25th Oct 2007 07:00
Albidon Limited25 October 2007 Level 1 62 Colin St West Perth 6005ALBIDON LTD Western Australia ARBN 107 288 755 Tel: +61 8 9211 4600 Fax: +61 8 9211 4699 Email: [email protected] ASX Code: ALB AIM Code: ALD 25 October 2007 Market release via electronic lodgement http://www.rns-pdf.londonstockexchange.com/rns/3339g_-2007-10-25.pdf HIGH PRIORITY URANIUM TARGET DEFINED AT NAMAKANDE PROSPECT, ZAMBIA HIGHLIGHTS: • The Namakande Prospect comprises six ground radiometric anomalies which are being evaluated through a programme of reconnaissance geological mapping, geochemical soil sampling, rock-chip sampling and gamma-ray scintillometer surveying. • Assay results for the geochemical soil and rock-chip samples finalised to date have confirmed the presence of highly elevated uranium levels over a considerable area at the Namakande E target. • Peak assay values for rock-chip samples at Namakande E include values of 623 ppm U3O8, 464 ppm U3O8, 443 ppm U3O8, 393 ppm U3O8 and 250 ppm U3O8. • These samples occur over a strike length of greater than 1,400m, with supporting scintillometer readings extending the anomaly for a total strike-length of approximately 1,700m. • RC drill testing of the Namakande E target will commence once the drilling programme at the nearby Chisebuka prospect has been completed. Kariba Valley JV Project: Namakande geochemical soil sampling and rock-chipassay results The Namakande uranium prospect in the Kariba Valley JV occurs 75km to thesouth-west of Albidon's Njame uranium deposit, and some 25km north-east of theCompany's Chisebuka uranium prospect (Diagram 1 - see hyperlink above).Namakande comprises a cluster of six ground radiometric anomalies (Namakandetargets A through F) which were defined over Escarpment Grit Formation sedimentsby the Italian petroleum company AGIP in the late 1970's (Diagram 2 - seehyperlink above). Albidon's joint venture partner African Energy Resources ("AFR") is evaluatingthese six targets through a programme of geological reconnaissance mapping,ground radiometric (gamma-ray scintillometer) surveys, geochemical soil samplingand rock-chip sampling. The reconnaissance geological mapping and scintillometersurveys have confirmed the presence of radiometric anomalies overlying coarseclastic sediments which are interpreted to be of Karoo age and likely to belongto the Escarpment Grit Formation. Assays for geochemical soil samples collected on a nominal 400m x 100m grid overtargets A, D, E and F have been received. Coherent uranium in soil anomalism hasbeen detected at the Namakande A, Namakande E and Namakande F targets, in allcases coincident with ground radiometric anomalies. Further soil sampling isrequired at Namakande A to assess the full extent of the uranium anomalism. Namakande E Target The Namakande E target comprises two sub-anomalies as defined by groundradiometric surveying and confirmed by African Energy's scintillometer survey(Diagram 3 - see hyperlink above). Geochemical soil sampling on a 400m x 100mgrid has confirmed the presence of elevated uranium in soil levels over theentire length of the southern sub-anomaly, with peak values up to 63 ppm U3O8 insoil and general values in the 12 ppm U3O8 to 49 ppm U3O8 range over an areameasuring at least 1600 m long and over 100m wide (Diagram 4 - see hyperlinkabove). Rock-chip assays from sporadic outcrop in the area of the soil anomalyhas confirmed the local presence of moderate to high grade uranium in bedrockover a strike-length of 1400m. Peak values for the rock-chip samples includeassays of 623 ppm U3O8, 464 ppm U3O8, 443 ppm U3O8, 393 ppm U3O8 and 250 ppmU3O8. Assay results for all rock-chip samples are presented in Table 1 below: Table 1 Rock-chip assays from Namakande E Sample ID Northing Easting U3O8 ppm (wgs84 (wgs84 utm35s) utm35s) L2708 8173241 620036 7 L2716 8173166 619868 393 L2720 8172965 619661 83 L2722 8173000 619576 464 L2723 8173034 619603 344 L2724 8173031 619602 162 L2726 8173025 619611 31 L2727 8173029 619614 350 L2728 8173044 619638 393 L2729 8173046 619623 623 L2730 8173252 619506 7 L2733 8173136 619602 8 L2738 8172908 619795 2.5 L2758 8172368 618924 128 L2759 8172399 618999 95 L2764 8172555 619108 76 L2765 8172586 619019 11 L2766 8172593 619041 120 L2768 8172542 619058 250 L2769 8172543 619059 16 L2770 8172544 619050 61 L2780 8172640 619322 16 L2782 8172679 619279 62 L2796 8173861 620412 11 L2809 8173929 620750 49 L2810 8173975 620739 37 L2811 8174031 620747 39 L2815 8173461 620109 443 L2816 8173462 620110 444 Forward Programme at Namakande • Site preparation for a nominal 400m x 100m drilling programme at Namakande E will commence in November. • On completion of the current drilling programme at Chisebuka, and subject to the commencement of seasonal rains, the drill rig will mobilise to Namakande to commence reconnaissance drill testing of the Namakande E target. This drill rig has been secured for the remainder of 2007 and for the entire 2008 field season and will be used throughout the Company's Zambian projects. • Field evaluation of the Namakande A, B, C and F targets is scheduled for November. The evaluations will determine what further sampling is required at these areas to define drilling targets for 2008. Background The Chisebuka and Namakande uranium prospects are situated approximately 120kmsouth-west of Lusaka within the Kariba Valley Joint Venture Project. The JVtenements are owned by Albidon, and African Energy can earn a 30% equityinterest in the Kariba Valley Project by completing expenditure of A$1 millionon the Project, and can increase this to 70% equity interest by completing aPre-Feasibility Study on an Indicated Resource. The Njame uranium deposit and the Gwabe uranium mineralisation are locatedapproximately 80km south-east of Lusaka, the capital of Zambia, and form part ofthe Chirundu Joint Venture Project. The JV tenements are owned by Albidon, andAfrican Energy has earned a 30% equity interest in the Chirundu Project and canincrease this to 70% equity interest by completing a Pre-Feasibility Study on anIndicated Resource. 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 "Inferred Resources" and "Indicated Resources" are to those terms as definedin the JORC Code. Information in this report relating to Exploration results, Mineral Resources orOre Reserves is based on information compiled by Dr Frazer Tabeart (an employeeof African Energy Resources Limited) who is a member of The Australian Instituteof Geoscientists. Dr Tabeart has sufficient experience which is relevant to thestyle of mineralisation and type of deposit under consideration and to theactivity which he is undertaking to qualify as a Competent Person under the 2004Edition of the Australasian Code for reporting of Exploration Results, MineralResources and Ore Reserves. Dr Tabeart consents to the inclusion of the data inthe form and context in which it appears. If you have any queries please contact the Chief Financial Officer, Nicholas Dayor Managing Director, Dale Rogers on +61 8 9211 4600 or email [email protected]. Albidon's nominated adviser is RFC Corporate Finance Ltd, contact Stephen Allen+61 8 9480 2500. Additional information may also be viewed on Albidon's website atwww.albidon.com Diagram 1 (see hyperlink above): Location of Albidon Limited's uranium jointventure projects in Zambia. Diagram 2 (see hyperlink above): Ground radiometric survey contour data forNamakande and outlines of six primary targets labelled A through F. Diagram 3 (see hyperlink above): African Energy scintillometer survey resultsplotted over historical ground radiometric survey contours. Diagram 4 (see hyperlink above): Geochemical soil sampling and rock-chip assayresults plotted on ground radiometric contours at Namakande targets E and F. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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