CHROME RESOURCES: First Big Daddy numbers put grade near 40% chromite

ONTARIO - The initial resource estimate for the Big Daddy chromite deposit in the James Bay Lowlands or Ring of Fire have been announced by partners KWG Resources, Spider Resources and Cliffs Natural Resources. The study completed by Micon International puts indicated resources at 23.2 million tonnes grading 40.66 Cr₂O₃. There are additional inferred resources of 16.3 million tonnes grading 39.09% Cr₂O₃.

Micon suggested two scenarios for proceeding with the project. One would focus on high-grade massive (lumpy) material with little or no beneficiation required. The second defined a broader zone of mineralization that my be amenable to open pit mining, but would required upgrading to meet certain market demands.

The bulk of the chromite mineralization occurs in a massive chromite domain and occasionally in the host periodotite. There appear to be two main mineralized segments aligned in a northeast-trending envelope.

KWG and Spider each hold a 26.5% interest in the Big Daddy chromite project, and the balance is owned by Cliffs, through its recent purchase of Freewest Resources. KWG became operator of the project on April 1, 2010.

Additional information is available at www.KWGResources.com and www.SpiderResources.com.