Mr. Mark Smith reports

NIOCORP SUCCESSFULLY COMPLETES WHOLE ORE PRE-LEACH PILOT PLANT FOR THE ELK CREEK SUPERALLOY MATERIALS PROJECT FEASIBILITY STUDY

Niocorp Developments Ltd. has completed a whole-ore preleach pilot plant (WPL) as part of its Elk Creek superalloy materials feasibility study. The WPL validated results from earlier bench-scale testing and paves the way for the remaining feasibility study pilot plants to commence at the SGS Lakefield metallurgical testing facility in Lakefield, Ont.

This pilot plant is a key component of the metallurgical development and design program that will lead to the completion of the Elk Creek superalloy materials feasibility study. It was designed to test the continuous operation of the WPL operation as well as providing scandium-bearing solutions for a subsequent scandium solvent-extraction pilot plant, along with preleach residue for a subsequent acid bake/water leach pilot plant.

Between May 24 and May 27, 2016, and again between June 6 and June 10, 2016, a continuous WPL operated at SGS Lakefield. The WPL treated approximately 1.34 tonnes of representative material from the Elk Creek resource. Assay results show that scandium extraction was in line with expectations for the pilot and consistent with previous bench test results. The WPL produced 4,045 litres of preleach liquor containing between 20 and 24 milligrams/litre scandium. It also produced 485 kilograms of preleach residue containing between 1.24 per cent and 1.95 per cent niobium, and 4.76 per cent and 6.1 per cent titanium, along with the remainder of the scandium that is recovered in subsequent stages.

"I am extremely pleased with the success of the WPL pilot operation, in terms of both metallurgical and physical performance," said Scott Honan, president of Elk Creek Resources, the Niocorp subsidiary that is developing the Elk Creek project. "The WPL pilot provides us with the materials needed to conduct the remaining pilot testing for the Elk Creek feasibility study, and these remaining pilot plants will commence shortly at SGS Lakefield."

Qualified person

Eric Larochelle, BEng, of SMH Process Innovation, a qualified person as defined by National Instrument 43-101, is responsible for the Elk Creek hydrometallurgical program, and has read and approved the technical information contained in this news release.

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