Crusader intercepts high-grade iron

THE DRILL SERGEANT: Crusader Resources (ASX: CAS) has reported high-grade iron results from a diamond drilling program currently underway at the company’s Posse iron ore project, near Belo Horizonte in Brazil.

The company has received results for the first six holes, which it explained to be part of a larger program (12 holes completed to date from a total of 16 planned), designed to test an evolving geological model.

 

Posse geology map with re-interpreted hematite veins and results. Source: Company announcement

 

The model is focusing on the location and extent of hematite veins, which are the key to producing the high value lump products Crusader said were currently being successfully sold into the domestic Brazilian market.

Highlights of the latest results include:

PODH-021
7.4 metres at 69.01 per cent iron from 12.90m;

PODH-012
20m at 56.10 per cent iron from 46m, including 8m at 64.22 per cent iron from 50m and 2m at 62.50 per cent iron from 62m ; and

PODH-018
31.1m at 55.17 per cent iron from 0m, including 3.13m at 62.93 per cent iron from 4m and 7.94m at 66.52 per cent iron from 16.9m.

“The drilling at Posse was planned to update our geological interpretation which has evolved as we have mined the Posse open pit,” Crusader Resources managing director Rob Smakman said in the company’s announcement to the Australian Securities Exchange.

“The hematite veins are more folded than originally interpreted, with veins now confirmed below the pit floor and in the hanging wall.

“With additional results to come from the completion of the drilling, a new mine plan which incorporates the new geological interpretation will now be completed.

“It is worth emphasising the new model could add to the planned tonnages of the high-grade lump products-as these are primarily generated from the hematite veins.”

Website: www.crusaderresources.com