Saturn Minerals Inc.
TSX VENTURE : SMI

Saturn Minerals Inc.

September 01, 2011 10:35 ET

Saturn Minerals Reports Positive Washability Results from the Karolina Coal Basin, Saskatoba Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 1, 2011) - Saturn Minerals Inc. (TSX VENTURE:SMI) ("Saturn" or the "Company") is pleased to announce positive results of the initial washability tests for the Karolina Basin coals as discovered on the Overflowing Property in western Manitoba. The washability tests were completed by Loring Labs of Calgary, Alberta on several representative composite samples of the drill core which were previously analyzed by proximate coal analyses in the same lab facility (see Saturn News Release, May 31, 2011). The Overflowing Property is one of several coal properties which together constitute the Company's 'Saskatoba Project'.

Coal washability tests provide information with regard to the amount and character of impurities contained in coal, and determine the potential for recovery and quality improvement of washed, clean coal composites. Washability tests also allow optimization of mining/plant operations. The tests closely follow the ASTM standards and are designed to establish the potential final product improvement by lowering ash and sulfur contents and upgrade calorific value of the washed coal composites. The individual samples from the Karolina Basin were crushed, sieved at 0.25 mm and four float/sink analyses were carried using fluids with specific densities (s.g.) of 1.4, 1.6 and 1.8 gm/ccm for separation of coal particles characterized by different contents of mineral impurities.

Drill Hole From
[m]
To
[m]
Width
[m]
Sample
Type
Cumulative
Recovery
Cumulative Ash
Content
(air dried basis)
Upgraded
Ash
Contnent
1.6 s.g. Head 1.6 s.g. 1.6 s.g.
% % % %
QP227-01 45.44 57.00 11.56 Coal 49.52 27.94 20.14 27.9
QP227-01 57.00 71.93 14.93 Coal 67.23 24.31 17.66 27.4
QP227-01 71.93 87.48 15.55 Coal 49.30 27.74 18.22 34.3
QP227-01 93.57 97.23 3.66 Impure Coal 49.03 44.44 17.27 61.1
QP227-04 109.73 124.97 15.24 Coal 86.57 21.35 13.61 36.3
QP227-04 124.97 137.26 12.29 Impure Coal 60.80 37.87 16.44 56.6
QP227-01 97.23 98.45 1.22 Carb. Shale 0.26 76.20 9.06
QP227-03 10.82 14.94 4.12 Impure Coal 35.16 43.07 17.26 59.9
QP227-07 15.77 26.52 10.75 Coal 33.73 29.74 17.22 42.1
QP227-07 26.52 27.97 1.45 Carb. Shale 2.66 61.54 23.39
QP227-07 14.63 15.32 0.69 Coal 51.28 24.74 21.13 14.6
QP227-05 39.78 41.76 1.98 Impure Coal 29.68 39.05 22.77 41.7

The washability tests for the coal samples which represent the main coal seam in the central part of the Karolina Basin have displayed a potential for significant upgrade of the quality of the final coal composites. The main coal seam was tested by washability in full length (3 samples covering in total 42.04 metres) of its intersection in drill hole QP227-01 and has displayed a consistent recovery from 49% to 67% at 1.6 s.g. float associated with significant decrease in ash content by 27-34% as compared to the original results of proximate analyses. Washing the sample of impure coal from the lower coal seam (3.66 metre thick) intersected in the same drill hole resulted in 49% recovery at 1.6 s.g. float and a very substantial improvement of ash content down to 17.27% (by 61% as compared to the original 44-45% of ash content on an air-dried basis).

The previously conducted coal proximate analyses of the main coal seam of the Karolina Coal Basin intersected in drill hole QP227-04 (over 88 metres; see Saturn News Release, May 31, 2011) returned consistently good quality parameters and the washability tests were conducted only for two samples which represent the lowermost part of the coal seam. A sample of the 15.24 metre interval of relatively clean coal (average 21% ash on air-dried basis) returned an excellent 86% recovery of 1.6 s.g. float with a very significant decrease in ash content down to 14.73%. The lowermost, 12.29 metre-thick interval of this coal seam, which includes a significant share of impure coals (38-40% air-dried ash content on average) has resulted in almost a 62% recovery at 1.6 s.g. float and excellent quality upgrade – down to 16.44% ash content (air-dried basis) or by 57% as compared to original results of the proximate analyses.

Samples of the main coal seam from the central part of the basin have also displayed very significant recoveries of the best-quality coal fraction (lighter than 1.4 s.g. floats). The 15.24 metre long sample from drill hole QP227-04 returned 61% recovery of this float fraction which was characterized by 12.22% ash content at air-dried basis. The lowermost 12.29 metre-thick coal interval in this drill hole resulted in a 42% recovery of 1.4 s.g. float with 15.04% air-dried ash content, and the middle 14.93 metre interval of the coal seam from drill hole QP227-01 returned 36% recovery of 1.4 s.g. float with air-dried ash content of 15.34%.

Two selected samples of the lower quality coals from the peripheral parts of the Karolina Basin resulted in moderate improvement of coal quality by washing. The 10.75 metre thick coal intersected in drill hole QP227-07 displayed a 34% recovery of the 1.6 s.g. float and was characterized by 17.22% ash content at air-dried basis. Similarly, a sample of 4.12 metre thick impure coal from drill hole QP227-03 returned 35% recovery and 17.26% ash content at 1.6 s.g. float fraction.

The previously reported analytical results from the Karolina Coal Basin (see Saturn News Release, May 31, 2011) have shown that thicker coals from the central parts of the Basin are characterized by relatively good quality. The washability test results have additionally proved that most of these coals could be washed and significantly upgraded with respect to reduction of their ash content. Most of the sulphur from the sampled coals appears to be related to organic components and washing does not lower sulphur content of individual samples. The Company has arranged a series of microscope petrographic tests to explain the nature of the sulphur admixtures in Saskatoba coals.

"The positive washability results raises the operational flexibility of a potential mining operation on the Karolina Basin," stated Stan Szary, President & CEO. "When reduced-ash coals are combined with higher-quality Karolina coals, the further analysis of which will assess suitability for PCI, the Karolina discovery may be able to provide a coal product suitable for both thermal and metallurgical needs."

The sampling intervals in this release are reported according to drill measurement blocks being the usual reference for all core sampling. Coal seam boundaries and widths based on drill measure may locally differ from the boundaries and widths of the coal intersections as previously reported (see Saturn News Release, March 29th, 2011) which were identified in and carefully calibrated by downhole density logs.

The Company is currently incorporating newly acquired analytical data into it continuously updated exploration model to refine the model and identify additional drill targets in the Saskatchewan and Manitoba properties of the Saskatoba Project.

Dr. Krzysztof Mastalerz, P.Geo., the Company's Qualified Person under NI 43-101 standards has reviewed and approved the technical content of this release.

About Saturn Minerals Inc.

Saturn Minerals Inc. (TSX VENTURE:SMI) is a junior Canadian energy & resources company advancing a portfolio of energy and resource assets in Saskatchewan, Manitoba and British Columbia. The Company has made two bituminous coal discoveries at its Saskatoba Project since 2009, including one of the thickest coal seams encountered in Canada at 88 metres thickness. The Company continues to build strategic relationships throughout eastern Saskatchewan to pursue new opportunities and advance current projects in the Saskatchewan share of the Western Canadian Sedimentary Basin.

To learn more, please visit the Company's website at: www.saturnminerals.com.

SATURN MINERALS INC.

Stan Szary, President

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