12
February 2009
ASX /
Media Announcement
PROMISING
ASSAY RESULTS FROM RADIO HILL
Pilbara-based nickel developer,
Fox Resources (ASX:FXR), is today pleased to announce more encouraging assay
results from the southern holes as part of the 2,000 metre drilling programme
at its Radio Hill project near Karratha.
Commenced at the end of last
year, the program was designed to test a series of Electromagnetic (EM)
anomalies between 400 and 600 metres down plunge of mine workings ? see figure
1.
The assays produced promising results from
holes 08RHDD110 and 09RHDD111, which both intersected thick intervals of mine
gabbro sequence containing variable to significant amounts of disseminated
sulphides, before terminating in basalt basement. Each hole returned several
intervals anomalous in nickel and copper within the mine gabbro, including
09RHDD111 1.0
metre @ 1.15% nickel and 0.94% copper from a depth of 412 metres down hole.
Significant assays are tabulated below.
Fox Resources Managing Director Bruno
Seneque said the results from these holes demonstrate that the mineralised
trend extends south from the mine at least as far south as 08RHDD110.
?These results will now be followed by a
re-evaluation of recent and historic drilling to assist in the planning of a
follow-up drilling programme, aimed at delineating higher grade zones within
the mineralised trend immediately south of the Radio Hill mine,? Mr Seneque
said.
?The drilling
program is part of the re-evaluation and interpretation of the geological and
geophysical information at Radio Hill, which is being managed by renowned
nickel exploration specialists Newexco Services Pty Ltd in conjunction with
Fox.?
The potential for the mineralised trend to
continue down plunge remains strong, with only sparse drilling, no surface EM
and limited DHTEM present to the south of hole 08RHDD110. The mine gabbro has
been identified in a number of these holes in the south and core re-logging is
currently underway to re-interpret the geology in this location. Interpretation
of the DHTEM results from hole 07RHDD084 (previously reported) suggest that the
anomalous response in this hole is caused by the weakly mineralised horizon
which extends toward 08RHDD110.
Fox is aiming to increase resources at
Radio Hill, and is targeting at least three million tonnes of low grade ore
with the aim of developing a robust, higher tonnage mining and processing
operation.
Exploration
Progress and Results
Assay results from Holes 09RHDD112 and
RHP0519 are still pending.
Follow up DHTEM in 08RHDD111 and 09RHDD112
is planned for mid February.
The previously reported programme of
geological re-logging and sampling of underground drill holes around and down
plunge of the mine has been completed. Assays are pending and will be released
as they become available.
Table
1: Drill Hole Co-ordinates
|
Hole ID
|
Hole Type
|
Max Depth
|
Coordinate System
|
East
|
North
|
RL
|
Dip
|
Azimuth
|
|
08RHDD110
|
Diamond
|
534.4
|
MGA94_50*
|
486192
|
7678729
|
88.72
|
-82
|
90
|
|
09RHDD111
|
Diamond
|
474.8
|
MGA94_50*
|
486283
|
7678853
|
82.48
|
-86
|
305.46
|
|
07RHDD084
|
Diamond
|
540.0
|
MGA94_50*
|
486277
|
7678595
|
84.71
|
-80
|
270
|
*Map Grid
of Australia
1994, Zone 50
Table
2: Significant intersections
|
Hole_ID
|
From(m)
|
Interval(m)
|
Ni_%
|
Cu_%
|
|
08RHDD110
|
479.0
|
5.0
|
0.40
|
0.62
|
|
09RHDD110
|
486.0
|
4.0
|
0.58
|
0.87
|
|
09RHDD111
|
409.0
|
6.0
|
0.75
|
0.93
|
|
incl
|
412
|
1.0
|
1.15
|
0.94
|
|
09RHDD111
|
437.0
|
2.0
|
0.65
|
1.52
|
-ENDS-
For further details please contact:
Bruno Seneque, Managing Director +61 8 9318 5600
Warrick Hazeldine ? Purple Communications +61 8 6314 6300
About Fox Resources
Fox Resources is a nickel focused metals
developer, with a substantial resource footprint in the world-renowned Pilbara
region. Fox?s Radio Hill project has been producing and
shipping nickel and copper concentrate for more than four years. It was placed
on care and maintenance during 2008 following adverse movements in nickel
prices.
The project offers
the advantages of established infrastructure, including a new 84 man village, a
425,000 tonne per annum nickel processing plant, a fully developed underground
mine at Radio Hill and concentrate storage facilities at the Port of Dampier,
40km from the Radio Hill Mine. The concentrates produced at Radio Hill are also
high value due to their low levels of magnesium oxide and arsenic.
Fox Resources has an off-take arrangement
in place with marketing partner Jinchuan Group Limited - China's
largest producer of nickel, and a major Fox Resources shareholder. The Company
has also the benefit of a highly experienced Board and management team, with
particular expertise in the development of major nickel projects.
The Company is also advancing its
substantial Mount Oscar
magnetite project in the Pilbara, where it is working to deliver an initial
JORC resource estimate during the first half of 2009.
Figure
1: Radio Hill Drill Programs
COMPETENT
PERSON STATEMENT
The
information within this report as it relates to mineral resources is based on
information compiled by Fox Resources Ltd and Adrian Black of Newexco Services
Pty Ltd. Adrian Black is a member of the Australian Institute of Geoscientists
and has sufficient experience which is relevant to this style of mineralisation
and deposit under consideration to qualify as a Competent Person as defined in
the 2004 Edition of the ?Australian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves?. Adrian Black consents to the inclusion in
the report of the matters based on the information in the form and context in
which it appears.
The
information within this report as it relates to mineral exploration and
geophysics is based on information compiled by Fox Resources Ltd and William
Amann of Newexco Services Pty. Ltd. William Amann is a member of the Australian
Institute of Geoscientists and has sufficient experience which is relevant to
this style of mineralisation and deposit under consideration to qualify as a
Competent Person as defined in the 2004 Edition of the ?Australian Code for
Reporting of Exploration Results, Mineral Resources and Ore Reserves?. William
Amann consents to the inclusion in the report of the matters based on the information
in the form and context in which it appears.
***
Purple Communications
Level 3, 28
Kings Park Road, WEST PERTH
WA 6005
Ph: 08 6314 6300 Fax: 08 6314 6355
purple@purplecom.com.au
Message
protected by MailGuard: e-mail anti-virus, anti-spam and content filtering.
http://www.mailguard.com.au/mg
<