Yes mate read this too! excellent point, Senator and Tomboy also pointed this out
regarding massive potential with C and F shoot and
D,G and H has barely been touched!.
Could be massive!!!!
11/07/2013
Future drilling will continue to
further infill the resource and to determine the extent and vertical depth of the zones.
Drilling at two targets (C and F Shoots) has resulted in significant resource increases for those
targets.
Drilling has resulted in the growth of C Shoot and a newly discovered extension of the F Shoot,
which adds additional high grade, thicker mineralised zones to the Mt Windarra ore body.
These zones have the potential to double the size of the estimated mineable ore body in the
areas drilled and add very significant tonnages to the overall resources at Mt. Windarra.
F Shoot has grown in tonnage terms by 135% to 244,000 tonnes at 1.7% nickel meaning that
this ore body can now be mined. Poseidon expects that F Shoot will continue to grow through
drilling as it is open at depth as well as to the south and drilling will continue in these areas.
In addition the newly discovered extensions to F Shoot have delivered resources of sufficient
JORC confidence category to allow immediate conversion to mining reserves. The mineralised
zone is approximately 3m in width and currently extends over 350m high by 130m in size and
remains open at depth.
C Shoot, which had already been included in the mining inventory for the site, has been
increased through the drilling programme by 32% (in tonnage terms) to 1,926,000 tonnes at
2.06% nickel. Importantly, the central C Shoot thickness has increased from a previously
Page 5
interpreted thickness of 4-5 metres to 8-9 metres, with a lower grade halo that is seen to
expand out to 12-15m thickness in places.
The C and F Shoot drilling has had a positive outcome resulting in a 19% increase in resources
tonnage at Mt Windarra, accompanied by an improvement in the JORC confidence category of
the resource. In turn, there has been a corresponding increase in the conversion of resources
to Probable Reserves at Mt Windarra, which now stand at 498,000 tonnes at 1.78% Ni
containing 8,850 tonnes of nickel metal.
Other significant Shoots - D, G and H - will be more extensively drilled in the future. Table 3
details the current Mineral Resources at the other shoots at Mt Windarra.
Significant Drill Intercept and Further Exploration
As previously announced, the original drill programme was designed for 6 months and has
revealed many new features of the Mt Windarra mine not understood before and which have
led to the larger than expected resource extension. The programme has now been brought to a
temporary halt whilst the data received is reinterpreted with historic data to redesign the next
phase of the drilling programme. During this time Poseidon will also review the water extraction
system in the mine as the limits of the current system have now been met with the water depth
now down near to the bottom of the main vent shaft which has been used to date as the
extraction point.
Poseidon has been advised that unfortunately due to the current poor conditions for mining
service providers that a number of contractors have chosen to stand down a number of their
POS Price at posting:
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