Landore Resources Limited - Progress Report - Junior Lake-Nickel Project



    (AIM Ticker: LND.L)

    THUNDER BAY, ON, Oct. 3 /CNW/ -

    
    HIGHLIGHTS

        -  The programme of extension and infill drilling on the VW nickel
           deposit has been completed and the drills have moved to the
           B4-7 nickel-copper-PGE deposit to begin a similar but smaller
           (+3000m) programme of confirmation and infill drilling.

        -  Drilling regularly intersected multiple zones of resource grade
           nickel mineralization, with assay results frequently returning
           grades in excess of 1% nickel.

        -  Mineralization on the VW Nickel Deposit remains open along strike
           in both directions to the east and west as well as at depth.

    Mineralized intersections not previously reported include:

          -------------------------------------------------------------
           Drill-hole        From           Width          Nickel
          -------------------------------------------------------------
           No              Metres          Metres              %
          -------------------------------------------------------------
           0407-115         114.0            15.0            0.62
          -------------------------------------------------------------
                            132.0             7.5            0.43
          -------------------------------------------------------------
                            186.0             7.1            0.53
          -------------------------------------------------------------

          -------------------------------------------------------------
           0407-121         232.0             5.0            0.59
          -------------------------------------------------------------
           includes         234.0             1.0            1.08
          -------------------------------------------------------------
                            313.0             3.2            1.12
          -------------------------------------------------------------
           includes         314.0             1.0            1.82
          -------------------------------------------------------------
                            321.0             8.0            0.46
          -------------------------------------------------------------

          -------------------------------------------------------------
           0407-128         180.0            18.0            0.52
          -------------------------------------------------------------
           includes         193.0             2.0            1.17
          -------------------------------------------------------------

          -------------------------------------------------------------
           0407-129         300.0             7.0            0.75
         -------------------------------------------------------------
           includes         305.0             1.0            1.93
          -------------------------------------------------------------

          -------------------------------------------------------------
           0407-133          18.0             8.9            0.46
          -------------------------------------------------------------
                            183.0            18.0            0.70
          -------------------------------------------------------------
           includes         191.0             7.0            1.25
          -------------------------------------------------------------
           includes         194.0             1.0            2.34
          -------------------------------------------------------------

          -------------------------------------------------------------
           0407-138          99.0             1.0            1.61
          -------------------------------------------------------------
    

    The Junior Lake property is located in the province of Ontario, Canada,
approximately 235 kilometres north-northeast of Thunder Bay and is situated
within the Caribou-O-Sullivan Greenstone Belt in the Wabigoon Subprovince. The
VW Nickel Deposit located at Ketchikan Lake toward the south eastern end of
the Junior Lake property and the B4-7 Deposit is located approximately
3 kilometres to the north west of the VW Deposit.

    VW NICKEL DEPOSIT

    In total 63 NQ size holes (0407-99 to 0407-161) have been completed for a
total of 17,130 metres on the VW Nickel Deposit during this campaign. Drilling
has now tested the VW deposit at 25 to 50 metre spacing over a strike length
of 500 metres and to a vertical depth of 300 metres.
    Core logging and sampling of the core continues and assays are pending
for a further 23 holes. Final assay results are expected by late October at
which stage they will be collated and forwarded to Scott Wilson Roscoe Postle
Associates Inc. (Scott Wilson RPA), Toronto, to independently prepare a
National Instrument 43-101 (NI43-101) resource estimate upgrade and report on
the VW Nickel Project.
    Positive results received to date from the current drill programme have
expanded and better defined the known deposit and thorough core-logging has
improved understanding of controls on mineralization.
    Nickel-copper-cobalt bearing sulphide mineralization (2-15%
pyrrhotite-pentlandite +/- pyrite and chalcopyrite) in the VW deposit is
hosted within a sequence of hydrothermally altered and metamorphosed mafic
volcaniclastics, volcanics and pelitic sediments with ultramafic rocks, and
banded iron formation within a well-foliated east-west trending shear zone at
least 125 metres wide. Younger, sub-parallel, less deformed gabbro sills and
dykes that penetrated this sequence appear to have channeled remobilized
sulphides into the rocks along foliation between the intrusives, creating the
multiple lenses previously recognized. Nickel grades are notably higher
adjacent to the sills.
    The relationship of the mineralization to the gabbro suggests a possible
genetic link with the Ni-Cu-PGE mineralization hosted by gabbro in the B4-7
deposit. Historical sampling of the B4-7 deposit focused on the massive
sulphide lenses and generally did not test the disseminated style of
mineralization similar to that of the VW deposit, thus providing additional
exploration potential within the known B4-7 deposit.
    This relationship to the gabbro also significantly enhances the
exploration potential along the trend between the two deposits, to the west of
the B4-7 deposit and along strike in similar stratigraphy to the east of the
VW deposit.

    B4-7 NICKEL-COPPER DEPOSIT

    A 3000 metre drill programme has commenced on the B4-7 Deposit designed
to infill the remaining gaps in the deposit, to test the continuity of the
hanging wall mineralization and for additional metallurgical testing.
    In March 2006 Landore engaged Scott Wilson RPA to independently prepare a
tonnage grade estimate of the exploration potential for the B4-7 Deposit.
Their estimate was

    
        1.5 to 2.0 million tonnes @ 1.3 to 1.6% nickel equivalent.
    

    Scott Wilson RPA reported that the potential quantity and grade of the
B4-7 Zone was conceptual in nature and there had been insufficient
exploration, primarily metallurgical work, to permit defining a mineral
resource. They recommended at the time that additional drilling be carried out
to in-fill gaps in the zone and to provide material for modern metallurgical
work to improve nickel recovery.
    A 7 hole diamond drill programme was completed in October 2006 on the
B4-7 deposit which successfully in-filled several of the gaps and extended the
deposit to the west. Two of those holes were drilled for metallurgical
testing.
    Several of the above holes intersected wide zones of disseminated
sulphide mineralization in the hanging wall of the main B4-7 massive sulphide
zone, including drill-hole 0406-93 which intersected 12.4 metres @ 0.86%
nickel, 0.47% copper, 636ppm cobalt, 253ppb platinum and 967ppb palladium.
    Two other drilling campaigns on the B4-7 Deposit, completed in 2002 and
2003, also discovered previously unreported hanging wall mineralization.
    On completion of the current programme, (approximately the end of
October) the drilling results will be collated and forwarded to Independent
Engineers for a National Instrument 43-101 Resource estimate.
    All drill core was photographed prior to being cut for assaying. Samples
were analyzed at Accurassay Laboratories (ISO/IEC 17025), Thunder Bay,
Ontario, by geochemical analysis with atomic absorption finish (Ni). All
samples reporting results of 1% nickel or higher were re-analysed by the assay
method with atomic absorption finish. Check assays, standards and laboratory
duplicates were performed on a systematic basis at Accurassay Laboratories.
ALS Chemex Laboratory in Vancouver, BC also completed systematic checks. Core
is stored at site and in Landore's facilities in Thunder Bay, Ontario. Rejects
are stored at Accurassay Laboratories and in Landore's facilities in Thunder
Bay.
    Further releases will be made as results become available.

    James Garber, (BSc. Hons. Geology, member of APGO) a Director of Landore
Resources Ltd 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, which is stated in
accordance with the Canadian Institute of Mining Metallurgy and Petroleum.

    %SEDAR: 00008466E




For further information:

For further information: Bill Humphries, Chairman, Tel: 07734 681262;
Richard Prickett, Chief Executive, Tel: 07775 651421, Landore Resources
Limited, www.landore.com; Simon Raggett, Strand Partners Limited, Tel: 020
7409 3494; David Bick, Tel: 07831 381201


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