Landore Resources Limited (AIM Ticker: LND.L) - Drilling Update - Junior Lake Nickel-Copper Project Scorpion Zone B4-7 Deposit + B4-8 Prospect
LONDON, UK, Sept. 3, 2012 /CNW/ -
Drilling undertaken during 2012 has significantly extended the B4-7
Nickel-Copper-Cobalt-PGEs deposit down dip and along strike to the
west. The deposit has now been delineated over 800 metres of strike
length with the B4-7 massive sulphide mineralisation remaining open to
the west along strike and down dip.
The B4-7 deposit and the adjacent B4-8 prospect to the west reside
within a distinctive geophysical magnetic anomaly known as the Scorpion
Zone. Exploration drilling has established that this zone hosts a
collective potential massive sulphide mineralisation strike length of
Drill-hole 0412-446, located within the B4-8 prospect, intersected B4-7
massive sulphide mineralisation with grades of > 1% nickel and > 1%
copper plus significant credits of cobalt and platinum group metals.
There has been a notable increase in the copper content and grade as
drilling progresses to the west.
- Work has commenced on an upgraded resource estimate for the B4-7 deposit, scheduled for completion Q4 2012. The results of the 2012 drilling campaign are highly encouraging having significantly increased the potential tonnage amenable to open pit development together with the confidence level of the resource.
(see www.landore.com for details)
Commenting on this report, Chairman of Landore Resources, Bill Humphries, said:
"The most recent drilling has significantly increased the potential tonnage of the B4-7 deposit amenable to low cost, open pit development. This drilling has also demonstrated that the existing resource has a high probability of being grown very substantially through strike and depth extension drilling, which has greatly enhanced the economic viability of the Junior Lake Nickel-Copper Project".
The Junior Lake property:
The Junior Lake property, 100% owned by Landore, is located in the province of Ontario, Canada, approximately 235 kilometres north-northeast of Thunder Bay, and is host to; the B4-7 Nickel-Copper-Cobalt-PGMs deposit, the VW Nickel deposit, the B4-8 prospect and numerous other highly prospective mineral occurrences.
The combined resources (Canadian National Instrument (NI) 43-101 compliant) of the B4-7 and VW deposits delineated to date total 48,281 tonnes of nickel equivalent (NiEq), 82 per cent of which is in the Indicated category.
The Scorpion Zone:
The Scorpion Zone is a distinctive geophysical magnetic anomaly located approximately 3 kilometres to the northwest of the VW deposit and is host to the B4-7 deposit together with the B4-8 prospect. The zone extends 500 metres to the East of the 00 base line of the B4-7 deposit and extends 1,000 metres to the west of 00. There, it is truncated by the Juno Lake shear, and curls north and then to the east around a prominent 150 metre diameter magnetic low.
B4-7 Nickel-Copper-Cobalt-PGEs deposit:
The B4-7 deposit mineralisation is hosted within a sub-vertical massive sulphide vein with stringers, net-textured and disseminated sulphides in the immediate hanging wall. In Q1 2010, a NI 43-101 compliant report and resource estimate upgrade for the B4-7 deposit was completed. The resource reported 26,521 tonnes NiEq, at a 0.25% nickel cut-off. A new resource estimate is in progress.
The recently completed drilling campaign was aimed at expanding the B4-7 deposit and providing adequate drill density to bring inferred portions of the deposit to indicated status. In total, 81 diamond core NQ size holes and 4 re-entered holes (0412-367 to 0412-448 and 0409-202, 0409-237/238 and 0411-359) for 15,868 metres have been completed.
Final assay results have now been received for the drilling covering the western portion of the B4-7 deposit into the B4-8 zone. The western portion spans from line 3+00W to line 00.
Mineralised intersections, not previously reported, include:
*The actual true thickness of mineralisation is estimated to represent between 65% and 75% of the intervals shown in the above table.
The B4-7 main massive sulphide vein has been interpreted to be a pinch and swell structure emplaced along a strike slip/normal fault or series of parallel faults. Massive sulphide mineralisation occurs at and near surface within the eastern 500 metre portion of the B4-7 deposit, and occurs at increasingly deeper levels moving west from line 00.
Drilling has revealed broad diffuse lenses of B4-7 style massive sulphide mineralisation at depth in the western portion of the B4-7 deposit leading into the B4-8 prospect. These wide lenses are composed of numerous massive sulphide veins with copper-rich margins. Drilling has indicated that copper content and grade at depth significantly increases moving west along the B4-8 prospect.
Drill-hole 0412-446 on the 300W line was targeted at the possible B4-7 western extension, aiming 170 metres below an existing intersection on drill-hole 0411-356, which reported 1.00 metre at 0.57% Ni and 0.52% Cu. 0412-446 successfully intersected the target mineralisation. Further drill-holes will be drilled at 50 metre centres up and down dip on line 300W to establish the shape and scope of this mineralised lens.
A similar small "guiding" intersection of 0.52 metres at 0.76% Ni exists in drill-hole 0411-336 on line 600W, possibly indicative of significant massive sulphide mineralisation at depth. The potential B4-7 western extension will be explored in a similar manner as line 300W.
Previous drilling on the B4-8 prospect has indicated significant copper mineralisation in the vicinity of the shear's deformation zone on the 900W line with drill-hole 0411-323 reporting 25.68 metres at 0.66% Cu including 10.01 metres at 1.17% Cu together with 0411-328 reporting 12.64 metres at 1.01% Cu.
2012 Planned Works:
A drilling program, consisting of 14 drill-holes for 7,000 metres to confirm the western extension of the B4-7 deposit mineralisation to line 900W, is currently being planned to commence in Q4 2012.
Landore has initiated an in-house resource upgrade, including a full review of all quality assurance-quality control (QAQC) data, geological and grade wireframe modelling, internal resource estimate and the updating of all text required for the final NI43-101 technical report. On completion, Landore will submit all data for an independent audit and external resource upgrade of the B4-7 deposit. The resource upgrade is anticipated for completion in Q4 2012.
Pre-feasibility studies on the combined B4-7 and the VW deposits will be initiated in Q1 2013.
Landore has in place a stringent quality assurance and quality control programme to ensure best practices in sampling and assaying. All samples from the B4-7 project were collected by employees of Landore and shipped directly to ALS Laboratories, Thunder Bay, (ISO 9001 Certified) for preparation and assay in sealed bags. All samples are assayed for gold, platinum and palladium by fire assay, and nickel, copper, cobalt and silver by aqua regia digestion with AA finish, according to ALS's procedures PGM-ICP23, Ni Cu AA46, and Co Ag AA45. Inductively-coupled plasma ("ICP") analyses for a suite of multi-elements (35 elements, including base metals and silver) were performed by procedure ME-ICP41.
Michele Tuomi, (P.Geo., BSc. Geology), Exploration Manager of Landore Resources Canada Inc. and a qualified person as defined in the Canadian National Instrument 43-101, has reviewed and verified all scientific or technical mining disclosure contained in this announcement.
About Landore Resources Ltd.
Landore Resources Ltd. is an exploration company that seeks to grow shareholder value through the acquisition, exploration and development of precious and base metal projects in eastern Canada. The Company is primarily focused on the development of the Junior Lake Nickel Project, anticipated to enter into pre-feasibility stage Q1 2013. Landore Resources has mineral rights to 5 properties in eastern Canada. The Company is headquartered in London, with an exploration office located in Thunder Bay, Ontario, Canada.
Landore Resources is listed on the AIM market of the London Stock Exchange under the symbol LND.
Cautionary Statement Regarding Forward-Looking Information
This news release includes certain information that may constitute "forward-looking information" under applicable securities legislation. Forward looking information includes, but is not limited to, forecasts as to free-cash flow, strategic plans, mineral resources estimates, future operations, results of exploration, future works programs, capital expenditures and objectives. Forward-looking information is necessarily based on a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information, including the risks identified in the Company's public disclosure. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based upon the opinions and estimates of management and information available to management at the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
SOURCE: Landore Resources LimitedFor further information:
Bill Humphries, Chairman
Tel: 07734 681262
Richard Prickett, Chief Executive Officer
Tel: 07775 651421
Landore Resources Limited
Simon Raggett / Angela Hallett
Strand Hanson Limited
Nominated Adviser / Broker
Tel: 020 7409 349
Tel: 07831 381201