This should be of interest to CXM holders:September 09, 2009...

This should be of interest to CXM holders:

September 09, 2009 12:00pm
..LINCOLN Minerals is in "preliminary" discussions with three potential Chinese joint venture partners for its Gum Flat project, just outside Port Lincoln.

The company informed shareholders of the development as part of its update on iron ore projects in SA and Indonesia.

Interest in Lincoln Minerals projects has picked up in recent months with talks with one of the partners now ongoing for six months, managing director Dr John Parker said.

``We will be seeking a definite response in the next few months. We are in the process of send through some samples for independent testing by one of the companies,'' Dr Parker said.

Lincoln Minerals has signed confidentiality agreements with the potential partners and would not reveal names or other details.

``All I can say is that those discussions are preliminary. But we are quietly confident that something will come out of it in the next few months,'' he added.

The explorer has a 55.2 million tonne inferred iron ore resource at its Gum Flat project, and is targeting a total of 125 to 200 million tonnes of ore.

Lincoln has already joined forces with Indian company Mineral Enterprises, which is earning up to a 40 per cent stake in the Gum Flat project by contributing $2.5 million.

``The Indian JV has given us good ongoing support, but additional support won't go astray,'' Dr Parker said.

The company has called for tenders for a drilling program at the site, and says it is well-funded to cover the expenses.

If talks materialise, it would be the first Chinese investment in Lincoln Minerals' projects.


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