Seafield Updates NI 43-101 Compliant Resource Estimate at the Miraflores Deposit, Colombia
TORONTO, ONTARIO -- (Marketwired) -- 04/02/13 -- Seafield Resources Ltd. ("Seafield" or "the Company") (TSX VENTURE: SFF) is pleased to announce an updated NI 43-101 compliant resource for its Miraflores breccia deposit within the Company's Quinchia Gold and Silver Project. Seafield's 100%-owned, 6,757-hectare Quinchia Gold Project is located in the Department of Risaralda, Colombia. This update incorporates an additional 10,725.3 m of drilling for a total of 25,884.1 m used in the resource estimate (see previous NI 43-101 resource press release dated January 31, 2012). These results will be incorporated into the updated Preliminary Economic Assessment, scheduled for completion by the end of Q2 2013.
Highlights
-- The updated NI 43-101 report documents a measured and indicated resource
of 1,816,000 Troy ounces (oz) of gold (Au) grading 0.78 grams per tonne
("g/t") Au and 3,555,000 oz of silver at 1.5 g/t Ag, contained in
72,624,000 tonnes at a cut-off grade of 0.27 g/t Au;
-- The estimate significantly increases the geological confidence in the
model by increasing the mineral resources in the measured category from
28.5 Million tonnes to 38.7 Million tonnes and by delineating a greater
number of high grade veins at Miraflores. The presence of 21 veins cross
cutting the breccia body was confirmed, further improving the definition
of the mineralization in the breccia and adjoining basalt. This more
accurate geological model of the deposit will be used for advanced
mining studies;
-- A very robust geostatistical analysis was carried out to define
estimation parameters, which resulted in a capping of higher gold grades
at 45 g/t Au in the breccia and individual analysis in the veins ranging
up to 24 g/t Au;
-- The estimate has been delivered on time in accordance with the project
schedule and as communicated in the "Miraflores Technical Update" (see
press release dated November 30, 2012).
"I am pleased to present the updated compliant resource which has increased the confidence in the geological model while maintaining the vast majority of our resource ounces and increasing the overall grade. This solid resource estimate will stand up to all future reviews as we move the Miraflores project forward," commented Seafield's COO, Dave Prins.
"The Company is focused on adding intrinsic value to its Quinchia Project and every announcement further demonstrates our success," commented Seafield's CEO, Cesar Lopez. "Seafield will stand out amongst other junior mining companies as we continue to announce the completion of milestones over the coming months towards a definitive feasibility study."
The revised NI 43-101 resource incorporated 25,884.1 m of drilling in 73 exploration drill holes and 235.8 m of channel sampling from one underground cross-cut. This is 10,725.3 m more than the drilling metres used in the previously reported NI 43-101 resource study (see press release, January 31, 2012).
The new drill data used for the resource update are mostly from infill holes and provide information to obtain a robust 3D geological model, improving the confidence in the geometry and distribution of the high grade and low grade mineralization of gold and silver in the breccia body.
MEASURED & INDICATED MIRAFLORES RESOURCES
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MEASURED RESOURCES
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Gold Gold
CUTOFF Gold Silver Silver Equivalent Equivalent
Gold TONNES Grade Gold (oz) Grade (oz) Grade (g/t (oz)
(g/t) ((i)1000) (g/t Au) ((i)1000) (g/t Ag) ((i)1000) AuEq) ((i)1000)
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0.20 50,639 0.57 928 1.3 2,116 0.59 958
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0.25 41,877 0.65 875 1.4 1,831 0.67 902
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0.27 38,747 0.68 847 1.4 1,732 0.70 872
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0.30 34,333 0.73 806 1.4 1,578 0.75 829
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0.40 22,617 0.93 676 1.6 1,149 0.95 693
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0.50 15,697 1.14 575 1.7 873 1.16 588
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0.60 11,225 1.38 498 1.9 678 1.41 508
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0.70 8,451 1.61 437 2.0 535 1.64 445
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0.80 6,521 1.87 392 2.1 432 1.90 398
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0.90 5,166 2.14 355 2.2 357 2.17 361
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1.00 4,169 2.43 326 2.2 300 2.46 330
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INDICATED RESOURCES
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Gold Gold
CUTOFF Gold Silver Silver Equivalent Equivalent
Gold TONNES Grade Gold (oz) Grade (oz) Grade (g/t (oz)
(g/t) ((i)1000) (g/t Au) ((i)1000) (g/t Ag) ((i)1000) AuEq) ((i)1000)
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0.20 48,347 0.70 1,082 1.5 2,380 0.72 1,116
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0.25 37,499 0.83 1,005 1.6 1,974 0.86 1,033
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0.27 33,877 0.89 969 1.7 1,823 0.91 995
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0.30 29,118 0.99 927 1.7 1,628 1.01 950
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0.40 19,562 1.31 826 2.0 1,245 1.34 844
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0.50 14,924 1.58 758 2.2 1,050 1.61 774
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0.60 12,230 1.81 713 2.4 927 1.85 727
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0.70 10,532 2.00 677 2.5 848 2.04 689
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0.80 9,347 2.16 649 2.6 790 2.20 660
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0.90 8,405 2.30 622 2.7 741 2.34 633
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1.00 7,592 2.45 598 2.8 691 2.49 607
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MEASURED + INDICATED RESOURCES
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Gold Gold
CUTOFF Gold Silver Silver Equivalent Equivalent
Gold TONNES Grade Gold (oz) Grade (oz) Grade (g/t (oz)
(g/t) ((i)1000) (g/t Au) ((i)1000) (g/t Ag) ((i)1000) AuEq) ((i)1000)
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0.20 98,986 0.63 2,010 1.4 4,497 0.65 2,075
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0.25 79,376 0.74 1,880 1.5 3,805 0.76 1,935
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0.27 72,624 0.78 1,816 1.5 3,555 0.80 1,867
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0.30 63,451 0.85 1,733 1.6 3,207 0.87 1,779
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0.40 42,179 1.11 1,502 1.8 2,393 1.13 1,537
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0.50 30,621 1.35 1,334 2.0 1,923 1.38 1,361
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0.60 23,455 1.61 1,211 2.1 1,606 1.64 1,234
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0.70 18,983 1.83 1,114 2.3 1,383 1.86 1,134
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0.80 15,868 2.04 1,041 2.4 1,222 2.08 1,059
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0.90 13,571 2.24 978 2.5 1,098 2.28 994
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1.00 11,761 2.44 923 2.6 991 2.48 937
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INFERRED MIRAFLORES RESOURCES
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INFERRED RESOURCES
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Gold Gold
CUTOFF Gold Silver Silver Equivalent Equivalent
Gold TONNES Grade Gold (oz) Grade (oz) Grade (g/t (oz)
(g/t) ((i)1000) (g/t Au) ((i)1000) (g/t Ag) ((i)1000) AuEq) ((i)1000)
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0.20 7,383 0.37 88 1.9 444 0.40 94
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0.25 4,218 0.48 65 2.2 296 0.51 69
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0.27 3,756 0.51 62 2.3 275 0.54 66
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0.30 3,031 0.57 56 2.4 235 0.60 59
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0.40 1,872 0.71 43 3.0 181 0.75 45
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0.50 1,643 0.74 39 3.2 171 0.79 42
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0.60 1,461 0.77 36 3.5 162 0.82 39
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0.70 342 1.14 13 3.8 42 1.19 13
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0.80 260 1.27 11 4.3 36 1.33 11
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0.90 212 1.37 9 5.0 34 1.44 10
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1.00 182 1.43 8 5.5 32 1.51 9
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Gold Equivalent (AuEq): Gold equivalent g/t has been calculated using long-term prices for gold ($1,500/oz) and silver ($30/oz). Assumed metallurgical recovery for gold of 90%, and assumed metallurgical recovery of silver of 80%. AuEq Formula: AuEq g/t = Au g/t + (Ag g/t x (30 x 0.8 / 1500 x 0.9)) g/t.
Resource Estimate
The resource was estimated using an updated 3D geologic and mineralization model constructed using Leapfrog and Vulcan software that included the updating of the breccia pipe structure, mineralized basalt and the definition of 21 mineralized structures cross cutting the breccia. The input data consisted of 13,194, two-metre length composites of gold and silver grades available as of March 10, 2013.
The resource takes into account the tonnage and estimated amount of gold extracted by the Asociacion de Mineros de Miraflores from la Cruzada tunnel and a wireframe of the exploited area was used to discount the tonnage extracted.
Resource Estimate Plan
The block model was constructed in Vulcan software using sub-cells of minimum 0.5 m and maximum 5 m x 5 m x 5m for the parent cell to fill the wireframes of breccia, mineralized structures (veins), mineralized basalt and surface limit. The raw data were composited to two-metre lengths down hole. New levels of capping were defined based on statistical analysis of a significant sample of data in the breccia, mineralized basalt, and for individual veins, with 45 g/t Au in the breccia and individual veins varying up to 24 g/t Au.
For veins, a search ellipse was used with dimensions 50 m x 50 m x 20 m oriented according to the strike and dip of the veins. For breccia and mineralized basalt, a search ellipse was used with dimensions 90 m x 53 m x 142 m. In veins, the estimate used a minimum of 1 composite and maximum of 5, with no maximum limit of samples per hole. In breccia and mineralized basalt, the estimate used a minimum of 3 composites and a maximum of 10, with a maximum of 3 samples per hole.
To categorize the blocks, a combined strategy was applied, using quantity of holes and distance used for estimation and visual evaluation of drilling density. Only blocks of breccia and mineralized basalt were classified as measured, considering that to categorize a block as measured, a minimum of 2 holes within a distance of 30 m are required. The blocks estimated using at least 2 holes in a distance of 100 m were classified as indicated. The blocks in veins estimated with the unique search ellipse of 50 m were categorized as indicated. The blocks that do not accomplish the parameters described were categorized as inferred.
A total of 2,100 specific gravity measurements were used to define the density of each block. For blocks of basalt rock type a density of 2.87 tonnes / m3 were used, for veins and breccia a density of 2.75 tonnes / m3, and 2.67 tonnes / m3 for saprolite.
Sample Preparation and QA/QC program
The core samples were split by rock saw, and half of the core was sampled. Core samples were prepared by ALS Colombia Ltd., in Medellin and were assayed at the ALS laboratory in Lima, Peru (before November 2013, SGS Colombia S.A. Laboratory was used for preparation and SGS Peru for assaying). Gold was analyzed by fire assay on a 30 gram sample with atomic adsorption spectrophotometer (AAS) finish. Samples above 10 g/t Au were repeated by fire assay on a 30 gram sample with gravimetric finish. Silver and other 47 elements were analyzed by inductively coupled plasma mass spectroscopy (ICP-MS) following multi-acid digestion. A program of metal screen analysis was carried out on 459 samples. This program provided important information about the behavior of coarse gold in the deposit. Blank, standard and duplicate samples were routinely inserted for quality assurance and quality control, including second laboratory control.
Ongoing Work Program
Seafield has also commenced studies that include metallurgical test work, hydrogeology, and geotechnical studies for pit, plant site and tailings disposal facilities.
Environmental baseline studies have been ongoing since January 2012. Seafield expects that all baseline data required for submitting an Environmental Impact Assessment to the Colombian authorities will be complete in Q3 2013, allowing for an environmental permit submission in Q4 2013.
Qualified Person
Scott Wilson of Metal Mining Consultants Inc. of Englewood, Colorado prepared the Miraflores Deposit resource estimate. The Company will file a NI 43-101 technical report in support of the technical information in this press release within 45 days.
Mr. Wilson is an independent qualified person as defined by National Instrument 43-101 and has prepared or reviewed the preparation of the information which forms the basis of this press release. He is a Certified Professional Geologist and member of the American Institute of Professional Geologists (CPG #10965) and a Registered Member (#4025107) of the Society of Mining and Metallurgy and Exploration, Inc., a professional association and designation recognized by the Canadian regulatory authorities. Mr. Wilson verified the data disclosed in this release, including the sampling, analytical and test data underlying the information contained in this release. Verification included a review and validation of the applicable assay databases and reviews of assay certificates.
About Seafield Resources Ltd.
Seafield Resources Ltd. (TSX VENTURE: SFF) is a mineral exploration company currently focused on advancing its Miraflores Gold Deposit towards feasibility level. Seafield's 6,757-hectare Quinchia Gold Project is located in the Department of Risaralda of Colombia. SRK Consulting Inc.'s (Denver) Preliminary Economic Assessment on the Miraflores Deposit indicates robust economics with a pre-tax internal rate of return of 50% and a pre-tax net present value (8%) of $249M. The Company cautions that mineral resources that are not mineral reserves do not have demonstrated economic viability. Miraflores currently has a NI 43-101 compliant Measured and Indicated resource estimate of 1,816,000 ounces gold at 0.78 g/t Au and 3,555,000 ounces silver at 1.5 g/t Ag (72.6 million tonnes at a cut-off of 0.27 g/t Au) and an Inferred resource estimate of 62,000 ounces gold at 0.51 g/t Au and 275,000 ounces silver at 2.3 g/t Ag (3.8 million tonnes at a cut-off of 0.27 g/t Au). Additionally, the Company has a NI 43-101 compliant resource estimate for its Dosquebradas Deposit, also part of the Quinchia Gold Project, with an Inferred resource estimate totaling 920,772 ounces gold at 0.5 g/t Au (57Mt at a cut-off of 0.3 g/t Au). Seafield Resources Ltd. trades its shares on the TSX Venture Exchange (TSX-V) under the symbol SFF and in the United States using CUSIP 81173R101. For more details on the Company, please visit www.sffresources.com.
Forward-Looking Statement
This news release includes certain "forward-looking statements" within the meaning of that phrase under Canadian securities laws. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. Forward-looking statements reflect management's current views with respect to possible future events and conditions and, by their nature, are based on management's beliefs and assumptions and subject to known and unknown risks and uncertainties, both general and specific to the Company. Although the Company believes the expectations expressed in such forward-looking statements are reasonable, such statements are not guarantees of future performance and actual results or developments may differ materially from those in our forward-looking statements. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of commodities, general market conditions, risks inherent in exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital. Additional information regarding the material factors and assumptions that were applied in making these forward looking statements as well as the various risks and uncertainties we face are described in greater detail in the "Risk Factors" section of our annual and interim Management's Discussion and Analysis of our financial results and other continuous disclosure documents and financial statements we file with the Canadian securities regulatory authorities which are available at www.sedar.com. The Company undertakes no obligation to update this forward-looking information except as required by applicable law. The Company relies on litigation protection for forward-looking statements.
Neither 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 release.
Contacts:
Seafield Resources Ltd.
David MacMillan
Investor Relations
(416) 361-3434 ext. 202
dmacmillan@sffresources.com
www.sffresources.com