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Email: info@ngmresources.com.au
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Website:
www.ngmresources.com.au
27 June 2007
JOINT ASX/MEDIA
RELEASE
Australian Stock Exchange������������������������������������������������������������� �����
Company Announcements Office
NGM TO EXPLORE FOR NICKEL IN MADAGASCAR
SUMMARY
- NGM has reached an agreement with BHP Billiton to acquire
100% of BHP Billiton’s nickel exploration projects in Madagascar
- The agreement covers significant ground-holdings with
potential for nickel sulphide deposits in four areas of Madagascar
- Results of recent drilling of a significant geophysical
anomaly at Analalava are awaited
- NGM will joint venture the project with M3 Madagascar
Ltd a privately owned company, to help fund the exploration program
- NGM and M3 Madagascar
will spend US$1 million on nickel exploration in Madagascar within the coming
year and an experienced exploration team is in place.
NGM Resources Limited (ASX: NGM) is pleased to
announce the company has signed an Agreement with BHP Billiton, to acquire four
nickel exploration projects, amounting to over 5,000km2 of
prospective tenements in Madagascar.
NGM Managing Director Dr
Russell Penney said: “The signing of this Agreement will be a major step
forward for NGM shareholders with the acquisition of some very exciting nickel
projects in under explored areas,” Dr Penney said.
“Having exposure to
nickel exploration projects in Madagascar
and uranium exploration targets in Australia
and Niger
provides NGM shareholders with a significant portfolio of assets.”
The nickel exploration tenements are located in four
groups, the main areas being Analalava in the northeast, Andriamena in central Madagascar,
in the vicinity of Jubilee Platinum plc’s Lavatrafo nickel prospect, and
Maralambo along the east coast, adjacent to Dynatec Corp’s Ambatovy
nickel laterite development project. All of the tenements cover prospective
geology comprising mafic and ultramafic intrusive and volcanic complexes with
previous exploration for nickel and platinum group metals, largely by BRGM (Bureau
de Recherches Geologiques et Mini�res).
The Analalava project
is located on the northeastern coast, 600km northeast of the capital Antananarivo. The
tenements cover the prospective Analalava layered gabbro complex and associated
basaltic and rhyolitic lavas. BHP Billiton has completed regional geochemical
sampling, detailed auger/soil sampling, reconnaissance IP and detailed moving
and fixed loop EM programs. They have also completed a regional
VTEM/aeromagnetic survey. Targets identified by EM and IP were selected for
drilling. Some disseminated sulphides (chalcopyrite and pyrrhotite) have been
identified in core, however the analytical results of this drilling program are
not yet available. The exploration potential of the area is considered to be high
with known occurrences of disseminated copper sulphides and a large EM
conductor associated with the basal contact of the gabbro.
The Andriamena project
is located in central Madagascar,
120km north of Antananarivo.
There is known nickel sulphide mineralisation in the area found by BRGM and
Jubilee Platinum, and data is available from regional exploration previously
conducted by BRGM. Previous drilling by BRGM in this area (Londokomanana)
returned up to 5.25m @ 2.48 g/t Pt + Pd. BHP Billiton’s tenements lie
immediately west of the Jubilee ground, in an area where similar
ultramafic-mafic lithologies are interpreted to occur. The project is at an
early stage of exploration.
The Maralambo
project is located within the Antogil Archaean domain on the east coast some
200km from Antananarivo,
immediately to the south of Dynatec Corp’s Ambatovy nickel laterite
project. The tenements cover a large area of gabbro intrusions and lie adjacent
to ground where Jubilee and Implats (Impala Platinum Holdings Ltd) have recently
intersected semi-massive and matrix sulphides containing low grade Ni, Cu, and
PGE’s.
Further nickel exploration tenements are held in the Cap St. Andr� area of Northwest
Madagascar, about which data is currently being compiled.
The BHP Billiton
Agreement:
Principal terms include:
Madagascar
is a developing country, has a modern mineral tenement administration system
and openly encourages investment in the mineral sector. Two significant mineral
deposits are currently being developed in Madagascar,
including Dynatec Corp’s US$2.25 billion investment in the Ambatovy
nickel laterite project, and Rio Tinto plc’s, Fort Dauphin Ti mineral
sands project in Southeast Madagascar.
Ends
For further
information, please contact:
Russell Penney
Managing Director
Tel: +61 (0) 9367
6471
Warrick Hazeldine
Purple
Communications
Tel: +61 (0) 9485
1254
Visit: www.ngmresources.com.au
The information in this report that relates
to Exploration Results and Mineral Resources is based on information compiled
by Dr Russell Penney, who is a Fellow of The Australasian Institute of Mining
and Metallurgy.
Dr Russell Penney is a full-time employee
of the company.
�Dr Russell Penney has sufficient
experience which is relevant to the style of mineralisation and type of deposit
under consideration and to the activity which he� is undertaking to qualify as
a Competent Person as defined in the 2004 Edition of the ‘Australasian
Code for Reporting of Exploration Results, Mineral Resources and Ore
Reserves’. Dr Russell Penney consents to the inclusion in the report of
the matters based on his information in the form and context in which it
appears”.
�
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