DDH-09-79 Details

Results for DDH-09-79 have been received back from the assay lab, and the results confirm that the Hawke Zone continues to the east of the Company’s previous drilling. This hole was drilled to a vertical depth of 254 metres, of which 243 metres was sent for assaying.

Of significance, an overall grade of 0.42% Nb2O5 was returned over the entire 243 metres, including 72 metres grading 0.6% Nb2O5 between 94.25 metres and 166.25 metres.

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Trench 09-5A assay results for Nb2O5 and REE’s (click to view)

The trenching program was conducted initially under the supervision of the late Alan Hawke, and followed up on by geologist Hillar Pintson. It was conducted in the middle of the SE Zone, where forty-nine 2.5 metre continuous channel samples were collected along the northern side of trench 09-5A and submitted for assaying. The average grade over the full 122.5 metre length of the trench was 0.35% Nb2O5. In the 49 samples submitted for assay, highlights included 2 samples of greater than 1% Nb2O5 and 10 samples greater than 0.5% Nb2O5. As well as the significant Nb2O5 results, the samples returned anomalous values of tantalum and uranium, along with 2 samples of greater than ten thousand ppm total rare earth elements.

Of additional significance is that this trenching program was carried out in an area of the SE Zone that had not previously been drilled, so continues to expand the area of potential mineralization in this area. A follow-up drilling program has been initiated to test the areas underneath the zone exposed during the trenching program.

Introduction and Adit Location

In 1958 Dominion Gulf Company drove an adit 580 feet into the main D Zone of the Nemegosenda carbonatite property northeast of Chapleau, Ontario. The historic data from that report has been recalculated and plotted for internal purposes by Alan Hawke, a director of Sarissa Resources.

The adit was started on the east shore of Lake Nemegosenda. It was driven east for 279 feet, and N65E for 301 feet, with the last 235 feet within Zone D type mineralization. The project was undertaken to provide a bulk sample of material for metallurgical testing.

Adit Geology

G.E. Parsons, the author of the report, presented the following comments on Zone D geology in the excerpts below:

“Zone “D” Rocks

As indicated in the diamond drilling, Zone “D” in the adit consists of various proportions of three rock types – fenites, orthoclase-rich rocks, and malignite…The grade of the columbium [niobium] is best where the malignite predominates. This malignite in the adit occupies openings and fractures varying from a fraction of an inch to several feet across, or as a matrix to a breccia formed by the intersecting of fractures. The fenites or orthoclase-rich rocks (felspathized fenites) are the host rocks for the malignite…

Fine pyrochlore is readily visible in most of the rock called malignite.”

Summary of Pertinent Data

Parsons summarized the data as follows:

“Adit collared 305 feet north of the Chewett-Collins Township line in Claim S82921 but it quickly passed into Claim S82918.

Driven:            east for 279 feet

                        N65E for 301 feet

                        Total        580 feet

Elevation of adit at collar: 7 feet above lake – at face: 10.5 feet.

Advance in waste:                 345 feet

               In ore (Zone “D”)    235

Total slushing 1,166 cubic feet.

Approximately 1,500 tons of waste broken

Approximately 1,000 tons of ore (Zone “D”) broken.

Estimates of massive malignite in Zone “D” from vertical sections 33%

                                                                        From diamond drill core 42%.

Zone “D” mineralization in adit – from Sta. 106 – Face

                                                       From Rd.   57 – 93, inclusive.

Bulk sample straight advance (Rd. 57 – 93) 677 bags

                                                     Slash 4        10

                                                     Slash 5      315

                                                     Total        1002 bags.”

The data from the historic bulk sampling program have been recalculated and plotted for internal purposes.

 Alan Hawke, BSc. MSc. (Geology), a director of Sarissa, is a “qualified person” within the meaning of National Instrument 43-101 and has reviewed the technical information contained in this report.

As has been previously reported, our geologists continue to investigate the vast amount of historical exploration data that is available on the Nemegosenda property. One area that was initially identified by Gulf, the East Zone, had subsequent exploration conducted in 1988, including an airborne geophysical survey conducted by Aerodat; the core from 9 of Gulf’s original drill holes in this area was salvaged and relogged by Musto Explorations; and 12 trenches were exposed for approximately 475 metres for sampling. The exploration was summarized in the “Report on the Geology and NB, Y, REE Potential of the East Zone Nemegosenda Lake Alkaline Complex” by, Beaty Geological Ltd, in 1988. Their findings have been incorporated internally to assist Sarissa in our ongoing exploration of this area.

Based on the data we have reviewed, the South East Zone warrants substantial follow-up exploration work. Sarissa consulting geologist, Warren Hawkins, has recommended an exploration grid be cut over the  Zone, followed by a total field magnetic ground survey and a radiometric survey, in order to expand on the known areas of mineralization. An overview can be seen below.

In addition to the ground work to be conducted in the East Zone areas, we hope to begin drilling the first phase in the main D Zone shortly. An extensive diamond drilling plan has been designed by Sarissa director, Alan Hawke, and can be viewed here. The plan calls for 61 holes to be conducted in a number of phases, with possible revisions dependent on results.

The company has had the original drill logs from the Dominion Gulf Company analyzed and the data entered into a format we can more easily work with. In addition we were able to graph the Nb2O5 results with the radiometric counts, showing the direct correlations.

We are continuing to analyze a vast amount of detailed historical information on the property. By carefully doing this, we can more directly target our exploration and metallurgical testing, saving a substantial amount of money that we would otherwise need to spend.

A partial listing of the reports we are currently working on (in no particular order) includes:

• Nemegosenda Lake Project, Dominion Gulf Company Evaluation, July 22, 1971
• Nemegosenda Lake Project, Dominion Gulf Company, Rare-Earth element content, East Ore Area, Jan 5, 1972
• Report on the Geology and NB, Y, REE Potential of the East Zone, Nemegosenda Lake Alkaline Complex, Beaty Geological Ltd., 1988
• Tonnage and Grade Calculations for Zone “D”, Dominion Gulf Company
• Musto Explorations Limited, Nemegosenda Lake Niobium/Rare Earth Deposit, 1988
• Report on Combined Helicopter Borne Magnetic, Electromagnetic and VLF Survey Nemegosenda Lake Area, Aerodat Limited, April 1988
• Nemegosenda Geological-Geophysical Interpretation, 1988

There is a lot more exploration data still to be catalogued.

In addition to the exploration data, Gulf spent $990,000 over a 4 year period in the late 1950’s and early 1960’s in conjunction with the Colorado School of Mines Research Foundation Inc. for the treatment of the ore from the Nemegosenda property. This information will be very useful going forward.