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.
Search Minerals and Great Western confirm rare earth mineralization at depth on Red Wine property
Search Minerals (TSX-V: SMY) and Great Western Minerals Group (TSX-V:GWG) have completed four drill holes on Search’s Red Wine property, located approximately 110km northeast of Churchill Falls, Labrador, finding eudia-lyte-bearing rare earth element (REE) mineralization at depth in all of them.
The four holes, which total 619m, confirm the extension of REE mineralization from the surface showings to depths of at least 217m, the companies said. The planned drill program has resulted in mineralized zones open to the northwest, the east and at depth.
A total of 5 holes are planned in the current drilling program at the Pinot Rosé showing, exploring the surface mineralization at depth over a strike length of 500m. A further 8 holes are planned, over a strike length of 1400m, at the Cabernet showing, and 3 holes are planned over a strike length of 300m at the Malbec area. Assay results from the first four holes are expected shortly.
In April, Great Western agreed to fund the Red Wine drilling and exploration program over a three year period.
Under the terms of the option agreement among Search, Great Western, and Alterra Resources, Great Western can earn a 50% working interest in the Red Wine property by making an initial cash payment of $50,000, and by paying $75,000 on or before April 30, 2011 and $100,000 on or before April 30, 2012; by issuing 200,000 common shares on March 16, 2010, 350,000 common shares on April 30, 2011 and 500,000 common shares on April 30, 2012; and by funding a $1.5 million exploration program, of which a minimum of $750,000 must be spent by March 16, 2011, a minimum of $250,000 must be incurred by March 16, 2012 and any remaining expenses must be funded by March 16, 2013.
Great Western has already paid $50,000 and issued 200,000 common shares of its company to Alterra as part of the terms of the agreement.
Great Western Minerals is an integrated Rare Earths processor. Its specialty alloys are used in the battery, magnet and aerospace industries. Produced at its subsidiaries, Less Common Metals Limited, in Birkenhead, U.K., and Great Western Technologies, in Troy, Michigan, these alloys contain aluminum, nickel, cobalt and Rare Earth Elements.
As part of the company's vertical integration strategy, it has signed an off-take agreement for 100% of the rare earth elements produced at the former producing Steenkampskraal mine in South Africa and holds 20.8% ownership in rare earth extraction, the owner of the Steenkampskraal mine. Great Western also holds interests in seven rare earth exploration and development properties in North America.
