www.prophecycoal.com
Prophecy Coal Corporation (TSX: PCY, OTC-QX: PRPCF, Frankfurt: 1P2) is an internationally diversified thermal coal production company that in November 2010 saw its first coal project, Ulaan Ovoo commissioned for production. The company controls over 1.4 billion tonnes of open-pittable thermal coal in Mongolia (839 Mt Measured, 579 Mt Indicated) between 2 distinct deposits with power plant plans for its second deposit (Chandgana's) well under way. Additionally Prophecy Coal Corp holds the Okeover Copper project and the Titan, Vanadium Iron ore & Titanium projects in Canada.
Prophecy Resource Reports Multiple 10g/t PGM Samples at Wellgreen Project in Yukon
Prophecy Resource (TSX-V:PCY)(OTCQX:PRPCF)(FSX:1P2) reported results from its underground sampling program at its Wellgreen platinum group metals project in the Yukon on Wednesday, returning multiple chip samples with previously unknown occurences of rhodium.
Eight hundred chip channel samples taken at 2 metre intervals along the underground workings were assayed for platinum (Pt) and palladium (Pd). Of these, 174 samples where platinum or palladium grades exceeded 1g/t, were then assayed for gold (Au), rhodium (Rh), osmium (Os), iridium (Ir), and ruthenium (Ru).
Concentrations of rhodium, osmium, iridium, and ruthenium were present in all of the follow-up samples, the company said.
Highlights include sample C509097, which returned 3.7g/t Pt, 2.24g/t Pd, 1.27g/t Os, 1.9g/t Ru, 1.7g/t Ir, 0.895g/t Rh and 0.379g/t Au at a length of 0.65 metres.
"The underground sampling demonstrates the widespread occurrence of all 6 platinum group metals. Particularly noteworthy is the discovery of (previously unknown) widespread occurrences of rhodium," said CEO John Lee.
"Platinum group metals are highly valuable and this encouraging discovery should significantly enhance the economics and appeal of Wellgreen."
Rhodium is used together with platinum and palladium to control exhaust emissions.
Based on its results, Prophecy will assay 470 drill core samples for all six platinum group metals from drill programs by Northern Platinum and Coronation Minerals since 2006. These core samples were previously tested for platinum and palladium and yielded results over 1g/t combined, the company said.
The Wellgreen claims stretch over a 7km strike lenth and cover 22 square kilometers. The area is 15 km from the paved 2 lane Alaska Highway and 402 km from Alaska's Haines deep sea port. It is part of Kluane Ultramafic Nickel belt, which is second largest behind the Thompson Belt in Canada.
Since 1952, exploration at the site was almost entirely focused on underground massive sulphide nickel and copper deposits, and while platinum group metals and other valuable minerals were present, they were neither assayed for nor credited, Prophecy said.
A historic resource of 55 million tonnes grading 0.35% Cu, 0.36% Ni, 0.82 g/t platinum and palladium was estimated at Wellgreen, which equates to over 1.4 million oz of platinum group metals and 400 million pounds of nickel in situ.
In July this year, an indepedent NI 43-101 report commissioned by Prophecy indicated that the potential of the Wellgreen property ranges between 77 to 254 million tonnes at 0.26 to 0.38% nickel, 0.26% to 0.36% copper, 0.55 to 0.85 g/t platinum and palladium, based on a strike length range of 4,000 to 7,000m and a width of 30 to 35m.
Prophecy is looking to develop Wellgreen into a large scale deposit that could be mined by open pit and large tonnages.
The company also controls over 1.4 billion tons of open-pittable thermal coal in Mongolia, with its Ulaan Ovoo Coal Mine in production. In Canada, it owns Wellgreen, the Lynn Lake Nickel Sulphide project in Manitoba, and a 10% equity stake in Victory Nickel.
