29th May 2006Manager of Company AnnouncementsAustralian Stock...

29th May 2006
Manager of Company Announcements
Australian Stock Exchange Limited
Level 6, 20 Bridge Street
SYDNEY NSW 2000
By E-Lodgement
Ruighoek Open Cut Feasibility Drilling
The Company is pleased to announce the continued success of the diamond drilling programme at the Ruighoek Chrome Project. Consequently, the company believes that the ongoing open cut feasibility remains on track for a positive conclusion.
The consistency of the results to date has allowed the company’s consultants to now reduce the number of the remaining diamond drill holes to the absolute minimum, with a more powerful percussion rig now contracted to complete the infill of the required data to upgrade the present Indicated Resource to a Measured Resource.
The drilling continues to confirm the presence of the chrome mineralisation in the area between the #10 and #12 shafts amenable to mining by way of open cut. The intersection by 3 holes of additional chrome mineralisation in the form of the LG6A reef, which occurs stratigraphically above the LG6 reef, provides additional resource for the feasibility and with the potential to significantly reduce the stripping ratio of an open cut mining operation.
Hole Number
Depth to Top of LG6 Reef
LG6 Reef Width
Depth to Top of LG6A Reef
LG6A Reef Width
Depth of Weathering
Final Depth
RH31
29.31
0.79
13.40
0.37
13.80
33.45
RH32
28.95
0.75
11.44
0.39
12.10
33.50
RH33
36.60
0.61
0.00
17.30
33.00
RH35
26.22
0.37
23.69
0.49
2.84
27.25
RH36
23.39
0.54
0.00
10.00
26.65
RH40
17.50
1.30
0.00
22.20
RH44
16.14
0.83
0.00
8.20
19.30
Geotechnical logging of the core drilled to date is now underway. Once the logging is completed, the intersections of reef will be split and sent for analysis.
Suite B, 150 Hay Street, Subiaco, Western Australia 6008
Phone: (618) 9388 8430 Facsimile: (618) 9388 8450
CCI Managing Director, Brian Thomas noted “The results to date with this programme have reassured the technical team that the decision to change to an open cut mining strategy was a correct one. Whilst the initial drilling has been slower than first anticipated, the introduction of a percussion rig will considerably speed up the process. The additional encouragement of intersections of the LG6A chrome seam in a number of holes, not only will add to the size of the resource but reduces mining costs.
Yours faithfully
Brian Thomas
Managing Director
Chrome Corporation Ltd
For further information please contact
Tel : (08) 9388 8430
Fax : (08) 9388 8450
Web : www.chromecorp.com
E-mail : [email protected]
Mr Brian Thomas is a member of the Australasian Institute of Mining and Metallurgy, 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’. Mr Brian Thomas is a full time employee of the company and consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.