Ann: Significant hematite dscovery confirmed at M, page-6

re: Ann: Significant hematite dscovery confir... Giralia likes the look of McPhee

Kate Haycock
Friday, 16 October 2009

GIRALIA Resources is set to prove its McPhee haematite project in the Pilbara is an important iron ore discovery after announcing promising first pass drilling results.

The prospect, 220km southeast of Port Hedland and 50km north of BC Iron and Fortescue Metals Group’s Bonnie Creek channel iron deposits, has turned up thick sections of “strong haematite” mineralisation.

These included 90m at 58.6% iron, 1.7% alumina from surface to the end of hole, and 42m at 60.1% iron, 2.2% alumina from 20m.

The preliminary drilling program of 47 widely spaced reverse circulation drillholes returned some of the best results Giralia has seen to date, according to chairman Graham Riley.

He said the intersections could well lead to direct shipping ore resources within potential trucking distance of Port Hedland.

The company has a wide range of projects in the Pilbara and the Mid West, including the Beebyn haematite project near Sinosteel’s Weld Range and the Western Creek project near BHP’s Silver Knight deposit.

The company also has a strong cash position with $70 million in the bank.