Kimberley Metals set for ASX debut
February 24, 2010
Having recently concluded its rights issue and general offer, raising some $11.3 million, Kimberley Metals Limited is set to debut on the ASX on Thursday, 25 February. On Monday, the company released encouraging drilling results from its 100% owned Mineral Hill Gold-Base Metal Project (refer to website at www.kimberleymetals.com.au).
The company said first results from its reverse circulation drilling program, currently in progress at the Pearse deposit, returned high grade intersections for both gold and silver.
The company said this deposit is being drilled on 12.5 metre centres to approximately 100 metres depth to extend and infill the current Inferred Mineral Resource of 281,000 tonnes grading 8.0 g/t Au and 125 g/t Ag, upgrade part of that resource to indicated status and allow preparation of an initial open cut mine plan. Early indications are a low-cost gold mine with large cash margins is possible.
The company said assays for 8 holes on the northernmost drill traverse have been received, with significant results returned for 5 of those holes covering 65 metres across strike.
The results include 19m @ 8.3 g/t Au, 130 g/t Ag from 43 m and 36m @ 11.0 g/t Au, 196 g/t Ag from 28m.
Jim Wall, Executive Chairman of Kimberley said these results were highly encouraging and provide confidence that the processing plant at Mineral Hill can be recommissioned to treat the Pearse gold/silver ore.
He noted that metallurgical test work and environmental analysis has commenced.
Pearse is located approximately 1 kilometre from Kimberley’s Mineral Hill processing plant, which is expected to facilitate a rapid and low capital cost development of this high-grade gold deposit. The company also has a 1.9Mt sulphide resource, grading 8% Zn equivalent and other resources including a 0.6Mt oxide resource grading 7% Zn equivalent at Mineral Hill. The company envisages an ultimate long mine, with production of gold and base metal concentrates.
In addition to Mineral Hill Kimberley has a 100% interest in the Sorby Hills Lead-Silver Project, which contains a near surface inferred resource of 16.9 million tonnes grading 4.6% Pb and 56g/t Ag, located close to established infrastructure.
The company also has a 30% stake in the Constance Range Iron Project with an option to lift its interest to 50%.
The aspiring precious and base metals producer became an independent entity in May 2008 when the shareholders of CBH Resources agreed to the distribution of its 100% shareholding in Kimberley to CBH shareholders.
The company said first results from its reverse circulation drilling program, currently in progress at the Pearse deposit, returned high grade intersections for both gold and silver.
The company said this deposit is being drilled on 12.5 metre centres to approximately 100 metres depth to extend and infill the current Inferred Mineral Resource of 281,000 tonnes grading 8.0 g/t Au and 125 g/t Ag, upgrade part of that resource to indicated status and allow preparation of an initial open cut mine plan. Early indications are a low-cost gold mine with large cash margins is possible.
The company said assays for 8 holes on the northernmost drill traverse have been received, with significant results returned for 5 of those holes covering 65 metres across strike.
The results include 19m @ 8.3 g/t Au, 130 g/t Ag from 43 m and 36m @ 11.0 g/t Au, 196 g/t Ag from 28m.
Jim Wall, Executive Chairman of Kimberley said these results were highly encouraging and provide confidence that the processing plant at Mineral Hill can be recommissioned to treat the Pearse gold/silver ore.
He noted that metallurgical test work and environmental analysis has commenced.
Pearse is located approximately 1 kilometre from Kimberley’s Mineral Hill processing plant, which is expected to facilitate a rapid and low capital cost development of this high-grade gold deposit. The company also has a 1.9Mt sulphide resource, grading 8% Zn equivalent and other resources including a 0.6Mt oxide resource grading 7% Zn equivalent at Mineral Hill. The company envisages an ultimate long mine, with production of gold and base metal concentrates.
In addition to Mineral Hill Kimberley has a 100% interest in the Sorby Hills Lead-Silver Project, which contains a near surface inferred resource of 16.9 million tonnes grading 4.6% Pb and 56g/t Ag, located close to established infrastructure.
The company also has a 30% stake in the Constance Range Iron Project with an option to lift its interest to 50%.
The aspiring precious and base metals producer became an independent entity in May 2008 when the shareholders of CBH Resources agreed to the distribution of its 100% shareholding in Kimberley to CBH shareholders.
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