Velocity Minerals – Historic High Grade Moly

Resource Investing News

Overview Velocity Minerals Ltd. is a company dedicated to the acquisition and development of advanced or high grade molybdenum mineral properties. Velocity presently owns the mineral rights to two molybdenum projects in northern British Columbia (Mt. Haskin and Cassiar Moly) and is actively pursuing other properties in North America and internationally. Velocity Minerals has completed …

Overview

Velocity Minerals Ltd. is a company dedicated to the acquisition and development of advanced or high grade molybdenum mineral properties. Velocity presently owns the mineral rights to two molybdenum projects in northern British Columbia (Mt. Haskin and Cassiar Moly) and is actively pursuing other properties in North America and internationally. Velocity Minerals has completed the phase one 2008 drilling program on its Mt Haskin property near Cassiar in Northern British Columbia. Velocity Minerals is pleased with the thirteen drilled holes from the phase one program with a total length 11,244 feet which were designed to confirm and possibly expand the historically reported non-NI 43-101 compliant molybdenum resource of 13.5 million tons grading 0.157% MoS2 (0.094% Mo).

Highlights

High Grade Molybdenum properties
Low Capital Potential
Tight Share Structure
Well Capitalized
Strategic shareholders (insiders hold majority of stock at 50 cents)
Experienced Management team

Property Summaries

Cassiar Moly

The Cassiar Moly Property property 22 kilometers southwest of its Mt Haskin property near Cassiar in northern British Columbia. Strong molybdenite mineralization with quartz and minor chalcopyrite occurs on the property as fracture fillings and replacement disseminations along with quartz and potash feldspathization. Approximately 3500 feet (1067 m) of underground workings 700 feet (210 m) below surface outcrops were previously directed to the molybdenite zones. Prior reported surface occurrences from 0.20% Mo across 12 feet to 3.6% across 5 feet and the adit has reported high grade zones that run up to 4.17% MoS2 over a meter and a combined average grade across 3 meters of 1.64% MoS2. The quoted assays have not been verified in the field by a NI 43-101 Qualified Person and should be viewed with caution. The work program will initially consist of surface sampling to relocate the high grade mineralization, rehabilitation of the adit to permit relocation of the underground high grade zones and computer modelling of the results. This initial phase will, depending on the results, be followed by a drill program to begin delineating the mineralization. The known geology of this is particular property suggests that it has the potential to host a high grade deposit similar to Roca Mines Inc. Max Molybdenum deposit.

Mt. Haskin

The Mt. Haskin property contains a granitic pluton that has a contact zone carrying molybdenite mineralization and several nearby skarn zones that have zinc, copper, silver, lead, tin and bismuth values. The molybdenite area was explored in the late 1960s by Della Mines Ltd., a private company that drilled over 29,000 feet in more than forty diamond drill holes. A historical estimate of 13.5 million tons @ 0.157% MoS2 above a cut-off grade of 0.050% was prepared in 1970 by G.L. Lamont, P. Eng., that company’s engineer. The sampling and analytical methods used are unknown, and unverified by a NI 43-101 Qualified Person. Similarly, Lamont’s usage of the term “reserve” does not conform to current usage of the term. Velocity Minerals 2008 drilling program on its Mt Haskin property in Northern British Columbia confirmed some historical work and possibly expanded the historically reported non-NI 43-101 compliant molybdenum resource of 13.5 million tons grading 0.157% MoS2 (0.094% Mo).A phase two drill program on Mt. Haskin will commence sometime in 2009.

Management

Kenneth Holmes, Director & Chairman. Mr. Holmes began his legal career in 1982 and spent ten years in a predominantly corporate and securities practice, but which included a full compliment of commercial, real estate, tax, technology and intellectual property matters and often had international issues and elements. This resulted in exposure to and an understanding of a broad range of businesses and transactions, including natural resources (mining, oil & gas) companies. Since1991 Mr. Holmes has been acting as in-house counsel and senior management of or consulting to companies, public and private, involved in businesses ranging from natural resource exploration, franchising and television production to gaming. This period also involved greater international travel and experience doing business as far away as Russia and, in most case, included senior management duties in addition to attending to legal matters.
Gerald Diakow, Director, President & CEO. Mr. Diakow is a mineral explorer and prospector with over thirty years experience in the mining industry having began his career in the early seventies. He has worked for several major mining corporations (Union Carbide, Canadian Superior) and has been involved is all aspects of mineral exploration and development, both in Canada and internationally. His skills include managing operations and logistics, strategic planning and regulatory issues (mining, worker safety and environmental). He has been involved with mineral properties containing diamonds, platinum group metals, gold, silver, copper, nickel, molybdenum, gypsum, limestone, gabbro, perlite, placer gold and gravel deposits. Mr Diakow is also a member of the B.C. and Yukon Chamber of Mines and the Society of Economic Geologists.
Donald Getty, Director & CFO. Mr. Getty earned his Business Administration Degree from the University of Western Ontario with honors in 1954. His positions with the Alberta Government included two (2) terms as Premier of Alberta, the position of Energy Minister and the position of Minister of Federal and Intergovernmental Affairs. In his business career, Mr. Getty has served on the boards of distinguished companies such as the Royal Bank of Canada, Nova Company, Genstar Company and Interprovincial Pipe and Steel Corp. Mr. Getty currently sits as a Director of Guyanor Resources (TSE), Nationwide Resources (TSE) and Mera Petroleum’s (TSX). Mr. Getty has been a director of Capital Reserve Canada since January 28, 2004.
John Hope, Director. Mr. Hope, the first son of a pioneer gold miner, has spent most of his life in and around the exploration and mining Industry. He began his mining career at an early age prospecting and helping operate a small family owned gold mine and has been involved in the discovery of several mineral deposits in northern B.C. and has worked at both open pit and underground mines, a few of which are Cassiar Asbestos Mine, Ketza River Mine, Hanna Gold Mines. He has also worked for Erickson Gold Mines, Placer Dome, Scurry Rainbow Oil, Welcome North, Cassiar Mining and many others. In 1980 Mr. Hope participated in the management of the largest placer gold operation in B. C. on McDame creek operated by KMC Mining and has successfully managed his own placer gold operations in the Yukon and B.C. over the years. He has also been involved in the management of a variety of junior exploration companies.
Garry Payie, Director. Mr. Payie is a registered professional geoscientist (Association of Professional Engineers and Geoscientists of British Columbia) with twenty years of varied industry and government experience. He has a strong background in geological mapping, property and regional exploration, mineral deposits research, database management and program coordination. He is skilled in the production of promotional material for publications, websites and industry forums with well-developed industry and public liaison skills and has experience in contract and personnel management. Mr Payie has worked for both government geological branches and private enterprise and has considerable experience exploring for molybdenum.
Barry Lee, Director and Chairman of the Audit Committee. Barry Lee has extensive experience in resource sector senior management, and has provided strategic planning, corporate governance, and M&A expertise for both public and private companies for the past twenty-four years. He is a founder and the Co-Chairman of the Board of Directors of Canadian Phoenix Resources Corp. (TSX-V: CPH), a consolidation platform for junior E&P companies in western Canada. He co-founded, and is the former Chief Operating Officer of Choice Resources Corp., now merged with Buffalo Resources Corp. (TSX-V: BFR), and is a co-founder and the former president and CEO of Watch Resources Ltd., recently merged with Pearl Exploration & Production (TSX-V: PXX), a consolidator of heavy oil assets in eastern Alberta & Saskatchewan.
Daniel G. Kostiuk, Director. Mr. Kostiuk is a corporate lawyer. From December 2004 to June 2007 Mr Kostiuk was a director Western Pacific Trust Company, from December 1998 to December 2004 he was a director of First Majestic Resource Corp. and from September 1996 to January 2006 he was a director of Grayd Resources Corporation.
Edward (Kwon Youb) Yoon, Director & VP Business Development. Mr. Yoon brings with him a decade and a half of business experience involving mergers and acquisitions but most importantly extensive experience importing and exporting metal resources, including molybdenum. In addition to having a Bachelor’s degree in Metallurgical Engineering and an MBA in Marketing, Mr. Yoon is also undertaking doctorate work in Venture Technology Management.