Can-Cal Resources Ltd. ("the Company") (OTCBB: CCRE stock message board forums) is pleased to announce the following new developments:
- Purchase of DC Arc Furnace
- Purchase or Lease of Nevada Mill Site
- Advanced Laboratories Results
- Chain of Custody Program
Throughout 2007, Can-Cal Resources Ltd. contracted with independent
third-parties to conduct hundreds of assay tests on the Pisgah Mountain
and Wikieup property head ores. Due to the encouraging results, the
technical team was given instructions to repeat the process using
larger quantities of material. During August and September the team
began utilizing a variety of technologies including leaching processes,
electrowining, thermite testing and furnacing with in-quart fluxes,
focusing solely on gold recovery.
DC Arc Furnace
The induction furnace Can-Cal Resources purchased in 2007 did not
achieve the required 3300 degree Fahrenheit temperature needed for the
testing and smelting of the Pisgah & Wikieup ores. The Technical
Team decided that due to the insufficient temperatures the precious
metals were not being released from the silicates in the head ore.
Since the oil/gas and induction furnaces did not meet the required
temperatures, it was determined that the Company would purchase a
furnace that would meet the desired temperature.
Following extensive research and test work performed over the past
year by the Team, the Board of Directors has concluded that a DC Arc
furnace is required to produce the higher temperatures for releasing
the precious metals encapsulated in the silicates in the head ore. It
is believed that this furnace will remove the restrictions on the
quantity of base metals and sulphides in the head ore. Therefore,
Can-Cal made inquiries and has located a DC Arc furnace in South
Carolina. A company representative will be on site to evaluate the
equipment within the next ten days. Providing the equipment meets
specifications, it will be purchased, disassembled and shipped to its
semi-permanent location in Searchlight, NV.
The success of the DC Arc furnace has been well documented and
proven in production models used by major mining companies. As such,
the Company is optimistic of the expectations of the extraction and
recovery of precious metals from the Pisgah and Wikieup properties.
Therefore, the Company's Board of Directors has concluded the purchase
and utilization of the DC Arc furnace is the final step in the
validation of the research and testing of the extraction methodologies
of the head ores at the Pisgah and Wikieup properties.
All of the research to date has led Can-Cal to this point. Providing
the move and installation at the site goes as anticipated, the furnace
should be in production by end of the year.
In addition, with anticipated results the furnace will be used for
commercial production of the Pisgah and Wikieup property head ores.
Proposed Testing and Production Facility
Can-Cal Resources is currently reviewing the potential purchase or
lease of a mill site facility located in Nevada. The Company has been
assured by the Real Estate Agent that the relevant licensing, permits,
and water rights are in place. It is extremely important for the
Company to have a facility that is legally permitted with water rights,
etc. so that it can move into a production capability in a timely
manner. This facility would be used for the testing and production of
several ores on the Pisgah and Wikieup properties.
Advanced Laboratories Inc., Salt Lake City, Utah
In August, 2007 the laboratory staff delivered Pisgah samples to
Advanced Laboratories Inc. for element determinations. Advanced
identified the existence of gold, silver, platinum and palladium in the
samples. Additionally the rare earths-yittria, europium, scandium,
erbium, germanium, dysprosium, lanthanum and ytterbium were found and
gallium and germanium were detected, which are not rare earths but are
in high demand as determined by today's prices.
SGS Canada Inc.
On a preliminary basis the Company has recently contacted a field
representative of SGS Canada Inc. regarding a chain of custody program.
This program would be conducted following the DC Arc furnace
installation and extraction process. Further discussions will be
conducted outlining the evaluation program that will be required from
head ore to recovered precious metal.
This news release includes statements, which may constitute
"forward-looking" statements, usually containing the words "believe",
"estimate", "project", "expect", or similar expressions. These
statements are made pursuant to the safe harbor provision of the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements inherently involve risks and uncertainties that could cause
actual results to differ materially from the forward-looking
statements. Factors that would cause or contribute to such differences
include, but are not limited to, future trends in mineral prices, the
availability of capital, competitive factors, and other risks. By
making these forward-looking statements, the Company undertakes no
obligation to update these statements for revision or changes after the
date of this release.
Contacts:
Can-Cal Resources Ltd.
Ronald D. Sloan
Chairman
(702) 243-1849
Email: rdsloan@lvcoxmail.com
