Sep. 9, 2010 (TheNewswire.ca) --
Vancouver, BC - Medallion Resources Ltd (TSXV:MDL) (TSX-V: MDL) announces significant exploration progress at both its rare-earth-element (REE) projects, the Eden REE Project in Manitoba and the Red Wine Heavy-REE Project in Labrador.
Eden REE Project
This first-phase of the 2010 field program is designed to identify, through mapping, sampling and field checking of all previous property data, the most promising rare-earth mineralization. The field team has mapped large surface areas of mineralized and fenitized (alkali metasomatism) syenite and related REE-bearing rocks, which are now the focus of exploration. Of the four major styles of REE mineralization that occur on the Eden property, this particular fenitized rock, with its extensive exposures right at the surface, has the best potential to be mined most cost effectively. Work has now shifted to evaluating the REE content of the fenitized rock with a program of detailed diamond-saw channel sampling. For the larger outcrop areas, grids will be laid out and sampled using a concrete drill, which produces core-like samples that are equivalent, as a representative sample, to sawn channels. Assays are expected in approximately one month.
Red Wine Heavy-REE Project
The field crew has reported widespread areas containing the REE-bearing mineral eudialyte during its first examination of Medallion's four Red Wine property blocks (six licenses covering over 42 square kilometers). The largest of the eudialyte areas is at the centre of the Red Wine South intrusion (covered by Medallion's Block "A"). In this area, three intrusive bodies, which average approximately one kilometre in length and 200 metres in width, were mapped and noted to contain common eudialyte by the Geological Survey of Canada (reported in 1981). Medallion's field crew has confirmed the Geological Survey of Canada's mapping and eudialyte identification -- major rock types have been sampled for assay and mineralogical study.
"Field work at the Eden and Red Wine properties is progressing very well," reports Dr Bill Bird, president of Medallion. "Our strategy is to target potential large-tonnage neodymium and heavy REE properties with mineralogy that indicates a cost-effective metallurgy. Initial indications are that both Eden and Red Wine have important aspects of these criteria."
Medallion Resources Ltd (TSX-V: MDL) explores for large, low-cost heavy rare-earth-element (REE) deposits with a clear metallurgical path and cost-effective infrastructure. REE's are key components required by many new energy-saving technologies including wind turbines, electric and hybrid vehicles, super magnets and all modern electronics. Medallion is headed by REE veteran Dr Bill Bird with support from an expert technical team that can meet the challenges of evaluating and cost-effectively exploring the best REE projects.
Medallion explores the Eden Lake REE property in western Manitoba, under an option agreement with Rare Element Resources (NYSE:REE) (TSXV:RES) (TSX-V: RES, NYSE AMEX: REE), which grants the right to earn a 65% interest in a project joint venture. Eden Lake is a recent REE discovery with potential for high neodymium values and significant heavy REE by-products.
The Company also explores over 42 square kilometres of the Red Wine peralkaline intrusion in southern Labrador under an agreement to option 100% of six mineral licenses (subject to a 3% royalty). The portions of the Red Wine intrusion that are covered by the six licences are known to host the mineral eudialyte, which contains elevated values of the heavy REE's.
ON BEHALF OF THE BOARD OF DIRECTORS
"William H Bird", PhD, PGeo
President & CEO
For further information visit www.medallionresources.com or contact:
William H Bird (604) 681-9558 williambird@medallionresources.com
Erica C Bearss MBA (604) 681-9558 ebearss@medallionresources.com
Company Management, which takes full responsibility for content, prepared this news release. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe the Company's future exploration and financing plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in these statements. Such risks include expectations that may be raised by discussing potential acquisitions. Also, in order to proceed with the Company's exploration plans, additional funding is necessary and, depending on market conditions, this funding may not be forthcoming on a schedule or on terms that facilitate the Company's plans.
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