GOLD, COPPER AND TUNGSTEN MINERALIZATION AT KURUNDI (NT)
Washington Resources Limited (“Washington” or “the Company”) has completed reconnaissance exploration of the Mosquito Creek tungsten occurrence located on its Kurundi exploration licence, 380km NNE of Alice Springs (NT). Tungsten mineralization is extensive and the location has been the site of past production. Shallow drilling of the deposits is scheduled for October 2007.
In addition to tungsten exploration, Northern Uranium Limited (“NTU”), in which Washington holds a 20.3% interest, has been conducting exploration for uranium about 6km to the south-west of the Hill of Leaders, in the vicinity of the historic Munadgee uranium mine. Uranium rights pertaining to the project are governed by the “Uranium Tenements and Uranium Rights Assignment Deed” between the Company, NTU, Polaris Metals NL, and Eclipse Minerals P/L. Under the terms of this deed, NTU maintains a priority right to mineral deposits where the potential commercial value of uranium constitutes more than 40%.
NTU commissioned geological consultants CSA Australia Pty Ltd (“CSA”) to examine the controls on uranium mineralization utilizing geological mapping, aeromagnetic interpretation, structural analysis and multi element geochemistry. Investigations focused on outcroup close to the Munadgee mine and over an area of approximately 5 x 5km to the east and south-east of the historic workings. Twenty-four rock-chip samples were taken and submitted for multi-element analysis.
The areas in which the rock chip samples were taken show brecciation, widespread quartz and hematite veining and in some cases exhibit anomalous bisimuth and gold (up to 4.5g/t). Copper carbonate was also observed as thin coatings on joint planes in some locations. The association of hydrothermal hematite, anomalous gold and copper within the Warramunga Group is characteristic of the Tennant Creek mineral field, approximately 130km to the north. Within that field, iron-oxide, copper, gold (“IOCG”) deposits have been exploited since the 1930s.
At Munadgee a Tennant Creek style IOCG analogy has been interpreted based largely on the large amount of hematite alteration and veining seen in the region, the presence of Warramunga Group volcanics at this location as well as an apparent Au – Cu – Bi association.
The high specific gravity of both hematite/magnetite and copper relative to any surrounding lithologies provides adequate contrast for gravity surveys, a successful prospecting technique in many of the terrains hosting IOCG deposits. The fact that mineralization is often hosted within magnetite-rich bodies is significant, as aeromagnetic data can be employed in conjunction with gravity to define and rate targets. WRL has completed a detailed aeromagnetic survey and the results show a swarm of “bullseye” magnetic anomalies within the Warramunga sediments, below surficial cover, adjacent to outcrop with hematite veining and geochemical anomalism characteristic of the Tennant Creek IOCG deposits.
The Company will plan gravity and/or drilling programs to evaluate these targets. Given the likely style of mineralization, the field work will be undertaken by Washington as a non-uranium target.
For further information, please contact: Adrian Griffin Washington Resources Limited (+61) 8 9485 0755 (+61) 418 927 658
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