West Vancouver, British Columbia – August 5, 2008 – Columbia Yukon Explorations Inc. (the “Company” or “Columbia Yukon”) is extremely pleased to announce a significant advancement of the Company’s “Storie” molybdenum property deposit.
As previously reported, Watts, Griffis and McOuat Limited (“WGM”), Consulting Geologists and Engineers of Toronto, Ontario, and Mintec, Incorporated of Tucson, Arizona, (“Mintec”), were retained by Columbia Yukon to prepare an updated NI 43-101 Mineral Resource estimate for the Storie molybdenum property deposit based on the results of historical drilling by Shell Canada in 1979 and 1980 and drilling completed by the Company in 2006 and 2007. The new report (the “WGM Report”) was commissioned, in part, for the objective of reclassifying the Mineral Resource of the Storie molybdenum deposit from an Inferred category to Indicated and Inferred categories. The updated NI 43-101 report has been prepared by Robert M. Kuehnbaum, P.Geo., Senior Associate Geologist with WGM and Abdullah Arik, AusIMM, Principal MineSight Specialist with Mintec.
2008 MINERAL RESOURCE ESTIMATE
Mintec was also retained by Columbia Yukon to update 3-D modeling of the Storie deposit. The purpose of the modeling was to assist the Company in further exploration. The work done by Mintec included:
• Collection of all available drilling and topographic information;
• Development of a 3-D solid of mineralized domain;
• Geostatistical analysis of the data;
• Development of a 3-dimensional exploration block model; and
• Resource estimation and classification.
The number of drillholes used by Mintec in the evaluation was 125. Based upon the mineralized solid (3-D wireframe model) and the geostatistical analysis of the assay data, a 3-D model of the deposit was built with 10x10x10 metre-sized blocks for Mineral Resource estimation. The block grades were interpolated for all items using the Inverse Distance Cubed Weighting (“ID3”) method. Mo grade was also interpolated using Ordinary Kriging (“OK”) and Polygonal methods for checking and comparison. Outlier high grade intervals were capped for molybdenum (“Mo”) within the mineralized domain during the interpolation to restrict the smearing effect of very high grades. The capping was based on the cumulative probability plot and statistical analysis of Mo grade distribution. The total Indicated Mineral Resource in the deposit at 0.030% Mo cutoff is approximately 98 million tonnes grading 0.064% Mo. In addition, the Inferred Mineral Resource at the same cutoff is about 31 million tonnes grading 0.059% Mo.
The Indicated and Inferred Mineral Resources for Mo at incremental cutoffs from the different methods are shown as follows:
Summary of the Indicated Mo Mineral Resources at Incremental Cutoffs
|
|
MOID3 |
MOKRG |
MOPLY |
|
Cutoff
(Mo%) |
Tonnage |
Grade Mo% |
Tonnage |
Grade Mo% |
Tonnage |
Grade Mo% |
|
>=0.030 |
98,344.7 |
0.0640 |
102,438.8 |
0.0616 |
91,513.8 |
0.0702 |
|
>=0.035 |
84,751.4 |
0.0690 |
87,860.5 |
0.0665 |
79,678.0 |
0.0758 |
|
>=0.040 |
73,447.9 |
0.0739 |
75,880.2 |
0.0711 |
69,395.7 |
0.0814 |
|
>=0.050 |
55,336.7 |
0.0835 |
56,667.8 |
0.0800 |
53,682.7 |
0.0922 |
|
>=0.075 |
27,472.6 |
0.1061 |
26,869.0 |
0.1011 |
28,651.0 |
0.1193 |
|
>=0.100 |
13,049.2 |
0.1282 |
11,312.3 |
0.1220 |
16,605.6 |
0.1435 |
Summary of the Inferred Mo Mineral Resources at Incremental Mo Cutoffs
|
|
MOID3 |
MOKRG |
MOPLY |
|
Cutoff
(Mo%) |
Tonnage |
Grade Mo% |
Tonnage |
Grade Mo% |
Tonnage |
Grade Mo% |
|
>=0.030 |
30,889.0 |
0.0587 |
31,284.1 |
0.0581 |
29,619.4 |
0.0626 |
|
>=0.035 |
25,602.3 |
0.0641 |
25,897.6 |
0.0634 |
24,863.4 |
0.0684 |
|
>=0.040 |
21,703.0 |
0.0689 |
21,988.9 |
0.0680 |
20,542.0 |
0.0749 |
|
>=0.050 |
15,846.9 |
0.0779 |
15,802.9 |
0.0772 |
15,742.7 |
0.0841 |
|
>=0.075 |
6,926.7 |
0.1005 |
6,762.0 |
0.0995 |
7,514.1 |
0.1107 |
|
>=0.100 |
2,949.2 |
0.1196 |
2,767.8 |
0.1182 |
4,292.0 |
0.1282 |
Notes:
- Tonnage times 1000;
- The blocks outside the Economic Pit Design ($30 Mo pit) and the blocks below 1,250m elevation were excluded and not considered in the Mineral Resources;
- MOID3 represents Mo grades calculated using ID3 method;
- MOKRG represents Mo grades calculated using Ordinary Kriging;
- MOPLY represents Mo grades calculated using Polygonal method;
- Variable density applied.
At the same cutoff of 0.035% Mo, as reported in the Company’s 2007 NI 43-101 Inferred Resource calculation (see News Release dated July 5, 2008), the reclassified Indicated Resource now stands at 84.75 million tonnes grading 0.069% Mo. In addition, at the 0.035% Mo cutoff, there is an Inferred Resource of 25.6 million tonnes grading 0.064% Mo.
WGM AND MINTEC CONCLUSIONS AND RECOMMENDATIONS
Columbia Yukon’s 2006 and 2007 work focused on verifying and upgrading resources which were previously known. The Storie molybdenum deposit is presently open to the north (where it dips to depth), to the east, and to the west. In addition, there is at least one untested molybdenum occurrence (the “M” Zone) which merits further investigation. Further work has been recommended. The Company has an aggressive program (already underway) for 2008, including up to 30,000 metres of NQ diamond drilling, which is being laid out on 50 m x 50 m centres to delineate the deposit further to the west where there has only been very little (historic) drilling.
As well, the Company intends to proceed with the following:
- A Phase III environmental baseline study, including hydrological, climate, and wildlife (and habitat) assessments (presently underway);
- Metallurgical testing (presently underway); and
- A further updated NI 43-101 compliant Mineral Resource estimate following Columbia Yukon’s 2008 drilling program.
As referred to in the WGM Report, there is a higher grade zone that seems to be continuous through the center of the deposit. Mintec specifically noted that if this zone can be better defined geologically or structurally with further drilling, the block grade smoothing that occurs from the interpolation can be minimized and the grade and confidence of the Mineral Resource estimates can be improved. As a result, the Company is currently core drilling several infill holes at 25 metre spacing in an effort to better define the higher grade zone.
The WGM and Mintec Report has been prepared in compliance with NI 43-101 and presents a review of the geology and Mineral Resources of Columbia Yukon’s Storie property molybdenum deposit. The Company will be filing the report on www.SEDAR.com and on its website at www.columbiayukon.com.
This news release has been reviewed and approved by Robert M. Kuehnbaum, M.Sc., P.Geo., for WGM and Abdullah Arik, B.Sc., M.S., Aus IMM, for Mintec, who are acting as independent Qualified Persons for the Company’s Storie molybdenum project in accordance with regulations under NI 43-101.
About Columbia Yukon Explorations Inc.:
Columbia Yukon is a Canadian mineral exploration company focused on the development of its Storie molybdenum property deposit. The Storie property is situated about 6 km southwest of Cassiar, British Columbia. Cassiar is located 15 km (by road) west of Highway 37 which provides access to Watson Lake, Yukon, to the north and Dease Lake and Stewart, British Columbia, to the south.
For further information, contact Mr. Clive Shallow, investor communications at 604-922-2030 or visit the Company’s website at www.columbiayukon.com.
Columbia Yukon Explorations Inc.
“Ronald A. Coombes”
_________________________________
Ronald A. Coombes, President & CEO
The TSX Venture Exchange has not reviewed this news release and does not accept responsibility for the adequacy or accuracy of this release.
