Another good annoucement today.. When will people wake up and see this stock is so undervalued atm?
MINCOR DISCOVERS MAJOR EXTENSION TO
MIITEL NICKEL ORE SYSTEM
Burnett Shoot Intersected in Step-out Hole 600 metres Beyond Previous Drilling
Australian nickel producer Mincor Resources NL (ASX: MCR) has achieved a milestone in its aggressive Kambalda
nickel exploration strategy, today announcing the discovery of a major extension to the ore system of the highly
productive Miitel Nickel Mine – its original Kambalda nickel operation.
Mincor said today (Wednesday) that a step-out hole located nearly 600 metres beyond previous drilling had
intersected strong, wide nickel mineralisation in a channel structure interpreted to be the strike continuation of the
Burnett Shoot at North Miitel. Drill hole MDD170W1, one of a series of surface holes drilled to test for an extension
to the Burnett Shoot, intersected the following:
MDD170W1: 8.72 metres @ 2.74% nickel (true width 5.58 metres) from 751 metres down-hole, including:
5.30 metres @ 3.42% nickel (true width 3.39 metres)
Significantly, the intersection comprises a well-developed “Kambalda Profile” with a narrow zone of high-tenor
massive sulphides grading 13.15% nickel lying directly on the basal contact, overlain by matrix and then
disseminated sulphides. The presence of massive sulphides, albeit only 30cm in down-hole width, is an important
indicator of the strength of the ore system.
“This is a tremendously significant result,” said Mincor’s Managing Director, David Moore. “While we must not get
ahead of ourselves, it potentially extends the entire Miitel ore system by as much as 25%. Miitel is already the fifth
biggest ore system discovered in Kambalda to date, and if infill drilling back towards the mine confirms this
discovery, then the implications for resource and reserve extensions are profound.”
Mr Moore said that the characteristics of Miitel, including its flat plunge, vertical dip, and classic ore profile, were all
favourable for high-production, low-cost mining. “Importantly, all of these characteristics appear to be present in
the latest drilling, which further reinforces the significance of this discovery for the Company,” he said.
“Our exploration strategy is underpinned by the potential of Kambalda’s ore systems to extend well beyond their
current limits,” Mr Moore continued. “This success at Miitel reinforces the enormous upside at all of the 12 ore
systems we own in the Kambalda Nickel District.”
Drill hole MDD170W1 was one of a series of surface holes designed to discover the northward extension of the
Burnett Shoot at North Miitel. Three holes and a wedge were required to achieve the discovery, although strong
indications were present in the third hole – the parent to MDD170W1 – which intersected 0.7 metres @ 2.82%
nickel (true width 0.35 metres), some 60 metres down-dip of the intersection in MDD170W1.
A down-hole electromagnetic survey has been completed indicating strong anomalism to both the north and south.
A further wedge hole off MDD170 is currently underway, targeting an intersection point approximately 40 metres
up-dip of the intersection in MDD170W1.
The Burnett Shoot was first discovered by underground drilling at the very end of the North Miitel ore body, when it
became apparent that the basal contact that hosts the Miitel ore system had been faulted into the hanging wall.
Underground drilling beyond the fault zone subsequently achieved three ore grade intersections extending to
approximately 200 metres beyond current underground development.
However due to drilling difficulties caused by the fault zone, Mincor decided to discontinue underground drilling
from that location and instead extend a drill drive through the fault zone to a new location, from where the Burnett
Shoot can be effectively drilled out from underground. That drill drive is currently in progress.
MEDIA RELEASE
Wednesday, 8 October 2008
Page 2
In parallel with this Mincor commenced drilling on a major step-out section from surface some 800 metres beyond
the fault zone, with the aim of discovering a significant strike extension to the Burnett Shoot. The intersection in
MDD170W1 reported above is the result of that work.