29th Sep 2008 07:00
For immediate release
29 September, 2008
Polo Resources Limited ("Polo Resources", "Polo" or "the Company")
Multiple Coal Seams in Early Drilling at the Val Project, Mongolia
Second significant coal seam discovered on Polo's South Gobi license areas
Polo Resources, the natural resources investment and mining company, is pleased to announce results from the initial drilling programme on its Val exploration project in the South Gobi basin. A total of 6 holes for 470 metres have been completed so far, spread out along 1 kilometre of strike of the outcropping coal; the results of these holes are shown below. Mapping and trenching work has uncovered coal over 8 kilometres in this region and shows that the system consists of multi-layered coal seams with up to 19 metres apparent thickness. Hole VAL005 has intersected a total of 4 seams with apparent thickness of greater than 4 metres, being 9 metres, 7 metres, 4 metres and 19 metres in a hole of total depth of 96 metres. This is a significant discovery and the Company is planning step outs to evaluate the potential of this hole.
The Val Project is situated in the central part of the South Gobi basin between Tavan Tolgoi (reserves of over 6 Bt of coal), and South Gobi Energy Resources ("SGS") (Ovoot Tolgoi project with reserves - including indicated and inferred - of 404Mt coal).
The area is hosted by an Upper Permian Sedimentary Sequence that also contains the SGS mine and is located in similar setting adjacent to well banded sandstones of Triassic age. The area is 62 kilometres to the North East of the SGS-MAK mines and is the northern limb of the large anticlinal feature dominating this part of the South Gobi basin.
The project is 87 kilometres from the Ceke loading station on the Chinese border making this project well positioned for the sale of coal into China. Samples have been submitted for analysis to the Central Laboratory of Mongolia and the results will be announced in due course. Areas of Permian coal in the South Gobi coal basin typically have coking coal properties ranging from 30% to 80% content.
Neil Herbert, Deputy Chairman of Polo Resources said: "Early results from both of our initial exploration projects in the South Gobi coal basin have been most encouraging. We look forward to continuing to progress both of these together with the remaining nine project areas in the region, while at the same time bringing the Ereen coal mine to production in the coming weeks."
First Drill Results at Val Project
|
HOLE ID |
EAST |
NORTH |
AZM |
DIP |
DEPTH |
FROM |
TO |
INTERVAL |
|
VAL001 |
256300 |
4785497 |
0 |
vert |
60.6 |
51.6 |
54.6 |
1.2 |
|
|
54.6 |
54.6 |
1.2 |
|||||
|
|
|
|
|
|
|
55.6 |
60.0 |
4.4 |
|
VAL002 |
256723 |
4785282 |
0 |
vert |
60.7 |
28.5 |
28.9 |
0.4 |
|
|
42.5 |
43.3 |
0.8 |
|||||
|
|
|
|
|
|
|
48.7 |
49.1 |
0.4 |
|
VAL003 |
256905 |
4785443 |
0 |
vert |
60.5 |
57.2 |
60.5 |
3.3 |
|
VAL004 |
259125 |
4784872 |
0 |
vert |
65.6 |
0.0 |
11.9 |
11.9 |
|
|
13.0 |
14.1 |
1.1 |
|||||
|
|
|
|
|
|
|
41.8 |
42.7 |
0.9 |
|
VAL005 |
257718 |
4784690 |
0 |
vert |
95.7 |
3.7 |
12.7 |
9.0 |
|
|
26.3 |
28.0 |
1.7 |
|||||
|
|
54.7 |
61.7 |
7.0 |
|||||
|
|
64.7 |
67.7 |
3.0 |
|||||
|
|
68.7 |
72.7 |
4.0 |
|||||
|
|
|
|
|
|
|
73.9 |
92.7 |
18.8 |
|
VAL 006 |
257531 |
4784778 |
0 |
vert |
127 |
16.0 |
18.0 |
2.0 |
|
|
33.8 |
35.0 |
1.2 |
|||||
|
|
93.0 |
93.9 |
0.9 |
|||||
|
|
|
|
|
|
|
99.7 |
101.3 |
1.6 |
|
Total Meters Drilled |
470.1 |
|||||||
|
AZM - Direction of hole (if 0 then vertical hole) |
||||||||
|
INTERVAL - is apparent thickness of coal |
||||||||
The information contained in this announcement has been reviewed by Paul Ingram, CEO & Director of Polo,
P.Geo, AIMM, MICA, BSc Geo. Mr. Ingram has sufficient experience relevant to the style of mineralisation and
type of deposit under consideration and to the activity which he is undertaking, to qualify as a Qualified Person for the purposes of this announcement.
Contacts:
|
Polo Resources Limited Neil Herbert, Deputy Chairman |
Tel: +27 11 269 4906 |
|
Canaccord Adams Mike Jones Ryan Gaffney |
Tel: +44 (0) 207 050 6500 |
|
Financial Dynamics Ben Brewerton Edward Westropp |
Tel: +44 (0) 20 7831 3113 |
About the Company
Polo is an emerging energy company focused on acquiring and developing advanced stage coal and uranium properties in Asia and Australia. For complete details on Polo Resources Limited, management encourages investors and interested parties to view its public documents filed on AIM Exchange at www.poloresources.com.
CAUTIONARY STATEMENT
The AIM Exchange does not accept responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. All statements, other than statements of historical fact, in this news release are forward-looking statements that involve various risks and uncertainties, including, without limitation, statements regarding the future plans and objectives of Polo Resources Limited. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. These and all subsequent written and oral forward-looking statements are based on the estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Polo Resources Limited assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change.
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