13th Apr 2006 07:00
Albidon Limited13 April 2006 Suite 1 Hillway HouseAlbidon limited 141 Broadway Nedlands 6009 Western Australia ARBN 107 288 755 Tel:x+61x8x9389 6300 Fax:x +61x8x9389 6400 Email:[email protected] ASX Code: ALB AIM Code: ALD via electronic lodgement http://www.rns-pdf.londonstockexchange.com/rns/4866b_-2006-4-13.pdf NEW HIGH GRADE NICKEL DRILL INTERCEPTS FURTHER EXTEND THE ENTERPRISE DEPOSIT TOTHE NORTH HIGHLIGHTS • Eight drillholes designed to extend the northern boundary of the Indicated Resource at the Enterprise Deposit have intersected thick, high grade mineralisation, including the following intercepts: MAD229: 23.83m @ 1.45 % Ni, 0.21% Cu, 0.08 % Co and 0.92g/t Pt+Pd, Including: 7.83m @ 3.09 % Ni, 0.45% Cu, 0.18 % Co and 0.90g/t Pt+Pd. MAD232: 21.25m @ 1.40 % Ni, 0.13 % Cu, 0.07 % Co and 0.78 g/t Pt+Pd, Including: 7.20m @ 2.33 % Ni, 0.17 % Cu, 0.10 % Co and 1.11 g/t Pt+Pd. MAD233: 29.06m @ 1.18 % Ni, 0.16 % Cu, 0.06 % Co and 0.63 g/t Pt+Pd, Including: 10.38m @ 2.01 % Ni, 0.31 % Cu, 0.10 % Co and 1.10 g/t Pt+Pd. • These results continue to demonstrate the continuity of thick, high grade mineralisation which remains open to the north and down dip. • A high degree of conversion from Inferred to Indicated Resource is expected on the basis of these intersections and recently reported results for adjacent drillholes. • Drilling is continuing with four rigs now on site, aimed at substantially expanding the Enterprise resource. An additional two drill rigs are currently being mobilised to further accelerate the program. Drilling Programme and Results The Munali Project (100% Albidon) is located approximately 60 kilometres southof Zambia's capital city Lusaka (see Diagram 1 in the html link above). TheMunali Project area comprises the Enterprise Deposit and a number of othernickel prospects at various stages of advancement. Following an infill drilling programme on the Enterprise resource, which wascompleted in the second half of 2005, an extensional drill programme commenced,in order to add confidence to the Inferred portion of the resource and to assessits ultimate extent. The results reported here are for the eight most recentdrillholes, for which assays are available from this programme. All eight drillholes were designed to test the northern extension of theEnterprise mineralisation (see Diagram 2 and Diagram 3 in the html link above).The drilling has confirmed and extended the resource in this northern area, witha significant proportion expected to be converted from Inferred to Indicatedwhen the next resource estimate is prepared as part of the documentation forcompletion of the Bankable Feasibility Study ('BFS'). All of the drillholes completed during the current extensional drilling programhave intersected significant widths of mineralisation, including: 23.83m @ 1.45%Ni; 21.25m @ 1.40% Ni; and 29.06m @ 1.18% Ni (in MAD229, 232 and 233respectively). Each of these intersections includes higher grade intervals inexcess of 7 metres thick at a grade of over 2.0% Ni (see Table 1 below). These results are important in that they improve confidence in the Enterpriseresource and they further confirm a minimum strike length of 800m for thedeposit, which remains open along strike and down dip. Forward Programme There are now four drill rigs on site, with a further two rigs currently beingmobilised to the project, continuing an aggressive program that has thefollowing objectives: • Conversion of Inferred to Indicated Resource status for as much of the Enterprise Deposit as possible. The resource estimate will be updated on completion of this infill and confirmation drilling programme and will be incorporated in the BFS. • Step-out drilling to expand the Enterprise Deposit to the north. This has the aim of substantially increasing the resource over the depth range occupied by the thicker high grade mineralisation that is open to the north. • Continued drilling to extend Enterprise down-dip, where it remains open along most of its strike length. • Further confirmation drilling at the Voyager prospect and in the zone between Voyager and Enterprise. Airborne electromagnetic surveys have commenced over a 50-km long segment of theMunali Fault Zone, the structure that localises the Enterprise Deposit. Theobjective of this survey is to identify conductor targets to test for new zonesof nickel mineralisation. The Australasian Code for Reporting of Exploration Results, Mineral Resourcesand Ore Reserves (the 'JORC Code') sets out minimum standards, recommendationsand guidelines for Public Reporting in Australasia of Exploration Results,Mineral Resources and Ore Reserves. The information contained in thisannouncement has been presented in accordance with the JORC Code and referencesto "Indicated" and "Inferred Resources" are to those terms as defined in theJORC Code. Information in this report relating to exploration results is based on datacompiled by Mike Dunbar, who is a member of The Australasian Institute of Miningand Metallurgy, who acts as a consultant to the Company. Mike Dunbar hassufficient experience which is relevant to the style of mineralisation and typeof deposit under consideration and to the activity which he is undertaking toqualify as a Competent Person under the 2004 Edition of the Australasian Codefor reporting of Exploration Results, Mineral Resources and Ore Reserves. MikeDunbar consents to the inclusion of the data in the form and context in which itappears. If you have any queries please contact the Chief Financial Officer and CompanySecretary, Nicholas Day on +61 8 9389 6300 or email [email protected]. Additional information may also be viewed on Albidon's website atwww.albidon.com. Table 1: Drill Intersections and Assay Results for the EnterpriseDeposit, using a 0.7% Ni cutoff, minimum intersection thickness of 2.5m and weighted by density. Hole from to Interval (M) ZONE Ni % Cu % Co % PGM g/tMAD223 375.79 383.5 7.71 MZ 0.95 0.12 0.05 0.55MAD224 421.81 430.05 8.24 MZ 1.91 0.27 0.12 0.92MAD228 352.2 371 18.8 MZ 0.96 0.18 0.06 1.03 inc 7.18 1.28 0.27 0.08 2.04MAD229 273 296.83 23.83 MZ 1.45 0.21 0.08 0.53 inc 7.83 3.09 0.45 0.18 0.90MAD230 341.08 346.1 5.02 MZ 1.10 0.12 0.05 0.72MAD231 217 221 4 MZ 1.45 0.11 0.07 1.18MAD232 325.75 347 21.25 MZ 1.40 0.13 0.07 0.78 inc 7.2 2.33 0.17 0.10 1.11MAD233 357 386.06 29.06 MZ 1.18 0.16 0.06 0.63 inc 10.38 2.01 0.31 0.10 1.10 Notes: 1. 'PGM' is Pt + Pd. 2. MZ: 'Main Zone' high grade breccia mineralisation. Table 2: Drillhole collar positions, orientations and drillhole type ('DDH' refers to diamond drillholes and 'RC' denotes reverse circulation drillholes). Hole_ID Easting Northing RL Depth Hole Type Dip AzimuthMAD223 4910 10300 1100 435 DDH -71 30MAD224 4800 10180 1100 492 DDH -72 30MAD228 4950 10300 1100 404 DDH -70 30MAD229 4900 10220 1100 336 DDH -65 30MAD230 4897 10260 1100 363 DDH -70 30MAD231 4932 10260 1100 256 RC -60 30MAD232 4850 10220 1100 411 DDH -60 30MAD233 4810 10220 1100 420 DDH -60 30 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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