Dianor Reviews the Iron Ore Potential of its Leadbetter Property, Wawa, Ontario
VAL-D'OR, CANADA -- (Marketwire) -- 03/03/11 -- Dianor Resources Inc. (TSX VENTURE: DOR)(OTCQX: RDSNF) is pleased to announce that it in light of the increased worldwide demand for iron ore resources, and the well established iron mining history of the Wawa area, a preliminary review of the Iron Ore Potential of the Leadbetter Property is being conducted. Most of the Lucy Iron Range shown on Ontario Department of Mines Map No. 1946-6 'LUCY IRON RANGE' is located on the Eastern portion of Dianor's Leadbetter Property approximately 500 metres north east of the outcropping diamond bearing Leadbetter Conglomerate that is permitted for a 50,000 tonne bulk sample (press release May13th 2009). Historical drilling and mapping has outlined a 2,300 metre strike length of Iron Formation averaging 105 metres in width on the property and is open at depth. The iron ores in the Wawa area also contain Manganese ranging between 1% and 2%. Manganese is an important element in steel making and at current prices (US$6.50 per 1%Mn per tonne) a valuable accessory to the iron (TEX Report Limited, January 4th 2011).
The Jalore Mining Company conducted a diamond drilling program on the Lucy Range from June 1947 to November 1948. A total of 28,204ft (8,597m) of EX, and 2,144ft (654m) of BX core was drilled. Jalore used this information to identify a siderite resource of 11,010,000 tons (9,988,104 tonnes) at a grade of 33.25% Fe and 2.01% Manganese (Jalore Estimate May 1950). This was defined to a depth of 600 feet (183m) with the ore body being open at depth. Algoma Ore Properties acquired the rights to this property and in 1967 and 1968 conducted a second diamond drill campaign of approximately 6,000 ft (1,830m) of EX and XRT core, to further define the siderite resource identified by Jalore.
A qualified person has not done sufficient work to classify the historical estimate as current mineral resources and the historical estimate should not be relied upon or understood to indicate the existence of reserves or resources.
Algoma started a small open pit in the siderite in 1967 and terminated operations in 1970 after operating capacity upgrades at the MacCleod Mine (Helen Range) enabled single sourcing of their ore requirements. A total of 1,051,000 tons (953,446 tonnes) had been mined at an average grade of approximately 32.8% Fe and 2.01% Mn.
Based on limited historical sampling and assaying from 39 drill holes that intersected Iron Formation the average iron grade was 23%Fe and 1%Mn. Dianor or a qualified person has not verified these assays or sampled/assayed this Iron Formation and these historical assays should not be relied upon or understood to indicate that this is the actual iron or manganese grades.
Dianor has recently received the diamond drill logs and assay results from these two exploration programs. Based on these historical assays and geological interpretations the potential of the Lucy Iron Range is being reviewed and updated. The data indicates the existence of three contiguous zones of Iron Formation (Taconite) with two zones containing the higher grade siderite pods as follows:
WEST ZONE:
Iron Formation Taconite: Length 570m x Width 50m - open at depth
Sedimentary Siderite Pod: Length 460 m x Width 14m - open at depth
CENTRAL (LUCY) ZONE:
Iron Formation Taconite: Length 860m x 100m - open at depth
Sedimentary (Lucy Pit) Siderite Pod: Length 725 m x Width 30m x Depth 183m+
EAST ZONE:
Iron Formation Taconite: Length 870m x Width 150m - open at depth
Although the Iron Formation (Taconite) is lower than the grade originally mined from the Lucy Pit (siderite) it is consistent with the grades many current iron ore projects in Canada and Taconite based Iron ore producers in the United States. In 2010 Taconite mines in Minnesota mined 34.3 million tons versus 17.1 million tons in 2009, with a mined grade of 20% to 25% Fe. (Minnesota Department of Revenue 2010 report). In the Canadian context, WISCO International Resources (China) and Red Rock Capital, announced they were entering a Joint Venture to advance iron ore projects owned by Red Rock through Century Holdings (RRD: TSX-Venture press releases, January 25th and February 25th 2011). One of these projects is their Duncan Lake Iron Ore Project in the James Bay region of Quebec. A recent news release describes it as an 'Algoma Type' deposit, with potential grades ranging from 23.29% Fe to 24.6% Fe.(AUV: TSX-Venture press releases, February 4 th and December10th 2010)
Dianor is cautiously optimistic about the potential of the Lucy Iron Range potential and once all of the data has been compiled and evaluated a decision will be made how to progress forward with this exciting new project. The Company's main focus is still the advancement of the 50,000 tonne bulk sample of its flagship Leadbetter diamond project in the same vicinity of the Lucy Iron Range. Important synergies in cost, infrastructure and project development with both projects will also be reviewed. It is important to note the year round accessibility of both projects located close to the mining town of Wawa with its modern hospital, airport, and experienced mining labour force. From an iron perspective the project is close to the important international shipping waterway of the Great Lakes through Michipicoten Harbour.
Mr. Tom Landers P.Eng is the Qualified Person for the technical content of this press release.
Mr. Landers P.Eng. was formerly the Chief Mine Engineer, Mine Manager and Project Manager for Algoma Steel Inc. (now Essar Steel Algoma) and from 1992 to 1999 he was the Manager of Mines overseeing the Wawa area iron ore mines for Algoma. In August 2008 he was appointed Project Manager of Dianor's flagship property, the leadbetter Diamond project.
About Dianor
Dianor is an innovative exploration company focused on advancing diamond exploration properties in the Superior Craton of Canada. The Leadbetter Diamond Project is its most advanced project and is geographically well situated and easily accessible, some 12 kilometres north east of Wawa in Northern Ontario. Substantial exploration work has been conducted on the project since 2005 and in May 2009, the Company received government approval to proceed with a 50,000 tonne bulk sampling programme of the 2.697 Ma old Archean Conglomerate. A preliminary tonnage estimate for this conglomerate is in the range of 549 million to 583 million tonnes (press release July 24th 2007). In addition to diamonds, the conglomerate contains gold, sapphires and rubies (press release January 18th 2007). In 2008, additional diamond discoveries, including rare purple diamonds, were made by the Company in rocks of similar type, age (Archean) and geological settings (press release March 3rd, April 10th,& May 13th 2008) in Quebec. The Quebec diamond properties have increased our portfolio of low cost, accessible exploration targets. These diamond discoveries (Ontario and Quebec) are both unique and amongst the oldest diamond-bearing occurrences in the world.
Forward-Looking Statements
This news release contains statements that may constitute 'forward-looking information' or 'forward-looking statements' within the meaning of applicable securities legislation. This forward-looking information is subject to numerous risks and uncertainties, certain of which are beyond the control of Dianor Resources Inc. ('Dianor'). Actual results or achievements may differ materially from those expressed in, or implied by, this forward-looking information. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur, or if any of them do so, what benefits that Dianor will derive therefrom. Forward-looking information is based on the estimates and opinions of Dianor's management at the time the information is released and Dianor does not undertake any obligation to update publicly or to revise any of the forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.
Neither the 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.
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Contacts:
Dianor Resources Inc.
Mr. John Ryder, P.Geo.
President
819-825-7090
819-825-7545 (FAX)
info@dianor.com
Dianor Resources Inc.
Mr. Daniel Duval
Chairman of the Board
819-825-7090
819-825-7545 (FAX)
info@dianor.com
www.dianor.com
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