Rocher Deboule Minerals Corp. (TSX.V: RD; OTC US: RDBHF) (“Rocher Deboule” or the “Company”) is pleased to report it has completed the assembly of its target properties in the Artillery Peak manganese district of Arizona. This assembly marks the first time in fifty (50) years this manganese camp has fallen under the control of one company. The Company now controls properties acquired through staking, a 100% acquisition, two joint ventures and two purchase agreements. The entire manganese district (contained in 12 sq. miles) comprises 112 patented and 254 unpatented lode mining claims. These mining claims contain several deposits and stockpiles that were worked sporadically from 1928 to 1955 (“Manganese Deposits of Western Arizona”) (“MDWA”).
Particulars of the Company’s assemblage are as follows:
The Company initially acquired the Macgregor/Chapin properties by purchase from Primus Resources L.C. reported in the news release dated June 5, 2007 and has added additional claims by staking. This property was the subject of a drilling program, carried out by the Company, consisting of 9,600 ft of drill core in 25 holes. A NI 43?101 compliant report dated May 1, 2008 prepared by Norman Tribe, P.Eng., reported:
|CATEGORY||TONNAGE||GRADE Mn||TOTAL LBS|
Manganese is currently trading at $1.95 US per lb (Ryans Notes);
Lake Property – Mineral Lease Agreement (41 Patented claims):
The Company has entered into an agreement (the “Lease Agreement”) to lease the patented mining claims adjoining the Company’s Artillery Peak properties. Under the Lease Agreement, as consideration for leasing the claims for a 10-year renewable term, the Company shall pay the lessors the following amounts:
- $60,000 US upon execution of the Lease Agreement (paid)
- $80,000 US upon 1st anniversary of the Lease Agreement
- $100,000 US upon 2nd anniversary of the Lease Agreement
- $120,000 US upon 3rd anniversary of the Lease Agreement
- $140,000 US upon 4th anniversary of the Lease Agreement
- $160,000 US upon 5th anniversary of the Lease Agreement
- $180,000 US upon 6th anniversary of the Lease Agreement
- $200,000 US upon 7th and each subsequent anniversary of the Lease Agreement
In addition, the Company is to pay a royalty to the lessors of US$0.04/lb for manganese, and 1.5% of net returns for all other minerals, produced from both the lessors’ claims and the Company’s existing claims. The lease payments described above constitute an advance on any royalties due to the lessors.
The property was mined by open pit in 1953 and 1954. 33,126 tons of Mn mineralization grading 18.8% was shipped to the Government Depot at Wenda, Arizona (Mn was $0.045 per lb) (See MDWA above);
The Lake Lease Agreement includes a provision that the Company acquires 12 bankers’ boxes of historical and detailed technical data on work done on samples from the Artillery Peak area. Also included are numerous reports of studies done by the U.S. Bureau of Mines (“U.S.B.M.”) from the 1940’s to 1980’s and extensive metallurgical testing on the Artillery Peak area of the Lake property undertaken by owner James L. Lake a metallurgist whose background included Chief Metallurgist with Union Carbide’s uranium operations and Vice President of Hazen Research in the 1950’s and 60’s. Mr. John W. Fisher, P.Eng had been engaged by the Company to assemble all the relevant background metallurgical studies by Lake and Hazen and making their data available for ongoing work being performed by Process Research Associates Ltd. in Richmond, BC and Mountain States Research and Development Research Institute in Vail, AZ, on behalf of the Company.
Norman Tribe P.Eng., has been engaged by the Company to consolidate the historical data on diamond drilling, underground and open pit mining from the various Artillery Peak properties and incorporating it into the Rocher Deboule data base.
- Arizona Manganese Corporation – Maggie Canyon Lease (41 Patented claims):
The Company has entered into a mineral lease agreement on September 29, 2008 with Arizona Manganese Corporation of Scottsdale Arizona to lease 41 patented mineral claims for an initial term of 20 years (renewable). Lease payments are the greater of a 2.25% NSR and the following yearly amounts:
i. $50,000 US in year one (paid);
ii. $55,000 US in each of years 2 through year 4;
iii. $65,000 US in each of years 5 through year 11;
iv. $70,000 US in year 11 and each year onwards.
The Arizona Manganese claims contain the bulk of the resources reported by the U.S.B.M. study Report of Investigations 5375, a comparative study of statistical analysis and other methods of computing ore reserves, utilizing analytical data from Maggie Canyon Manganese Deposit, Artillery Mountains Region, Mohave County, Arizona (1958) as follows:
|Calculation Method||Tons||Grade Mn|
|Cross Section||* 25,129,693||4.73%|
The U.S.B.M. completed the above numbers based on diamond drilling of 40 holes by M. S. Hanna Co. from 1937 – 1942, and 26 holes drilled by the Bureau in 1940, 1941 and 1949.
- Huffman Property – Adjoining Maggie Canyon Patents Lease and Option to Purchase (7 Patented claims):
The Company has entered into a mineral lease agreement with option to purchase dated June 15, 2008 with David Huffman to lease 7 patented claims for a term of 10 years. Lease payments are $10,000 (paid) on execution of the lease and $10,000 yearly for the term of the lease. In addition, the Company has an option to purchase the property during the term of the lease or up to commencement of commercial production for the purchase price of $1,000,000.
The lease adjoins the Maggie Canyon Lease.
- Huffman Property – Priceless Lease and Option to Purchase (23 Patented claims):
The Company has entered into a mineral lease agreement with option to purchase dated July 15, 2008 with David Huffman to lease 23 patented and unpatented mineral claims for a term of 10 years. Lease payments are $20,000 (paid) on execution of the lease and $20,000 yearly for the term of the lease. In addition, the Company has an option to purchase the property during the term of the lease or up to commencement of commercial production for the purchase price of $2,250,000.
The Priceless and Price patents were open pit mined from 1953 – 1955. Production consisted of 51,000 tons of concentrate grading 29% manganese (See MDWA above).
All dollar amounts herein referred to are in US dollars.
The assembled project covers an area of approximately 12 sq miles in size and contains a historical resource estimated by Lasky, S.G. and Webber, B.N. (Manganese Resources of the Artillery Mountains Region, Mohave County, Arizona; U.S Geol. Survey Bull. 961, 1949 pp 86) of *175,000,000 tons grading 3.5 – 4% Manganese.
Metallurgical Testing Update
Two leaching tests using sulphuric acid and sulphur dioxide at PRA Ltd. gave manganese extraction of 93% and 94% in less than four hours. These samples had been milled (P80 = 101 microns and P80 = 79 microns) and originated from a bulk sample, cut as a channel by using a backhoe, from the MacGregor pit face. The head grade assayed 9.8% Mn. These results are considered not to be optimum. In practice longer leaching times ** on coarser material will likely be more economically favorable.
Tests are underway at PRA in Richmond, BC using new proprietary electrolysis technology for manganese metal and manganese dioxide production which can result in significantly lower electrical costs in the electrolysis stage. Results will be reported when tests are completed.
Manganese is in short supply and sells (in 2008) for approximately $4,000 (www.minormetals.com and www.ryansnotes.com) per metric tonne. It is now over 40 times the price that supported the mine when it last operated.
Manganese is the fourth largest (metal consumed (approximately 28 billion lbs annually) in the world, behind iron (#1) followed by aluminum and copper.
About Rocher Deboule Minerals Corp.
Rocher Deboule Minerals Corp. is a diversified exploration and development company focusing its attention on mineral properties and commodities used in the steel manufacturing industry.
This press release has been reviewed by John W. Fisher, P.Eng., a qualified person under NI 43?101.
On behalf of Management
ROCHER DEBOULE MINERALS CORP.
Larry W. Reaugh
President and Chief Executive Officer
* Where historical estimates are referred to, the Company has no classification of the resource or reserve, and the Company has not obtained enough of the original data and has not done the work necessary to verify the classification of a resource or reserve. The Company is not treating the estimates as a NI 43-101 defined resource or reserve verified by a Qualified Person and the historical estimate should not be relied upon.
** See U.S.B.M. RI 9150 (1988).