Apr 22 2015
Alabama Graphite Corp. ("Alabama Graphite" or the "Company") is pleased to announce that it has finalized plans for a diamond drilling program at its flagship Coosa Project in Alabama. Drilling will begin before the end of April, 2015.
The primary purpose of the drilling is to expand the oxide resource within the Coosa Project area. Previous drilling at the Coosa Project resulted in a published NI 43-101 resource containing both indicated and inferred categories. The current drill program will consist of infill drilling between the main Coosa indicated resource and inferred resources along the Northern Strat section. Additional holes are planned as step-outs to the south and southwest of the Coosa resource. A total of 31 holes are planned including four that will deepen existing sonic holes drilled in 2014.
In addition, an initial drill program will be commenced at the former Fixico Mine located on the Coosa property. Trenching around the Fixico Mine in late 2014 discovered long widths of graphitic schist. The program at the Fixico Mine will consist of three relatively deep holes drilled as a stratigraphic test across the heart of the mineralization. Three additional holes will be offset along strike. The Fixico Mine was one of the earliest graphite mines in Alabama. While it is in close proximity to the Coosa resource, it is hosted within a separate graphitic schist unit.
At total of 37 holes totaling approximately 6,500' (1981m) will be drilled by 3D Drilling in the current program. The core will be logged and sampled by Alabama Graphite personnel using protocols established by Metal Mining Consultants of Highlands Ranch, CO. Assaying will be conducted by ActLabs of Ancaster, Ontario. In keeping with the Company's environmental commitment, drill roads and pads will be reclaimed after drilling.
Concurrent with the drilling, the Company has also engaged Metal Mining Consultants to initiate preliminary CapEx and OpEx studies. Composites from the drill program will be submitted to SGS Labs in Lakefield, Ontario, for flake size distributions and purity analysis of the various factions. This work will be followed by flowsheet analysis to determine the equipment needed for the milling process.
"The purpose of this program is to expand the oxide portion of our resource," states Ron Roda, President and CEO of Alabama Graphite. "The drill results will be used to update our NI 43-101 resource estimate. This updated resource - along with the flowsheet analysis and CapEx and OpEx studies - will be the basis for an inaugural Preliminary Economic Assessment (PEA). The PEA will focus exclusively on the soft, oxide resource which we feel is a unique characteristic that sets us apart from other graphite resources in North America. We expect completion and delivery of the PEA in the second half of, 2015".
The drill program is expected to take 45 days. Complete assay results are expected to be received by early July.
Rick Keevil, P. Geo., a Director of the Company and VP of Project Development, is a Qualified Person as defined by National Instrument 43-101, has reviewed the contents of this press release.
Source: http://www.alabamagraphite.co/