Winmar hits CID mineralisation at Hamersley

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THE DRILL SERGEANT: Winmar Resources has intersected Channel Iron Deposit (CID) mineralisation whilst conducting a program of RC drilling at the Hamersley Iron project, located in the Pilbara region of Western Australia.

Ten holes of the 40 hole program have been completed so far, nine of which have intersected Channel Iron Deposits (CID).

 

Drill RC hole locations to date showing thickness of CID in each hole. Source: Company announcement

 

The project has a current JORC Inferred Resource of 241.6 million tonnes at 54.3 per cent iron, which includes a main CID zone of 169.1 million tonnes at 55.6 per cent iron, and an Exploration Target of 350 to 400 million tonnes at 54 to 56 per cent iron.

According to Winmar the Resource at the Hamersley project remains open in most directions, with the current drill program intersecting mineralisation in the southwest and northeastern areas.

The company indicated it anticipates conducting follow up infill drilling on completion of the current program as it is required.

“CID mineralisation has been logged in new drill holes up to 800 metres in distance from the current resource, which is extremely encouraging,” Winmar Resources said in its ASX announcement.

“Samples have been submitted for analysis and assay results from the drill program are expected to be received during July.

“The current phase of drilling is designed to deliver a significant Resource upgrade.

“The new Resource statement will be used to provide an updated scoping study and as input for potential mining plans.”

Part of this phase of drilling will entail Winmar conducting a 600 metre diamond drill program to provide bulk material for metallurgical testing.

This is scheduled to commence by end-June, and the company said results will be released as they become available.

Winmar has a Joint Venture Agreement with Cazaly Iron, a wholly owned subsidiary of Cazaly Resources, for the Hamersley project, whereby Winmar is able to earn 51 per cent of the project by way of exploration expenditure.

Under the joint venture Winmar is undertaking and managing a $2.2 million exploration and development program in 2012 at the Hamersley project.

The Hamersley project is located in close proximity to Fortescue Metals’ Solomon project and Rio Tinto’s Marandoo and Brockman mines.