Rare Element Resources
Bear Lodge Project
Canadian NI 43-101 Technical Report
October 9
th
, 2014
10135-200-46 - Rev. 0
15-1
15 Mineral Reserve Estimates
The reported mineral reserves in this Section 15 are derived from the same resource
model upon which the mineral resource estimates in Section 14 are based. An
economic pit shell was generated using the Lerchs-Grossmann algorithm. The
optimized pit shell was then used to guide the design of an open pit for the deposit.
The mineral reserve estimates are consistent with industry standards for a
Preliminary Feasibility Study and the definitions described below.
15.1 Definitions
The Canadian National Instrument 43-101 (NI 43-101) regulation references the
Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Definition Standards on
Mineral Resources and Mineral Reserves (CIM Definition Standards) for definitions of
mineral resource and mineral reserve. The definition of mineral reserves, as reported
in the CIM Definition Standards, is the guiding definition for this section of the report.
The following definitions are from those standards:
A Mineral Reserve is the economically mineable part of a Measured or Indicated
Mineral Resource demonstrated by at least a Preliminary Feasibility Study. This
Study must include adequate information on mining, processing, metallurgical,
economic, and other relevant factors that demonstrate, at the time of reporting, that
economic extraction can be justified. A Mineral Reserve includes diluting materials
and allowances for losses that may occur when the material is mined.
Mineral reserve, as with mineral resource, is subdivided to indicate the degree of
certainty that can be attached to the estimate. For mineral reserve, the following
definitions are from the CIM Definition Standards and are applicable to this report:
A “Proven Mineral Reserve‟ is the economically mineable part of a Measured Mineral
Resource demonstrated by at least a Preliminary Feasibility Study. This Study must
include adequate information on mining, processing, metallurgical, economic, and
other relevant factors that demonstrate, at the time of reporting, that economic
extraction is justified.
A “Probable Mineral Reserve‟ is the economically mineable part of an Indicated, and,
in some circumstances, a Measured Mineral Resource demonstrated by at least a
Preliminary Feasibility Study. This Study must include adequate information on
mining, processing, metallurgical, economic, and other relevant factors that
demonstrate, at the time of reporting, that economic extraction can be justified.
