May 28, 2009 Drilling to Commence at Lindeman’s Bore Project Proto announces new joint venture at Lindeman’s Bore as well as commencement of 6-800m diamond drill hole to test Norilsk-style geology
Executive Summary • Drilling at Lindeman’s Bore to begin Friday, 28 May 2009, with all approvals now received • Joint Venture agreement announced with Northwest Discovery Ltd, with NT government already funding $100,000 of program • The program is targeting Norilsk-style massive nickel sulphide and platinum group element mineralisation, with single deep hole 6-800m diamond drill hole planned initially to test “bulls eye” target.
Drilling Program Commences.
The directors and management of Proto Resources & Investments Ltd are pleased to announce that the Lindeman’s Bore project has now successfully gained authorisation to commence drilling from the Department of Regional Development, Primary Industry, Fisheries and Resources, as well as receiving all other approvals. With this authorisation Proto’s exploration team are today mobilising from Darwin to commence drilling tomorrow, Friday 29 May 2009.
The Lindeman's Bore Project, on granted exploration licence EL 25307, is located 380km southwest of Katherine, situated on Limbunya Station near the community of Kalkarindji. The project area is interpreted to contain a portion of the regionally extensive Antrim Plateau Volcanics (APV). This Continental Flood Basalt Province is considered prospective for "Norilsk-style" magmatic nickel-copper2 PGE mineralisation. Norilsk is the largest nickel company in the world having the world class Norilsk mineralisation in North West Siberia with the world’s largest reserves of nickel sulphide and platinum.
Initially a single deep 6-800m diamond drill hole is planned to test a coincident magnetic/gravity "bulls eye" target for which the Northern Territory Government will fund $100,000. The experienced drilling company Wild Drilling from the Northern Territory won the tender to drill potentially one of the most exciting greenfields exploration targets in recent years. The drilling company and the Proto exploration team will be staying close to site at Limbunya Station.
Mithril Resources Limited (ASX:MTH) was another company awarded funding under the Geophysics and Drilling Collaborations Funding Agreement by the NT government, with a project north east of Alice Springs. Mithril are targeting similar Norilsk style mineralisation to Proto.
Mithril have rock chip samples at surface running up to 9.6% copper and 3.8% nickel with platinum group elements at their Blackadder and Baldrick prospect. Mithril will be diamond drilling this target during 2009. (Ref: Mithril ASX announcement dated 15 December 2008).
Chairman and Managing Director of Proto Andrew Mortimer said today, “We are very excited to finally be drilling this outstanding exploration project, which has the potential to show an enormous nickel, copper, platinum mineralisation. If successful, this project will transform Proto into a company with a substantial polymetallic mineralisation that would have the potential to provide very impressive long term economic upside.”
Joint Venture Agreement Announced
"Proto is also pleased to announce that a Sydney based unlisted public company Northwest Discovery Ltd (NWD) has agreed to a Farm-in on the Lindeman’s Bore Project. Proto has given Northwest Discovery Ltd the right to earn up to 50% of the project by funding drilling and exploration costs for a total of $1 million, beginning with a 20% earn-in by funding the initial drilling which begins tomorrow.
The initial funding will cost NWD $150,000. NWD will also have the opportunity to earn equity in the surrounding EL 25307 (presently 80% Proto and 20% private geoscientists). NWD can earn an additional 30% equity in the project by spending an additional $850,000 if the initial drilling proves successful, at that time NWD will hold 50%, Proto 30% and private interests 20%. The last third of this 30% equity however can only be earned at Proto’s and NWD’s mutual election."
Mortimor's quote on the announcement 'significant' find at Lindemans Bore 15 June 2009:
“This discovery is enormously significant as we have proved the geological concept and we can now look to explore and define economic mineralisation."
“It is an outstanding success that proves the value of our determination to seek mineralised supersystems for potential mine development."
"15m of 5% at 384m is "one of the most exciting discoveries in recent history."
"It's the best discovery since the last Olympic Dam potential hit."
This is from an appendix 3y issued on 17 June:
MD Mortimer
200,000 Shares acquired at $0.034 on 3 June 09 200,000 Shares disposed at $0.190 on 15 June 09 600,000 Shares disposed at $0.165 on 15 June 09
Come on he is full of it. Do some research it will all be revealed. Greed is taking over the world and small mug punters are feeding them....just my 2 cents worth....Uncle
PRW Price at posting:
3.7¢ Sentiment: None Disclosure: Not Held
