Velocity Minerals Ltd.
TSX : VLC

Velocity Minerals Ltd.

April 23, 2012 07:30 ET

Velocity Minerals Ltd.-Quebec Graphite Properties Host Large Flake Crystalline Graphite

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 23, 2012) - Velocity Minerals Ltd. (TSX:VLC) is pleased to provide further details of historic exploration of its three newly-acquired graphite properties located in the Central Metasedimentary Belt of the Grenville Geologic Province of southwestern Quebec. The following information is from sources that are believed to be reliable but does not meet requirements of National Instrument 43-101 and is provided for information purposes only. The Company's management and Qualified Persons are conducting due diligence studies to confirm the historic data.

Historical assessment reports, filed in 1991 and 1992 with Quebec's Ministry of Energy and Resources Mines Sector, refer to large flake graphite on the Ascension and the Lac Vert mining properties and flake graphite on the Buckingham property.

According to the reports, graphite locally occurring on the Ascension "…as flakes up to 1cm in diameter but typically varying from 0.5mm to 5mm in diameter, appears to be preferentially developed within the marble units although minor graphite can be present locally in any of the sedimentary lithologies."

Similarly, the reports indicate that samples collected from the Lac Vert property contained graphite flakes from 0.5mm to 2.0mm in diameter. The following samples are from historic data. Lower grade samples also were reported.

Sample number Percent Graphite Sample number Percent Graphite
#42404 18.95 % #42411 21.25 %
#42405 18.48 % #42422 4.67 %
#42406 17.58 % #42423 5.06 %
#42407 21.31 % #42424 23.00 %
#42408 19.13 % #42425 15.09 %
#42409 20.73 % #42426 1.68 %

Flake graphite is usually categorized by size as:

Large Flake +80 mesh (> .177mm)

Medium Flake +100 mesh (> .149mm) to -80 mesh (< .177)

Fine Flake -100 mesh (< .149mm)

Recent price quotes indicate that large and jumbo flake graphite, comparable to that reported from the Velocity properties, commands a premium price in the commodity market.

CAUTION: The above-detailed analyses have not been verified in any way by Velocity Minerals Ltd. or its Qualified Persons.

Gerald Diakow, President of Velocity Minerals Ltd., said, "Based on the historic data, we are confident that the claims host the large flake and, in fact, extra large flake graphite, which is highly sought after, and is found in a carbonate setting that reflects well for efficiently extracting the graphite from the ore."

This News Release is based upon information prepared under the supervision of Erik A. Ostensoe, P. Geo., a Qualified Person (as defined in NI 43-101). However, the specific data referred to herein was obtained from government files and other historical sources believed to be reliable but which have not and cannot be verified.

Velocity Minerals Ltd. is a public company dedicated to the acquisition, exploration and development of molybdenum and other mineral resources. In addition to the Company's two Cassiar, B.C. area properties, several other opportunities in the mining industry in North America and elsewhere are actively being pursued.

On behalf of the Board of Directors,

Kenneth R. Holmes, Chairman.

Forward-Looking Information

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or by words indicating that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

The TSX has neither approved nor disapproved of the information contained herein.

Contact Information

  • Velocity Minerals Ltd.
    Jeremy Yaseniuk
    Investor Relations
    (604) 689-7411 or Toll Free: (866) 920-0567
    www.velocityminerals.com