Press Release
NAMIBIA RARE EARTHS ANNOUNCES RESOURCE DRILLING PROGRAM
AND GEOPHYSICAL SURVEYS UNDERWAY AT LOFDAL
Halifax, Nova Scotia January 18, 2012 - Namibia Rare Earths Inc. (“Namibia Rare
Earths” or the “Company”) (TSX:NRE) is pleased to announce that a 6,000 meter diamond
drilling program has started with two drill rigs focused on the delineation of a first mineral
resource from Area 4 on the Lofdal Rare Earth Project in northwestern Namibia (Figure 1).
Concurrent with the drilling program, an induced polarization geophysical survey will be
undertaken over prospective extensions of the favourable heavy rare earth-enriched
structure emanating from Area 4. The drilling program is scheduled to be completed by the
end of April with delivery of the NI 43-101 compliant mineral resource report in the third
quarter of 2012.
Resource Drilling Program
As previously reported (Company press release December 5, 2011) the mineral resource
drilling program will be carried out on the Area 4 heavy rare earth enriched1 target where
the 2011 exploration drilling program has delineated significant rare earth mineralization
over a 650 meter strike length (Figure 2). The resource drilling program will focus on the
first 75 vertical meters of the zone with selected step back holes to 100-150 vertical meters.
Drilling services are being provided by JGM Drilling and Exploration of Namibia. Drill results
previously released from Area 4 (Company press releases August 3, September 15 and
December 5, 2011) have demonstrated that the zone exhibits exceptional heavy rare earth
enrichment of 70 to 95% over drill widths of 4.0 to 19.0 meters with average grades of
between 0.2 to 1.3% TREO. Within this zone there are higher grade intervals over drill
widths of 0.35 to 6.0 meters with average grades of 1.0 to 6.2% TREO with up to 98%
heavy rare earth enrichment. Highlights have been reported as follows:
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1
1.28% TREO over 16.00 meters with 94.5% HREE enrichment
(including 6.18% TREO over 2.00 meters with 98.4% HREE enrichment)
0.92% TREO over 19.00 meters with 91.5% HREE enrichment
(including 2.43% TREO over 6.00 meters with 96.3% HREE enrichment)
As per industry norms heavy rare earths (“HREE”) and their oxide equivalents (“HREO”) comprise europium (Eu),
gadolinium (Gd), terbium (Tb), dysprosium (Dy), holmium (Ho), erbium (Er), thulium (Tm), ytterbium (Yb),
lutetium (Lu) and yttrium (Y). Light rare earths (“LREE”) and their oxide equivalents (“LREO”) comprise
lanthanum (La), cerium (Ce), praseodymium (Pr), neodymium (Nd) and samarium (Sm). Total rare earths
(“TREE”) and their oxide equivalent (“TREO”) comprise HREE+LREE (HREO+LREO). “Heavy rare earth enrichment”
is the ratio of HREE:TREE or HREO:TREO expressed as a percentage. Ratios are calculated from source data and
may vary from use of rounded numbers in tables.
2
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0.66% TREO over 11.00 meters with 85.4% HREE enrichment
(including 1.69% TREO over 2.00 meters with 90.3% HREE enrichment)
0.62% TREO over 10.00 meters with 81.0% HREE enrichment
(including 1.04% TREO over 4.00 meters with 94.2% HREE enrichment)
0.57% TREO over 12.52 meters with 85.8% HREE enrichment
(including 1.66% TREO over 2.14 meters with 97.2% HREE enrichment)
0.56% TREO over 9.00 meters with 73.4% HREE enrichment
(including 1.14% TREO over 3.00 meters with 87.8% HREE enrichment)
0.49% TREO over 9.00 meters with 81.2% HREE enrichment
(including 1.05% TREO over 2.89 meters with 87.7% HREE enrichment)
0.40% TREO over 4.28 meters with 86.2% HREE enrichment
(including 0.98% TREO over 0.49 meters with 97.8% HREE enrichment)
0.34% TREO over 11.00 meters with 88.3% HREE enrichment
(including 1.38% TREO over 1.00 meters with 97.0% HREE enrichment
Intercept widths are reported as down the hole widths and are not necessarily true widths.
Interpreted dips of the mineralized zones vary from 45 to 80 degrees and all holes were
drilled at -55 degrees. For a complete listing of all analytical results please refer to tables in
respective Company press releases Company press releases of August 3, September 15 and
December 5, 2011.
Don Burton, President stated, “The first quarter 2012 promises to be again, a very active
drilling period for the Company and we anticipate a steady flow of drill results as the
program progresses. Understanding the characteristics and determining the continuity of
the high grade zones in Area 4 requires fairly close spaced drilling near surface before
stepping back to test at depth. It is not unlike drilling a narrow high grade “bonanza” gold
vein system with lower grade disseminated mineralization in the footwall and hangingwall.
Delineation of a first mineral resource in the third quarter of this year is consistent with the
undertakings made to shareholders since taking the company public just nine short months
ago.”
43-101 Resource Estimate
MSA Group of South Africa has been engaged to deliver a National Instrument 43-101
compliant resource estimate which is targeted to be completed in third quarter 2012.
Independent Qualified Persons working with MSA on the project include H. Scott Swinden,
PhD, P.Geo. of Swinden Geoscience Consultants Ltd. and Peter Siegfried, MSc, MAusIMM of
GeoAfrica Prospecting Services cc who co-authored the qualifying technical report for the
Company’s initial public offering in 2011. Geological services will continue to be provided by
Remote Exploration Services Namibia (Pty) Ltd. under the supervision of Franck Bizouerne,
Exploration Manager for Namibia Rare Earths Inc. Mineralogical studies and support are
being provided by Dr. James Clarke of Applied Petrographics (USA) and samples will be
submitted to Activation Laboratories Ltd. for preparation (Namibia) and analyses (Canada).
Geophysical Surveys
As previously reported (Company press release December 5, 2011) a gradient array induced
polarization (“IP”) survey was completed over Area 4 which detected possible sulphide
mineralization that had not been tested by earlier drilling and three holes were deepened to
test the IP anomaly. All three holes intersected significant REE mineralization as previously
reported (Company press release December 5, 2011) with the best intercept running 0.34%
3
TREO over 11.0 meters with 61.4% HREE enrichment including 1.04% TREO over 1.0 meter
with 94.9% HREE enrichment. The IP anomaly (chargeability highs and resistivity low) was
traced for an additional 1.5 kilometers to the east and two drill fences, 800 meters apart
were completed in December, 2011 to test a variety of geophysical targets (Figure 3) for
which results are pending. Weak to moderate alteration was reported from these holes.
A structural interpretation of the Lofdal carbonatite complex carried out by NPA Fugro in
2010 based on airborne geophysical surveys and satellite imagery, delineated a major
sinistral shear zone which is coincident with the mineralization in Area 4. This structure has
been an obvious conduit for the mineralizing fluids in Area 4 and has an interpreted strike
length of 12 kilometers of which 2.7 kilometers has now been delineated by ground IP
surveys. Geophysical crews are mobilizing to Lofdal this week to extend the IP coverage an
additional 3.5 kilometers to the east to investigate strike extensions of the structure as well
as major radiometric trends from airborne geophysical surveys (Figure 3). The gradient IP
survey will comprise just over 100 line kilometers and take two weeks to complete. This
prospective area has not been geologically mapped in any detail or systematically sampled,
and the gradient IP will provide basic information for further geological and structural
interpretations to develop new targets. Once completed, geophysical interpretations will be
carried out by Robert E. Gillick and Associates of North Bay, Ontario.
Donald M. Burton, P.Geo. and President of Namibia Rare Earths is the Company’s Qualified
Person and has reviewed and approved this press release.
About Namibia Rare Earths Inc.
Namibia Rare Earths Inc. is developing a portfolio of mineral exploration projects in Namibia
and is currently focused on the accelerated development of the Lofdal Rare Earths Project.
The Company completed a CDN$28.75 million initial public offering and Toronto Stock
Exchange listing in April, 2011 and is well funded to carry out its development program. The
common shares of Namibia Rare Earths Inc. trade on the Toronto Stock Exchange under the
symbol “NRE”.
For more information please contact Namibia Rare Earths Inc.
Don Burton, President
Tel: +01 (902) 835-8760/ Fax: +01 (902) 835-8761
Email: [email protected]
Web site: www.NamibiaRareEarths.com
NO REGULATORY AUTHORITY HAS APPROVED OR DISAPPROVED
THE CONTENT OF THIS RELEASE
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Namibia Rare Earths Inc. Press Release of January 18, 2012 – Figure 1 NAMIBIA RARE EARTHS INC. Press Release of January 18, 2012 – Figure 2 Area 4 Resource Area, Coincident Major Shear Structure with IP and Surface Sampling Gradient IP Survey (Resistivity) – Mineralized zone with exceptional HREE‐
enrichment is mapped by resistivity low reflecting major shear that has been traced by satellite and airborne geophysical surveys for 12 kilometers (brown line). Mapped carbonatite dykes in black traces. Heavy rare earth enrichment >50% in yellow; >75% in red and >90% in purple.
NAMIBIA RARE EARTHS INC. Press Release of January 18, 2012 – Figure 3 Exploration Potential based on Interpreted Structure from Area 4 Gradient IP Coverage, Resource Area for Drilling, Exploration Drill Fences and Radiometric Trends NPA Interpreted
Structure
IP Survey
Completed
Resource
Area
IP Survey in
Progress
Drill Fences
5 kilometers