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La Parrilla Extension Drilling Completed

25th Feb 2013 07:00

RNS Number : 5384Y
W Resources PLC
25 February 2013
 

 

 

 

 

 

25 February 2013

 

 

W Resources Plc

("W" or the "Company")

 

La Parrilla Extension Drilling Completed

IP-10 and IP-11 Results

 

W Resources (AIM:WRES), a tungsten and gold exploration and development company, announces the final results of the drilling programme on the extension of its La Parrilla tungsten project, located in southwest Spain, in which it has an exclusive option to purchase a 100% interest.

Assay results for the final two holes in the 11 hole La Parrilla extension drilling programme have been confirmed with key highlights including:

- 9.25 metres at 0.114% Tungsten Trioxide (WO3) in hole IP-10
- 7.62 metres at 0.135% Tungsten Trioxide (WO3) in hole IP-10
- 12.00 metres at 0.149% Tungsten Trioxide (WO3) in hole IP-11
- 15.25 metres at 0.132% Tungsten Trioxide (WO3) in hole IP-11

Holes IP-10 and 11 were drilled to final depths of 250.6m and 201.4m and are located 425m and 125m, respectively, to the northwest of the main ore body.

Michael Masterman, Chairman of W, commented: "Taking the decision to extend the drilling programme has delivered results which have exceeded our expectations, with the last two holes delivering thick intersections close to surface and above the average reserve grade. Golder Associates has today commenced the resource estimation process and we expect a revised resource estimate in the next quarter."

W has now completed the 11 holes of its extended drilling programme with the full weighted averaged results of final two holes, 10 and 11, shown in the tables below:

DRILL HOLE IP-10 (VERTICAL) 250.60 m LONG

FROM

TO

INT

TRUE THICKNESS

WO3 %

Sn %

18.00

28.00

10.00

8.66

0.028

0.030

39.75

49.00

9.25

7.09

0.114

0.026

151.75

156.00

4.25

4.11

0.011

0.226

181.38

189.00

7.62

7.16

0.135

0.019

  

 

DRILL HOLE IP-11 (VERTICAL) 201.40 m LONG

FROM

TO

INT

TRUE THICKNESS

WO3 %

Sn %

16.50

20.00

3.50

3.03

0.020

0.091

40.00

52.00

12.00

10.39

0.149

0.014

59.75

75.00

15.25

7.63

0.132

0.009

89.00

117.00

28.00

14.00

0.076

0.007

  

The weighted average grades have been calculated for intersections through mineralised envelopes defined by quartz veining and no cut off grade has been used.

 

At the La Parrilla tailings project the Company is making good progress and is on track to deliver its first tungsten production in H2 2013.

A detailed map of the La Parrilla site including the drill hole locations can be found on the Company's website at http://www.wresources.co.uk/projects/la-parrilla/

 

Enquiries:

W Resources Plc

Grant Thornton Corporate Finance - Nomad

Michael Masterman

Gerry Beaney / Melanie Frean / Jen Clarke

T: +44 (0) 20 7193 7463

T: +44 (0) 20 7383 5100

 www.wresources.co.uk

Simple Investments - Broker

Gable Communications

Andy Thacker / Nick Emerson

Justine James

T: +44 (0) 1483 413500

T: +44 (0) 20 7193 7463

www.simple-investments.co.uk

M: +44 (0) 7525 324431

 

About La Parrilla

The La Parrilla project site is situated in the Extremadura region of southwest Spain, in the Provinces of Caceres-Badajoz, approximately 310 km southwest of Madrid. The site is accessed directly from the highway along a 3km asphalt road and is serviced by electricity and water. The project comprises a tungsten mine and a tungsten tailings project. The historic mine resource estimated by SRK in 2008 is 36.0m tonnes at 0.09% WO3, making it one of the largest tungsten deposits in the western world.

With the final approvals granted at the La Parrilla tailings project in January 2013, by the Mining Department of the regional authority of the Junta de Extremadura, the Company is targeting first production in H2 2013. Annual plant feed will be 330,000 tonnes and annual production is anticipated to be 28,000 MTU Tungsten (W) and 26 tonnes Tin (Sn), which will deliver over €7million per annum in revenue at current tungsten and tin prices.

The price of tungsten has increased rapidly over the last 3 years by more than double. The La Parrilla tailings deposit and tungsten mine development offer a low cost, high margin resource development opportunity for W Resources.

 

Sampling, Assaying and Quality Assurance / Quality Control (QA/QC) Measures

Drill sample intervals are reported as metres (m) down hole. True widths of mineralised intersections have been calculated assigning an average dip of the mineralised zones of 65º for hole IP-10 and 50º for hole IP-11. All drill core is transported by the Company personnel from drill site to a nearby secure storage facility for logging, by an experienced geologist, and sampling. The core is halved using a rotary diamond blade core saw, with one half of the core sent for analysis, while the other half is retained in the core boxes for reference. Sampling is mainly carried out over two-metre intervals.

All half-core samples are sent for preparation to ALS Minerals facility in Seville (Spain). The resulting pulps are shipped to their laboratory in Vancouver (Canada) for assay using the ME-MS81 method (38 elements by lithium borate fusion and ICP-MS). Samples exceeding the upper detection limit (10,000 ppm W) are re-assayed by the lithium borate fusion and XRF determination ME-XRF10 method. Tungsten assays are reported by ALS Minerals as W and converted to WO3 using a factor of 1.26108.

Reference samples (blanks, duplicates and certified standards) are routinely inserted in each sample batch as quality control measure in addition to the laboratory's own internal QA/QC standards and duplicates.

W Resources Plc changed its name from Caspian Holdings Plc in July 2012, to align with its revised strategy focussing on projects in the mining sector.

Technical information in this report has been prepared in accordance with the JORC Code and approved for inclusion by Mr Fernando de la Fuente, who is a "qualified person" in respect of the AIM Rules for Companies with over 38 years experience in the Exploration and Mining Geology industry. Mr de la Fuente holds a B.Sc. in Geology and a MSc in Geology from the University of Granada in Spain. He is also a member of the Spanish College of Geologists (Number 49), the Spanish Society of Mineralogy, founder member of the Spanish Society of Geology, member of the Spanish Association of Applied Geology to Mineral Deposits, member of the Society for Mining, Metallurgy and Exploration, Inc., member of PDAC.
This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
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