ASX / Media Release
16 October 2008
RC DRILLING CONTINUES TO INTERSECT HIGH GRADE URANIUM MINERALISATION IN TANZANIA
Western Metals Limited (ASX:WMT) is pleased to announce that RC drilling in Southern Tanzania has been completed for 2008. The results received are encouraging and have continued to return significant high grade uranium intercepts.
Mtonya - As of 15th September a total of 171 RC holes for 10,670m had been completed in Southern Tanzania from the 2008 drilling programme. Of these, 152 holes for 9,288m were drilled into prospects along the Mtonya Corridor, including the recently discovered Grandfather Prospect.
Results from this drilling continue to define and confirm tenor of mineralisation. New and previously unreported significant intercepts from the assay results received to date from 2008 RC drilling include:
-
MRC200 – 4 metres at 1,938 ppm U3O8 from 26 metres
-
MRC200 – 4 metres at 988 ppm U3O8 from 34 metres
-
MRC183 – 2 metres at 1,715 ppm U3O8 from 56 metres
-
MRC235 – 2 metres at 1,320 ppm U3O8 from 36 metres
-
MRC195 – 5 metres at 1,214 ppm U3O8 from 30 metres
-
MRC180 – 3 metres at 833 ppm U3O8 from 27 metres
-
MRC223 – 4 metres at 648 ppm U3O8 from 6 metres
-
MRC223 – 2 metres at 700 ppm U3O8 from 19 metres
-
MRC231 – 6 metres at 517 ppm U3O8 from 15 metres
Eland - Detailed mapping, ground geophysical and geochemical sampling surveys have further delineated the nature and extent of mineralisation at the Eland Prospect. Rock chip sampling of this hard rock prospect has returned significant uranium, tantalum and niobium values. Significant assay results include:
-
A7- 535 1,040 ppm U3O8, 2,740 ppm Nb, 530 ppm Ta
-
A7- 536 370 ppm U3O8, 6,480 ppm Nb, 950 ppm Ta
-
A7- 539 1,060 ppm U3O8, 4,640 ppm Nb, 690 ppm Ta
-
A7- 547 1,260 ppm U3O8, 5,450 ppm Nb, 870 ppm Ta
-
A7- 568 880 ppm U3O8, 2,890 ppm Nb, 620 ppm Ta
-
B0- 200 1,140 ppm U3O8, 4,960 ppm Nb, 860 ppm Ta
Field work including ground based geological mapping as well as geophysical and geochemical surveys continue. For further information, please see below or contact:
George Bauk
Managing Director
Western Metals
(08) 6380 3600
Paul Downie
Porter Novelli (Perth)
(08) 9386 1233
0414 947 129
Western Metals Limited
ABN 69 009 150 618
Unit 7, 100 Railway Road, Subiaco WA 6008 – PO Box 1674 Subiaco WA 6904
Tel: +61 8 6380 3600 Fax: +61 8 9382 8022 Em: [email protected] Web: www.westernmetals.com.au
ASX: WMT/WMTO
TANZANIA – Uranium
As of 15th September a total of 171 RC holes for 10,670m had been completed during the 2008 drilling programme in Southern Tanzania. This drilling programme is now complete.
The 2008 drill programme was designed to continue to evaluate prospects along the Mtonya Corridor, including the Grandfather Prospect, and to commence evaluation of regional prospects such as Foxy, Eland and Pedro. While most of the objectives of the 2008 drilling programme were achieved, access issues prevented drill evaluation of the Eland and Pedro Prospects. These and other prospects will be assessed at the start of the 2009 drill programme which is scheduled to commence during the second quarter of 2009.
Western Metals’ tenure and its major prospects are shown below with simplified Karoo geology in Figure 1.
Figure 1: Western Metals’ tenure in SW Tanzania showing location of major prospects.
Mtonya
The focus of the 2008 drilling programme was the continued evaluation of prospects along the Mtonya Corridor in particular Grandfather, Rufus, Henri and Para Extended.
A total of 152 RC holes were drilled for a total of 9,288m into prospects along the Mtonya Corridor.
Figure 2: Gamma Logging of a RC drill hole at Grandfather Prospect, August 2008.
Infill and extension drilling at known prospects such as Moysten and Henri have confirmed tenor and extended mineralisation. Drilling at the Grandfather Prospect has returned a number of significant intercepts. The majority of the assay results have now been received from this drilling with assays from seven holes remaining outstanding.
Of particular interest was hole MRC235, drilled in an area of relatively low surface radiometric response between the Tahbilk and Moysten Prospects, which returned 2m at 1,320 ppm U3O8 from 36 metres. Follow up of this new anomaly will be undertaken as part of the next programme.
New unreported significant intercepts from 2008 RC drilling results received to date include:
-
MRC200 – 4 metres at 1,938 ppm U3O8 from 26 metres
-
MRC200 – 4 metres at 988 ppm U3O8 from 34 metres
-
MRC183 – 2 metres at 1,715 ppm U3O8 from 56 metres
-
MRC235 – 2 metres at 1,320 ppm U3O8 from 36 metres
-
MRC195 – 5 metres at 1,214 ppm U3O8 from 30 metres
-
MRC180 – 3 metres at 833 ppm U U3O8 from 27 metres
-
MRC223 – 4 metres at 648 ppm U3O8 from 6 metres
-
MRC223 – 2 metres at 700 ppm U3O8 from 19 metres
-
MRC231 – 6 metres at 517 ppm U3O8 from 15 metres
-
MRC131 – 6 metres at 420 ppm U3O8 from 9 metres
-
MRC190 – 7 metres at 496 ppm U3O8 from 27 metres
-
MRC190 – 7 metres at 417 ppm U3O8 from 10 metres
-
MRC167 – 4 metres at 475 ppm U3O8 from 2 metres
-
MRC189 – 5 metres at 364 ppm U3O8 from 23 metres
Assay results for seven holes drilled into prospects along the Mtonya Corridor and 19 holes drilled into the Foxy prospect have not yet been received.
Results are presented in Table 1 below. Drill status as of 15th September is shown in Figure 3 where holes have been thematically mapped on maximum downhole U3O8 and presented on a uranium channel radiometric image.
Figure 3: Mtonya Corridor drilling status map as at 15th September 2008.
Eland
Detailed geological mapping as well as ground geophysical and geochemical surveys continued.
Figure 4 shows the results of the scintillometer surveys plotted on the results of the recent heli-borne spectrometric (June 2008) survey carried out at 500m line spacing. It shows a large zone approximately 1.5 x 1.0km of anomalous uranium. There is a thorium component along the SE margin of the uranium anomaly. The Eland and Kudu anomalies were not directly covered by the airborne survey. There are five moderate-good uranium anomalies that have yet to be located on the ground.
Figure 4: Ground and airborne radiometric data - showing relationship between data sets.
Detailed ground radiometric and spectrometric readings were completed at the discovery site at Eland prospect (Figure 5). In addition, traverses were made to the SW to locate anomalous areas indicated on the ‘informal’ total count heli-borne survey carried out in 2007. Grab samples were collected from hotspots as well as a range of type samples. Preliminary geological scout maps were also made of both the discovery area at Eland Hill and along traverses away from the hill (Figure 6).
Figure 5: Ground scintillometer survey results Eland prospect.
At Eland, the radiometric data shows a clear 300 cps total count (Geogammer) anomaly (150 x 30m in size) along the NE margin of the hill. The anomaly is located along the contact between equigranular syenite and a melange of syenitic rock and frosted felsic gneiss. The anomaly continues to the SE into a zone of syenitic rubble and soil cover.
Similar anomalies were located along the ridge of the hill that runs to the WSW. Individual anomalies have NW to N alignments (possibly indicating some original structural control). Again these anomalies seem to be concentrated along contacts between syenitic melange and frosted gneiss.
Reconnaissance traverses to the SW resulted in the discovery of several patches with uranium hotspots associated with nepheline syenite and frosted altered gneiss. Outcrop was generally scattered with boulder sub-crop.
Figure 6: Geology and extent of 300cps ground radiometric anomaly at Eland prospect.
A number of rock chip samples taken from the Eland environs returned anomalous uranium, tantalum and niobium values. Of particular interest is the fact that this style of mineralisation has similarities to other deposits located in Namibia and Malawi. Significant results include:
-
A7- 535 1,040 ppm U3O8, 2,740 ppm Nb, 530 ppm Ta
-
A7- 536 370 ppm U3O8, 6,480 ppm Nb, 950 ppm Ta
-
A7- 539 1,060 ppm U3O8, 4,640 ppm Nb, 690 ppm Ta
-
A7- 547 1,260 ppm U3O8, 5,450 ppm Nb, 870 ppm Ta
-
A7- 568 880 ppm U3O8, 2,890 ppm Nb, 620 ppm Ta
-
B0- 200 1,140 ppm U3O8, 4,960 ppm Nb, 860 ppm Ta
Full results are presented below in Table 2.
Future Programmes
Field work continues with crews focused on evaluation of regional targets in the Ruhuhu and Ruvuma Project areas. Work includes ground based geological mapping, trenching and sampling, ground geophysical and geochemical surveys.
In addition, a preliminary assessment of the coal potential of Western Metals’ tenure in Tanzania has been undertaken and recommendations and potential targets are the subject of ongoing investigations.
Table 1: Drill Results Significant Intersections >100ppm U3O8
HOLE ID
Prospect
Northing
(metres)
Easting
(metres)
FROM
(metres)
WIDTH
(metres)
Intersection
U3O8 ppm
MRC131
Henri
228969
8832645
9
6
420
MRC145
Grandfather
231774
8837498
52
1
110
MRC149
Grandfather
231991
8837678
25
2
160
MRC149
Grandfather
231991
8837678
34
1
110
MRC150
Grandfather
232042
8837733
25
1
200
MRC150
Grandfather
232042
8837733
31
1
550
MRC164
Grandfather
231481
8837338
37
1
440
MRC165
Grandfather
231369
8837314
47
3
537
MRC167
Grandfather
231425
8837218
2
4
475
MRC167
Grandfather
231425
8837218
15
1
120
MRC167
Grandfather
231425
8837218
24
1
270
MRC175
Grandfather
231073
8837042
14
3
243
MRC180
Grandfather
232804
8837871
27
3
833
MRC183
Grandfather
232666
8837882
11
1
110
MRC183
Grandfather
232666
8837882
56
2
1715
MRC184
Grandfather
232525
8837926
16
2
150
MRC186
Grandfather
232678
8838021
31
2
155
MRC189
Grandfather
231804
8837427
9
4
180
MRC189
Grandfather
231804
8837427
23
5
364
MRC190
Grandfather
231808
8837394
10
7
417
MRC190
Grandfather
231808
8837394
27
7
496
MRC191
Grandfather
231837
8837387
30
3
290
MRC192
Grandfather
231869
8837431
17
2
370
MRC194
Grandfather
231887
8837472
10
2
255
MRC194
Grandfather
231887
8837472
17
7
231
MRC195
Grandfather
231928
8837449
25
1
120
MRC195
Grandfather
231928
8837449
30
5
1214
MRC196
Grandfather
231946
8837492
17
1
240
MRC196
Grandfather
231946
8837492
26
2
250
MRC200
Grandfather
232013
8837643
26
4
1938
MRC200
Grandfather
232013
8837643
34
4
988
MRC201
Grandfather
231965
8837721
10
1
190
MRC208
Grandfather
231436
8837319
51
1
110
MRC211
Grandfather
231549
8837376
33
4
160
MRC211
Grandfather
231549
8837376
40
1
170
MRC215
Grandfather
231376
8837198
11
1
190
MRC215
Grandfather
231376
8837198
94
8
103
MRC220
Tahbilk
228976
8833510
2
3
163
MRC221
Tahbilk
228891
8833512
0
1
160
MRC221
Tahbilk
228891
8833512
4
2
155
MRC221
Tahbilk
228891
8833512
21
1
240
MRC222
Henri
229159
8833062
39
1
120
MRC223
Tahbilk
228868
8833414
6
4
648
MRC223
Tahbilk
228868
8833414
19
2
700
MRC230
Para
229059
8831946
18
1
170
MRC230
Para
229059
8831946
43
1
110
MRC231
Para
228996
8832062
6
1
120
MRC231
Para
228996
8832062
15
6
517
MRC231
Para
228996
8832062
51
3
137
MRC235
Corridor
230305
8834496
36
2
1320
MRC239
Moysten
230886
8834828
18
1
170
MRC239
Moysten
230886
8834828
23
1
170
MRC246
Moysten
230490
8836010
37
1
180
MRC247
Moysten
230762
8835660
52
1
140
Notes on Table: All drilling vertical. Samples have been collected by riffle splitting dry intervals and representative tube sampling of wet intervals. Samples have been analysed by ICP using laboratory method ME-ICP61s by ALS Chemex laboratory Perth, Australia. Samples greater that 10,000 ppm U3O8 have been analysed by XRF using method ME-XRF10s. Certified reference standards and blanks have been included by Western Metals in addition to laboratory control standards. All results are in U3O8 ppm with analysis method accuracy quoted at + 10 ppm U3O8. Co-ordinates are UTM Zone 37S, WGS84 and have been measured by hand held GPS. All intersection lengths are estimated to be true width of mineralisation based on local geological observation.
Table 2: Rock Chip Samples Eland Prospect – Most Anomalous Results
SAMPLE
ID
Longitude
decimal degree
Latitude
decimal degree
U308ppm
Nb ppm
Ta ppm
Description
A7-535
36.13309
-11.4595
1040
2740
530
N-syenite composed of_ zircon_ Feld_ Na and pyrochlore
A7-536
36.13309
-11.4595
370
6480
950
N-syenite composed of_ zircon_ Feld_ Na and pyrochlore
A7-539
36.13253
-11.45971
1060
4640
690
Feldspathic gneiss (rock boulder) composed of feld_ qtz_ zircon_ mica_ uranium_ pyrochlore and biotite
A7-547
36.13478
-11.45945
1260
5450
870
Feldspathic gneiss composed of feld_ qtz_ zircon_ mica and biotite
A7-568
36.13388
-11.45875
880
2890
620
Feldspathic gneiss composed of feld_ qtz_ mica _ pyrochlore and biotite
B0-200
36.1338
-11.4632
1140
4960
860
red zeolite?_ musc_ olive mineral alt along foliation_ both pet & assay_ >1000 cps GF_ eU 200-440 ppm
Notes on Table: A total of 74 samples have been taken in the Eland area of which 58 have been analysed for U, Ta and Nb.. Not all results have been reported. Of the 74 samples collected and analysed for U3O8, 38 returned values greater than 100 ppm U3O8; of the 58 sample assayed for Nb and Ta, 55 returned values of over 100 ppm Nb and 38 returned values of over 50 ppm Ta. All samples represent grab samples. Samples were analysed by ALS CHEMEX Perth and Brisbane Australia. U3O8 was determined by 4 acid digest and ICP finish using method ME-ICP61 (detection limit 10ppm). Nb and Ta were initially determined by 4 acid digest with MS finish using method MEMS61s, all over range samples were submitted for fusion and XRF determination by MXRF05 (detection limits for Nb = 2 ppm and for Ta = 10 ppm). Samples were located using a Garmin GPS. Co-ordinates are WGS 84.
BACKGROUND TO WESTERN METALS
An emerging resource company developing a portfolio of world class Uranium and Base Metals Projects. The company has immediate plans, and the capability, to underpin value and accelerate growth through acquisition and exploration success.
COMPANY PROJECTS
URANIUM
A joint venture with Uranium Resources plc to explore in Tanzania. Western Metals has a 60% interest in the Mtonya Project, a 42.5% interest in an additional 10,413 km2 of tenements and a further 211 km2 under a 45% joint venture. The total licence area under Western Metals’ management is 14,062 km2.
BASE METALS
An agreement with BHP Billiton to explore for base metals in the West Georgetown region of northern Queensland. Western Metals has 100% ownership with BHPB retaining a claw back provision over one of the tenements (EL14722).
An option to purchase 100% interest in the Snowbird Nickel Project in the Northwest Territories of Canada by paying a non-refundable US$250,000 cash payment following a due diligence period before 31 July 2008, drilling one exploration drill hole, and paying a further US$1,250,000 cash payment before 31 July 2009. BHP Billiton retains a 60% back-in right.
WMT has purchased from BHP Billiton a 100% interest in all exploration data relating to the Mid-Continent Nickel Project in Minnesota including all regional geophysical data, drill hole and analytical data.
The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled and/or assessed by Glen Edwards who is a Member of The Australasian Institute of Mining and Metallurgy. Mr. Edwards is employed by Western Metals Ltd. Mr. Edwards has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration 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. Edwards consents to the inclusion in the report of the matters based on his assessment of the available information in the form and context in which it appears.
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