Gossan Resources (TSXV:GSS,FWB:GSR) is a publicly traded mineral exploration company based in Winnipeg, Manitoba. Gossan has a large deposit of magnesium-rich dolomite and an option to secure the world-wide rights to the high-efficiency, low-cost Zuliani process for magnesium production. The Company also has a diversified portfolio of properties hosting gold, platinum group and base metals, as well as specialty and minor metals and minerals. All of Gossan Resources properties are located in Manitoba, Canada.
Gossan is currently focused on the development of the high efficiency Zuliani Process for the primary production of magnesium from dolomite.
- Thought Leader in the Magnesium sector
- Development of a new breakthrough process for primary magnesium production
- Inwood Property hosts a very large, high-purity, at surface, NI 43-101 magnesium-bearing dolomite deposit
- Manitoba has the lowest posted prices for electricity in North America
- Exclusive option to secure the worldwide rights to the Zuliani Magnesium Production Process
Inwood Magnesium Project
The 1,635 hectare (4,040 acre) Inwood Magnesium Property is located in south-central Manitoba, 80-km north of Winnipeg. The Property has a NI 43-101 compliant report and reserve estimate. This project is being advanced based on the expectation for higher magnesium prices and the development of more efficient magnesium extraction process.
With this in mind, in 2007, Gossan Resources acquired the option to secure the worldwide rights to the Zuliani Process, an alternative magnesium extraction process that is both more economic and environmentally sound than the 1940’s technology currently employed. This magnesium extraction technology is fundamental to the future development of the Inwood Magnesium Project.
The Inwood Property hosts a very-large, high-purity, at surface, magnesium-bearing dolomite deposit.The final measured resource alone 28,819,000 tonnes, would be capable of sustaining a substantial production facility of 100,000 tonnes of magnesium per year for 30 years. The resource is focused on an area of approximately 80 hectares that was drilled at a grid spacing of 200 x 200 metres. The targeted Fisher Branch Formation typically outcrops at surface and extends to a depth of about 12-15 metres.
The Watts, Griffis, McOuat National Instrument 43-101 Report on the Inwood Dolomite Project estimated the Fisher Branch resource as follows:
The Zuliani Process is a cost saving magnesium extraction technology being developed by Gossan which has been successfully demonstrated by thermodynamic modeling and bench scale testing. Subject to confirmation of the process on a commercial scale, the direct cost of magnesium ingot produced with the Zuliani Process is expected to be about 25-30% less than the direct cost of Chinese magnesium ingot landed in western markets. The low operating costs, as well as, a dramatic reduction in carbon emissions, is achieved by the high raw material utilization efficiency of the production process and the use of hydro-electricity, natural gas and high-purity dolomite.
Based on the extensive bench scale trials and thermodynamic modeling completed to date and the dominance of Chinese Pidgeon Process magnesium (about 80% of world supply utilizing technology originally developed in the 1940’s), Gossan expects commercialization of the Zuliani Process will provide the Company with a significant operating cost advantage in the North American and European magnesium markets.
The Zuliani process’ efficiency improvements significantly reduce both energy and key raw material requirements, and can utilize low-cost hydro-electricity abundantly available in Manitoba as its principal energy source.
Gossan Resources is a junior exploration company with a diverse portfolio of mineral properties. Its Inwood Magnesium Project is focused on the successful commercialization of the Zuliani Process. The Zuliani Process is lower cost and more environmentally sound than the 1940’s “Pidgeon Process” employed by Chinese magnesium producers who dominate world supply. The NI 43-101 measured resource estimate for the Inwood Magnesium Property would, alone, provide for a thirty-year mine life at 100,000 tonnes of annual production. The Inwood Deposit coupled with the Zuliani Production Process have the potential to break Gossan through to be a cost and environmentally competitive producer.
Douglas Reeson, MBA – President and CEO
Mr. Reeson is a business executive with extensive experience as an officer and director of a number of junior public companies. Prior to 1991, he held a number of positions in the investment industry including the Executive Director of Listings for the Toronto Stock Exchange, Vice-President and Director of Davidson Partners, Midland Doherty & Yorkton Securities and, earlier, as an Investment Analyst at Burns-Fry. Mr. Reeson resides in Toronto and holds undergraduate and graduate degrees from York University. He was elected to the Board in 2001; became Chairman in 2003 and CEO in 2004.
Carmelo Marelli, BA, CA, CGA - Secretary and CFO
Mr. Marelli is the President of Marrelli Support Services Inc., a corporate services firm. Mr. Marrelli also serves as Chief Financial Officer of several other public junior mining companies. Mr. Marrelli holds a Bachelor of Commerce degree from the University of Toronto and is a qualified Chartered Accountant and Certified General Accountant. Mr. Marrelli became CFO and Secretary in 2009.
MaryAnn Mihychuk, P.Geo – Director
Ms. Mihychuk is an independent corporate relations consultant in the mineral resource sector. She has 15 years of geological field experience and served as Manitoba’s Minister of Industry, Trade and Mines from 1999 to 2004. Most recently, Ms Mihychuk was an executive of the Prospectors & Developers Association of Canada and HudBay Minerals.
Andrew Forrest, B.Eng., M.Sc. – Director
Mr. Forrest is a consultant providing technical and economic evaluation services to exploration companies and private investors. He is a mining and mechanical engineer with 13 years’ experience in the mineral resource industry. In 2007, Mr. Forrest obtained his Masters in Mining Engineering from Camborne School of Mines and founded Forrestenterprise Consulting Services. He is a resident of Geneva, Switzerland, and was elected to Gossan’s Board in September 2012.
George Molyviatis – Director
Mr. Molyviatis is a businessman and an investment advisor. For over a decade, Mr. Molyviatis has been a private investor in several natural resource companies where he also gained experience as a director of public companies. Prior to 1997, he was a Geneva-based investment banker with BNP Paribas and Credit Suisse. More recently he was a co-founder of a Greek investment bank, owner-operator of dry cargo ships and currently owns a large timber processing facility in Georgia. He was elected to Gossan’s Board in September 2012.
Andrew Thomson – Director
Mr. Thomson is a business and mining entrepreneur. Mr. Thomson is the President of Soltoro Ltd., a TSX Venture company actively exploring for gold, silver and copper in Mexico.
Dr. Douglas (Doug) J. Zuliani, B.A.Sc., M.A.Sc., Ph.D. - Technical Advisor
Dr. Zuliani was retained as a consultant to the Company in March of 2007. He has twenty-five years’ experience in metals production with over twenty years in the magnesium industry. From 1985 to 2000, he held a number of senior management positions with Timminco Ltd. the most recent being Vice President – Manufacturing and Technology. Mr. Zuliani was responsible for Timminco’s magnesium and specialty metals production facilities as well as for the company’s R&D, market development and capital/engineering programs.Formerly a producer, Timminco uses dolomite ore extracted at its facility in eastern Ontario to produce high purity magnesium metal, magnesium alloys and fabricated magnesium extrusions. Mr. Zuliani resides in Ottawa. He received his graduate and post-graduate degrees in Metallurgical Engineering from the University of Toronto and holds eight US Patents. Mr. Zuliani was previously a Director of Gossan’s Board from 2004 to 2007.