Lac Cinquante Geophysical Trend Traced Over Nine Kilometres; Ground Survey Completed
June 1, 2009
Vancouver, B.C. – Kivalliq Energy Corporation (KIV: TSX-V) (the “Corporation” or “Kivalliq”) today announced the successful completion of a 600 line km ground geophysical survey at the Angilak Project in Nunavut. Results from the ground geophysical survey have clearly identified a 9 kilometre long trend of parallel Very Low Frequency Electromagnetic (VLF-EM) conductors. This trend includes the prominent VLF-EM anomaly known to be associated with the Lac Cinquante Uranium Deposit, reported to contain 20.4 million pounds of uranium oxide grading in excess of 1% (not compliant with National Instrument 43-101).**
This 9 kilometre long trend of parallel VLF-EM conductors will now be referred to as “the Lac Cinquante geophysical trend.” A VLF-EM conductor specifically associated with the Lac Cinquante deposit can be traced for 7 kilometres to the south east and may represent a possible extension onto ground previously held by Urangesellschaft MbH, where earlier work failed to recognize the orientation and style of mineralization present at Lac Cinquante. The Lac Cinquante trend also extends 1.6 kilometres to the northwest, beyond the western margin of the historic uranium deposit. In addition, over 20 significant uranium surface showings are related to VLF-EM anomalies within the Lac Cinquante trend, representing excellent exploration targets nearby.
“We are excited to see that the survey has validated our belief that the Lac Cinquante trend carries on well beyond the margins of known mineralization,” stated John Robins, President and CEO of Kivalliq Energy Corporation. “This, together with the presence of several parallel conductors, demonstrates the tremendous exploration potential of this project.”
Ground geophysical surveying was carried out on the Angilak property between April 25 and May 22, focussing on previous VLF-EM anomalies and associated mineralized zones at Lac Cinquante. This is the first comprehensive ground survey completed in the region in over 25 years. Orientation surveys testing a variety of methods were first performed over the deposit “main zone” to confirm the geophysical signature and determine best techniques for surveying. Magnetic and VLF-EM methods were selected to complete the 600 line kilometre survey after recognizing a clear correlation between anomalous trends, structure and lithology that hosts the Lac Cinquante deposit.
The ground survey covers an area measuring 14 by 4 kilometres, using 100 metre line spacing, with more detailed surveying carried out in critical areas. The ground survey also straddles the contact, or unconformity between basement Archean rocks and overlying Proterozoic sediments, an important geological feature key to many uranium deposits worldwide.
The summer field program on the Angilak property is expected to commence in July, and data from this ground survey will be instrumental when planning and implementing the remainder of the 2009 program.
Aurora Geosciences Ltd. of Yellowknife, NT has been contracted to operate and oversee technical aspects of the ground geophysical program on the Angilak Project. Georges Belcourt, P.Geoph. is the Qualified Person for the purposes of National Instrument 43-101. Disclosure of a technical nature contained in this release has also been reviewed and approved by Jeff Ward, P.Geo (Vice President Exploration of Kivalliq) and Rob Carpenter, Ph.D., P.Geo (Chairman of Kivalliq) who are also Qualified Persons for the purposes of National Instrument 43-101.
About Kivalliq Energy Corporation
Kivalliq Energy Corporation is a new uranium exploration and development company, and the first company in Canada to sign a comprehensive agreement with the Inuit of Nunavut to explore for uranium on Inuit Owned Lands in Nunavut.
This landmark partnership with the Inuit gives Kivalliq a unique opportunity to explore and develop the Lac Cinquante Deposit, northern Canada’s highest grade uranium deposit. Reported to contain 20.4 million pounds of uranium oxide with grades in excess of 1% U3O8 (not National Instrument 43-101 compliant), the historic Lac Cinquante uranium deposit and over 150 other uranium occurrences on the property comprise Kivalliq’s core asset, the 270,000 acre Angilak Project.
Kivalliq Energy Corporation is a member of the Discovery Group of companies, for more information on the group visit www.discoveryexp.com.
On behalf of the Board of Directors
John Robins, P.Geo
President and CEO
Kivalliq Energy Corporation
For further information about, Kivalliq Energy Corporation or this news release, please visit our website at www.kivalliqenergy.com or contact Tony Reda, Investor Relations, at toll free 1.888.331.2269, directly at 604.646.4534 or by email at [email protected].
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
** The quoted disclosure for the Lac Cinquante Uranium Deposit was prepared by Aberford Resources Ltd, Abermin Corporation and referenced by subsequent sources. It is a historical estimate as defined in National Instrument 43-101, but should not be relied upon since it does not comply with standards of disclosure required for reserves and resources stated therein. However, it is relevant because: it is indicative of a mineralized zone worthy of follow-up exploration as it is based on drilling and surface exploration carried out by what is believed to be knowledgeable explorers in accordance with acceptable industry practices at the time of the estimate. A Qualified Person has not classified historical estimates as current mineral resources/reserves, and Kivalliq is not treating them as current mineral resources/reserves since work to date has not verified the historical estimates. Kivalliq has not done any work to confirm these estimates but will be planning exploration programs aimed at evaluating the economic potential of the deposit and environs. It is uncertain if further exploration will result in the deposit being delineated as a mineral resource.
Certain disclosures in this release, including management's assessment of plans and projects and intentions with respect to listings of securities, use of proceeds and future exploration programs, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to Kivalliq's operations as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including risks as to the completion of the plans and projects. Readers are cautioned not to place undue reliance on forward-looking statements. Kivalliq expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise.