VANCOUVER, May 24, 2012 /CNW/ - Flinders Resources Limited ("Flinders") (TSXV:FDR). Mr. Martin McFarlane, President & CEO, is pleased to announce the results from the first 10 holes of a 37 drill hole program at the Kringel deposit in Sweden. Results include 13.6m @ 11.8% graphitic carbon ("Cg") from 49m in drill hole KRI12DD003 and 18.3m @ 7.6% Cg from 68.1m in drill hole KRI12DD007.
The aims of the drill program are to reclassify the historic graphite resources estimates to current NI 43-101 standards and test for extensions of the deposit below 50 metres and along strike. To date 25 drill holes for 2437 metres have been completed. It is anticipated that the drill program will be completed by mid June 2012, with the resources calculation to be completed around the end of July 2012.
Mr McFarlane states: "Our drilling has met or exceeded all expectations. We have verified that graphite mineralization shows continuity of width and grade along strike and down dip and is consistent with historical data. Additionally, drilling has extended known mineralization to 100 metres depth and new graphite zones have been identified parallel to and down dip from known mineralization. This provides a great opportunity to potentially scale up future production from the Kringel mine site area, in order to meet growing demand for high purity flake graphite."
A summary of all graphite intercepts greater than 5 metres in width is shown below in Table 1. In addition multiple graphite intercepts of less than 5 metres in width have also been recorded but are not reported here. A plan showing the Kringel mine lease, historic drilling and the location of the current program is shown in Figure 1, cross sections of the Kringel graphite deposit are shown in Figures 2 and 3 while Figure 4 shows the location of these sections.
The Kringel Graphite Project was the subject of substantial drilling by previous owners, and has an historic resource estimate of 6.9 million tonnes containing 8.8% graphite in 4 separate deposits. Historic resources at the Kringel mine site are 1.3 million tonnes @ 11.3% graphite. The historical resource estimates quoted are based on a NI43-101 report prepared by Albert Thamm of Coffey Mining in November 2011 which is available on SEDAR. The historic resource was calculated using a polygonal method and is broadly similar to CIM definitions "Indicated" and "Inferred". Data is historical in nature and was compiled prior to the implementation of NI 43-101 reporting standards. Flinders has not completed sufficient exploration to verify the estimates. Flinders is not treating them as National Instrument defined resources or reserves verified by a Qualified Person, and the historical estimate should not be relied upon. The Company does not have, and is not aware of, any more recent resource estimates that conform to the standards set out in National Instrument 43-101.
The qualified person for the Kringel project is Mr. Geoff Reed, a consultant to Flinders Resources Limited and Member of the Australian Institute of Mining and Metallurgy (CP), has reviewed and verified the contents of this release. Assaying was completed by ALS Chemex in their Vancouver Laboratory. The technique used for determining graphitic carbon was Leco Direct combustion and infrared absorption, ALS Chemex method code C-IR06. Drill holes were sampled over 1 metre intervals. Duplicates, repeats and blanks were inserted according to standard industry practice. It is interpreted that reported drill hole intercepts approximate the true width of mineralization.
On behalf of the Board
Martin McFarlane, President and CEO
Certain information set out in this news release may constitute forward-looking information. Forward-looking statements are based upon the opinions and expectations of management of the Company as at the effective date of such statements and, in certain cases, information provided or disseminated by third parties. Although the Company believes that the expectations reflected in the forward-looking statements contained in this document, and the assumptions on which such forward-looking statements are made, are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking statements included in this document, as there can be no assurance that the plans, intentions or expectations upon which the forward-looking statements are based will occur. These statements are made as at the date hereof and unless otherwise required by law, the Company does not intend, or assume any obligation, to update these forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Table 1: Summary of graphite intercepts greater than 5m wide
|Hole ID|| Graphitic
|Width (m)|| From
For further information:
Jim Powell +1 647-478-5806