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HUD Hudson Resources Inc

0.03
0.00 (0.00%)
27 May 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type
Hudson Resources Inc TSXV:HUD TSX Venture Common Stock
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 0.03 0.025 0.035 0 01:00:00

Hudson Commences 2012 Work Program in Greenland

30/05/2012 9:21pm

Marketwired Canada


HUDSON RESOURCES INC. (the "Company") - (TSX VENTURE:HUD)(OTCQX:HUDRF) is
pleased to announce the commencement of the 2012 exploration and development
program at the company's Sarfartoq Rare Earth Element (REE) Project in
Greenland. The objective of the program is threefold: (i) increase the
"indicated" resource at the ST1 Zone; (ii) test several additional REE targets
within the Sarfartoq Carbonatite Project; and (iii) continue with the baseline
environmental data collection and socio-economic and environmental consultations
needed to allow for the submission of an exploitation license application for
the project in 2013.


James Tuer, Hudson's President, stated, "We are excited about the start of the
2012 field season. We are focusing on defining and growing the high grade rare
earth zones discovered in 2011 which intersected significant zones of material
grading up to 7% TREO. The plan is to expand the indicated resource at our
flagship ST1 Zone and further define the metallurgical flow sheet which will
allow us to initiate a pre-feasibility study later this year."


Hudson plans on completing approximately 10,000m of drilling in 2012. Two drills
have initiated drilling on the ST1 Zone. Drilling is focusing on expanding the
high grade zones intercepted in 2011 which included four meters of 7.2% TREO
(SAR11-50) and eight meters of 6.5% TREO (SAR11-71) at the north end of the ST1
Zone. The drill core will be sent in batches to Canada for assaying.


The 43-101 report outlining the updated resource estimate for the Company's ST1
Zone, which includes the 2011 drill program has now been filed on Sedar. In
total, 50 holes totalling 12,700 meters of drilling were included in the ST1
resource calculation. This resource estimate includes indicated resources of
5.9M tonnes averaging 1.8% total rare earth oxides (TREO) and inferred resources
of 2.5M tonnes averaging 1.6% TREO for the ST1 zone, based on a 1.0% cut-off
grade. Using a higher cut-off grade of 2.0% the resource includes over 1.6M
indicated tonnes averaging 2.5% TREO.


A Preliminary Economic Assessment completed in 2011 by Wardrop, utilizing the
2011 resource model, demonstrated robust economics with a Net Present Value of
$616M at a 10% discount rate, pre-tax and a 2.7 year payback with a 21 year mine
life. The rare earths at the ST1 Zone are hosted in bastnasite and monazite
mineralization, which are the key minerals with proven extraction capabilities
in the REE industry. Testwork at the Saskatchewan Research Council has
demonstrated that recoveries of over 90% are achievable utilizing acid baking
and leaching on the ST1 material.


The ST1 Zone contains one of the industry's highest ratios of neodymium and
praseodymium to TREO, at 25%. Currently, the ST1 indicated resource contains
over 26 million kilograms of neodymium and praseodymium oxide, which are the key
components in permanent magnets and the fastest growth sector of the rare earths
industry. Neodymium and praseodymium oxide are currently quoted about US$115/kg,
FOB China, and US$85/kg, within China, according to www.metal-pages.com. While
these prices are much lower than peak prices last year, they are significantly
higher than the $15/kg prices that were quoted when the project was initiated in
2009.


The Sarfartoq REE project is located within 20 km of tidewater and only 60 km
from Greenland's international airport. The project is owned 100% by Hudson. The
Company is well financed with approximately $12 million in working capital.


Dr. Michael Druecker is a Qualified Person as defined by National Instrument
43-101 and reviewed the preparation of the scientific and technical information
in this press release in respect of the Sarfartoq REE Project. Ronald G.
Simpson, B.Sc., P,Geo., President of Geosim Services Inc., is an independent
Qualified Person as defined by NI 43- 101 and is responsible for the resource
estimate on the ST1 Zone.


ON BEHALF OF THE BOARD OF DIRECTOR

James Tuer, President

Forward-Looking Statements

This news release includes certain forward-looking statements or information.
All statements other than statements of historical fact included in this news
release, including, without limitation, statements regarding plans for the
completion of a financing and the intended terms and use of proceeds thereof,
and other future plans and objectives of the Company are forward-looking
statements that involve various risks and uncertainties. There can be no
assurance that such statements will prove to be accurate and actual results and
future events could differ materially from those anticipated in such statements.
Important factors that could cause actual results to differ materially from the
Company's plans or expectations include market prices, general economic, market
or business conditions, regulatory changes, timeliness of government or
regulatory approvals and other risks detailed herein and from time to time in
the filings made by the Company with securities regulators. The Company
expressly disclaims any intention or obligation to update or revise any
forward-looking statements whether as a result of new information, future events
or otherwise except as otherwise required by applicable securities legislation.


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