Geoscience Report Supports Exploration in Northern Labrador

To support mineral exploration in Newfoundland and Labrador, a new report focused on Northern Labrador is available to identify key geological areas of interest for potential mineral exploration. The report was issued August 2, by the Department of Natural Resources’ Geological Survey Division.

“Long-term sustainable growth and success of the provincial mining industry is driven by exploration, and it is important to enhance our existing geoscientific knowledge of the province to identify prospective areas for future exploration and development,” said the Honourable Shawn Skinner, Minister of Natural Resources. “This report identifies the undiscovered mineral potential of Northern Labrador and will encourage additional exploration in the area.”

The report examines an area in Northern Labrador located 50 kilometres west of Ukak Bay and 120 kilometres west northwest of Nain. It covers an area of approximately 3,000 square kilometres in three National Topographic System (NTS) map areas. The report analyzes geochemical data obtained in previous government surveys and identifies the potential for significant rare-earth and rare-metal mineralization in the area. Since its release on August 2, the report has attracted considerable interest with over 500 new mineral claims staked in the area.

“As the global demand for these rare-earth elements continues to grow, we are optimistic that this will lead to increased exploration and interest in the province,” said Minister Skinner. “With several companies currently evaluating both historic and new showings in Labrador and on the Island, our province holds tremendous resource potential that promises continued industry growth and will help to secure Newfoundland and Labrador’s position in the international market.”

The provincial mineral exploration sector is experiencing a period of solid growth with exploration expenditures for the year projected to be $127 million with a major interest in iron ore, gold, copper and rare-earth elements.

A copy of the report can be found at www.gov.nl.ca/nr/mines/geoscience/publications/openfiles/014e0229/of014e0229.html.

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2011 08 12                                                              11:15 a.m.