Venture announced 5 weeks ago that it had reviewed historic data of the Renison West Project in Tassie and identified 22km of magnetic skarn prospective for magnetite iron ore deposits, with previous drilling results including 54.5m @ 34.8% Fe.
They are currently undertaking a metallurgical study of the iron ore and a desk top study on the development potential, as well as re-assaying 64 diamond holes not previously tested for iron ore.
Its been +5 weeks since the announcement, so we should get an update shortly. The expected positive results should see strong share price appreciation given the heat in the iron ore market at present. Given the potential strike lenghts and widths of mineralisation, we could be looking at a very sizable project here.
Market cap is only $18m at present, despite three highly prospective projects including this one (others being Churchill Dam Iron Oxide Copper Gold Uranium Project near Olympic Dam in SA and West Maitland Uranium Project in WA).
Good time to get set with plenty of news expected over the next few months.
Announcement on 5 September:
"Australian-based mineral exploration company Venture Minerals Limited has completed a review of the Renison West Project (North West Tasmania) and believes there is potential for a significant magnetite deposit.
The company has engaged the services of ProMet Engineers Pty Ltd (Iron Ore Processing Specialists) to initially conduct a comprehensive metallurgical analysis followed by a desktop study to assess the potential development of the Renison West Project.
As outlined in the company’s prospectus the Renison West Project, located 25kms SE of the Savage River Magnetite Mine, contains multiple skarns prospective for tin, tungsten, copper and magnetite.
Recent investigations by Venture have identified historic drilling that contains magnetite rich intersections containing significant iron (“Fe”) including:
* 35.1m @ 35.8% Fe * 30.5m @ 40.5% Fe * 54.5m @ 34.8% Fe incl. 18.0m @ 43.2% Fe
The Company has completed a first pass metallurgical analysis of the magnetite zones, the results of which produced a magnetic concentrate assaying above 68% Fe. The concentrate was described by ProMet Engineers as “a high quality concentrate product”.
To date only 4 kilometres of the 22 kilometres of magnetic skarns currently identified in the company’s tenure has been drill tested.
The Company believes the location of the Renison West Project is a major advantage with magnetite rich mineralisation situated:
* 2km from a major hydro-electric power transmission line * 2km from a sealed road * 17km from a rail link to the port of Burnie (north coast of Tasmania) * 4km from a major water supply
Strategy Going Forward
* ProMet Engineers has been commissioned by Venture to do further testwork to determine optimum grind establishment, bond work index and coarse liberation characteristics. * The company has also contracted two Drill Rigs with an initial campaign of up to 10,000 metres of Diamond Core and Reverse Circulation Drilling. The first drill rig is due to commence in early October. * Fugro Airborne Surveys Pty Ltd has been engaged to conduct a detailed airborne magnetic survey in the coming months. This will provide further information on the magnetite tonnage potential of the project. * A total of 64 historic diamond core holes previously not analysed for Iron will be re-cut and submitted for Fe analysis.
Venture Minerals is very encouraged by the results received to date but further comprehensive testwork in-conjunction with ProMet Engineers will deliver a better understanding on the potential of the project in terms of likely capital costs, operating costs and size of the operation."
VMS Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
(20min delay)