2nd Feb 2006 10:10
Albidon Limited02 February 2006 Suite 1 Hillway House 141 Broadway Nedlands 6009 Western Australia ARBN 107 288 755 Albidon Limited Tel:x+61x8x9389 6300 Fax:x +61x8x9389 6400 Email:[email protected] ASX Code: ALB AIM Code: ALD via electronic lodgement THICK HIGH GRADE NICKEL DRILL INTERCEPTS FURTHER INCREASE THE STRIKE LENGTH OFTHE ENTERPRISE DEPOSIT http://www.rns-pdf.londonstockexchange.com/rns/8150x_-2006-2-2.pdf HIGHLIGHTS • Two drillholes designed to extend the northern boundary of the Enterprise Deposit have intersected thick, high grade mineralisation, as follows: MAD195: 23.36m @ 1.97% Ni, 0.34% Cu, 0.11% Co and 1.09g/t Pt+Pd; and MAD215: 8m @ 1.92% Ni, 0.17% Cu, 0.14% Co and 1.28g/t Pt+Pd. • Drillhole MAD215 is a 'step-out' drillhole located 50m to the north of existing drilling in the Enterprise Deposit and within the Inferred Resource boundary, and this takes the known strike length of the deposit to 800m. • The deposit remains open to the north and down-dip. • Drilling has recommenced with two drill rigs, aimed at further extending and detailing the Enterprise resource. Drilling Programme and Results The Munali Project is located approximately 60 kilometres south of Zambia'scapital city Lusaka (see Diagram 1 in the hyperlink above). The Munali Projectarea comprises the Enterprise Deposit and a number of other nickel prospects atvarious stages of advancement. A Bankable Feasibility Study is underway onEnterprise for which an Indicated and Inferred Resource of 6.93Mt @ 1.4% Ni,0.2% Cu, 0.08% Co and 1g/t PGM was recently announced. Following an infill drilling programme on the Enterprise resource, which wascompleted in the second half of 2005, an extensional drill programme wascommenced, in order to add confidence to the Inferred portion of the resourceand to assess its ultimate extent. As reported on 19 January 2006, drilling atdepth near the southern end of Enterprise has confirmed similar grades andwidths of mineralisation to the Indicated portion of the Enterprise resource. The results reported here are for the first two drillholes completed at thenorthern end of this extensional drilling program. These drillholes intersectedmineralisation of increased thickness and grade. One drillhole (MAD195) intersected 23.36 metres of massive and breccia stylemineralisation with an average grade of 1.97% Ni, 0.34% Cu, 0.11% Co and 1.09g/tPt+Pd. This thick mineralised envelope includes a massive sulphide zone of7.44m @ 2.57% Ni, 0.43% Cu, 0.13% Co and 1.44g/t Pt+Pd (see Diagram 2 below). The second drillhole (MAD215) intersected 8 metres of breccia mineralisationwith an average grade of 1.92% Ni, 0.17% Cu, 0.14% Co and 1.28g/t Pt+Pd. These results have confirmed the interpreted extension of the Inferred Resourceto the north (refer to Diagram 2 in the hyperlink above, and also Table 1 belowfor detailed results and Table 2 for drillhole location data). The drillholes reported here are the most northerly drilled to date in theEnterprise Deposit. Thus, Enterprise remains open to the north where it isseparated from the recent Voyager discovery by a 600m-long zone that isvirtually undrilled (see Diagram 3 in the hyperlink above). Drill-testing ofthis intervening zone is a priority for the coming months. Forward Programme Drilling has recommenced with two drill rigs and has the following objectives: • Step-out extensional drilling to extend the Enterprise Deposit 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. The various components of the drill program will be operated concurrently andfurther exploration drilling will be undertaken elsewhere in the MunaliIntrusion and surrounding district when additional drill rigs mobilise to theproject in the coming weeks. 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 Company Secretary, 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 weightedby density. Hole from to Interval (M) ZONE Ni % Cu % Co % PGM g/t MAD195 437.38 460.74 23.36 MZ 1.97 0.34 0.11 1.09including 453.3 460.74 7.44 MZ 2.57 0.43 0.13 1.44 MAD215 356 364 8.00 MZ 1.92 0.17 0.14 1.28 Notes: 1. 'PGM' is Pt + Pd. 2. 'Zones' defined in Table 1 include: 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 Azimuth MAD195 621270 8239410 1100 494.4 DDH -70 30 MAD215 621194 8239478 1100 400 RC -60 30 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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