ASX CODE: SFR SFRCA OFFICE AT: CORRESPONDENCE: 1 VENTNOR AVENUE T: +61 8 9226 5833 PO BOX 1495 WEST PERTH 6005 F: +61 8 9226 5844 WEST PERTH 6872 WESTERN AUSTRALIA E: [email protected] WESTERN AUSTRALIA www.sandfire.com.au ABN 55 105 154 185 HIGH GRADE INTERCEPT & NEW MINERALISED ZONE AT DOOLGUNNA HIGHLIGHTS • High grade intercept of 14m @ 10.4g/t gold from 14m at East Shed Well. • New gold zone at Cow Hole Bore; best result of 4m @ 7.43 g/t from 20m. . SANDFIRE RESOURCES NL INTERIM DRILLING RESULTS FROM DOOLGUNNA ABN 55 105 154 185 Page 2 DOOLGUNNA (Sandfire 100%) As announced on 10th August, the Company is undertaking a drilling program designed to test some of the new geochemical targets and to advance the understanding of the controls on mineralisation at the existing prospects. The program is being done in two parts to accommodate drilling crew schedules. The first part of the program mainly involved testing the new geochemical anomaly east of Cow Hole Bore with RAB drilling. A total of eight air core holes were also drilled at Cow Hole Bore, East Shed Well and Old Highway (fig.1). The second part and the bulk of the program will be completed by the end of August. The results from the RAB drilling at Cow Hole Bore are particularly promising as a new zone of mineralisation has been located (fig.2). The best results, which were from holes DGRB355 and DGRB372, of 4m @ 5.5g/t and 4m @ 7.4g/t respectively are separated by 100m and lie sub-parallel to the basalt contact. Weakly anomalous gold values were returned from several adjacent holes. Additional RAB drilling has been completed in this area during the second part of the program. The best air core intersection was from DGAC006, which was a vertical hole drilled at East Shed Well. This hole returned 14m @ 10.4 g/t from 14m (fig.3). This high grade result compares favourably with the previous best result of 48m @ 5.9g/t from Old Highway and, based on current knowledge of the two prospects, the mineralisation is similar. Results from the program include: Hole ID From Interval Gold Grade Comment Cow Hole Bore DGRB355 32m 4m 5.50 736100E DGRB372 20m 4m 7.43 736200E East Shed Well DGAC003 44m 4m 3.33 Anomalous 0 to 64m EOH DGAC004 24m 2m 3.23 DGAC006 14m 14m 10.40 Anomalous 0 to 62m EOH Old Highway DGAC008 44m 2m 3.49 Anomalous 0 to 62m EOH 717259mE 7161358mN SANDFIRE RESOURCES NL INTERIM DRILLING RESULTS FROM DOOLGUNNA ABN 55 105 154 185 Page 3 Assay results from the second part of the program will be reported during September. G Steemson Director 30th August 2006 The information in this report that relates to Exploration Results is based on information compiled by Greg Steemson who is a Fellow of the Australasian Institute of Mining and Metallurgy. Greg Steemson 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. Greg Steemson consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. Corporate Information Directors and Executive Management P S Thomas: Non-Exec Chairman G H Steemson: Managing Director G Hutton: Executive Director M Smartt: Company Secretary Issued Capital As at the date of this report the issued capital of the Company is comprised of: • 62,098,626 fp shares • 12,425,652 contributing shares with $0.15 to pay, no call before 3/3/07 • 2.6m 31/12/08 $0.25 opts • 0.925m 30/9/08 $0.20 opts • 6.9m 30/6/07 $0.60 opts Substantial Shareholders Faustus Nominees Pty Ltd 9.12% Resource Development Company 5.21% Shareholder Enquiries Matters related to shares held, change of address, tax file numbers and the like should be directed to the Company’s Registry: Security Transfer Registrars Pty Ltd Phone – 08 9315 2333 Investors interested in receiving copies of ASX announcements can register such interest on the Company’s website www.sandfire.com.au. Thaduna Copper Mine Road No 6 B No 2 B John B Cow Hole B Red B Peak Hill B Shed W Doolgunna 7160000 mN 7180000 mN 740000 mE 740000 mE 710000 mE 710000 mE 7180000 mN 7160000 mN E52/1697 E52/1698 E52/1699 E52/1715 Old Highway Watershed South East Shed Well Red Bore Cow Hole Bore Great Northern Highway 10 kms N Newman Meekatharra Doolgunna Project Prospect Locations E52/1699 Red Bore Sandfire Tenement Prospect Location Soil Geochemistry Target Sealed Road Dirt Road Legend West Gale Bore North Padbury Watershed SAND FI R E RESOURCES Fig 1 Doolgunna Perth Aircore Drilling Results RAB Drilling Results - New Zone of Mineralisation N Doolgunna Project Cow Hole Bore Prospect showing Au ppb in soils & Au Mineralisation in RAB Drilling 200m Fig 2 SAN D FI R E RESOURCES Rab drill hole-assays received Anomalous Au in soils Rab drill hole-assays awaited Significant Au mineralisation 736200 mE 736200 mE 736400 mE 736400 mE 736000 mE 7168800 mN 7169000 mN 736000 mE 7169200 mN DGRB351 DGRB355 DGRB357 DGRB372 DGRB373 DGRB374 DGRB375 4 18 1 -1 -1 1 -1 1 -1 1 17 8 433 433 209 12 2 2 1 1 1 6 8 33 2 5 4 3 2 -1 -1 -1 -1 2 1 1 2 1 1 Au ppb in soils 4m(5.5g/t) 4m(7.43g/t) Interpreted Mineralised Zone Proposed RAB Drill Traverse DGRB051 DGRB050 DGRB052 DGAC005 DGAC003 DGAC004 DGAC006 DGRB094 DGRB219 DGRB096 DGRB100 DGRB136 2(10g/t) & 18(0.38g/t) inc 2(2.0) 18(1.19g/t) inc 4(3.00) inc 2(4.41) 12(0.14g/t) 21(0.8g/t) inc 4(2.01) 20(0.63g/t) inc 2(2.57) 2(0.25g/t) 6(1.22g/t) DGRC007 2(1.94) 70-72m DGRC006 12(0.66) 32-44m inc 2(1.62) 38-40m 94m 100m 130m 130m DGRC009 2(0.62) 16-18m 8(0.51) 38-46m 2(1.33) 58-60m DGRC008 10(1.60) 34-44m 24(0.6) 64-88m inc 4(1.85) 64-68m 726600 mE 726400 mE 726400 mE 726600 mE 7163800 mN 7164000 mN 726000 mE 726200 mE 726200 mE 7164000 mN 7163800 mN 726000 mE Mineralized corridor ~450m N Doolgunna Project East Shed Well RAB, Aircore & RC Drilling showing Mineralized Corridor 200m SAND FI R E RESOURCES Rab drill hole RC drill hole & trace Aircore drill hole Significant Au mineralisation Fig 3 34(1.08g/t) inc 10(2.17) inc 2(6.46) 4(3.33g/t) 2(3.23g/t) 14(10.40g/t)
SFR Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
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