VANCOUVER, British Columbia, Dec. 18, 2017 (GLOBE NEWSWIRE) — MGX Minerals Inc. (“MGX” or the “Company”) (CSE:XMG) (OTCQB:MGXMF) (FKT:1MG) is pleased to announce development activity has commenced at its Kootenay and Wonah Silicon Projects located near Canal Flats, British Columbia. Exploration design and permitting activities have commenced. Archaeological assessment (AOA) and environmental assessment are expected to commence shortly. Infrastructure evaluation is currently underway including assessment of the bulk commodity load out facility at Canal Flats, inclusive of ten railcar siding, previously used for gypsum loading. High grade silica is the feedstock used in industrial silicon metal and solar silicon metal applications.
To further the Company’s expansion into low cost energy mass storage systems, following the acquisition of ZincNyx Energy Solutions (see press release, December. 13, 2017), MGX has prioritized evaluation and development of its silicon projects for silicon metal potential. One of the primary uses of silicon metal is in solar panels. Solar panels are a cornerstone to remote and distributed energy solutions. Solar, combined with a mass storage system such as that currently under development by ZincNyx, serves to replace or augment diesel generators, as well as having broad applications in energy storage for residential and commercial grid load balancing and backup, and in providing primary and backup power for industrial sites, telecommunications, large scale computer server arrays and military bases. Additional information on the integration of solar with ZincNyx energy storage systems is available by video and at ZincNyx.com.
Metallurgy Test Design
A metallurgy program has been designed to test for suitability of upgrading to silicon metal and solar grade silicon. A bulk sample requirement of two tonnes has been requested by the evaluation laboratory. The evaluation laboratory is qualified to complete process and plant design should the silica be found suitable for upgrading to silicon metal.
The main target includes the ridge where steeply dipping Ordovician age quartzite is exposed over a strike length of approximately 850 meters. Geological mapping, geochemical sampling, and surveying identified a series of white quartzite outcroppings (Wonah Quartzite Formation) that form 2 lenses, the ‘Central Zone’ that has been traced for approximately 500 m, and South Zone traced for 350 m along strike. The Central and South Zones consist of a highly competent quartzite unit that trends N to NNE, is approximately 50 meters in width, and has a steep east dip. There is an ESE trending fault between the Central and South Quartzite Zones that has an approximate 200 m sinstral, horizontal displacement. A total of 11 rock chip quartzite samples were taken from the Central & South Zones by MGX VP Exploration Andris Kikauka (P. Geo.) shortly after acquisition in 2015. Rock chip samples were analyzed by ALS Minerals, North Vancouver, BC, using Li Borate fusion, whole rock analysis ME-XRF-06 (XRF26), results of significant elements are summarized by percentage as follows:
The property was previously drilled by COMINCO with a total of 477.16 meters of NQ core with 8 holes drilled from 7 different locations in 1981. The Kootenay property consists of a total area of 165.7 hectares (409.4 acres). Fieldwork was performed in 2015, shortly after the acquisition of the property by MGX Minerals, by VP of Exploration Andris Kikauka (P. Geo.) which consisted of geochemical sampling and geological mapping. Geochemical sampling was carried out on exposed surface bedrock located in close proximity to historic diamond drilling performed by Cominco. A total of 8 rock chip samples were collected from surface outcrop near previous drilling, and rock chip samples were analyzed by ALS Minerals, North Vancouver, BC, using Li Borate fusion, whole rock analysis ME-XRF-06 (XRF26). Highlights of significant results from Koot North, Middle and South Zones are listed by percentage:
Exploration and Development Plan
Both properties are located near infrastructure and centralized loadout facility. The Company is prepared for immediate 10-hole drill program at each property followed by small bulk sample for metallurgical testing. Upon completion of suitable metallurgy infill drilling is planned for the purpose of generating a NI 43-101 Resource Estimate. The properties are generally suited for quarry type operation. Development strategy is largely dependent on the outcome of metallurgy. Evaluation of potential strategic partnerships within the silicon metal and solar sectors is underway which would play a significant role in development plan should silica be found suitable for the targeted applications in the silicon metal industry.
The technical portions of this press release were prepared and reviewed by Andris Kikauka (P. Geo.), Vice President of Exploration for MGX Minerals. Mr. Kikauka is a non-independent Qualified Person within the meaning of National Instrument (N.I.) 43-101 Standards.
MGX may decide to advance its silicon projects into production without first establishing mineral resources supported by an independent technical report or completing a feasibility study. A production decision without the benefit of a technical report independently establishing mineral resources or reserves and any feasibility study demonstrating economic and technical viability creates increased uncertainty and heightens economic and technical risks of failure. Historically, such projects have a much higher risk of economic or technical failure.
About MGX Minerals
MGX Minerals is a diversified Canadian resource company with interests in advanced material and energy assets throughout North America. Learn more at www.mgxminerals.com.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release contains forward-looking information or forward-looking statements (collectively “forward-looking information”) within the meaning of applicable securities laws. Forward-looking information is typically identified by words such as: “believe”, “expect”, “anticipate”, “intend”, “estimate”, “potentially” and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking information provided by the Company is not a guarantee of future results or performance, and that actual results may differ materially from those in forward-looking information as a result of various factors. The reader is referred to the Company’s public filings for a more complete discussion of such risk factors and their potential effects which may be accessed through the Company’s profile on SEDAR at www.sedar.com.
CONTACT: Contact Information Jared Lazerson President and CEO Telephone: 1.604.681.7735 Web: www.mgxminerals.com