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Thanks Miningnews.net

Promising Prominent Hill results

Rebecca Keenan


Friday, August 13, 2004
JOINT venture partners Minotaur Resources and Oxiana have reported further promising hits from the Prominent Hill copper gold project in South Australia as they works towards a resource estimation expected later this month.

Drill results from seven RC holes returned best intersections including 47m grading 1.21% copper and 0.6 grams per tonne gold from 489m, 107m at 1.61% copper and 0.51gpt gold from 437m and 42m at 2.82% copper and 0.38gpt gold from 273m.

Minotaur said the results confirm the consistent nature of the brecciated, iron rich package in which the mineralisation occurs.

Exploration manager Tony Belperio said these results would be included in the resource estimation as would further results expected next week.

While Belperio wouldn't comment on the size of the resources, some analysts have compared it to Xstrata's Ernest Henry copper deposit in Queensland, containing 100-150 million tonnes grading around 1% copper and 0.5 grams per tonne gold.

The partners are aiming to complete a bankable feasibility study at the project by mid 2006.

Oxiana is earning a 65% stake in the project by funding $34 million for resource definition and mine feasibility. It has already invested $3.5 million to complete stage one of three stages of the joint venture deal.

Following the resource estimation computer generated scoping studies will be undertaken.

Shares in Minotaur were up 3.6% at $1.43 in late morning trade on the ASX, while Oxiana shares shed 1.3% to 77c.