14th Dec 2007 07:00
Albidon Limited13 December 2007 ALBIDON LIMITED LEVEL 1 62 COLIN STREET WEST PERTH WA 6005 AUSTRALIA TELEPHONE: +61 89211 4600 FACSIMILE: +61 8 9211 4699 EMAIL: [email protected] WEBSITE: www.albidon.com ABN 86 107 288 755 ASX CODE: ALB AIM CODE: ALD URANIUM INTERSECTED IN DRILLING AT THE CHISEBUKA PROJECT, ZAMBIA http://www.rns-pdf.londonstockexchange.com/rns/9125j_-2007-12-14.pdf HIGHLIGHTS: • Initial assay results from RC drilling at the Chisebuka Uranium Project have confirmed the presence of significant grades and thicknesses of near-surface uranium mineralisation. • Assays have been received for 5 drill holes from the initial 35-drill hole programme of widely-spaced RC drilling. • Significant assays received for these first 5 drill holes are detailed below: CHI007 7m @ 445 ppm U3O8 from 11m including 2m @ 762 ppm U3O8 from 11m and 2m @ 642 ppm U3O8 from 16m CHI004 1m @ 319 ppm U3O8 from 105m CHI005 2m @ 255ppm U3O8 from 79m CHI010 1m @ 557 ppm U3O8 from 69m • Assay results for the remaining drill holes are expected in the first quarter of 2008. • The Chisebuka uranium discovery is located approximately 75km to the south-west of the Njame uranium deposit which African Energy is currently evaluating through a Pre-Feasibility Study. CHISEBUKA URANIUM PROJECT DRILLING UPDATE Albidon's joint venture partner African Energy has received assay results fromthe first 5 drill holes of its initial phase of reverse circulation (RC) drilltesting of the Chisebuka uranium anomaly in the Kariba Valley Joint VentureProject in Zambia (for location refer to Diagram 1 in the hyperlink above). Thedrilling has confirmed the presence of near-surface sandstone-typemineralisation that may be amenable to open pit extraction. An initial RCdrilling programme of 35 drill holes for a total of 3,079m has been completed atChisebuka to evaluate a series of ground radiometric anomalies associated withhigh-grade surface uranium mineralisation. Previous rock-chip sampling undertaken at the prospect (reported to the ASX on17th August 2007) had confirmed the presence of high-grade uraniummineralisation at surface with 11 of 46 samples exceeding 100ppm U3O8, and witha peak value of 4,823ppm U3O8 (see Diagram 2 in the hyperlink above). All of the11 samples with greater than 100ppm U3O8 were coarse-grained sandstones whichare interpreted to be part of the Karoo-aged Escarpment Grit Formation. This isthe equivalent geological position to the Inferred Resource at the JointVenture's Njame uranium deposit, some 75km along-strike to the east. A programmeof RC drilling on a nominal 400m x 100m gird was undertaken to test theseanomalies. Due to the locally steep topography, some of the planned drill sitecould not be accessed. Assay results have been received for 5 holes of the initial 35 drill holeprogramme (refer to Diagram 3 in the hyperlink above for drill hole collarlocations). These 5 holes were selected for high-priority assay on the basis ofgood down-hole gamma-ray scintillometer results. Significant assays are listedin the following table: CHISEBUKA SIGNIFICANT DRILL ASSAY RESULTS Hole ID From (m) To (m) Interval (m) Assay (equiv U3O8 ppm)CHI004 96 97 1 216 103 104 1 198 105 106 1 319CHI005 75 76 1 238 79 81 2 255 86 89 3 197CHI007 11 18 7 445 including 11 13 2 762 and 16 18 2 642 21 22 1 416 75 76 1 216CHI010 69 70 1 557 76 77 1 213 80 82 2 286CHI013 39 40 1 153 Assay results for the remaining drill holes are expected to be received in thefirst quarter of 2008. FORWARD DRILLING PROGRAMME Subject to the results from the 30 holes for which assays are not yet available,additional drilling will be carried out at Chisebuka after the seasonal rainscease in 2008. Due to the relatively steep nature of the ground, a track-mounteddrill-rig is being sourced for this work to provide more flexibility with drillcollar locations. BACKGROUND The Chisebuka uranium prospect is located approximately 120km south-west ofLusaka, the capital of Zambia, and forms part of the Kariba Valley Joint VentureProject (see Diagram 1 in the hyperlink above). African Energy may earn a 30%equity interest in the Kariba Valley Project from Albidon Limited by completingexpenditure of AUD $1 million on the Project, and can increase this to 70%equity interest by completing a pre-feasibility study on an Indicated Resource. Chisebuka is situated 75km to the south-west of the Njame Uranium deposit whichAfrican Energy is currently evaluating through a Pre-Feasibility Study. Njameforms part of the Chirundu Joint Venture Project tenements owned by Albidon (seeDiagram 1 in the hyperlink above), where African Energy has earned an initial30% equity interest from Albidon Limited and is earning a 70% equity interest bycompleting the Pre-Feasibility Study which includes infill drilling to define anIndicated Resource. Chisebuka is the third prospect at which the joint venture partners have definedsub-surface uranium mineralisation, with the other occurrences being the Njameand Gwabe uranium deposits in the Chirundu JV in Zambia. 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 Table 1: List of RC drillhole collar coordinates (WGS84 UTM35S) Hole ID Easting WGS84 Northing Elevation/m Dip Azimuth Max Depth/m UTM35s WGS84 UTM35SCHI001 605,691 8,159,000 650 -90 70CHI002 605,743 8,158,965 636 -90 82CHI003 606,143 8,159,083 631 -90 88CHI004 606,456 8,159,353 634 -90 106CHI005 606,483 8,159,277 630 -90 106CHI006 606,536 8,159,198 630 -90 106CHI007 606,780 8,159,562 651 -90 82CHI008 606,823 8,159,486 658 -90 94CHI009 607,120 8,159,772 655 -90 82CHI010 607,083 8,159,841 658 -90 95CHI011 607,309 8,160,264 704 -90 70CHI012 607,262 8,160,352 698 -90 58CHI013 606,900 8,160,157 730 -90 52CHI014 607,224 8,160,414 710 -90 115CHI015 607,375 8,160,135 679 -90 94CHI016 605,788 8,158,873 636 -90 82CHI017 606,222 8,158,527 642 -90 118CHI018 606,256 8,158,454 628 -90 100CHI019 606,311 8,158,370 612 -90 70CHI020 606,966 8,158,853 612 -90 94CHI021 606,916 8,158,932 626 -90 94CHI022 606,854 8,159,029 626 -90 82CHI023 607,304 8,159,051 599 -90 94CHI024 607,260 8,159,140 634 -90 94CHI025 607,237 8,159,191 641 -90 112CHI026 607,600 8,159,331 610 -90 82CHI027 607,103 8,159,400 626 -90 64CHI028 607,353 8,160,072 678 -90 64CHI029 606,085 8,159,134 648 -90 76CHI030 606,745 8,159,640 650 -90 106CHI031 607,076 8,159,847 653 -60 300 105CHI032 605,693 8,159,012 627 -60 300 82CHI033 606,078 8,158,364 629 -90 90CHI034 606,161 8,158,221 621 -90 70CHI035 606,613 8,158,587 605 -90 100 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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