Korab gets Geolsec okay

THE BOURSE WHISPERER: Korab Resources has received authorisation from the Northern Territory Department of Resources to conduct mining activities.

The company applied to the department under the Mining Management Act with respect to activities at several of its Rum Jungle leases including a mineral lease containing the Geolsec phosphate deposit.

The Geolsec phosphate deposit is located at Rum Jungle 70 kilometres from the Darwin port via the four-lane Stuart Highway.

Geolsec’s location 70 km from Darwin allows easy access Australian and Asian markets. Source: Company announcement

Korab claims the Geolsec phosphate deposit extends from surface to 40-120 metres depth.

In its announcement to the ASX the company said it is intending to develop the Geolsec deposit as a simple quarrying operation utilising modern techniques to reduce the environmental impact of the operations and to minimise the operating costs.

Korab said the deposit is accessible during both dry and wet seasons with CAPEX and start-up costs estimated at between $200,000 and $300,000.

“Korab will be shortly undertaking drilling program at Geolsec with the aim of increasing the size of the phosphate deposit and to drill test several phosphate anomalies in close proximity,” Korab said in its announcement.

“In conjunction with phosphate rock drilling, Korab will complete number of drill holes to test several nickel and copper anomalies and to drill test dolomite breccias for rare earths mineralisation associated with previously announced rare earths anomalism.”