FOR IMMEDIATE RELEASE TSX-V: HUD
June 9, 2011
OTC: HUDRF NR2011-10
HUDSON AWARDS SARFARTOQ RARE EARTH PROJECT PRELIMINARY ECONOMIC ASSESSMENT STUDY
Vancouver, BC – HUDSON RESOURCES INC. (the “Company”) – (TSX Venture Exchange “HUD”; OTCQX “HUDRF”) is pleased to announce that it has awarded the Preliminary Economic Assessment (PEA) to Wardrop, A Tetra Tech Company (Wardrop). The study will commence this month with completion in the fall.
Wardrop, A Tetra Tech Company, is a multi-disciplined consulting and engineering firm that provides innovative solutions for the natural resource management, energy, and infrastructure markets globally. Wardrop currently has 1,200 employees who work collaboratively throughout its North American and overseas operations. Wardrop is part of Tetra Tech (NASDAQ: TTEK), a leading provider of consulting, engineering, program management, construction, and technical services. The combined companies have more than 12,000 employees worldwide and capabilities that span the entire project lifecycle.
James Tuer, Hudson’s President, stated, “We are very pleased to have Wardrop on our technical team for our first economic assessment of the ST1 Zone where we now have an inferred resource with over 14 million tonnes averaging 1.5% total rare earth oxides (TREO). A big benefit of using Wardrop is that they have recently completed PEA’s on several rare earth projects, as well as, other mining projects specific to Greenland. Drilling is underway to upgrade the ST1 inferred resource to the indicated category, which will allow us to advance the project to prefeasibility, assuming a positive PEA. Our first batch of drill core has already arrived in Vancouver for assaying at ALS Chemex.”
Hudson has produced an initial NI 43-101 resource estimate for the Company’s ST1 Zone, which defined 14.1M tonnes averaging 1.51% total rare earth oxides (TREO) using a cutoff of 0.8%. The ST1 Zone contains one of the industry’s highest ratios of neodymium and praseodymium to TREO, at 25%. Currently, the ST1 inferred resource contains over 40 million kilograms of neodymium oxide, which is the key component in permanent magnets and the fastest growth sector of the rare earths industry. Neodymium oxide is currently quoted at over US$250/kg, FOB China, and at over US$130/kg, within China, according to www.metal-pages.com.
The Sarfartoq REE project is located within 20 km of tidewater and only 60 km from Greenland’s international airport. The project is owned 100% by Hudson. The Company is well financed with approximately $18 million in working capital.
Dr. Michael Druecker is a Qualified Person as defined by National Instrument 43-101 and reviewed the preparation of the scientific and technical information in this press release in respect of the Sarfartoq REE Project. Ronald G. Simpson, B.Sc., P.Geo., President of Geosim Services Inc., is an independent Qualified Person as defined by NI 43-101 and is responsible for the resource estimate on the ST1 Zone.
ON BEHALF OF THE BOARD OF DIRECTORS
James Tuer, President
For further information:
James Tuer, President
Ph: 604-628-5002 or 604-688-3415 [email protected]
Suite 1460 – 1066 West Hastings Street Vancouver, B.C. V6E 3X1
Tel: (604) 628-5002 Fax: (604) 688-3452
This news release includes certain forward-looking statements or information. All statements other than statements of historical fact included in this news release, including, without limitation, statements regarding plans for the completion of a financing and the intended terms and use of proceeds thereof, and other future plans and objectives of the Company are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s plans or expectations include market prices, general economic, market or business conditions, regulatory changes, timeliness of government or regulatory approvals and other risks detailed herein and from time to time in the filings made by the Company with securities regulators. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Suite 1460 – 1066 West Hastings Street