nice report about rad

NOTHER IRON ORE EXPLORER WITH PROSPECTS

Sydney - Tuesday - February 1: (RWE Aust Business News)
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OVERVIEW
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Iron ore explorers have been flourishing like mushrooms in a dark
environment.
But you can't ignore any of them because they might be another
junior producer down the track.
One of the recent prospects to emerge is RADAR IRON LTD (ASX:RAD)
which joined the ASX list in late December after a successful spin off of
Radar Iron by Transit Holdings Ltd in December, which raised $6.8
million.
Yesterday the company laid its potential on the line, announcing
results of a geophysical review of the aero-magnetic data covering its
Johnston Range project in Western Australia.
A global target exploration potential for iron mineralisation is
estimated at 5.83 billion tonnes at 20-65pc (including near-surface
potentially enriched mineralisation of 493 million tonnes at 40-65pc)
A magnetite (or primary BIF) target exploration potential of 5.34
billion tonnes at 20-45pc has been estimated.
Managing director Jonathan Lea said it confirms the huge
potential of the Johnston Range project to host significant magnetite
mineralisation.
"Coupled with recent drilling results at the Die Hardy project,
Radar clearly has a number of significant magnetite targets to drill test
in the coming year," Mr Lea said.
These results will help Radar target its exploration. Its
objective is to define a maiden magnetite resource by the end of 2011.
Surface sampling, limited magnetite targeted drilling along
with preliminary metallurgical assessment to date in the Johnston Range
area have provided encouragement that the magnetite mineralisation can be
treated to produce a commercially viable concentrate.
The estimate of potential resource of this size adds to the
belief that Radar will be able to define significant magnetite resources
in addition to hematite mineralisation.
Work in coming months will focus on the hematite potential of the
tenements and substantial drilling of magnetite targets is not planned
before the second half of 2011.
Meanwhile the first drilling result tend to confirm its
potential.
The first batch of RC drill results and preliminary metallurgical
test work were received from the company's Johnson Range and Die Hardy
projects, situated in the central Yilgarn iron ore province, north of
Southern Cross.
Initial exploration work in late 2010 was focused on magnetite
drilling at both Johnston Range (including the Beven, Clutch, Bolger and
Olger prospects) and Die Hardy.
RC drilling at the Lara prospect (part of the Die Hardy project),
which consists of a 3.4 kilometre x 200-300m wide ridge, returned broad
widths grading 25-30pc magnetite.
Davis Tube Recovery (DTR) tests also returned very encouraging
iron head grades up to 70.3pc Fe and mass recoveries to 48pc.
RM Research considers that this broad spaced drill program at Die
Hardy confirms the potential for a magnetite resource in excess of 400Mt
with favourable metallurgical characteristics.
At Beven RC drilling on 400m line spacing returned encouraging
widths from 16-56m with average head grades 22-32pc Fe. The eastern
section returned broader widths of in excess of 50 metres downhole with
DTR tests averaging 70pc Fe and mass recovery 38pc.
Based on an apparent strike of 1.2 kms, Beven appears to have
potential for well in excess of 50Mt.
At the Clutch prospect, while two RC drill holes failed to reach
target depth due to water ingress, encouraging grades of 27-30pc Fe
(magnetite-rich BIF) over widths of up to 40m were returned.
DTR test work will be completed later in 2011 with the prospect
demonstrating potential for both magnetite and hematite mineralisation
over several kilometres.
Drilling at Bolger and Olger returned modest Fe grades with
generally disappointing DTR results. No further activity is planned there
in the near term.
The YIOP contains over 250Mt of hematite and billions of tonnes
of magnetite JORC Resources with significant ongoing mining and
exploration activity in the area including at Lake Giles (Macarthur
Minerals Ltd, >1Bt resource), Mt Forrest (Mindax Resources Ltd, >2.5Bt
conceptual target), Windarling, Jackson and Deception (Cliffs Natural
Resources, >60Mt Reserves) and Cashmere Downs (Cashmere Iron, 881Mt
Inferred Resources).
The project area has excellent infrastructure advantages over
peers in the Pilbara, Mid-West and Eyre Peninsula with open access rail
130 kms to the south and port solutions via Kwinana (planned 15-20Mtpa
upgraded being considered) and Esperance (currently exporting >8Mtpa of
iron ore).
New developments coming on line in the district suggest upgrades
to rail infrastructure are likely in the medium term.
RC drilling is due to commence in February and will target key
hematite targets with a view to outlining a JORC resource by mid-year.
Further magnetite drilling, following the receipt of geophysical
and field mapping reports, is likely to re-commence mid 2011.

SHARE PRICE MOVEMENTS
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Shares of Radar Iron yesterday edged up 2c to 26c. Rolling high
for the year is 31c and low 20c. The company has 36.6 million shares on
issue with a market cap of $9.5 million.
The company said the results of its initial drill program
targeting magnetite in its projects north of Southern Cross in the
central Yilgarn region.
Overall assay results averaged in the 28-30pc Fe range and DTR
results indicate that the magnetite rich banded ironstone formation at
Lara and Beven can be beneficiated into high-grade concentrates with low
levels of SiO2, Al2O3, P and S.
The program was undertaken in November/December with 1,388 metres
of RC drilling completed.
Both assaying and initial DTR test work has been completed.
Drilling was aimed at establishing the depth continuity of the
magnetite mineralisation exposed at surface and to provide initial
samples for assaying and metallurgical test work to assist in the
prioritising of magnetite drill targets in 2011.

BACKGROUND
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Radar Iron's key assets are iron ore rights to tenements in the
highly prospective central Yilgarn region of Western Australia.
Limited previous drilling had been undertaken and high potential
exists for iron ore discovery as indicated by recent geophysical studies
and field review.
The new company plans to rapidly assess both the hematite and
magnetite potential with initial magnetite drilling completed in late
2010 and drill testing of hematite mineralisation scheduled for this
month.