The Thierry project is comprised of both the underground massive sulphide Thierry deposit, and the open pit disseminated sulphide K1-1 deposit.

The company said the NI 43-101 PEA report, prepared by P&E Mining Consultants, showed the "technical and potential economic viability" of re-opening the Thierry mine and processing material from both the underground and open pit deposits, on a combined basis.

At a 15,000 tonne per day mining rate, the project would produce a total of 5.25 million tonnes per year, comprised of 3.85 million tonnes from open pit, and 1.4 million tonnes from the underground operation.

"Cadillac has been focused on the development of the Thierry Project and that focus has been validated by the receipt of this positive preliminary economic assessment of the project providing a total mine life of 17 years of potentially economically viable production based upon the currently defined NI 43-101 resources," said Cadillac president and CEO Norman Brewster in a statement.

"This report supports the company's ongoing focus on the development of the Thierry Project."

The preliminary report showed a pre-tax net present value of $380 million using a six per cent discount rate, allowing for a 10 per cent contingency on operating costs and a 15 per cent contingency on capital costs, the company said.

The internal rate of return, on a pre-tax basis, was calculated at 19 per cent, with a life-of-mine NSR revenue total of $3.7 billion.

Total estimated capital costs were seen at $843 million, or $11.93 per tonne, with a payback period of four years from the start of commercial production on pre-production capital.

Capital costs include undergound and open pit development costs, Cadillac said, as well as a 15 per cent contingency.

Total operating costs were projected at $2.0 billion, or $27.72 per tonne, which includes undergound and open pit mining costs, tailings retention development, processing, treatment plant construction and a 10 per cent contingency.

The project, which is expected to have a mine life of over 16 years, including three years of pre-production development, was estimated to have a pre-tax cash flow of $881 million.

The company said the mine plan, which would see a longhole sublevel retreat mining method along with the construction of a new shaft and the deepending of the existing ramp, includes some underground mineralization being mined during years two and three.

The Thierry Mine is a past producing mine, with a recently updated resource estimate consisting of 8.8 million tonnes measured and indicated grading 1.66% copper, 0.19% nickel, 4 g/t silver, 0.05 g/t gold, 0.04 g/t platinum and 0.13 g/t palladium.

The deposit, which remains open at depth and to the west, also hosts 14.9 million tonnes inferred grading 1.64% copper, 0.16% nickel, 6.4 g/t silver, 0.10 g/t gold, 0.07 g/t platinum, 0.21 g/t palladium, using a cut-off NSR of C$41/tonne.

The open pit K1-1 deposit, which also saw a resource update in February, consists of 53.61 million tonnes inferred, grading 0.38% copper, 0.10% nickel, 1.8 g/t silver, 0.03 g/t gold, 0.05 g/t platinum, and 0.14 g/t palladium, at an NSR cut-off of C$11/tonne.

The K1-1 is an open-pit, large tonnage, low grade deposit located approximately three kilometres from the past producing Thierry Mine.

Cadillac said the mined material from the Thierry project would have a forecast NSR value averaging C$52.12 per tonne, after smelter and shipping costs are deducted, and assuming 24 month April 30, 2012 trailing average metal prices of US$3.77 per pound of copper, US$10.11 per pound of nickel and US$29.60 per ounce of silver.

The concentrate recovery rates used in the PEA report were 94 per cent for copper, 65 per cent for nickel and 53 per cent for silver.

The Thierry underground potentially mineable tonnage was diluted by 20 per cent, and has a 90 per cent mine extraction factor applied, while the K1-1 potentially mineable tonnage was diluted by 8 per cent and has a 97 per cent mine extraction factor applied.

Cadillac is a development-focused copper company currently advancing its 100 per cent owned Thierry Property, near Pickle Lake, Ontario.

The deposit remains open at depth and to the west.

The company entered into a letter agreement with Iberian Minerals (CVE:IZN) to unload the venture.
Cadillac, which owns the past producing Thierry Mine, purchased its 90 percent interest in the venture under an agreement with Minas de Aguas Tenidas in December 2008.

The deal with Minas, a unit of Iberian Minerals Corp, included 14 properties totalling about 232 square kilometres within the prolific Iberian Pyrite Belt of southern Spain.

"At this time Cadillac is selling its interest in the Spanish Joint Venture in order to focus the company's resources on the Thierry Project in northwest Ontario," chief executive Norman Brewster said Monday.

Planning at the copper-nickel project is now underway to start definition drilling and new exploration on the 5,422-hectare property once site conditions permit, Brewster added.

Completion of the Spanish sale is subject to a definitive agreement, the completion of due diligence and TSX Venture Exchange approval.

The Thierry property, near Pickle Lake, Ontario, hosts two NI 43-101 compliant resources: the Thierry mine and K1-1.

The Thierry mine has a current resource estimate of 8.8 million tonnes in the measured and indicated categories with a grade of 1.66% copper, 0.19% nickel, 4 grams per tonne (g/t) silver, 0.05 g/t gold, 0.04 g/t platinum and 0.13 g/t palladium.

In the inferred category, the resource stands at 14.9 million tonnes with a grade of 1.64% copper, 0.16% nickel, 6.4 g/t of silver, 0.10 g/t gold, 0.07 g/t platinum, and 0.21 g/t palladium.

The deposit remains open at depth and to the west, the company said.

Meanwhile, the K1-1 is an open-pit low grade deposit that rests three kilometres from the Thierry mine. It has an inferred mineral resource of 53.6 million tonnes with a grade of 0.38% copper, 0.10% nickel, 1.83 g/t silver, 0.03 g/t gold, 0.05 g/t platinum, and 0.14 g/t palladium.

Iberian is an affiliated entity of Trafigura Beheer B.V., which, indirectly owns or controls, approximately 25 percent of Cadillac's outstanding shares.

The Thierry property consists of the past producing Thierry Mine and hosts two NI 43-101 compliant resources from the Thierry Mine and the K1-1 deposit.

The revision is based on the operating costs of conceptually combining the operations of the Thierry underground and the K1-1 open pit deposits.

The conceptual combination of operations has resulted in a decrease to the NSR cut-off of $5.30 per tonne for the underground resource, the company said.

Thierry now contains 8.8 million tonnes measured and indicated resources grading 1.66% copper, 0.19% nickel, 4 grams per tonne (g/t) silver, 0.05 g/t gold, 0.04 g/t platinum and 0.13 g/t palladium.

In the inferred category, the deposit hosts 14.9 million tonnes grading 1.64% copper, 0.16% nickel, 6.4 g/t silver, 0.10 g/t gold, 0.07 g/t platinum and 0.21 g/t palladium.

Previously, the Thierry Mine deposit held a resource estimate consisting of 8.3 million tonnes measured and indicated grading 1.73% copper and 0.20% nickel, as well as 14.6 million tonnes inferred grading 1.70% copper and 0.16% nickel.

The deposit remains open at depth and to the west, Cadillac Ventures said.

Cadillac president and chief executive, Norman Brewster, said: "The impact to the existing resource statement of the lowering of the conceptual combined operating costs for both the Thierry Mine underground and the K1-1 Open Pit deposits, while not resulting in significant additional tonnage at this time, will be positive for project economics and broadens the range of underground material which, may, one day, be economically mined from Thierry underground, should a production decision be made."

Cadillac is a development-focused copper company currently advancing its 100 percent-owned Thierry Property, near Pickle Lake, Ontario.

Earlier this month, the company said it started an updated mineral resource estimate for its K1-1 deposit, following the receipt of results from 26 drill holes recently completed at the site.

Cadillac is a development-focused copper company currently advancing its 100 percent-owned Thierry property, near Pickle Lake, Ontario. The Thierry property consists of the past producing Thierry Mine, and hosts two NI 43-101 compliant resources from the Thierry Mine and the K1-1 deposit.

Earlier this week, the company unveiled an updated resource estimate for its K1-1 deposit within its Thierry copper exploration property in Ontario.

The updated inferred mineral resource at K1-1 was for 53,614,000 tonnes grading 0.38 percent copper, 0.10 percent nickel, 1.83 grams per tonne (g/t) silver, 0.03 g/t gold, 0.05 g/t platinum and 0.14 g/t palladium.

The new estimate represents an increase of greater than 150 percent over the initial September 2011 inferred resource, and was provided by P&E Mining Consultants of Brampton, Ontario.

In a research note, Secutor Capital said: "Cadillac Ventures trades at a discount to its peers. The reason for the discount could be partly because of its overall low percentage of Measured & Indicated (M&I) resources; the bulk of the resource is Inferred.

However, the Thierry project is in Ontario, near infrastructure, and contains a sizeable copper resource with potential upside, Secutor added.

"K1-1 could see additional growth with more drilling to expand the conceptual pit by including more of the global mineralization resource. Thierry could also potentially be expanded due to the combined project economics."

K1-1 is located approximately three kilometres to the east of the Thierry Mine project, both being within the boundaries of the 11,538 acre Thierry property, occupying only a small portion of the property.

The update of the K1-1 resource estimate will affect a future production decision at Thierry, as the close proximity of the deposits to each other allow cost efficiencies based upon the sharing of the infrastructure and processing plant capacity.

Sharing of facilities between the deposits should enable Cadillac to realize lower production costs, and therefore process material of a lower grade than would be envisioned based upon either deposit operating independently of the other.

Earlier this month, Cadillac released drill results from K1-1 including hole K-11-33, which intersected 140 feet of 0.289 percent copper and 0.066 percent nickel, including 30 feet of 0.423 percent copper and 0.071 percent nickel, and 40 feet of 0.326 percent copper and 0.068 percent nickel.

The hole also intercepted 20 feet of 0.385 percent copper and 0.091 percent nickel.

Other results included hole K-11-36, which returned 5 feet of 0.968 percent copper and 0.146 percent nickel.

Thursday morning, Cadillac Ventures shares were flat at $0.20 on the TSX Venture Exchange.

Investors cheered the news Tuesday afternoon, sending Cadillac stock up 10 percent to 22 cents.

The company gave an updated inferred mineral resource at K1-1 of 53,614,000 tonnes grading 0.38 percent copper, 0.10 percent nickel, 1.83 grams per tonne (g/t) silver, 0.03 g/t gold, 0.05 g/t platinum and 0.14 g/t palladium.

Cadillac president and CEO Norman Brewster said: "Cadillac is extremely pleased with the results of the Winter 2011 drill program and the update to the Inferred mineral resource at K1-1. The company will now evaluate overall development options for the Thierry Property."

Tuesday's updated inferred resource represents an increase of greater than 150 percent over the initial September 2011 inferred resource, and has been provided by P&E Mining Consultants of Brampton, Ontario.

Cadillac Ventures attributed the increase in the inferred resource due to several factors, including results from the 26 holes drilled by Cadillac in the Winter 2011 program, an increase in the trailing average metals prices since September 2011, lowered operating costs at K1-1 - which were derived from a conceptual combination of operations at the K1-1 open pit deposit and the Thierry underground deposit - and the inclusion of additional data not considered in Sept 2011.

The K1-1 property consists of a global mineralized inventory of 75,857,000 tonnes grading 0.38 percent copper, 0.10 percent nickel, 1.81 g/t silver, 0.02 g/t gold, 0.05 g/t platinum and 0.14 g/t palladium.

K1-1 is located approximately three kilometres to the east of the Thierry Mine project, both being within the boundaries of the 11,538 acre Thierry property, occupying only a small portion of the property.

This update of the K1-1 resource estimate will affect a future production decision at Thierry, as the close proximity of the deposits to each other allow cost efficiencies based upon the sharing of the infrastructure and processing plant capacity.

Sharing of facilities between the deposits should enable Cadillac to realize lower production costs, and therefore process material of a lower grade than would be envisioned based upon either deposit operating independently of the other.

Earlier this month, Cadillac released drill results from K1-1 including hole K-11-33, which intersected 140 feet of 0.289 percent copper and 0.066 percent nickel, including 30 feet of 0.423 percent copper and 0.071 percent nickel, and 40 feet of 0.326 percent copper and 0.068 percent nickel. The hole also intercepted 20 feet of 0.385 percent copper and 0.091 percent nickel.

Other results included hole K-11-36, which returned 5 feet of 0.968 percent copper and 0.146 percent nickel.

In January, the company reported drill results from the first eight holes of the 26-hole program, reporting further results last week, with highlights including 110 feet of 0.626 percent copper and 87.5 feet of 0.546 percent copper.

Cadillac is a development-focused copper company currently advancing its 100 percent owned Thierry property, near Pickle Lake, Ontario. The Thierry property consists of the past producing Thierry Mine, and hosts two NI 43-101 compliant resources: Thierry Mine and K1-1.

Overall, the Thierry Mine deposit has a current resource estimate consisting of 8.3 million tonnes measured and indicated grading 1.73 percent copper and 0.20 percent nickel, as well as 14.6 million tonnes inferred grading 1.70 percent copper and 0.16 percent nickel. The deposit remains open at depth and to the west.

The K1-1 project is located roughly three kilometres to the east of the company's Thierry Mine project in northwestern Ontario, both being within the boundaries of the 11,538 acre Thierry property, occupying only a small portion of the asset.

In late 2011, the company released an initial inferred mineral resource estimate for K1-1 within a Whittle pit shell consisting of 19.89 million tonnes grading 0.10% nickel, 0.42% copper, 2.0 g/t silver, 0.03 g/t gold, 0.05 g/t platinum, 0.15 g/t palladium.

Cadillac also said an exploration target for K1-1 located outside and below the resource pit shell was estimated to contain between 45 to 55 million tonnes grading between 0.08 and 0.12% nickel, and 0.32 to 0.36% copper. But there was not enough "modern data" for the target to complete resource modeling, the company said.

The initial inferred resource reflected the first 16 exploration holes drilled by Cadillac, as well as limited historic data and other exploration carried out on the property.

Within the inferred resource, the company said there were gaps in data, "due simply to lack of drilling to model, which affect the behaviour of the pit, and therefore constrained the resource".

As a result, a 26 hole drill program was designed to address gaps within the pit shell area at K1-1, as well as test for extensions along strike and at depth.

The drilling campaign was also designed to intersect and upgrade mineralization from the exploration target category into the resource statement, and if successful, adding tonnage to both categories using infill drilling.

Cadillac said that including the drill results from the 26 holes in the re-calculation of the resource is expected to boost the estimate by extending the modeled mineralization.

Highlights of these assays included 110 feet of 0.626% copper and 87.5 feet of 0.546% copper.

During the drilling program, there was a total of 20,868 feet drilled over the 26 holes, and a total of 2,590 samples taken.

Cadillac said the update of the K1-1 resource estimate will affect a future production decision at Thierry, as the close proximity of the deposits to each other is expected to result in cost efficiencies - due to the sharing of the infrastructure and processing plant capacity.

"Sharing of facilities between the deposits should enable Cadillac to realize lower production costs, and therefore process material of a lower grade than would be envisioned based upon either deposit operating independently of the other," the company said in a statement.

Cadillac is a development-focused copper company currently advancing its 100 percent-owned Thierry property, near Pickle Lake, Ontario, which consists of the past-producing Thierry Mine and hosts two NI 43-101 compliant resources from the Thierry Mine and K1-1.

The Thierry Mine deposit has a current resource estimate consisting of 8.3 million tonnes measured and indicated grading 1.73% copper and 0.20% nickel, as well as 14.6 million tonnes inferred grading 1.70% copper and 0.16% nickel. The deposit remains open at depth and to the west.

Meanwhile, the K1-1 deposit is a potentially open-pit, large tonnage, low grade deposit located approximately three kilometres from the Thierry Mine.

Each whole warrant gives the holder a right to snap up one common share for 35 cents for a period of 24-months, following the closing date.

Further, each Flow-through unit consists of one common share to be issued on a flow-through basis and one-half of one warrant.

Each whole warrant forming part of the flow-through units will be exercisable on the same terms as the warrant forming part of the units.

Moreover, the syndicate has an option to raise the gross proceeds by up to 15 percent. This option is exercisable up to 48 hours before closing of the offering.

Proceeds will be used to fund a preliminary economic assessment on the Thierry property by early next year, while profit from the flow-through units will be used for Canadian exploration expenses also for the Thierry property.

The securities under the offering will be subject to a four month hold period.

The Thierry property, located near Pickle Lake, Ontario, is a past producing mine with a current resource estimate of 8.3 million tonnes in the measured and indicated categories with a grading of 1.73 percent copper, 0.20 percent nickel.

The deposit remains open at depth and to the west.

The deposit remains open at depth and to the west.

Investors greeted the news positively, with Cadillac stock up 17 percent to 24 cents Tuesday afternoon. For the year to date, the stock is up 9 percent.

The company said that the inferred NI 43-101 compliant mineral resource estimate for K1-1 within a Whittle pit shell was 19,897,000 tonnes grading 0.10 percent nickel, 0.42 percent copper, 2.0 grams per tonne (g/t) silver, 0.03 g/t gold, 0.05 g/t platinum and 0.15 g/t palladium.

Meanwhile, the exploration target for K1-1, located outside and below the resource pit shell, was 45-55 million tonnes grading between 0.08 percent to 0.12 percent nickel and 0.32 percent to 0.36 percent copper.

Cadillac's President and CEO Norman Brewster said: "This initial NI 43-101 resource estimate for the K1-1 project demonstrates the value K1-1 contributes to the Thierry Project.

"When combined with the Thierry Mine Project underground resource located 3 km to the west on the company's wholly owned Thierry Property, Cadillac is demonstrating a copper based asset of a magnitude sufficient to sustain development."

The estimate, provided by P&E Mining Consultants, has been based on a combination of historic drilling by previous project operators and more recent drilling by Cadillac. Beginning in March, the company drilled a total of 16 holes at the K1-1 deposit to confirm historical holes, and to facilitate the calculation of an NI 43-101 compliant resource.

Cadillac said it will start an exploration program on the K1-1 deposit this week, including 10,000 metres of drilling over the next several months, utilizing two diamond drills rigs.

The purpose of the drill program will be to upgrade and expand the mineralization and models at K1-1 by infill drilling within the area of the pits and adjacent to the modeled pits, as well as targeting the area under the pits and along strike in an exploration program.

The Thierry property lease area covers 4,692 hectares and is located 15 kilometres west of the town of Pickle Lake. It comprises four 'high-priority' areas: K1-1, K1-2, G, and J zones. The K1-2 zone was the most extensively explored and became the Thierry Mine.

In early September, Cadillac Ventures updated its NI 43-101 compliant mineral resource estimate for the Thierry mine - excluding the K1-1 deposit - which consists of 8.281 million measured and indicated tonnes grading 1.73% copper and 0.20% nickel, and 14.639 million inferred tonnes grading 1.70% copper and 0.16% nickel.

Beginning in March, the company drilled a total of 16 holes at the K1-1 deposit to confirm historical holes, and to facilitate the calculation of an NI 43-101 compliant resource for the deposit, which remains open.

Notable results include 25 metres grading 0.42% copper and 0.13% nickel, and 65 metres at 0.35% copper and 0.09% nickel in hole K-11-11, while hole K-11-12 returned 385 metres grading 0.24% copper and 0.07% nickel, including 0.35% copper and 0.08% nickel over 68.8 metres.

Assays from hole K-11-13 also found 45.9 metres at 0.36% copper and 0.13% nickel, including 0.52% copper and 0.18% nickel over 15.9 metres, while hole K-11-14 returned 242.5 metres at 0.25% copper and 0.1% nickel, including 0.3% copper and 0.11% nickel over 165 metres.

The final hole, K-11-16, returned 360 metres at 0.27% copper and 0.11% nickel, including 45 metres grading 0.39% copper and 0.17% nickel, and 50 metres grading 0.4% copper and 0.07% nickel.

Earlier this month, the Toronto-headquartered miner reported an increased resource estimate for its Thierry Mine project by 33% in the measured and indicated category and 75% in the Inferred category over its estimate from May of last year.

The updated NI 43-101 compliant mineral resource estimate for the Thierry mine, excluding the K1-1 deposit which has yet to be quantified, consists of 8.281 million measured and indicated tonnes grading 1.73% copper and 0.20% nickel, and 14.639 million Inferred tonnes grading 1.70% copper and 0.16% nickel.

In May of 2010, Cadillac said the project had a resource of 6.227 million tonnes measured and indicated grading 1.92% copper and 0.20% nickel, and 8.379 million inferred tonnes grading 1.79% copper and 0.16% nickel.

"The sizeable increase that will follow the final evaluation of the gap infilling combined with confirmed resources from K1-1 will act as a catalyst for CDC."

Aside from the Thierry Mine and K1-1 deposits, Cadillac also has the ability to add other historic satellite deposits to the project, underscoring the potential for the company to reposition itself as an important copper resource in Canada.

Cadillac, whose largest shareholder is Trafigura, owns 100% of the Thierry Mine, with no net smelter royalties on the main deposit. The property, east of Pickle Lake, is 500 kilometres north of Thunder Bay, and is easily accessible year-round by provincial highways.

The company's shares rose more than 5.5% on Monday, to trade at $0.19 as of 10:36am EDT.

The company said Aecom has completed an evaluation of the dewatering initiative, which included a baseline water sampling program on the property, as well as water sampling to suss out the most effective treatment strategy for the water in the pits and mine shaft.

It also said Aecom assessed a previously-identified water treatment system with other treatment solutions to make sure dewatering discharge to surface water complies with regulations.

Aecom provides planning, engineering design and program construction management services for a range of projects like airports, bridges, water and wastewater facilities, and power transmission and distribution, among others.

The company expects the dewatering implementation plan from Aecom in October. The work will be comprised of design criteria for the site, recommended flow, dewatering duration and quality, as well as a site plan detailing required infrastructure for dewatering and water treatment, and a cost estimate.

Moreover, a status report regarding consultation activities with regulatory bodies will also be drafted, the company said.

Once the plan has been completed, it will facilitate the drafting of tenders for aspects of the project such as site infrastructure, dewatering systems and water treatment facilities, Cadillac said.

Toronto-based Cadillac's Thierry Mine has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% copper, and an additional inferred resource of 8.4 million tonnes at a grade of 1.79% copper.

The Thierry Mine was last in operation under UMEX in the early 1980s, leaving significant underground development in place.

The Toronto-based company’s shares jumped 15 cents to $0.235 in late Tuesday trading on the Toronto Stock Exchange.

Drill hole K-11-10 intersected a weighted average of 0.33% copper over 516.4 feet, between 18.6 and 535 feet down the hole.

Further, drill hole K-11-11 intersected a weighted average of 0.26% copper over 83.9 feet, between 590 and 673 feet down the hole.

Last week, Cadillac reported drill hole K-11-8 had intersected a weighted average of 0.27% copper at 610 feet, between 110 and 720 feet down the hole.

Since March, Cadillac has drilled 16 holes into the K1-1 deposit, which was first identified by previous operator UMEX.

The Thierry mine was last in operation under UMEX in the early 1980s, leaving significant underground development in place. Initially, Cadillac drilled three holes into K1-1 to test the UMEX data, and found that drilling supported historical records.

As a result, the company embarked on another 13 hole program in May and June, designed to confirm historic data and facilitate an NI 43-101 compliant resource estimate at K1-1.

Based on the results thus far, Cadillac said it plans to carry-out a more definitive drilling campaign at the deposit.

The company said assays for the balance of the holes drilled will be released as soon as they are available.
The drilling carried out so far has not defined the extent or the depth of this body, it said.

In addition, high grade nickel values were also found, coincident with interpreted north-south trending shear structures, but insufficient drilling has been completed to fully define this mineralization.

Currently, Thierry has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% copper, and an additional inferred resource of 8.4 million tonnes at a grade of 1.79% copper.

Phase one of the planned three phase program is now underway, with the first phase to include around 1,200 metres of diamond drilling with 7 holes. The holes will be designed to test the down dip extensions of the known mineralized vein systems in and around the Burnt Hill mine site, the company said.

Should the holes intersect the multiple parallel vein systems as expected, they will provide more data for an upcoming resource update. The first phase is due to complete within the next four to six weeks, Cadillac said.

The Burnt Hill project is one claim block covering more than 10,000 hectares, in a joint venture with Noront Resources. The property encompasses several separate holdings, including either historic showings, or more advanced parts.

A second phase program, due to begin in the fall, will follow up on a prospecting program from last year, which discovered mineralization in several different zones. Stripping is planned to expose previously unsampled areas, providing access for a new sampling program, which could be followed by a further diamond drill program, the company said.

A third phase of drilling at Burnt Hill mine site area will be planned to test the eastern and western extensions to the mineralization beyond the current model, in a bid to expand resources.

Cadillac also owns the Thierry Mine project in northwestern Ontario.

The Thierry project is located outside of Pickle Lake Ontario. Highlights included drill hole K-11-8, which intersected a weighted average of 0.27% copper at 610 feet, between 110 and 720 feet down the hole, Cadillac Ventures said.

The drilling carried out so far has not defined the extent or the depth of this body, it said.

In addition, high grade nickel values were also found, coincident with interpreted north-south trending shear structures, but insufficient drilling has been completed to fully define this mineralization.

Since March, the company has drilled 16 holes on the K1-1 deposit.

The Thierry mine was last in operation under UMEX in the early 1980s, leaving significant underground development in place. Initially, Cadillac drilled three holes into K1-1 to test the UMEX data, and found that drilling supported historical records.

As a result, the company embarked on another 13 hole program in May and June, designed to confirm historic data and facilitate a NI 43-101 resource estimate at K1-1.

Based on the results thus far, Cadillac said it plans to carry-out a more definitive drilling campaign at the deposit. 
The company said assays for the balance of the holes drilled will be released as soon as they are available.

Currently, Thierry has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% copper, and an additional inferred resource of 8.4 million tonnes at a grade of 1.79% copper.

Cadillac Ventures shares shot up 25 cents, or 13.16% to $0.215 on Tuesday afternoon.

The K1-1 deposit is a separate occurrence from the Thierry Mine site, where Cadillac successfully drilled and expanded mineralization along strike to the east and the west, but is also on the same property.

At K1-1, the junior exploration company found an average of 0.611% copper and 0.373% nickel over 52 feet in drill hole K-11-07, including 1.12% copper and 0.405% nickel over 3.5 feet, and 0.427% copper and 0.636% nickel over five feet.

The presence of "massive" iron-nickel sulphide crystals was noted in the core, the company said, representing the first hole at K1-1 in which the massive crystals have been identified, hosted in a breccia zone.

The Thierry mine, which is mainly a copper resource, but also includes nickel, silver, gold, platinum and palladium deposits, was last in operation under UMEX in the early 1980s.

Cadillac said it has been re-evaluating the historical drilling records from UMEX for further occurrences of a breccia zone at K1-1, which had already been identified in the field.

"Initial observation suggests that there is a breccia zone present along several sections and echoed in the UMEX drilling several hundred feet to the west. However, at this time it isn't possible to comment on the extent or the significance of this zone as a whole," said the company in a statement.

The company's shares on the TSX Venture Exchange spiked 6.67% to trade at $0.16 per share as of 2:45 pm EDT on Thursday.

Since re-acquiring the Thierry Mine project, Cadillac has been focused on adding to the resource in the immediate area of the mine by drilling a gap in the current deposit model, referred to as the tooth target area. In early June, the Toronto, Ontario-based company successfully finished drilling the final hole of the tooth program.

Cadillac also managed to conduct other successful drill programs at Thierry this year, expanding the strike length of mineralization at the main deposit both to the east and the west.

Currently, Thierry has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% Cu, and an additional inferred resource of 8.4 million tonnes at a grade of 1.79% Cu.

In addition to the Thierry project, Cadillac said it has the opportunity for international exploration via a joint venture in the Iberian Pyrite belt in southern Spain with Minas de Aguas Tenidas. The company has the option to acquire up to a 90% interest in the property, and in order to do so, has begun a survey drill program over several of the 12 different investigation licenses, covering 230 square kilometres.

The new drill program is designed to undercut known mineralization at the deposit, as well as drill for extensions along strike.

The K1-1 deposit is a separate occurrence from the Thierry Mine site, where Cadillac successfully drilled and expanded mineralization along strike to the east and the west, but is also on the same property.

The company said the first hole of the new program at K1-1 has been completed, with hole K-11-04 being  drilled to a depth of 660 feet.

Mineralization of varying degrees was encountered over two thirds of this hole, according to Cadillac, and three mineralized zones were found, which spanned intervals over 211.8 feet to 316 feet, 340 feet to 490 feet, and 504.75 feet to 574.20 feet.

Samples have been selected from these zones, and are currently being tested.

The Thierry mine, which is mainly a copper resource, but also includes nickel, silver, gold, platinum and palladium deposits, was last in operation under UMEX in the early 1980s, leaving significant underground development in place.

Since re-acquiring the project, Cadillac has been focused on adding to the resource in the immediate area of the mine by drilling a gap in the current deposit model, referred to as the tooth target area. Last week, the Toronto, Ontario-based company successfully finished drilling the final hole of the tooth program.

Currently, Thierry has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% Cu, and an additional inferred resource of 8.4 million tonnes at a grade of 1.79% Cu.

The Thierry mine was last in operation under UMEX in the early 1980s, leaving significant underground development in place. Since re-acquiring the project, Cadillac has been focused on adding to the resource in the immediate area of the mine by drilling a gap in the current deposit model, referred to as the tooth target area.

The Toronto, Ontario-based company successfully finished drilling the final hole of the program, CV-11-05, last week.
Cadillac encountered a mineralized zone begining at 3,878 feet and continuing to 3,899.7 feet, for a total area of 21.4 feet. Samples from the area have been selected and submitted for testing, with results expected as soon as they become available.

The Thierry Mine is mainly a copper resource, but also includes nickel, silver, gold, platinum and palladium deposits. The tooth infill drilling program began in the fall of 2010, and consisted of six holes, with 22,367 feet of drilling.

The results of the tooth program will form the basis of an updated NI 43-101 compliant resource for the Thierry MIne project, the company said.

Currently, Thierry has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% Cu, and an additional inferred resource of 8.4 million tonnes at a grade of 1.79% Cu.

The three holes were from the shallow K1-1 deposit on the property, which, despite being on the same claim, is a separate occurence from the Thierry Mine project currently being drilled by Cadillac.

Other notable results include 173.5 feet at 0.27% copper; 130 feet at 0.35% copper, and 90 feet at 0.58% copper, including 30 feet at 0.92% copper.

The company said that initial interpretation of the results suggests multiple horizons of mineralization.

"K1-1 demonstrates exciting potential as a large tonnage, low grade shallow copper occurrence on the Thierry property," said president and CEO Norman Brewster.

"This mineralization, when added to the known resource at Thierry, has implications for the Thierry project which cannot be ignored, so Cadillac is now turning its attention to defining an NI 43-101 compliant resource statement at K1-1."

As such, the company is planning an extensive drilling campaign to test for strike and depth extensions of the mineralized body, as well as to confirm historic drill results. Drilling is to due to start this month.

Currently, Thierry has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% Cu, and an additional inferred resource of 8.4 million tonnes at a grade of 1.79% Cu.

The Thierry mine was last in operation under UMEX in the early 1980s, leaving significant underground development in place. Since re-acquiring the project, Cadillac has also been focused on adding to the resource in the immediate area of the mine, by deep drilling a gap in the current deposit model, referred to as the tooth target area.

The sixth and final planned hole of this deep drilling program is currently underway.

The news follows the company's announcement in March that it extended mineralization on the western strike of the deposit, which also remains open.

"We are pleased with the positive results we continue to receive from this project," said president and CEO Norman Brewster.

"The recently completed exploration plan update, which identified additional potential tonnes resultant from the first 3 deep drillholes at Thierry, did not contemplate the impact of the significant success we have had extending the mineralization to the east of the known deposit."

Highlights of the results from the east section reported today include 12 feet at 0.29% copper in hole CV 11-14; 6.5 feet at 0.59% copper in CV 11-15, including 2.5 feet at 0.81% copper; and 13 feet at 0.63% copper in hole CV 11-16, including 4.5 feet at 0.81% copper.

The holes, which will be included in an updated resource report in the summer, were drilled in February as part of the 2011 shallow drilling program, designed to extend mineralization to the east.

Currently, Thierry has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% Cu, and an additional inferred resource of 8.4 million tonnes at a grade of 1.79% Cu.

The Thierry mine was last in operation under UMEX in the early 1980s, leaving significant underground development in place. Since re-acquiring the project, Cadillac has been focusing on adding to the resource in the immediate area of the mine by deep drilling a gap in the current deposit model, referred to as the tooth target area.

The company said that the completion of the first three holes at Thierry, drilled into the tooth target area between August and December last year, has been calculated.

In these three holes, which comprise the new exploration target, between 3 to 5 million tonnes is estimated, at a grade of between 1.3 to 1.5% copper, 0.13 to 0.14% nickel, 0.07 to 0.08 g/t gold and 8 to 10 g/t silver, with additional platinum and palladium grades.

"We are impressed with the impact these initial 3 holes drilled into the tooth target area have on the resource expansion potential at Thierry, and are looking forward to the updating of the 43-101 resource estimate this summer based upon the balance of the successful drill program currently ongoing at Thierry," said president and CEO Norman Brewster.

Currently, Thierry has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% Cu, and an additional inferred resource of 8.4 million tonnes at a grade of 1.79% Cu.

The Thierry mine was last in operation under UMEX in the early 1980s, leaving significant underground development in place. Since re-acquiring the project, Cadillac has been focusing on adding to the resource in the immediate area of the mine by drilling a gap in the current deposit model, referred to as the tooth target area.

Results for the remaining three holes drilled in the tooth area are not yet available, the company said.

The company said this was seen from three drill holes, which were completed in February as part of the 2011 shallow drilling program.

The announcement follows Cadillac's discovery in March, which extended mineralization on the western strike of the Thierry deposit, located in northwestern Ontario.

Both the east and west sides of mineralization remain open, the company said.

Notable intersections reported today from the east zone include 1.17% copper over 10 feet in hole CV 11-11; and 1.23% copper over 5.8 feet in hole CV-11-13.

"We are very excited by the positive results we continue to receive at this project. Demonstrating additional mineralization to the east of the former Thierry Mine adds additional value to this project," said president and CEO Norman Brewster.

Cadillac's Thierry Mine project has a measured and indicated mineral resource of 6.2 million tonnes at a grade of 1.92% copper, and an additional inferred mineral resource of 8.2 million tonnes at a grade of 1.79% copper.

The resource, located in the Pickle Lake area in Ontario, also includes nickel, silver, gold, platinum and palladium.

The property, located 100km north of Lima, the capital city of Peru, covers 51,000 hectares.   According to Cadillac, several airborne anomalies have been identified and high priority drill targets have been located at the property. 

Under the agreement, Toronto-based Cadillac will pay CAD$0.31 million worth of shares to Urion, a subsidiary of Swedish-based Trafigura Beheer B.V.  Cadillac will also be responsible for the annual payments due in respect of the property.  In that regard, Cadillac will pay Urion US$127,000 in either cash or shares on closing, representing the reimbursement for the first annual payment. 

Cadillac will have the option to acquire up to an additional 50% interest in the property by spending CAD$2.25 million on the property over a three-year period.

After acquisition of the initial 30% interest, Cadillac will manage operations on the property. 

The deal, subject to the approval of the TSX Venture Exchange and other customary closing conditions, is expected to close less than 21 days. 

Some of Cadillac’s assets include the past-producing Thierry Property near Pickle Lake in Northern Ontario, several joint venture exploration projects in Spain, and the 51%-owned Burnt Hill Project in Fredericton, New Brunswick.

The company said that Aecom has already begun a program of water monitoring and structural assessments at the property to start the dewatering process.

In addition, a diamond drill program is currently ongoing at the site, designed to test for shallower extensions of mineralization from the known deposit. Of the six holes planned, three were completed by the end of last year, each of which intersected mineralization where anticipated.

The remaining three holes will be drilled later this month, Cadillac said. After the drilling program is complete, the company will undertake an updated NI 43-101 compliant resource calculation and scoping study.

Aside from Thierry, Cadillac owns several exploration projects in Spain in joint venture with MATSA and other exploration projects in Canada.

Highlights of hole CV-10-04 are intersections of 2.02% copper over 21.98 feet, including 3.38% copper over 5 feet. The mineralization was encountered where anticipated according to deposit modeling completed to date, said Cadillac.

"This hole serves to further close the triangular "tooth" shaped void in the model where there was no prior drilling," the company said in a statement.

The Thierry property encompasses the past producing Thierry Mine, which ceased production in 1982 leaving potentially economic mineralization in situ. Aside from Thierry, the company has several exploration projects in Spain in joint venture with MATSA, and Canadian exploration projects including the New Alger project in Cadillac, Quebec, and the Burnt Hill tungsten tin project in Fredericton, New Brunswick.

The assays also included 1.78 g/t gold and 0.52% copper over 6m, 1.99 g/t gold and 0.27% copper over 1.3 m, and 1.63 g/t gold and 0.65% copper over 1.9m.  

The Toronto-based company said the intersections from the third hole are interpreted to be gold carried in enriched pyrite in a stockwork system, giving additional evidence that the San Platon property is a volcanogenic massive sulphide deposit.

According to a study, the San Platon sulphide deposit was mined for copper, producing 0.9 million megatonnes of ore between 1906 and 1934. But at the time, only copper mineralization was mined, leaving out the polymetallic mineralization, due to a lack of metallurgical treatment capability then.   But treatment technology today allow all metals to be recovered, Cadillac said.

Cadillac also announced that drilling has restarted for 2011 on the San Platon project.

In Spain, the company is joint venture partner with Minas de Aguas Tenidas, S.A.U. regarding the exploration of 12 different investigation licenses surrounding the Aguas Tenidas Mine in the Iberian Pyrite Belt.

 In addition, Cadillac also has interests in the New Alger project, a previously productive gold mine, located outside of Cadillac, Quebec, and the Burnt Hill project, a tungsten tin project outside of Fredericton, New Brunswick.

As of 3:18 pm EST, the company’s shares rallied roughly 6.4% to trade at 25 cents a share.