Rogue Resource geologists and SRK Consulting (Canada) Inc. have modeled the shape and size of the Langmuir W4 nickel deposit and compiled a resource estimate in 2010.
Table 1: Resource Evaluation*, Langmuir W4 Project, Ontario, Canada, prepared by SRK Consulting Inc., dated June 28, 2010 (May 12, 2010)
|Tonnes||Ni %||Cu %||Ni lbs 000's||Cu lbs 000's|
* Mineral resources are reported in relation to optimized pit shells. Mineral resources are not mineral reserves and do not have demonstrated economic viability. All figures are rounded to reflect the relative accuracy of the estimate. All assays have been capped where appropriate.
**Open pit mineral resources are reported at a cut-off of 0.40 percent nickel inside a conceptual pit shell. Underground mineral resources are reported at 0.70 percent nickel and include resource blocks above cut-off outside the conceptual pit shell. Cut-off grades are based on a nickel price of US$8 per pound and a metallurgical recovery of eighty-seven percent, without considering revenues from other metals.
Geophysical surveys and modeling programs have identified VTEM conductors on strike with the W4 nickel deposit and at depth that remain to be fully tested. Drilling in 2009 by the Company discovered nickel mineralization approximately 1.5 kilometers east of the W4 Nickel deposit. The discovery, known as the W2 Discovery was initially drilled following up on combined VTEM conductors and strong MMI nickel anomalies. The first drill hole, GCL09-1, intersected 3.3% nickel over a drilled width of 0.9 meters. Another hole, GCL09-10 drilled 25 meters east of the first hole program intersected 0.55% nickel over 20 meters including 1.72% Nickel over 3.0 meters drilled width.
In 2011 the company will continue to advance the project towards production while conducting further exploration on other targets on the property.