Actionable news
All posts from Actionable news
Actionable news in AVL: AVALON RARE METALS Inc,

Avalon Rare: 130 Adelaide Street W., Suite 1901 Toronto, ON M5H 3P5

The following excerpt is from the company's SEC filing.

Tel: (416) 364-4938 Fax: (416) 364-5162


No. 15-09

Avalon provides update on 2015 Work Program on the East

Kemptville Tin-Indium Project, Nova Scotia, Canada

Toronto, ON --

Avalon Rare Metals Inc


: AVL) (Avalon or the Company) is pleased to provide the following update on the $1.3 million 2015 work program on the East Kemptville Tin-Indium project, Yarmouth Co., Nova Scotia. This program includes diamond drilling on the three known mineralized zones, metallurgical process testwork and preliminary environmental assessment studies. The environmental and metallurgical work will be incorporated (along with the October, 2014 resource estimate) in a Preliminary Economic Assessment (PEA) scheduled for completion before November 30, 2015.

The current drilling program is designed to collect additional metallurgical sample material from the previously-mined Main and Baby Zones and test other known mineralized zones including the Duck Pond deposit to delineate additional economic resources for a feasibility study. An updated resource estimate will be prepared in early 2016 once all the results from the 2015 drilling have been received and compiled.

The site access agreement with the surface rights holder has been further extended until November 30, 2015 to provide sufficient time to complete the 2015 work program. In the meantime, discussions continue towards reaching an agreement to transition full title to the property to Avalon. The parties expect to be able to conclude an agreement by year-end 2015.

2015 Drill Program

The 2015 drill program commenced on July 13

and to date seventeen drill holes have been completed for a total of 3,301 metres. This includes 8 holes on the Baby Zone, 4 holes on the Main Zone and 5 holes on the Duck Pond Zone. Costs are coming in under budget which will allow for at least 4 more drill holes in the program, focused on the northeast extension of the Main Zone, before the program is concluded later this month. Proposed drilling on the South Grid Zone has been deferred until 2016.

The assays for the eight holes drilled on the Baby Zone have been received and compiled. Results are in line with expectations and confirm continuity of the mineralized zone to depth. Highlights include intersections of 0.46% tin (Sn), 25.2 ppm indium (In) and 0.63% zinc (Zn) over 82.3 metres (EKAV-15-10), 0.23% Sn, 15.6 ppm In and 0.33% Zn over 36.25 metres (EKAV-15-09) and 0.25% Sn, 29.4 ppm In and 0.64% Zn over 18.67 metres (EKAV-15-11)

A summary of significant intercepts is presented in Table 1 and the detailed drill hole locations are provided in Table 2. The drilling on the Baby Zone has successfully recovered about one tonne of sample for metallurgical testwork purposes and increased the confidence level of the Baby Zone resources.

All widths are drilled widths. True Widths are not known.

In addition, certain sections of 2014 drill core that were not sampled last year due to apparent low levels of visible mineralization were sampled and submitted for assay this summer. These produced some surprising results indicating significant widths of mineralization adjacent to existing known mineralized intervals (Table 3). The intercepts given in Table 3 are examples located outside the boundaries of the existing October, 2014 resource estimate that, in effect, have potential to increase the total near surface resource estimate in the Baby Zone.

Metallurgical Testwork Program

The comprehensive bench scale metallurgical test work currently being undertaken in the UK is nearing completion. This extensive test program is evaluating the metallurgical flowsheet from grinding, through copper and zinc sulphide flotation, to tin recovery by both gravity and flotation methods. The recovery of indium to the zinc concentrate is also being measured as microprobe data of the zinc ore mineral sphalerite shows very high levels of contained indium (up to 0.25%) . Some metallurgical test results are still outstanding but preliminary analysis of the data suggests that the recoveries and grades for all three concentrates are in line with expectations.

PEA Report Preparation

Avalon has retained the services of Micon International Limited Toronto, Ontario to prepare a NI 43-101 compliant PEA for the East Kemptville project. The PEA will be based upon the existing NI 43-101 resource estimate (disclosed in the Companys news release dated

October 31, 2014

), together with the final results from the metallurgical testwork program...