

Drilling is planned for the six (6) occurrences as follows:

  1. Farrell-Taylor Occurrence ("Farrell-Taylor"): 30 drill holes for 4,600 metres
  2. Lac La Blache West Occurrence ("Lac La Blache West"): 8 drill holes for 1,200 metres
  3. Hervieux East Extension Occurrence: 12 drill holes for 1,800 metres
  4. Leduc Occurrence: 4 drill holes for 600 metres
  5. Leduc-Farrell Occurrence: 6 drill holes for 900 metres
  6. E. Girard Occurrence: 6 drill holes for 900 metres

The Farrell-Taylor and Lac La Blache West occurrences, which show significant size potential, will be drill-tested first. Access to all drilling sites will be by helicopter.

Farrell-Taylor is located along the eastern segment of an east-west 3.5 km long by 1 km wide dual geophysical anomaly with a magnetic low, conductive western portion and a magnetic high, non-conductive eastern portion. The geophysical modeling suggests a shallow east dipping (10° to 15°) 25 m to 200 m thick magnetic lens of massive, semi-massive and disseminated magnetite-ilmenite mineralization. The thicker portions closest to surface are believed to extend for a lateral distance of at least 1.5 km and will be drilled first on a 200 m by 150 m grid pattern. Farrell-Taylor occurs at km 3 (in a clockwise direction) along a 45 km ellipse known as the La Blache Ring of Iron-Titanium-Vanadium. NEVADO recently uncovered a number of magnetite-ilmenite lenses along the Ring, all with similar iron, titanium and vanadium (60+% Fe2O3, 17+% to 23% TiO2 and 0.10% V2O5).

Lac La Blache West (at km 11 along the Ring) consists of 5% to 25% mixed centimetric-disseminated and vein-type magnetite and ilmenite, with occasional veins of 50% magnetite-ilmenite in anorthosite covering a 4 km by 2 km magnetic high anomaly along the ellipse. NEVADO believes the 8 km2 disseminated magnetite-ilmenite mineralization is associated with sub-horizontal semi-massive to massive magnetite-ilmenite lenses sitting below the disseminated halo.

New Discoveries and the La Blache Ring of Iron-Titanium-Vanadium

In 2010, NEVADO discovered six (6) massive and one (1) disseminated magnetite-ilmenite lens. The massive magnetite-ilmenite lenses range from a range of 1 m to 25 m in width and 25 m to 450 m in length, all located along the Ring. Grades for the massive lenses are in the range of 60% to 63% Fe2O3, 16.5% to 19.5% TiO2 and 0.07% to 0.17% V2O5.

The target Ring forms an 18 km by 10 km ellipse within the La Blache Anorthositic Complex located 160 km to 180 km north of Baie-Comeau (Quebec). The Ring is located entirely within the La Blache #1 and #2 claim blocks of NEVADO's La Blache 646 claims / 355 km2 Property. The Ring currently hosts nine (9) massive magnetite-ilmenite lenses of various lengths, depths and widths; two (2) of which are historical, discovered and explored in the 1950's and 1960's, and seven (7) are new discoveries made by NEVADO in 2010.

The historic Hervieux East and Hervieux West Ocurrences host historic mineral resources of 79 million tonnes grading 68.7% Fe2O3, 20.5% TiO2 and 0.36% V2O5 situated outside the Property but along the Ring some 2 km and 5 km west-southwest of NEVADO's Hervieux East Extension Occurrence. The historical mineral resources are non-compliant to National Instrument ("NI") 43-101 Mineral Resources and Mineral Reserves standards and therefore should not be relied on. A Qualified Person has not done sufficient work to classify the historical estimate as current mineral resources.

The technical information in this press release was prepared, reviewed and approved by Mr. Jean Lafleur, M.Sc., P.Geo., the La Blache Project Manager and Technical Advisor to President and CEO of Nevado, and Éric Desaulniers, M.Sc., P.Geo., of ED Geophysics, Nevado's geophysical consultant. Both individuals are Qualified Persons under NI 43-101 regulations.

About Nevado Resources Corporation

Nevado Resources Corporation is a mineral exploration company listed under the symbol VDO on the TSX Venture Exchange and under the symbol NSV on the Frankfurt Exchange. Nevado owns 6 properties comprising 1,390 mining claims totalling 757 km2 in the Province of Quebec in two separate metallogenic environments, one in high grade iron-titanium-vanadium and one in gold.

Nevado's higher grade Iron-Titanium-Vanadium (magnetite-ilmenite) property comprises 2 claim blocks totalling 773 claims for 315 km2 situated in the La Blache Anorthositic Complex, located 145 km north of the city of Baie-Comeau and its port on the St. Lawrence Seaway. In 2011, Nevado plans to quickly advance the property to the drilling stage for NI 43-101 compliant mineral resource delineation. 

Nevado's gold assets comprise 5 properties totalling 442 km2 located 10 km south and southeast of Thetford Mines (Eastern Townships, Quebec), approximately 150 km east of Montreal.

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 news release. The statements made in this news release that are not historical facts are "forward-looking statements" and readers are cautioned that any such statements are not guarantees of future performance, and that actual developments or results, may vary materially from those in these "forward-looking" statements.

Contact Information

  • Nevado Resources Corporation
    Mr. Michael Curtis
    Acting President and CEO