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http://aspect.comsec.com.au/asxdata/20070306/pdf/00700374.pdf

TERRAMIN DRILL RESULTS TO INCREASE
SIZE OF ALGERIAN ZINC PROJECT
Terramin Australia Limited (ASX: TZN) expects to significantly increase the
size and grade of its Tala Hamza zinc deposit, in northern Algeria, beyond
the current 30 million tonne deposit following the latest drilling results.
Terramin Executive Chairman, Dr Kevin Moriarty, announced today that high
grade mineralisation was being found at depths beyond the scope of the
historical drilling undertaken by the Algerian Government’s exploration arm,
ORGM, in the period 1988 to 1994.
The current drilling program aims to verify the ORGM results for the
purposes of estimating a JORC resource for the Tala Hamza deposit.
“Drillhole TH006 was located one metre away from ORGM Hole OA100
which had stopped in mineralisation. Terramin was able to continue drilling
well past the limits of the original equipment using a powerful imported rig,”
Dr Moriarty said.
“TH006 has already intersected a further 35 metres of high grade
mineralisation and is currently drilling ahead at 565 metres.”
“ORGM Hole OA100 intersected 119 metres at 5.8% zinc plus lead, including
51 metres at 10% zinc plus lead in which section it finished drilling. Hole
TH006 has now extended this higher-grade intersection to at least 85
metres.
Dr Moriarty, who is in Algeria for the Annual General Meeting of its joint
venture subsidiary Western Mediterranean Zinc SpA, said he “was very
pleased that current drilling is confirming the expectations of a larger zinc
deposit with higher grades.”
“The latest drilling is expected to significantly increase the size and grade of
the 30 million tonne Tala Hamza zinc deposit which is part of the Oued
Amizour zinc project,” he said.
Terramin has recently completed hole TH004, twinning previous hole ORGM
OA068, and this has also shown the mineralisation extends significantly
deeper, in this case by approximately 40 metres. Assaying will commence
shortly on samples over the mineralised interval from 332 to 502 metres
being 170 metres.
The introduction of the new rig has greatly improved core recovery in the
mineralised sections, because of wider diameter core barrels. This is
expected to provide a significantly higher level of certainty into resource
calculations.
Assaying is advancing, with results of another hole TH003 imminent.
Metallurgical work is also progressing, with some float testing underway and
preliminary results should be available in April.