Jul 12 2012
U.S. Rare Earths, Inc., (OTCBB: UREE), announced today the preliminary results of an independent analysis of a portion of its Idaho and Montana properties.
The third-party resource assessment, undertaken by geological and metallurgical engineer Howard Dunn, was derived from historic work on the properties, applying international standards and guidelines.
“Given the industrial needs of the time, the historic work looked only at the Light Rare Earths and a single Heavy Rare Earth. Our upcoming drill season will give us additional data on the presence of the entire suite of Rare Earths to complement Dunn's historic assessment.”
"Taken along with the strong surface sample showings we reported in June, this new report further confirms the promise of our properties' potential," commented Michael Parnell, CEO. "As a preliminary finding, this suggests our properties may well constitute the next major deposit of REE in the United States," added Parnell.
The report indicates the presence of 0.645MT (metric tons) of inferred resources at 0.95% REO (Rare Earth Oxides; weighted average), with an additional 1.5MT of inferred resources at 0.67% REO (weighted average) at the Company's Idaho and Montana claims, both in the Lemhi Pass region.
The calculations were made from representations of mineralization present from historical surface rock sampling and drill hole data. The metal oxide content weighted average gross values for the inferred resource are approximately $570/ton.
"I am encouraged by the projected value of $1.2 billion REO," said Greg Schifrin, COO. "Given the industrial needs of the time, the historic work looked only at the Light Rare Earths and a single Heavy Rare Earth. Our upcoming drill season will give us additional data on the presence of the entire suite of Rare Earths to complement Dunn's historic assessment."
"We're treating this valuation as conservative, since the preliminary Dunn assessment covers just a portion of our property portfolio," said Mr. Parnell. "Our drill program will give us an even sharper picture across more claims."
Howard Dunn is with Process Engineering and holds degrees in Geological and Metallurgical Engineering from the Colorado School of Mines in Golden, CO. He is a registered chemical engineer in the states of Idaho and Colorado with two decades experience in resource analysis. His prior projects include Department of Defense, NASA and Department of Energy engagements.
U.S. Rare Earths' properties in Idaho and Montana, including Lemhi Pass, have been recognized in the U.S. Department of Energy's Critical Materials Strategy publications to have significant showings of Heavy Rare Earth Elements, in particular for the five Rare Earths identified by DOE as being at "Critical Risk": Dysprosium, Europium, Neodymium, Terbium and Yttrium.
Earlier this week, the Company announced the engagement of Ruen Drilling, Inc., with extensive drilling experience over 30 years on three continents, to lead U.S. Rare Earths' 2012 Drill Program, with its early focus on Idaho and follow-on program at its Montana properties.
The Company announced on June 22 that surface rock sampling conducted in the fourth quarter 2011 at its Idaho and Montana properties near Lemhi Pass and North Fork Idaho, along with results from sampling in 2009 and 2010 indicate the presence of Total Rare Earth (TRE) ranging as high as 26%.
About U.S. Rare Earths, Inc.:
U.S. Rare Earths, Inc. (USRE), (OTCBB: UREE), is a mineral exploration, mining and claims acquisition company based in Lonoke, AR. Formerly Colorado Rare Earths, Inc, the company holds over 16,000 acres of mining claims for rare-earth elements in Colorado, Idaho and Montana. In Colorado these include the Powderhorn Property in Gunnison County, and Wet Mountain Property in Fremont and Custer Counties. Additional claims include the Lemhi Pass Property in Lemhi County, Idaho and Beaverhead County, Montana; Diamond Creek and North Fork Properties in Lemhi County, Idaho and the Sheep Creek Property in Ravalli County, Montana. Rare earth elements are critical to many existing and emerging 21st century applications including clean-energy technologies such as hybrid cars and electric vehicles; high-technology applications including cell phones and digital music players; hard disk drives used in computers; microphones; fiber optics; lasers; and in addition, critical defense applications such as global positioning systems, radar and sonar; and advanced water treatment applications, including those for industrial, military, homeland security, domestic and foreign aid use. For more information visit www.usrareearths.com.
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