THE BOURSE WHISPERER: Eastern Iron has announced an initial JORC Code complaint Inferred Resource estimate for the company’s Nowa Nowa project located in Eastern Victoria.
The resource at a lower cutoff of 40 per cent total iron includes:
– 8.92 million tonnes at 49.2 per cent iron at the Five Mile deposit; and
– 0.55Mt at 48.3 per cent iron at the Seven Mile deposit where the company has conducted less drilling.
Source: Company announcement
“We are pleased to report an initial resource estimate for the Nowa Nowa iron project,” Eastern Iron managing director Greg De Ross said in the company’s announcement to the Australian Securities Exchange.
“We have continued to deploy a low cost model of growing the value of the company’s asset base, and this high grade resource estimate is a positive first step.
“It is encouraging to have defined a resource in a short period since acquiring the Nowa Nowa project and, as Eastern Iron’s primary focus, we will continue to investigate available options and scenarios for a potential mining and development with the objective of pursuing early stage cash flow generation.
“In addition to the potential to expand the resource through exploration of areas adjacent to the known deposits, the company is also planning large diameter core drilling to advance the metallurgical test work program with results anticipated in the coming months.”
Eastern Iron said the Resource had been classified as Inferred due to the fact it is based on drilling and assay data from work carried out in the 1950’s by the Victoria Department of Mines and is therefore unverifiable and that the lack of density measurements introduces a level of uncertainty.