15 15 Page 14 By Gregory Reynolds Good results from testing of tailings and surface rocks for cobalt and silver has Castle Silver Resources Inc opti mistic about its Northeastern Ontario properties The company has announced prelimi nary results from benchscale metal lur gical fotatio n and gravity test work carried out at SGS Canada laborato ries in Quebec City The test program is aimed at evalu ating the potential recovery of silver and cobalt from mineralizedmaterial surface rock samples and tail ings col lected at the former historic produc ing Beaver Mine in Cobalt and tail ings from the Castle Mine in nearby Gowganda Preliminary test results are excel lent particular ly from the waste rock collected from the Beaver Mine and assay and gravity tests that indicate mining at Castle and Beave r in the 1900s left behind potentially recover able amounts of silver and cobalt in the taili ngs and that may now be ex tracted using modern metallur gical methods said Frank Basa Castle president and CEO Highlights include the following Silver and cobalt recoveries of 985 per cent and 705 per cent respectively produced an extremely high concen trate grade of 1 1876 grams per tonne silver and 105 per cent cobal t using a simple fotation process The mineral izedmaterial surface rock sample was a composite collected from the waste pile assaying 2064 grams per tonne silver and 562 per cent cobalt at the Beaver Mine Silver and cobalt concentrate grades produced from the Beaver and Castle Mines tailings were 1379 grams per tonne and 004 per cent and 308 grams per tonne and 008 per cent respec tively using a simple gravity process Head assays were 108 grams per tonne with 002 per cent and 123 grams per tonne with 001 per cent respectively The metallur gical tests were con ducted using about 100 kilograms of tailings and mineralized rock samples T ailings samples from Castle and Beaver were tested using a gravity separation process Beaver mineral ized material samples were tested us ing a fotation process W e are very encouraged by these metallur gical results W e plan to un dertake additio nal metallur gical test ing for the optimization of grind and reagents Basa stated Developments in mobile phone use and renewable ener gy including solar and electric car batteries are strongly supportive of demand and pricing for cobalt and silver This opens up an op portunity to reevaluate former silver cobalt producing mine sites with posi tive results Mining at Beaver and Castle took place in the early 1900s and at Castle again in the 1980s when extraction processes were not as advanced as they are today It may now be economicall y viable to extract silver and cobalt from what was left behind including old mine tailings and waste and other rock piles on the surface as a frst phase of pro duction at the properties Basa stated These latest test results support pre vious test fndings at the Castle and Beaver mine sites In 2013 a hand cobbled 20 kg geological test sample from the historic waste pile at the Bea ver Silver Mine had an average cal culated assay of 798 cobalt 398 nickel and 1246 grams gt silver Details were reported when Granada Gold Mine Inc formerly Gold Bul lion Development Corp owned the property in a news release Feb 14 2013 In addition the company received encouraging assay test results in No vember 2016 for tailings grab samples collected at Castle and Beaver High lights of the assay results include 13478 gt silver and 1124 gt gold at the Beaver Silver Mine and 9136 gt silver at the Castle Silver Mine Details of the assay results were re ported in the Nov 29 2016 news re lease The samples of these metallur gical tests may not be representative of the mineralization hosted in the waste and tail ings and further work will be undertaken Castle owns a 100 interest in the 20acre Beaver Silver Mine property near the T own of Cobalt The mine operated from 1907 to 1940 and pro duced 71 mill ion ounces oz of sil ver and 139000 lbs of cobalt The Beaver property is adjacent to the historic T emiskaming Silver Mine which was operated until 1989 Castle s whollyowned subsidiary Castle Silver Mines Inc owns a 100 interest in the 33 sq km Castle Property which includes three mine shafts The highgrade silver mine near Gowganda has operated at vari ous times between 1917 and 1989 and produced more than 95 millio n oz of silver and 300000 lbs of cobalt Details of the production history and recent exploration activity at Castle are available in a report entitle d T aka ra Resources Inc Castle Silver Prop erty Gowganda Ontario Canada Ni 43101 T echnical Report efective date July 9 2015 report date August 21 2015 prepared by Claude Duples sis Eng of GoldMinds Geoservices Inc and an independent qualifed per son in accordance with NI 43101 Pr eliminary r esults excellent for COBAL T SPECIAL FEA TURE T est r esults ar e t o be c onsider ed as r esults r eached under c er tain and c ontr olled t est c onditions These t est r esults should no t be tr eat ed as specifcations and Sandvik does no t guar ant ee warr ant or r epr esent the out c ome o f t est r esults in an y or all cir cumstanc es TRUS T THE NUMBERS S A N D V I K 3 6 5 E X P E R T S Y O U C A N C O U N T O N P e o p l e t e l l y o u s t o r i e s a b o u t q u a l i t y c o m m i t m e n t a n d i n n o v a t i o n B u t f o r t h e r e a l s t o r y t a ke a c l o s e l o o k a t t h e n u m b e r s W i t h S a n d v i k 3 6 5 y o u c a n r e l y o n o u r h i g h l y t r a i n e d e x p e r t e n g i n e e r s t o g e t y o u t h e r i g h t p a r t s a n d s e r v i c e s t o e n s u r e s a f e o p e r a t i o n l o w o p e r a t i n g c o s t s a n d s e r v i c e i n t e r v a l s t h a t c a n b e e x t e n d e d b y a s m u c h a s 5 0 W a n t t o k n o w w h a t y o u c a n c o u n t o n s a v i n g w i t h S a n d v i k 3 6 5 F i n d o u t m o r e a t m i n i n g sa n dvi k c o m sa n dvi k 3 6 5 Page 14 Page 15 COBAL T SPECIAL FEA TURE T est r esults ar e t o be c onsider ed as r esults r eached under c er tain and c ontr olled t est c onditions These t est r esults should no t be tr eat ed as specifcations and Sandvik does no t guar ant ee warr ant or r epr esent the out c ome o f t est r esults in an y or all cir cumstanc es TRUS T THE NUMBERS S A N D V I K 3 6 5 E X P E R T S Y O U C A N C O U N T O N P e o p l e t e l l y o u s t o r i e s a b o u t q u a l i t y c o m m i t m e n t a n d i n n o v a t i o n B u t f o r t h e r e a l s t o r y t a ke a c l o s e l o o k a t t h e n u m b e r s W i t h S a n d v i k 3 6 5 y o u c a n r e l y o n o u r h i g h l y t r a i n e d e x p e r t e n g i n e e r s t o g e t y o u t h e r i g h t p a r t s a n d s e r v i c e s t o e n s u r e s a f e o p e r a t i o n l o w o p e r a t i n g c o s t s a n d s e r v i c e i n t e r v a l s t h a t c a n b e e x t e n d e d b y a s m u c h a s 5 0 W a n t t o k n o w w h a t y o u c a n c o u n t o n s a v i n g w i t h S a n d v i k 3 6 5 F i n d o u t m o r e a t m i n i n g sa n dvi k c o m sa n dvi k 3 6 5