Resource estimates confirm significant quartz resource
An independent assessment of the Kvinnherad hydrothermal quartz deposit has estimated a quartz-containing mineral resource of approximately 2.92 million tonnes in the indicated resource category and 1.34 million tonnes in the inferred resource category. The quartz content of the deposit is on average 65%.
Resource estimates
Three zones of quartz have been specified with increasing amount of quartz; transition zone, semi-massive zone and massive quartz zone. The table below shows the average quartz content in each zone and the overall estimated content of quartz in the deposit.
The resource estimates are summarized in the following:
| Tonnage | Hydrothermal quartz | Hydrothermal quartz content | |
| (tonnes) | (%) | (tonnes) | |
| Indicated resources | |||
| Transition zone | 1 467 000 | 40 | 587 000 |
| Semi-massive zone | 631 000 | 80 | 505 000 |
| Massive quartz zone | 849 000 | 95 | 807 000 |
| 2 922 000 | 65 | 1 899 000 | |
| Inferred resources | |||
| Transition zone | 645 000 | 41 | 264 000 |
| Semi-massive zone | 199 000 | 79 | 157 000 |
| Massive quartz zone | 497 000 | 95 | 472 000 |
| 1 341 000 | 66 | 893 000 |
The estimations are based on the results from the core drilling in fall 2015 and information from previous exploration work. The extension of the quartz deposit towards depth is still unknown and further core drilling may be carried out at a later stage. A model of the quartz deposit has been developed according to international standards and practice. The estimates are in accordance with the JORC Code. Chemical analyses have been done with ICP-MS for 45 drill core quartz samples from the deposit.
Nordic Mining’s comments to the resource estimations
Exploration Manager Mona Schanche comments: “The resource report provides valuable documentation of a significant quartz resource in Kvinnherad. We have previously documented that high-purity quartz concentrates can be produced from surface samples of the deposit. We will carry out similar processing tests to investigate whether the same qualities can be produced from material from the drill cores.”
CEO Ivar S. Fossum comments: “We have established a basis for evaluation of commercial and strategic alternatives for the deposit. The Kvinnherad quartz deposit can be attractive for several industrial applications, both in the high-purity segment and in other advanced applications. We will explore various scenarios for development of the deposit and investigate partnership models and financing options including grant schemes in order to progress the project.”
The Kvinnherad quartz deposit
The Kvinnherad quartz deposit is a 600 meter long quartz vein situated about 300 meters above sea level. Surface mapping shows that the vein has a width varying between 10 to 45 meters. The center of the vein generally contains massive quartz, while a greater degree of mixing with the host gneiss rock is seen towards the contact; the semi-massive and transition zones.
In September/October 2015 a drilling program was carried out at the quartz deposit. 6 drill holes were drilled with a total length of approximately 630 meters. All drill holes intersected significant quartz zones with varying quartz content.
Competent Person and Reporting Standard
The Competent Person responsible for the assessments and the statement regarding estimation of mineral resources at the Kvinnherad quartz deposit is Lars-Åke Claesson, a titled European Geologist in accordance with the Federation of European Geologists.
A resource estimation report has been compiled by B.Sc. Johan Camitz, designated by the Fennoscandian Review Board (“FRB”) as accredited Qualified Person. Mr. Camitz has carried out the technical estimations and modeling of the quartz deposit. The report follows the FRB-standard based on “The International Template for public reporting of exploration results, mineral resources and mineral reserves, July 2006”, issued by The Committee for Mineral Reserves International Reporting Standards (“CRISCO”).
The Australasian JORC Code recognizes resource estimations according to the CRISCO template.
Both Mr. Claesson and Mr. Camitz are employed with MIRAB Mineral Resurser AB.
Mr. Claesson has approved the technical information in this stock market release.
The Competent Person’s statement with supporting documents will be available at Nordic Mining’s website; www.nordicmining.com.
For questions please contact Exploration Manager Mona Schanche, telephone +47 922 81 253.
Oslo, 10 February 2016
Nordic Mining ASA
Nordic Mining ASA (www.nordicmining.com)
Nordic Mining ASA (“Nordic Mining” or “the Company”) is a resource company with focus on high-end industrial minerals and metals in Norway and internationally. The Company’s project portfolio is of high international standard and holds a significant economic potential. The Company’s assets are in the Nordic region.
Through the subsidiary Nordic Rutile AS Nordic Mining is undertaking a large-scale project development at Engebøfjellet in Sogn and Fjordane where the Company has rights and permits to a substantial eclogite deposit with rutile and garnet. Permits for the project were granted by the Norwegian government in April 2015. Nordic Mining has rights for exploration and production of high-purity quartz in Kvinnherad in Hordaland and develops the project through its subsidiary Nordic Quartz AS. Nordic Mining’s associated company Keliber Oy in Finland plans to start mining of lithium bearing spodumene and production of lithium carbonate. Nordic Mining holds exploration rights on the Øksfjord Peninsula in Troms and Finnmark, where the Company has discovered a prospective area of sulphide mineralisation. Through the subsidiary Nordic Ocean Resources AS, Nordic Mining is exploring opportunities related to seabed mineral resources.
Nordic Mining is listed on Oslo Axess with the ticker NOM.