www.gwmg.ca
Great Western Minerals Group Ltd. is a Canadian-based company with six rare earth exploration and development properties in North America with an option on a sizable additional property in South Africa. In addition, as part of the Company’s strategy to pursue a vertically-integrated business model, the Company's wholly-owned subsidiaries of Less Common Metals Limited located in Birkenhead UK, and Great Western Technologies Inc., located in Troy, Michigan, produce a variety of specialty alloys for use in the battery, magnet and aerospace industries. These "designer" alloys include those containing copper, nickel, cobalt and the rare earth elements.
Great Western Minerals begins exploration of True Blue REE property in Yukon
Great Western Minerals Group (TSX-V:GWG, OTC:GWMGF) has begun a rare earth element (REE) exploration program at the True Blue Property in Yukon. In March the company optioned-into the property, and the C$1m exploration program represents its 2010 expenditure commitment to exercise the initial option.
In order to exercise the first option and earn 51% of the project, Great Western is required to complete a total of C$5m in exploration costs, along with other cash payments and equity issues.
"The purpose of the True Blue exploration program ... is to determine the surface dimensions of the currently known Rare Earth Element mineralization and identify new areas of mineralization in the area encompassed by the True Blue syenite and host rocks", Great Western Minerals Exploration VP John Pearson said.
The exploration program is scheduled to be completed in late August, 2010.
Great Western Minerals intends to evaluate known REE showings through a program of geological mapping and soil geochemical sampling of the area around the showings, followed by a detailed mapping and systematic sampling of the showings. Additionally, a low-level, high-resolution heliborne magnetic and radiometric survey will be flown, in order to assist in identifying other REE showings and to aid in the geological mapping of the property,
On the ground, stream sediment sampling and prospecting will be carried out on areas around the anomalies identified. Subsequently, in the lab, metallurgical testing of the REE showings will be conducted - including QEMSCAN - to detail the REE mineral phases present and also preliminary metallurgical testing for extraction.
The True Blue property is located 55 kilometers south of Ross River, Yukon. During a 2009 exploration program on the property, True North discovered three new rare earth elements (REE) showings which returned assays of up 6.02% total rare earth oxides + yttrium (TREO) and 2.52% niobium oxide (Nb2O5) with a high proportion of neodymium and heavy rare earth elements.
Great Western can earn a 51% interest in the property with an initial cash payment of C$50,000 on signing, followed by additional cash payments of C$350,000 on or before January 30, 2013. In order to exercise the first option, Great Western will also be required to complete a total of C$5 million in exploration costs with C$1 million of it incurred in 2010 and issue 0.3 million common shares to True North on signing the agreement, followed by an additional 0.9 million shares on or before January 30, 2012.
Once the 51% interest is earned, Great Western will be able to secure an additional 14% interest by covering the expenditures associated with the completion of the bankable feasibility study.
