17th Mar 2008 07:00
Albidon Limited17 March 2008 LEVEL 1 62 COLIN ST WEST PERTH 6005 WESTERN AUSTRALIA ARBN 107 288 755 ALBIDON LIMITED TEL: +61 8 9211 4600 FAX: +61 8 9211 4699 EMAIL: [email protected] ASX CODE: ALB AIM CODE: ALD 13 March 2008 http://www.rns-pdf.londonstockexchange.com/rns/2095q_-2008-3-17.pdf MULTIPLE URANIUM TARGETS CONFIRMED AT NAMAKANDE PROSPECT, ZAMBIA HIGHLIGHTS: • Final assay results for soil and rock-chip samples have been received for six uranium prospects at Namakande in the Kariba Valley JV. • Highly anomalous uranium assays of up to 1,150ppm U3O8 identified in several target areas. • Namakande C Target has rock-chip assays up to 1,150 ppm U3O8 and soils up to 326 ppm U3O8, open along strike to the northeast. • Namakande A Target has anomalous soil and rock chips over 50ppm U3O8 (peak value 451 ppm U3O8) along a strike length of 1km and open in both directions. • Drill testing of these anomalies is scheduled for the third quarter of 2008, immediately after drilling of the nearby Chisebuka uranium discovery. • The Namakande uranium prospect is located approximately 55km to the south-west of the Njame uranium deposit. • Resources identified at Namakande would be within economic trucking distance of the Njame processing facility and may contribute to the Chirundu Project resource base. NAMAKANDE URANIUM PROJECT EXPLORATION UPDATE Albidon's Joint Venture Partner African Energy has received all remaining assaysfor the programme of geochemical soil and rock-chip sampling completed over theNamakande uranium prospect in the Kariba Valley JV (for location refer toDiagram 1 in the hyperlink above). As previously reported, Namakande comprises acluster of six ground radiometric anomalies (Namakande targets A through F)which were defined over Escarpment Grit Formation sediments by the Italianpetroleum company AGIP in the late 1970's (see Diagram 2 in the hyperlinkabove). These six targets have been evaluated through a programme of geologicalreconnaissance mapping, ground radiometric (gamma-ray scintillometer) surveys,geochemical soil sampling and rock-chip sampling. This programme confirmed thepresence of radiometric anomalies hosted by coarse grained sediments and in theoverlying thin, soils. Assays have now been received for remaining geochemicalsoil samples collected on a nominal 400m x 100m grid over all six targets. Coherent uranium anomalism in soil and rock-chips has been identified at theNamakande A, Namakande E and Namakande F targets, with additional anomalismworthy of follow-up identified at the Namakande B and C targets (refer toDiagram 3 in the hyperlink above). Namakande A Target At the Namakande A Target a zone of uranium anomalism has been detected in bothsoils and rock-chip sampling (see Diagram 4 below). This anomaly extends over1km of strike length, and is open along strike in both directions. The anomalycontains > 50 ppm U3O8 in soil and rock chip samples taken from small historicaltrenches (excavated by AGIP) have peak values of 451 ppm U3O8. Assay results arepresented in Table 1. Namakande C Target Three lines of geochemical soil and rock-chip sampling were completed at theNamakande C Target (see Diagram 3 and Diagram 5 in the hyperlink above), withuranium anomalism detected on two of these lines (see Diagram 5 in the hyperlinkabove). Peak values of 1,150 ppm U3O8 in rock-chip samples and 326 ppm U3O8 insoil samples were detected. Further sampling is required to determine the extentand significance of this anomalism. FORWARD EXPLORATION PROGRAMME The following exploration programme is planned for Namakande: • Additional soil sampling at Namakande Target C to define the extent of the anomalies identified in the existing geochemical soil sampling. • Geological field validation to confirm that Targets A and C warrant drill testing. • Geological field validation to evaluate uranium in soil anomalism at the Namakande B and D targets. • Subject to the above, reverse circulation percussion drilling will be carried out at Namakande after completion of the follow-up drilling at the nearby Chisebuka Prospect. An initial drill spacing of 400m x 100m will be used at Namakande, with infill to 200m x 50m where warranted. • A track-mounted drill-rig is being sourced for this work to provide flexibility with drill collar locations. • Discussions with several drilling companies are well advanced, and the Company expects to recommence drilling at Chisebuka in the second or third quarter of 2008, followed immediately by Namakande. BACKGROUND The Namakande uranium prospect is located approximately 100km south-west ofLusaka, the capital of Zambia. Namakande and the nearby Chisebuka Prospect formspart of the Kariba Valley Joint Venture Project (see Diagram 1 in the hyperlinkabove). African Energy may earn a 30% equity interest in the Kariba ValleyProject by completing expenditure of AUD $1 million on the Project, and canincrease this to 70% equity interest by completing a Pre-Feasibility study on anIndicated Resource. Namakande is sistuated 55km to the south-west of the Njame Uranium deposit whichthe joint venturers are currently evaluating in the Chirundua Pre-FeasibilityStudy. The focus of the study is evaluate the potential for economically viablemining and uranium processing at the Njame and Gwabe deposits. The totalresource for the Chirundu project is 4,120t U3O8 (9.1 Mlb U3O8). ThePre-Feasibility Study is expected to be finalised by the end of the month, witha decision to proceed to a full Bankable Feasibility Study (BFS) to be made inthe next quarter. Subject to receiving the necessary government permits andapprovals, and subject to completion of successful sales agreements, feasibilitystudies and financing arrangements, it is possible that the Chirundu projectcould be developed to first uranium production by the end of 2009. The Pre-Feasibility Study is based on the construction of a central uraniumprocessing facility at the Njame deposit to treat both Njame ore and uraniumloaded resin products derived from a Remote Ion-Exchange (RIX) facility atGwabe. Namakande and Chisebuka are considered to lie within economic truckingdistance of the proposed Njame uranium processing facility for transport ofloaded resins. Information in this report relating to Exploration results, Mineral Resources orOre Reserves is based on information compiled by Dr Frazer Tabeart (an employeeand the Managing Director of African Energy Resources Limited) who is a memberof The Australian Institute of Geoscientists. Dr Tabeart has sufficientexperience which is relevant to the style of mineralisation and type of depositunder consideration and to the activity which he is undertaking to qualify as aCompetent Person under the 2004 Edition of the Australasian Code for reportingof Exploration Results, Mineral Resources and Ore Reserves. Dr Tabeart consentsto the inclusion of the data in the form and context in which it appears. If you have any queries, please contact the Chief Financial Officer, NicholasDay or Managing Director, Dale Rogers on +61 8 9211 4600 or [email protected]. Additional information may also be viewed on Albidon's website atwww.albidon.com. Albidon's nominated adviser is RFC Corporate Finance Ltd, contact Stephen Allen+61 8 9480 2500. Table 1. Assay results for geochemical samples from the Namakande A Target Sample ID Easting Northing Sample Type U3O8 ppm (wgs84 (wgs84 utm35s utm35s) L2151 612,300 8,166,575 Rock-Chip 6 L2157 612,300 8,166,275 Rock-Chip 16 L2159 612,301 8,166,174 Rock-Chip 8 L2160 612,302 8,166,125 Rock-Chip 5 L2191 612,700 8,166,699 Rock-Chip 13 L2195 613,099 8,166,499 Rock-Chip 6 L2196 613,100 8,166,451 Rock-Chip 5 L2204 613,100 8,166,100 Rock-Chip 6 L2210 613,487 8,165,849 Rock-Chip 143 L2212 613,500 8,165,900 Rock-Chip 6 L2215 613,499 8,166,050 Rock-Chip 58 L2219 613,499 8,166,250 Rock-Chip 7 L2226 613,499 8,166,499 Rock-Chip 7 L2228 613,500 8,166,599 Rock-Chip 5 L2231 612,290 8,166,008 Rock-Chip 114 L2232 612,694 8,166,333 Rock-Chip 451 L2233 612,694 8,166,333 Rock-Chip 346 L2234 612,694 8,166,333 Rock-Chip 400 L2235 612,694 8,166,333 Rock-Chip 38 L2243 613,899 8,166,225 Rock-Chip 7 L2252 613,900 8,165,825 Rock-Chip 6 L2153 612,300 8,166,475 Soil 6 L2154 612,301 8,166,425 Soil 11 L2156 612,300 8,166,326 Soil 7 L2169 612,699 8,165,701 Soil 19 L2178 612,699 8,166,101 Soil 16 L2198 613,099 8,166,349 Soil 13 L2254 613,900 8,165,725 Soil 8 L2152 612,301 8,166,525 Soil 15 L2155 612,301 8,166,375 Soil 13 L2158 612,301 8,166,224 Soil 52 L2162 612,302 8,166,075 Soil 51 L2163 612,300 8,166,025 Soil 13 L2164 612,300 8,165,975 Soil 9 L2165 612,301 8,165,925 Soil 9 L2166 612,301 8,165,876 Soil 14 L2167 612,301 8,165,825 Soil 6 L2168 612,300 8,165,775 Soil 6 L2170 612,701 8,165,750 Soil 21 L2171 612,701 8,165,801 Soil 14 L2172 612,700 8,165,849 Soil 9 L2173 612,699 8,165,902 Soil 6 L2174 612,699 8,165,948 Soil 7 L2176 612,699 8,166,001 Soil 10 L2177 612,701 8,166,050 Soil 12 L2179 612,701 8,166,148 Soil 8 L2180 612,700 8,166,200 Soil 20 L2182 612,701 8,166,249 Soil 14 L2183 612,700 8,166,299 Soil 22 L2184 612,700 8,166,349 Soil 108 L2185 612,701 8,166,400 Soil 74 L2186 612,700 8,166,448 Soil 51 L2187 612,700 8,166,500 Soil 13 L2188 612,699 8,166,550 Soil 10 L2189 612,700 8,166,599 Soil 8 L2190 612,700 8,166,650 Soil 7 L2192 613,100 8,166,600 Soil 6 L2193 613,100 8,166,550 Soil 12 L2194 613,116 8,166,546 Soil 107 L2197 613,100 8,166,400 Soil 2 L2199 613,099 8,166,301 Soil 13 L2201 613,101 8,166,251 Soil 15 L2202 613,101 8,166,200 Soil 10 L2203 613,100 8,166,150 Soil 14 L2205 613,103 8,166,050 Soil 43 L2206 613,100 8,166,000 Soil 8 L2207 613,100 8,165,951 Soil 6 L2208 613,101 8,165,899 Soil 9 L2209 613,100 8,165,850 Soil 9 L2211 613,501 8,165,851 Soil 12 L2213 613,499 8,165,949 Soil 9 L2214 613,500 8,166,001 Soil 14 L2216 613,499 8,166,100 Soil 21 L2217 613,500 8,166,150 Soil 21 L2218 613,499 8,166,200 Soil 44 L2220 613,500 8,166,300 Soil 13 L2222 613,500 8,166,351 Soil 54 L2223 613,499 8,166,400 Soil 7 L2224 613,499 8,166,449 Soil 7 L2227 613,499 8,166,550 Soil 9 L2229 613,501 8,166,650 Soil 15 L2237 613,499 8,166,700 Soil 7 L2238 613,900 8,166,425 Soil 5 L2239 613,900 8,166,375 Soil 10 L2240 613,901 8,166,325 Soil 7 L2242 613,900 8,166,274 Soil 10 L2244 613,899 8,166,175 Soil 6 L2245 613,900 8,166,126 Soil 7 L2246 613,899 8,166,075 Soil 14 L2247 613,901 8,166,025 Soil 8 L2248 613,899 8,165,975 Soil 5 L2249 613,900 8,165,924 Soil 17 L2251 613,900 8,165,875 Soil 22 L2253 613,903 8,165,775 Soil 2 L2255 613,900 8,165,674 Soil 8 L2256 613,900 8,165,625 Soil 5 L2257 613,899 8,165,575 Soil 8 L2258 613,900 8,165,525 Soil 8 L2259 613,900 8,165,475 Soil 8 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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