NMC Resource Corporation

NMC Resource Corporation

September 22, 2010 09:00 ET

NMC Resource Corporation: Mine Potential Expanded by Deep Drilling

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 22, 2010) - NMC Resource Corporation (TSX VENTURE:NRC) -


  • Three zones intersected beneath deepest mine level

  • New Porphyry style molybdenum mineralization discovered at depth

  • 35 meters intersection 170 meters below deepest mine level of 0.3045% MoS2 (4.017 lbs Mo/tonne)

  • Area for resource expansion has tripled

NMC Resource Corporation ("NMC Resource") is pleased to announce the first assay results from one of seven deep drill holes (for a total of 1,001 meters) completed to test the down dip extent of the molybdenum mineralization below the mine workings at the NMC Moland Mine in South Korea.

In hole NMK 10-06, two skarn type zones were intersected as well as 35 meters of "porphyry" type mineralization, which has the potential of being a wider and more consistent grade of mineralization than the skarn type of ore presently being mined. This intersection occurs in NMK 10-06 between 135-170 meters beneath the deepest of the three current mine levels (L 217m). The true thickness of the mineralization is approximately 66% of the core intersection. However, the true thickness will be better determined after further drilling.

A technical report on the NMC Moland Mine dated October 8, 2009 (the "Technical Report") prepared by R.S. Middleton, P.Eng., in compliance with National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101") and filed on SEDAR on November 19, 2009, estimated an inferred resource of 1,726,299 tonnes with the upper two levels (above L 257m) at an average grade of 0.366% MoS2 with a 0.1% cut off. A clean molybdenum concentrate is produced since there are no other sulphide minerals in the deposit. This makes a highly valued product for the steel industry.

Table of Assays

(Hole NMK 10-06)

Interval (meters) W (meters) % MoS2 % Mo lbs Mo/tonne
12 - 28 16 0.2429 0.1457 3.205
75 - 79 4 0.1523 0.0914 2.011
135 - 170 35 0.3045 0.1826 4.017

Present production comes from the upper two levels (L 310m and L 257m) which are the upper 100 meters of the mine. Infill drilling between the second (L 257m) and third Level (L 217m) has also been carried out to expand and define or classify the resource. The projected down dip depth of mineralization is now 400 meters from surface and is open to depth; therefore, the area for new resource discovery has tripled from the present resource area.

Commercial production at the NMC Moland Mine commenced April 2010. To the end of the second quarter ended June 30, 2010, NMC Resource sold 118,300 pounds of molybdenum out of 199,827 pounds of production with cash cost US$7.23/lb Mo. 81,527 pounds of molybdenum were retained in inventory for a better market price. During this period, the first quarter of sales, NMC Resource recorded $356,624 as earnings from mine operations.

Assaying for the 2010 drill core has been carried out by ALS Chemex in North Vancouver, B.C. where ¼ split cores were shipped by secure courier for preparation at the Chemex Lab. Assaying was done with acid digestion and ICP MS analysis. One blank and two standards were used for every 36 samples to maintain quality control.

Supervision of the drilling and quality of the sampling and assaying is being done by R.S. Middleton, P.Eng., who is acting as the Q.P. for NMC Resource.

Assaying of six other deep drill holes will be done over the next month, and confirmation assays on 35 infill holes from the area between the L 217 m and L 257 m will also be carried out in Canada over the next sixty days.

On behalf of the board of NMC RESOURCE CORPORATION

(DH) Do Hyung Kim, Director and Executive Vice President

Forward-Looking Statements: This news release includes certain forward-looking information and forward-looking statements (collectively "Forward-Looking Statements") concerning the future performance of the Company's business, operations and financial performance and condition, as well as management's objectives, strategies, beliefs and intentions. Specifically, this news release includes Forward-Looking Statements regarding expected trust thickness and expected potential to expand the resource. Forward-Looking Statements are frequently identified by such words as "may", "will", "plan", "expect", "anticipate", "estimate", "intend" and similar words referring to future events and results. Forward-Looking Statements are based on the current opinions and expectations of management. All Forward-Looking Statements are inherently uncertain and subject to a variety of risks and uncertainties, including the speculative nature of mineral exploration and development generally and specifically in respect of the interpretation of the geology, continuity, grade and size of mineral deposits, unanticipated operational or technical difficulties, fluctuating commodity prices, competitive risks and the availability of financing, changes in laws or regulations, changes in the financial markets and changes in general economic conditions, as described in more detail in our recent securities filings available at www.sedar.com. Such Forward-Looking Statements are based on a number of assumptions, including but not limited to the level and volatility of the price of molybdenum, the availability of financing, the accuracy of reserve and resource estimates and the assumptions on which those estimates are based and the ability to achieve and maintain certain operational efficiencies. Should one or more risks and uncertainties materialize or should any assumptions prove incorrect, then actual events or results may differ materially from those expressed or implied in the Forward Looking-Statements and we caution against placing undue reliance thereon. We assume no obligation to revise or update these Forward-Looking Statements, except as required by applicable law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the polices of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

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