9/57 Labouchere Road SOUTH PERTH 6151 Western Australia Telephone 08 9474 3266 Facsimile 08 9474 3299 ABN 28 106 866 442 Statement to the ASX 8 February 2008 Mindax Limited was listed on the Australian Securities Exchange Code: MDX in December 2004 Mindax is a West Australian based gold, copper, iron and uranium explorer A full description of the Company’s activities is available at our website www.mindax.com.au Inquiries about this statement or about the Company’s business should be directed to Greg Bromley Managing Director Investor inquiries can be directed to: [email protected] EXPLORATION UPDATE Mt Forrest Iron, Bulga Downs The Company has completed a project summary paper in relation to its Mt Forrest iron project (MDX 100%) at Bulga Downs in Western Australia. That paper follows. The key points that are made in the summary paper include the following: · It is estimated that there may be some 650-750 million tonnes of iron stone on the Company’s property (to 75 meters depth). · Five targets for direct shipping hematite ore have been identified at Mt Forrest in the Bulga Downs Project and drilling is planned for March with a view to delineating a resource. · Within the five target areas there may be 90 to 100 million tonnes of material. Based on the surface rock chip sampling within these, a grade in the range of 57% to 63% Fe may be achievable.* · Preliminary surface sampling has returned significant high grade hematite. · Phosphorous contents are very low averaging 0.04% throughout the iron formation system. ** · Exploration priority is to be given to direct shipping hematite ore with investigation of the significant potential for magnetite ore to be undertaken at some time in the future. * There has not yet been any drilling of these targets and accordingly there has been insufficient exploration to define a Mineral Resource. The target quantity and quality is conceptual in nature. Being conceptual in nature it is not certain that further exploration will result in the determination of a Mineral Resource. **Phosphorus levels below 0.07% are generally required for premium grade steel production and for blending with “high-phos” ores. They can attract a significant premium. 9/57 Labouchere Road SOUTH PERTH 6151 Western Australia Telephone 08 9474 3266 Facsimile 08 9474 3299 ABN 28 106 866 442 Page 2 Yours sincerely Gregory J Bromley Managing Director Contact : 0418 845 384 (mobile) The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Mr Gregory John Bromley who is a member of the Australasian Institute of Mining and Metallurgy, with more than 5 years experience in the field of activity being reported on. Mr Bromley is a full-time employee of the Company and has sufficient experience which is relevant to the style of mineralisation and type of deposit 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 Bromley consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. MINDAX LIMITED PROJECT SUMMARY FEB08 MT FORREST IRON – BULGA DOWNS Confidential Page 1 8/02/2008 Mindax’s Mt Forrest Iron Project (100% MDX) is a significant emerging iron deposit in the Central Yilgarn. Mindax’s exploration target in the area is direct shipping iron ore with an important low phosphorus content. Exploration target estimation has been calculated using the area of iron stone outcrop within the project areas and by applying a density factor of 3.5 to estimate tonnes per vertical metre (Table 4). Extrapolated to a nominal depth of 75metres, this suggests potential for 650 to 750 million tonnes of material. Within the five target areas there may be 90 to 100 million tonnes of material. Based on the surface rock chip sampling within these, a grade in the range of 57% to 63% Fe may be achievable. There has not yet been any drilling of these targets and accordingly there has been insufficient exploration to define a Mineral Resource. The target quantity and quality is conceptual in nature. Being conceptual in nature it is not certain that further exploration will result in the determination of a Mineral Resource. Mindax’s primary objective is to fast track the Mt Forrest iron project to a direct shipping hematite resource status by mid-2008. LOCATION: · Project comprises 7 granted mining leases · Cover 55 sq kilometres within the Richardson Ranges · Located in East Murchison, 110km south-east of Sandstone · 55km south of Geraldton-Leonora infrastructure corridor · Leonora/Menzies railheads ~150km, Koolyanobbing 240km GEOLOGY & MINERALOGY: · Iron formation is folded into north pointing arrow head and extends for 17km within prospect, the most significant ironstone mass along the belt. · The ironstone ridges give ~100m of relief above the topographic base level. · The Iron formation varies from 500 to 2000m in width and, · Multiple ironstone layers of 30 to 200m thickness make up the iron formation. · Outcrop mapping demonstrates ~2.8 sq km of magnetite, magnetite+hematite and hematite material with variable silica. · Systematic rock chip sampling indicates grades of 30 to 64% Fe with an overall average 40% Fe, 0.04%P and silica varying inversely with Fe · Airborne magnetics indicates further iron formation under cover PROGRAM: · Detailed mapping and sampling of 5 DSO targets (in progress) · Analysis of airborne magnetic data (in progress) · RC drilling of targets 5000m, first pass drill traverses to -60m (March) · Continuing mineralogical studies geological/assay data analysis · RC infill drilling (May) · JORC standard resource statement (June-July) MINDAX LIMITED PROJECT SUMMARY FEB08 MT FORREST IRON – BULGA DOWNS Confidential Page 2 8/02/2008 Table 1 Results of 153 Rock Chip Samples of BIF within MLs Minimum Maximum Mean Fe 25.170 63.430 40.007 SiO2 2.230 62.610 40.743 Al2O3 0.010 11.540 0.198 TiO2 0.010 0.140 0.044 CaO 0.010 0.100 0.023 Mn 0.000 0.040 0.019 P_XRF 0.005 0.374 0.038 S_XRF 0.001 0.073 0.011 MgO 0.010 0.290 0.036 K2O 0.001 0.013 0.003 LOI1000 0.060 6.360 1.607 Table 2 Key Characteristics of Samples >60% Fe Minimum Maximum Mean Fe 62.880 63.430 63.093 SiO2 2.230 8.310 4.607 P_XRF 0.024 0.061 0.041 Table 3 Bulga Downs Fe Target Characteristics Target Max Rockchip Fe% Length (m) Comment Fe1 63.43 2,600 Surface widths of 40 to 70m Fe2 62.88 1,250 Surface widths of 40 to 70m Fe3 62.97 1,600 Widths to 100m Fe4 57.23 600 Suface widths of 45 to 60m Fe5 n/a 1,500 Under cover, widths to 100m Table 4 Exploration Target Estimations Target Outcrop Area (Km2) SG Million tonnes per vertical metre Fe1 0.1210 3.5 0.42 Fe2 0.0912 0.32 Fe3 0.0792 0.28 Fe4 0.0304 0.11 Fe5 0.0998 0.35 0.4216 1.48 All BIF 2.8264 9.89 MINDAX LIMITED PROJECT SUMMARY FEB08 MT FORREST IRON – BULGA DOWNS Confidential Page 3 8/02/2008 Systematic mapping and sampling of iron formation has identified five key target positions for further investigation including RC drilling. This figure shows the distribution of mapped ironstone, sample locations and quality and target positions. This information is detailed in the tables attached MINDAX LIMITED PROJECT SUMMARY FEB08 MT FORREST IRON – BULGA DOWNS Confidential Page 4 8/02/2008 The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Mr Gregory John Bromley who is a member of the Australasian Institute of Mining and Metallurgy, with more than 5 years experience in the field of activity being reported on. Mr Bromley is a full-time employee of the Company and has sufficient experience which is relevant to the style of mineralisation and type of deposit 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 Bromley consents to the inclusion in the report of the matters based on his information in the form and context in which it appears
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