MONTREAL, January 10, 2012 – Geomega Resources Inc. (TSX.V: GMA) (“GéoMégA” or the “Company”) announces that it has retained G Mining Services Inc. (« G Mining ») to complete a Preliminary Economic Assessment (PEA) Technical Report for its Montviel Rare-Earths (REE) project located near Lebel-sur-Quévillon, Québec.
G Mining will assume overall coordination and responsibility for engineering and financial studies to produce a PEA Technical Report in accordance with National Instrument 43-101 and Form 43-101 F1. The PEA will model the economics of conventional mining and processing facilities for the production of rare earth concentrate at the Montviel project.
« Montviel logistics and results to date are outstanding, we anticipate robust economics. » comments Simon Britt, CEO of GéoMégA.
« The PEA schedule revolves around completed metallurgical tests work and elaboration of a preliminary process flow sheet. The ongoing metallurgical tests at SGS Lakefield, Ontario, are scheduled for completion in Q2 2012. This work along with the updated resource calculation based on Phase 2 drill program should provide a high level of assurance for the PEA and could put us in a position to move rapidly through the completion of a Feasibility study. »
Major Rare-Earths discovery for Québec – MONTVIEL: 183.9Mt Indicated averaging 1.45% TREO
The initial NI 43-101 compliant resource calculation at a base cut-off grade of 1% total rare earth oxides (TREO), released on September 29, 2011, totalled 183.9 million tonnes averaging 1.45% TREO in the Indicated resources category and 66.7 million tonnes averaging 1.46% TREO in the Inferred resources category. Montviel has the potential to play a significant near term role in the clean technologies of the 21st century due to its proximity to infrastructure and available labour.
About GéoMégA (ressourcesgeomega.ca)
GéoMégA, which owns 100% of the Montviel Rare Earths/Niobium project, is a Québec mineral exploration company focused on finding economically viable deposits of Minor Metals in Québec. GéoMégA is committed to meeting Canadian mining industry standards and distinguishing itself with its expertise, know-how and its support and respect for local communities and the environment.
29,274,113 common shares of GéoMégA are currently issued and outstanding.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
/s/ « Simon Britt »
Chief Executive Officer
For more information contact:
President and CEO
Cautions Regarding Forward-Looking Statements
This news release contains forward-looking statements regarding our intentions and plans. The forward-looking statements that are contained in this news release are based on various assumptions and estimates by the Company and involve a number of risks and uncertainties. As a consequence, actual results may differ materially from results forecast or suggested in these forward-looking statements and readers should not place undue reliance on forward-looking statements. We caution you that such forward-looking statements involve known and unknown risks and uncertainties, as discussed in the Company’s filings with Canadian securities agencies. Various factors may prevent or delay our plans, including but not limited to, contractor availability and performance, weather, access, mineral prices, success and failure of the exploration and development carried out at various stages of the program, and general business, economic, competitive, political and social conditions. The Company expressly disclaims any obligation to update any forward- looking statements, except as required by applicable securities laws.