19 August 2010
New Geophysical Data Expands Medallion’s Red Wine Rare-Earth Potential
Vancouver, BC – Medallion Resources Ltd (TSX-V: MDL) has received data
from its recently completed airborne geophysical survey on the company’s heavy
rare-earth project in the Red Wine district of Labrador. The new data both
expands and supports previous estimates on the area for rare-earth
mineralization. Strong magnetic and radiometric anomalies correspond to a
large area on Medallion’s 22-square-kilometre “A” block that is known to cover
the eudialyte-bearing south Red Wine intrusion. Eudialyte is recognized as a
mineral rich in the more valuable heavy rare-earth elements and is also
responding well to modern metallurgy techniques. Some experts believe that
eudialyte deposits may well be the world’s main source of heavy-rare-earth
elements.
The positive geophysical responses also aided in determining new, potentially
mineralized targets on the Company’s “B”, “C” and “D” blocks to the east and
north of the “A” block.
“This geophysical data adds significant support to the recognized rare-earth
potential of Medallion’s Red Wine property, stated, Dr Bill Bird, president of
Medallion. Dr Bird added: “We now have two bodies of evidence, geophysical
and historical mapping, to guide this month’s on-the-ground field work on the
company’s four Red Wine property blocks.”
Aeroquest Limited of Mississauga, Ontario, provided the fixed-wing Magnetic
Gradiometry and Radiometrics airborne geophysical survey. Flight lines were
100 metres apart and elevation above ground was nominally 50 metres.
Aeroquest flew 668 line kilometres covering all four of the company’s Red Wine
property blocks.
Geological mapping carried out by the Geological Survey of Canada first
identified the south intrusion as one of the few large areas of the Red Wine to
commonly contain concentrations of the mineral eudialyte, which, with
mosandrite, is the main carrier of the rare-earth elements at Red Wine. (Curtis, L
W, and K L Currie, 1981, Geology and petrology of the Red Wine alkaline
complex, Central Labrador: Geological Survey of Canada, Bulletin 294, 61
pages.)
Medallion Resources Ltd (TSX-V: MDL) is exploring for large low-cost “heavy”
rare-earth-element (REE) deposits with a clear metallurgical path and costeffective
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 is exploring 4225 hectares of the Red Wine peralkaline intrusion in
southern Labrador under an agreement (subject to regulatory approval) to option
six mineral licenses. The Red Wine intrusion is known to contain elevated values
of the “heavy” REE’s. The company is also exploring the Eden Lake REE
property in western Manitoba, under an option agreement with Rare Element
Resources (TSX-V: RES, NYSE AMEX: REE) to earn a 65% interest. Eden Lake
is a recent discovery with potential for high neodymium values and significant
heavy REE by-products.
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 PHd, PGeo (604) 681-9558 [email protected]
Erica C Bearss MBA (604) 681-9558 [email protected]
