excellent nickel results, page-4

Excellent Nickel Results
On-going at Kurnalpi
SHANNON
Resources Ltd
www.shannonresources.com 1
ASX Code SHA
Berlin Code JT 8
Prices at 4th December 2006
Gold price US$645/oz
Shannon Resources Shares AU$0.62
Significant nickel assay results obtained greater than or close to 0.5% are shown in Table A
(Refer: separate PDF) and are highlighted by the following intersections:
SNP 9 18 metres @ 0.9% Ni from 29m to 47m depth
inc. 11m @ 1.07% Ni from 34m to 45m depth
SNP 10 6 metres @ 0.78% Ni from 30m to 36m depth
12m @ 0.6% Ni from 40m to 52m depth
SNP13 41 metres @ 0.81% Ni from 5m to 46m depth
inc. 11m @ 1.32% Ni from 17m to 28m depth
inc. 10m @ .21% Co from 16m to 26m depth
SNP14 9 metres @ 0.9% Ni from 4m to 13m depth
inc. 3m @ 1.4% Ni from 8m to 11m depth
SNP16 6 metres @ 0.73% Ni from 11m to 17m depth
SNP17 7 metres @ 0.81% Ni from 12m to 19m depth
SNP19 19 metres @ 0.63% Ni from 28m to 47m depth
SNP20 27 metres @ 0.73% Ni from 24m to 51m depth
inc. 2m @ 1.62% Ni from 40m to 42m depth
SHANNON
Resources Ltd
www.shannonresources.com 2
Results from recent resampling of well-preserved samples on prospecting licence P28/856
have confirmed that a nickel resource is present and tests have shown that the potential for a
nickel sulphide deposit is likely to occur together with an overlying nickel oxide mineralisation
rather than solely a nickel laterite resource.
Samples have been obtained from 1 metre interval drill chips seated in plastic bags from
selected percussion holes in no particular order extending over a north east strike length of
850 metres. Each one metre sample has been submitted for the analysis of nine elements
including Ni, Cu, Co, Cr, Mg, Al, Fe, As, S, using a four acid aqua-regia digest and a final
ICP/OES determination.
Two main areas 300 metres apart have been targeted for nickel laterite mineralization.
However, the focus of drilling has been in the northern area where a large inventory of holes
have been drilled including the resampled holes SNP1 - 14, 19 and 20.
Several factors from the resampling of this northern area have shown the occurrence of nickel
sulphides and these factors will be fully investigated at depth. These factors include:
§ High copper and sulphur analyses including elevated nickel analysis in SNP 1, SNP 4
and SNP 5 (Refer: Table B [separate PDF]).
§ Presence of a mafic rock unit contact from ultramafic to basalt defined by magnesia
(MgO%) content from 19.8% to 8.6% and elevated nickel (Refer: Table B [separate
PDF], SNP 4).
§ Plotting of anomalous nickel and copper results in drill holes SNP 1, SNP 4 and SNP
5 suggest flat lying nickel sulphide rich zones of mineralisation transect a basalt
ultramafic contact at depth.
The occurrence of nickel sulphides on P28/856 has provided an exceptional opportunity for
Shannon Resources to develop a nickel sulphide resource.
For Tables A, B and C – see separate PDF entitled ‘SHA Tables 5-12-06’
The information in this report which relates to exploration results, mineral resources or ore reserves is based on information
compiled by Peter Paterson who is a Member of the Australasian Institute of Mining and Metallurgy and the Australian Institute
of Geoscientists with a minimum of five years experience which is relevant to the style of mineralisation and type of deposit
under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004
Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources, and Ore Reserves’. Mr. Paterson
consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. Mr.
Paterson is an employee of Tarnwood Pty. Ltd., which consults to Shannon Resources.
BEVAN JAGGARD
Company Secretary