weekly drilling report

Target Area No of Holes Metres Drilled
Area A 0 0
Area B 0 0
Area C 0 0
Area D 1 78
Area E 34 2,309
Total 35 2,387
Note: These numbers include previously reported numbers.
Number of samples sent for assay 1102
Number of assays received 141
Number of samples awaited 961
List of new iron ore intersections in week Table 2
List of received assayed intersections in week Table 3
Hamersley Tenement E47/882 Flinders Mines Limited (FMS) 100%
• First pass drilling over Area E now complete.
• First drillhole in Area D intersects 16 metres of channel on deposit (CID) mineralisation.
• Excellent shallow CID intersections about 20 metres thick in western part of Area E.
ASX Announcement • 10 september 2008
WEEKLY
IRON ORE
DRILLING REPORT – No. 2
HAMERSLEY PROJECT, WA
HIGHLIGHTS
Drilling Activity
• Drilling has been completed to a 1,000 m by
200 m drilling pattern in Area E, with one drill rig
commencing infill to 1000 m by 100 m.
• Drilling of the interpreted main channel has shown that
it continues along the southern boundary of Area E.
• Drilling in the far western part of Area E has delineated
an exciting new zone of possible CID mineralisation
associated with a sedimentary unit consisting of
hematitic pisolites. These sediments have been
intersected in seven drill holes over a minimum
strike length of 1.5 km and across channel width
of approximately 400 m. The sediments have been
intersected as shallow as 2 m from surface and vary
from 14 to 39 metres thick. Visual inspection of this
material indicates very high hematite content, potential
for effective beneficiation and free-dig mineability.
• Drilling has commenced in Area D with a single hole
completed by week’s end intersecting a zone of CID
mineralisation 16 metres thick.
Hamersley
WESTERN
AUSTRALIA
This announcement by FMS is the second in a series of weekly announcements to describe the drilling progress at its Hamersley Project in Western Australia. It is anticipated
that weekly announcements will continue until inferred resources are announced at the end of the 2008 calendar year. The announcements will take the form of a template
to ensure the information is concise and consistent. Note that over the initial weeks there may be some minor modifications to the format as FMS endeavours to provide the
most appropriate layout.
Drilling Statistics
Table 1 Completed drillholes in each area.
2 • FLINDERS MINES LTD • ASX Announcement
Dr Kevin Wills
Managing Director
10 September 2008
Drilling at Area E,
Hamersley Project,
23 August 2008.
Drilling
Intersections
FMS have modified the following table
(Table 2) to provide greater clarity.
This table provides a visual estimate
of mineralization in each hole as
determined by the geologists on site.
Table 2: List of visually estimated iron
ore intersections during the week
(assays awaited).
Hole ID From
(m)
To
(m)
Interval
(m)
HWB21 22 44 22
HWB22 14 20 6
HRC23 8 18 10
HRC24 None identified
HRC33 8 26 18
HRC34 8 24 16
HRC35 2 26 24
HRC36 8 22 14
HRC37 7 46 39
HRC38 6 29 23
HRC39 None identified
HRC40 None identified
HRC41 None identified
HRC202 34 50 16
Table 3: List of RC drillhole intersections (assays received).
Hole ID From
(m)
To
(m)
Interval
(m)
Fe
%
Target Area
No assays received this week
NB: These intersections are based on an Fe cut-off grade of 50% and a maximum internal dilution of 2m.
Analysis via XRF fusion at SGS Laboratories.
A steady f • low of assays is expected
in the following weeks. Delays
have occurred due to laboratory
turnaround issues. The laboratory
has commenced utilising laboratory
facilities outside of Perth and
anticipates bringing turnaround
back to 2–3 weeks from the current
4–5 weeks, whilst maintaining
quality standards.
Approvals
Archaeological clearances for areas
A, B and C are due to start in mid–
September. An earthmoving contractor
is scheduled to start preparing drill
sites immediately following approval
from the archaeological team.
Tenements
Nothing to report.
The information in this report that relates to
Exploration Results, Mineral Resources and
Ore Reserves is based on information compiled
by Dr K Wills who is a Fellow of the Australasian
Institute of Mining and Metallurgy. Dr Wills is
an employee of Flinders Mines Limited. He has
more than five years relevant experience in
the style of mineralisation and types of deposit
under consideration and consents to inclusion
of the information in this report in the form and
context in which it appears. He qualifies as
a Competent Person as defined in the 2004
Edition of the “Australasian Code for reporting
of Exploration Results, Mineral Resources and
Ore Reserves”.
For further information please
contact:
Kevin Wills
on 08 8132 7950
or 0419 850 997
Duncan Gordon – Investor Relations
on 08 8232 8800
or 0404 006 444
Email: [email protected]
3 • FLINDERS MINES LTD • ASX Announcement
Figure 1 Hamersley E47/882 showing the location of Target Areas.
117º25'
117º30'
-22º10'
E47/882
AREA A
AREA B
AREA C
AREA D
AREA E
0 2 km
Interpreted Channel Iron Deposits (CID)
Interpreted Detrital Iron Deposits (DID)
Modern Colluvium
Late Tertiary Sand and Gravel
Brockman Iron Formation
Figure 2 Proposed and completed RC drilling in Area E.
HRC28
HRC33
HRC36
HRC37
HRC38
HRC39
HRC41
HRC40
HRC34
HRC35
HRC27
HRC26
HRC25
HRC20
HRC21
HRC22
HRC23
HRC24
HRC19
HRC18
HRC16
HRC17
HRC11
HRC12
HRC13
HRC14
HRC15
HRC8
HRC10 HRC4
HWB1
HWB3
HRC3
HRC2
Area E
RC drillhole completed (assayed)
RC drillhole completed (awaiting assays)
Proposed RC drillhole
Hole not drilled (shallow bedrock)
Interpreted CID mineralisation
Exploration licence
Access track
Exploration camp
0 1 km
E47/882
HRC202
Area D