Vancouver, B.C. – January 18, 2018 - Highbank Resources Ltd. (TSX.V –"HBK"), (the "Company").
DMT Geosciences Ltd. (DMT) of Calgary, Alberta, was commissioned by Highbank Resources Ltd., to provide an estimate of the volume of rock material (bedrock) available for aggregate and other rock product production at Highbank’s Swamp Point North Property on the Northwestern British Columbia coast. In 2007 Associated Geosciences Ltd (AGL) of Calgary authored a Technical Report on behalf of Portland Canal Aggregates Corporation and Highbank Resources Ltd describing the aggregate resources at this same property. DMT is a successor to AGL.
Highbank engaged DMT for this analysis in response to inquiries from contractors bidding on coastal projects in British Columbia, Alaska, and the west coast of the United States. Previous analysis carried out on Swamp Point North concentrated on the unconsolidated sediments (primarily sand and gravel) that lay on top of the bedrock.
In order to estimate the volume of rock material available for quarrying DMT has taken the top of bedrock sections used in the aggregate assessment, assumed a quarry floor at 7.5 masl (metres above sea level) and a stable rock slope on closure of 1H:1V. The top of the bedrock was determined by seismic refraction profiling calibrated to sampling boreholes drilled across the site and described in the 2007 Technical Report.
The volume of rock underlying the defined aggregate resource contained within the limits described above is about 83 million cubic metres. At an estimated density of 2.5, this is equivalent to about 200 million tones.
The quality of the rock and its suitability for use as rock products, including aggregate production and quarried stone, has not been assessed. The potential market for the rock product based on tonnage and quality has not been assessed.
Samples taken from an existing quarry face started by logging contractors who previously developed the property have been taken to be assessed by standard test methods at two independent engineering laboratories; one in British Columbia and one in the United States. Results from this testing will be received later this year.
DMT and Highbank cautions that the volumes of rock material estimated above should not be considered to be equivalent to resources or reserves. According to the CIM Definition Standards on Mineral Resources and Mineral Reserves,
"A concentration or occurrence of natural, solid, inorganic or fossilized organic material in or on the earth’s crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic exploitation. The location, quantity, grade, geological characteristics, and continuity of a Mineral Resource are known, estimated, or interpreted from specific geological evidence and knowledge."
Aggregates and quarried stone for construction purposes is defined as an industrial mineral under CIM definition,
"An Industrial Mineral is any rock, mineral, or other naturally occurring substance of economic value, exclusive of metallic ores, mineral fuels, and gemstones; that is, one of the non-metallic minerals."
Additional exploration, evaluation, and market studies are required before any resource classification can be attributed to the volumes of rock described above.
NI 43-101 Disclosure
The disclosure of the technical information contained above in this news release has been reviewed and approved by Keith McCandlish, P.Geol., P.Geo., FGC, FEC (Hon) who is a Qualified Person as defined under NI 43-101.
ON BEHALF OF THE BOARD OF DIRECTORS OF HIGHBANK RESOURCES LTD.
"James H. Place"
James H. Place CEO/President
This News Release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results. Forward-looking statements are projections of events, revenues, income, future economic performance or management’s plan and objective for future operations and include, without limitation, statements with respect to the anticipated production from the Swamp Point North Aggregate Project, the realization of mineral estimates, success of mining operations, the timing and amount of estimated future production, title disputes or claims, environmental risks, limitations on insurance coverage, current and anticipated purchase negotiations and arrangements, requirements for additional capital; and government regulation of mining operations. In some cases, you can identify forward -looking statements by the use of terminology such as "may", "should", "expects", "plans", "anticipates", "believes", "estimates", "predicts", "potential" or "continue" or the negative of these terms or other comparable terminology. By their very nature forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors, including: fluctuations in worldwide prices and demand for aggregates; changes in project parameters as plans continue to be refined; possible variations in grade and or recovery rates; accidents, labour disputes as well as those factors detailed from time to time in the Company's interim and annual financial statements and management's discussion and analysis of those statements, are filed and available for review on SEDAR at www.sedar.com.
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