ann further high grade at wiluna

ASX/MEDIA ANNOUNCEMENT 10th March 2008
DRILLING CONTINUES TO DELIVER HIGH GRADE GOLD HITS AT WILUNA
Apex Minerals NL (ASX: AXM) is pleased to announce further encouraging results from its resource infill and exploration drilling program at its 100% owned Wiluna gold mine in Western Australia.
Drilling since January at Wiluna has largely focussed on infilling the Inferred Resource component of its recently announced Mineral Resource in order to upgrade it to the higher confidence Indicated Resource category. Exploration drilling has also intersected new zones of mineralisation close to these resources.
Apex Managing Director, Mr Mark Ashley, said “Results from our drill program at Wiluna continues to provide us with significant confidence in achieving our initial objective of having 5 years of reserves by the time we recommence production at Wiluna - the end of this calendar year.”
INFILL DRILLING:
Henry5 North
• 21.0m @ 10.2g/t gold (est. 13.5m true width) from 342.0m in hole CADH864.
• 14.7m @ 7.2g/t gold (est. 7.3m true width) from 403.0m in hole CADH868.
• 8.9m @ 19.8g/t gold (est. 6.2m true width) from 282.0m in hole WDH1193A.
• 6.7m @ 8.9g/t gold (est. 4.7m true width) from 260.4m in hole WDH1202.
Burgundy
• 29.5m @ 9.1g/t gold (est. 14.8m true width) from 197.6m in hole CADH829.
• 25.8m @ 8.6g/t gold (est. 12.9m true width) from 256.3m in hole CADH851.
• 24.6m @ 6.8g/t gold (est. 12.3m true width) from 227.3m in hole CADH833.
Calais
• 3.3m @ 30.8g/t gold (est. 2.8m true width) from 70.5m in hole CADH610A.
• 4.0m @ 9.6g/t gold (est. 3.5m true width) from 97.0m in hole CADH851.
Henry5
• 10.3m @ 5.1g/t gold (est. 10.2m true width) from 62.4m in hole CADH883.
OTHER NEW ZONES:
• 6.2m @ 11.6g/t gold (est. 5.3m true width) from 94m in hole WDH1199A, in a previously untested part of the Bulletin Shear.
• 0.5m @ 75.2g/t gold (est. 0.4m true width) from 172.2m in hole CADH845A, in a newly discovered quartz reef adjacent to the Burgundy zone.
Mark Ashley
Managing Director
Contact: Office +61 (0)8 6311 5555 Mobile +61 (0)411470104
2
Apex’s gold strategy
Apex’s Wiluna strategy comprises feeding the Wiluna gold processing plant (presently under care and maintenance) with high grade ore from Wiluna, Wilsons and Youanmi. This strategy (first announced mid 2007) will fully optimise the efficiencies available to the Company from the Wiluna plant by increasing tonnages of high grade ore feed. Apex owns 100% of the three mines and the Wiluna processing facility, having successfully completed a comprehensive regional consolidation program during 2007.
In addition to its extensive drilling program, Apex has undertaken substantial work on mine planning, metallurgy and plant optimisation. The results of this study are confirming a robust project. A detailed Project Implementation Plan is scheduled for completion in April/May. Project highlights are as follows:
• Targeting 200,000 – 220,000 ounces per annum from the treatment of 1mtpa through the existing Wiluna treatment facility from three high grade mines:
o Wiluna underground from late 2008
o Wilsons underground from late 2008
o Youanmi underground from mid 2009
• Low capital requirements: pre-production capital expected to be around A$55m
o Established plant (improvements planned)
o Existing underground development at Wiluna and Youanmi (dewatering required at Youanmi) and decline planned from the base of existing open pits at Wilsons (mineralization from surface)
o Established infrastructure (gas power station, offices & camp)
• High margins: operating costs targeted at less than A$550/oz based on cutoff grades reflecting the current gold price and based on actual mine performance immediately prior to being placed on care and maintenance – August 2007
• High financial returns – less than 1 year payback
• Targeting an initial 5 year life but considerable potential to extend life and/or expand production.
• Robust resource
o High grades (~7g/t gold at Wiluna and Wilsons) over good mining widths (~5m)
o Predictable grade & continuity
• Proven processing performance
Competent Person’s statement
The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Mr. Andrew Thompson who is an employee of the company. etc.
Bit by bit Loul and Davo et al. A