Advanced Explorations’ Updated Resource Report Moves 60% of Resource from Inferred Into Indicated Category
Toronto, Ontario – April 6, 2011 – Advanced Explorations Inc. (TSX VENTURE:AXI)(FRANKFURT:AE6) (the “Company” or “AEI”) is pleased to announce an updated National Instrument (NI) 43-101 compliant mineral resource estimate for the C-Zone of its flagship Roche Bay iron project located on the east coast of the Melville Peninsula in Nunavut, Canada, as follows:• The resource estimate now includes 323 million tonnes in the Indicated category averaging 26.7% total iron (25.8% magnetic iron) at a 20% iron cut-off grade.
• A further 226 million tonnes averaging 25.8% total iron (23.8% magnetic iron) at a 20% iron cut-off grade remains in the Inferred category.
• In comparison to the previous resource estimate (as press released March 12, 2009) approximately 60% of the original Inferred resource volume has been re-classified as Indicated.
The upgraded resource classification is expected to positively impact the drill program at Roche Bay in support of the Feasibility Study while these new evaluations are also supporting the current approach to a concentrate production at Roche Bay.
As a result of a change in business models from >96% iron nuggets to 67% iron concentrate production from the future Roche Bay mine, the iron cut-off grade was lowered from 25% to 20% as the new business model provides for a more simplified and more flexible production flow sheet. The concentrate model is included in the ongoing Feasibility Study which will also consider the additional results from this summer’s drilling campaign.
John Gingerich, President and CEO, commented:
“We continue to be impressed with the results received from the Roche Bay Project. With almost two thirds of the original inferred resource now classified as indicated, we remain encouraged about the viability and quality of the ore body at Roche Bay as well as the remainder of the 140 km stretch of banded iron formation on the Melville Peninsula including our Tuktu project. The very positive impact of the coastal location on operation and development strategies will also play an important role in the Feasibility plan for Roche Bay. Further simplifying the mine plan has had additional impacts, and we are confident to successfully move the project into production”.
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