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Greenland Minerals Releases Initial 242 Million Tonne Mineral Resource Estimate for the 'Zone 2' Uranium-Rare Earth Deposit

21.03.2012  |  Marketwire

PERTH, WESTERN AUSTRALIA -- (Marketwire) -- 03/21/12 -- Greenland Minerals and Energy Limited ("GMEL" or "the Company") (ASX: GGG) is pleased to announce the first mineral resource estimate for the 'Zone 2' multi-element deposit. Zone 2 is the second mineral resource established in the broader project area, following the delineation of a 619 Mt resource at Kvanefjeld (March 2011). The Zone 2 resource estimate was independently prepared by SRK Consulting (SRK) and is reported in accordance with the Australian Joint Ore Reserve Committee (JORC) code.


To see the full ASX announcement go to http://www.ggg.gl/docs/ASX-announcements/Zone-2-Mineral-Resource-Estimate.pdf


Highlights:


- Zone 2 inferred mineral resource of 242 Million tonnes (Mt)(i) @ 304 ppm U3O8, 1.1 % total rare earth oxide (TREO)(ii), 0.26% zinc


- Zone 2 contained metal inventory of 162 Mlbs U3O8, 2.67 Mt TREO (i)


- Global metal inventory(i) now 512 Mlbs U3O8 (increase of 46%) and 9.2 Mt TREO (increase of 39%); 1.98 Mt zinc


- Rare earth resource inventory includes 330,000 t heavy REO, 740,000 t Y2O3


- Higher grade upper ore zone of 119 million tonnes @ 400 ppm U3O8, 1.2% TREO


- Zone 2 remains open towards the Kvanefjeld deposit located 6 km to the north


- Zone 2 resources hosted by the same rock-type as Kvanefjeld; conducive to the same enhanced processing method established for Kvanefjeld


- Zone 3 drill assay results soon to be finalised, with initial Zone 3 mineral resource estimate anticipated in the coming weeks


(i) At 150 ppm U3O8 cut-off


(ii) Total Rare Earth Oxide (TREO), refers to the elements in the lanthanide series + yttrium. Heavy Rare Earth Oxides (heavy REO), refers to the elements Eu, Gd, Tb, Dy, Ho, Er, Tm, Yb and Lu


To see the full ASX announcement go to http://www.ggg.gl/docs/ASX-announcements/Zone-2-Mineral-Resource-Estimate.pdf


Also see recent coverage in the Wall Street Journal: "Asian, European Firms Circle Greenland Uranium and Rare Earth Element Mining Project."


ABOUT GREENLAND MINERALS AND ENERGY LTD.


Greenland Minerals and Energy Ltd (ASX: GGG) is an exploration and development company focused on developing high-quality mineral projects in Greenland. The Company's flagship project is the Kvanefjeld multi-element deposit (Rare Earth Elements, Uranium, Zinc), that is rapidly emerging as a premier specialty metals project. An interim report on pre-feasibility studies has demonstrated the potential for a large-scale multi-element mining operation. For further information on Greenland Minerals and Energy visit http://www.ggg.gl.


Greenland Minerals and Energy Ltd will continue to advance the Kvanefjeld project in a manner that is in accord with both Greenlandic Government and local community expectations, and looks forward to being part of continued community discussions on the social and economic benefits associated with the development of the Kvanefjeld Project.


The information in this report that relates to exploration targets, exploration results, geological interpretations, appropriateness of cut-off grades, and reasonable expectation of potential viability of quoted rare earth element, uranium, and zinc resources is based on information compiled by Mr Jeremy Whybrow. Mr Whybrow is a director of the Company and a Member of the Australasian Institute of Mining and Metallurgy (AusIMM). Mr Whybrow has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined by the 2004 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Whybrow consents to the reporting of this information in the form and context in which it appears.


The geological model and geostatistical estimation for the Kvanefjeld and Zone 2 deposits were prepared by Robin Simpson of SRK Consulting. Mr Simpson is a Member of the Australian Institute of Geoscientists (AIG), and has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined by the 2004 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Simpson consents to the reporting of information relating to the geological model and geostatistical estimation in the form and context in which it appears.


ABN 85 118 463 004

Contacts:

Greenland Minerals and Energy Limited

Roderick Mcillree

Managing Director

+61 8 9382 2322
www.ggg.gl


Rostra Kommunikation

Christian Olesen (DK)

+45 (0)3336 0429


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