TIDMZIOC
RNS Number : 4234L
Zanaga Iron Ore Company Ltd
04 September 2012
4 September 2012
Substantial Increase and Upgrade in Zanaga Project Mineral
Resource
Zanaga Iron Ore Company Limited ("ZIOC" or the
"Company")(AIM:ZIOC) is pleased to announce a substantial increase
and resource classification upgrade in the Zanaga Iron Ore Project
(the "Zanaga Project") Mineral Resource, reported in accordance
with the JORC Code, in the Republic of Congo (Congo
Brazzaville).
Highlights
-- 57% increase in the overall Mineral Resource to 6.8 billion
tonnes at an average grade of 32.0% Fe
-- 74% increase in Measured and Indicated resource category to
4.69 billion tonnes with an average grade of 32.5% Fe
-- Ratio of Measured, Indicated and Inferred Resources has
improved to 35%:34%:31% respectively, a significant upgrade from
the previous estimate announced on 26 October 2011 of
3%:59%:38%
-- Total of 176,109 metres drilled, drilling to an average of
145m included in revised 2012 JORC statement
-- Mineral Resource defined from only 25km of the 47km orebody identified
Clifford Elphick, Non-Executive Chairman of ZIOC, commented:
"The major increase in the resource announced today is exciting
as it confirms the Zanaga Iron Ore Project has the potential to
become a very significant iron ore producer with one of the largest
iron ore resources in Africa. The systematic methodology applied to
the large scale drilling programme continues to increase our
understanding and confidence in the orebody, of which just over 50%
has been drilled to date"
Revised Mineral Resource Statement
Classification Tonnes (Mt) Fe (%) SiO(2) Al(2) O(3) P (%) Mn (%) LOI (%)
(%) (%)
---------------- ------------ ------- ------- ----------- ------ ------- --------
Measured 2,400 34.0 43.0 3.3 0.048 0.106 1.403
---------------- ------------ ------- ------- ----------- ------ ------- --------
Indicated 2,290 30.8 46.6 3.0 0.052 0.116 0.701
---------------- ------------ ------- ------- ----------- ------ ------- --------
Inferred 2,100 31 46 3 0.05 0.12 0.90
---------------- ------------ ------- ------- ----------- ------ ------- --------
Total 6,800 32 45 3 0.05 0.11 1.01
---------------- ------------ ------- ------- ----------- ------ ------- --------
Reported at a 0% Fe cut-off grade within an optimised Whittle
shell representing a metal price of 130 USc/dmtu.
The Resource was estimated as a block model within constraining
wireframes based upon logged geological boundaries. Tonnages and
grades have been rounded to reflect appropriate confidence levels
and for this reason may not sum to totals stated.
The Mineral Resource statement set out above is reported in
accordance with the terms and definitions included in the
Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves (JORC Code 2004 edition) as at 29 August
2012. The information in this Report that relates to Mineral
Resources is based on information compiled by Malcolm Titley, BSc
MAusIMM MAIG, of CSA Global (UK) Ltd. Malcolm Titley takes overall
responsibility for the Report as Competent Person. He is a Member
of the Australasian Institute of Mining and Metallurgy (AUSIMM) and
has sufficient experience, which is relevant to the style of
mineralisation and type of deposit under consideration, and to the
activity he is undertaking, to qualify as a Competent Person in
terms of the JORC Code. The Competent Person, Mr Malcolm Titley,
has reviewed this Mineral Resource statement and given his
permission for the publication of this information in the form and
context within which it appears.
Drilling programme summary
Data used in the preparation of the Mineral Resource Estimate
was sourced from all available information from diamond and RC
drilling completed at the Zanaga Project, to a cut-off date of 15
July 2012. This includes an additional 49,125 metres (39% increase)
of drilling carried out for the previous resource statement
announced on 26 October 2011. A total 176,109 metres (1,213 holes)
have been drilled to date, with 79,288 assays (XRF analyses and
Niton analyses) used to model the mineral resource. Please see the
table below for an update on drilling completed.
Drilling completed Metres
---------------------------------------------------------- --------
At 26 Aug 2011 (previous resource estimate, announced
26 Oct 2011) 126,984
---------------------------------------------------------- --------
26 Aug 2011 - 15 July 2012 (cut-off for updated resource
estimate, announced 4 Sept 2012) 49,125
---------------------------------------------------------- --------
Total to date 176,109
---------------------------------------------------------- --------
Geological Summary
The Zanaga Iron Ore deposit is located within a North-South
oriented (metamorphic) Precambrian greenstone belt in the eastern
part of the Chaillu Massif in South Western Congo. From airborne
geophysical survey work, and morphologically, the mineralised trend
constitutes a complex elongation in the North-South direction, of
about 48 km length and 0.5 to 3 km width.
The ferruginous beds are part of a metamorphosed,
volcano-sedimentary Itabirite/BIF and are inter-bedded with
amphibolites and mafic schists. It exhibits faulted and sheared
contacts with the crystalline basement. As a result of prolonged
tropical weathering the BIF has developed a distinctive supergene
iron enrichment profile.
At surface there is sometimes present a high grade (+60% Fe)
canga of apparently limited thickness (<5m) capping a
discontinuous, soft, high grade, iron supergene zone of
structure-less hematite/goethite of limited thickness (<7m). The
base of the high grade supergene iron zone grades quickly at depth
into a relatively thick, leached, well-weathered to moderately
weathered friable hematite Itabirite with an average thickness of
approximately 25 metres and grading 45-55% Fe.
The base of the friable Itabirite zone appears to correlate with
the moderately weathered/weakly weathered BIF boundary, and fresh
BIF comprises bands of chert and magnetite/grunerite layers.
For further information please contact:
Zanaga UK Services Limited
Corporate Development and Andrew Trahar
Investor Relations Manager +44 20 7399 1105
Liberum Capital Limited
Nominated Adviser, Financial Chris Bowman, Christopher
Britton
Adviser and Joint Corporate Broker and Christopher Kololian
+44 20 3100 2000
Citigroup Global Markets Limited
Joint Corporate Broker Alex Carter
+44 20 7986 4000
Pelham Bell Pottinger
Financial PR James MacFarlane
and Daniel Thole
+44 20 7861 3232
About us:
Zanaga Iron Ore Company Limited is listed on AIM, ticker: ZIOC
and is the owner of 50% less one share interest in the Zanaga Iron
Ore Project based in the Republic of Congo (Congo Brazzaville)
through its joint venture partnership with Xstrata plc. The Zanaga
Iron Ore Project is one of the largest iron ore deposits in Africa
and has the potential to become a world-class iron ore
producer.
Glossary
AL(2) O(3) Alumina (Aluminium Oxide)
BIF Banded Iron Formation is the fresh, hard, un-oxidised,
banded, magnetite itabirite and consists of magnetite,
silica and occasional amphibolite. At Zanaga the
BIF has a total iron grade range of 10% Fe to 47%
Fe, with an average 30% Fe.
Fe Iron
Itabirite metamorphosed BIF
JORC Code the 2004 Australasian Code for Reporting of Exploration
Results, Mineral Resources and Ore Reserves as
published by the Joint Ore Reserves Committee of
the Australasian Institute of Mining and Metallurgy,
Australian Institute of Geoscientists and Minerals
Council of Australia
LOI Loss on ignition
Magnetite a magnetic greyish black iron mineral (Fe(2) O(4)
)
Mineral Resource a concentration or occurrence of material of intrinsic
economic interest in or on the Earth's crust in
such form, quality and quantity that there are
reasonable prospects for eventual economic extraction.
The location, quantity, grade, geological characteristics
and continuity of a Mineral Resource are known,
estimated or interpreted from specific geological
evidence and knowledge. Mineral Resources are sub-divided,
in order of increasing geological confidence, into
Inferred, Indicated and Measured categories
Mn Manganese
P Phosphorus
SiO(2) Silica
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCLIMATMBTMMTT
Zanaga Iron Ore (LSE:ZIOC)
Historical Stock Chart
From Jul 2024 to Aug 2024
Zanaga Iron Ore (LSE:ZIOC)
Historical Stock Chart
From Aug 2023 to Aug 2024
