Montero Mining’s exploration efforts dig up high grade rare earth elements in Tanzania

Montero Mining (CVE:MON), is a junior Canadian based mineral exploration and development Company with a focus on rare earth elements in Tanzania . The Company listed in February of this year, after raising $4 million primarily for drilling and metallurgical test-work on the flagship Wigu Hill Rare Earths Project in Tanzania.
The Wigu Hill Rare Earths Project is located 170 kilometers southwest of the coastal city of Dar es Salaam, and has good road access to the main highway near Morogoro, and is 12 kilometers from the Tazara railway line that links the landbound Zambian copper belt with the deep water port at Dar es Salaam.
Montero Mining currently holds a 60% interest in the Wigu Hill Rare Earths Project, and has the option to increase up to a 70% ownership. The project consists of two prospecting licenses that cover 142 square kilometers and enclose a carbonatite complex that was originally discovered in the 1950’s and has been termed the “highest grade rare earth deposit in Africa”. Wigu Hill was sampled and evaluated by numerous mining companies, and international scientific organizations, who reported historic TREO grades of over 14%, with associated phosphate values.
The Rare Earth Elements are hosted in the mineral bastnaesite found in carbonatite dykes making it similar to MolyCorps Mountain Pass deposit in the USA. At Wigu Hill these are typically 0.6 to 8.0 meters wide, and can be traced over distances of over hundreds of meters. Historical sampling from the larger dykes reported average values of total rare earth oxide or TREO of 14.5%, within a TREO range of 12.7 to 16.5%, which carry significant quantities of the Light Rare Earth Elements of lanthanum, cerium, praseodymium and neodymium, predominantly hosted in the rare earth mineral bastnaesite and some synchysite and parisite.  The United States Geological Survey reported that it was one of the richest REE deposits in the world, hosting grades of up to 20% TREE . Recent analysis of surface sampling in trenches and at depth by diamond core drilling by Montero reveal a similarity with the major REE deposit at Mountain Pass, in the United States.
The Company completed reconnaissance mapping and sampling across much of the Wigu Hill Project area, and outlined high grade TREO values within the carbonatite complex measuring 6.4 kilometers by 3.2 kilometers. These high grades of TREO averaged 7% TREO, and individual samples ranged as high as 27.25%, and are found within sheeted carbonatite dykes. The topography of this hilly area suggests that the REE’s  could be extracted at a potentially low strip ratio along much of the strike line.
Trenching on highly prospective targets identified the Twiga Target Zone, which carries East West and North West dyke sets, where trenching exposed above average REE values and showed good continuity of mineralization.
The East West dyke set can be traced continuously over 200 meters at surface and is currently open at both ends. Representative values include Trench CC1 cut 8.0 meters at 11.36% of TREO, containing 5.42% of La2, 4.59% of Ce2, 0.39% of Pr2, 0.88% of Nd2, and 0.05% of  Sm2; Trench CC2 cut 8 meters at 12.28% of TREO, containing 6.33% of La2, 5.38% of Ce2, 0.46% of Pr2, 1.02% of  Nd2 , and 0.06% of Sm2. The highest grade trench sample in this area recorded 27.25% of TREO over 0.73 meters of true width.
Representative values on the North West to South East dyke set include Trench CT7a with 5.84 meters at 13.31% of TREO containing 6.35% of La2, 5.37% of Ce2, 0.47% of Pr2, 1.01% of Nd2, and 0.06% of Sm2; Trench CT9c returned 4.23 meters at 11.72% of TREO containing 5.73% of La2, 4.43% of Ce2, 0.42% of Pr2, 1.04% of Nd2, and 0.06% of Sm2.
Additional targets were also identified at Tembo where a mineralized dyke system covers an area measuring 350 meters by 450 meters, was assessed by cutting 39 trenches, and collecting over 700 samples at 0.5 to 1 meter intervals.
Trenching on the Tumbili Prospect in the central part of Wigu Hill identified a massive carbonatite breccia zone that extends over an area of approximately 300 meters, by more than 700 meters, and where trenching recorded 1.19% to 7.58%  TREO. This appears a subintrusive that likely gave high-grade off shoots dykes represneated by Tembo and perhaps Twiga dyke setsThis is likely to become a large bulk-tonnage target based on the size of the carbonatite exposed at surface.
The Chui Prospect returned grab sample values of 5.5% TREO and 5.7% TREO. Selective grab sampling of these dykes established values ranging from 1.62% TREO to a maximum of 5.53% TREO.
Montero has just completed a definition diamond drilling program of 19 holes for 2,150 meters at the eastern end of Wigu Hill, where 14 holes tested targets on the Twiga Zone, and 5 holes tested the Tembo Zone. Results for 8 holes from Twiga have been received, with 6 holes pending, and all 5 holes at Tembo are pending.
Highlights from drilling on the Twiga Zone include drill hole TW003R which intersected 20.76 meters at 6.23% TREO from 18.56 to 39.40 meters, and TW014 which intersected 5 mineralized intersections between 24.40 to 148.25 meters, for a total of 22.55 meters with TREO values ranging from a low of 4.80% to a high of 10.52%. These drill intersections confirm the continuity and significant mineralization within the individual dykes both along strike and at depth on the Twiga Section, and is a major step towards the establishment of a viable and economic resource which is expected by mid 2011.
This drilling program should result in the delineation of a NI 43-101 Compliant Resource at Twiga and Tembo down to a depth of 100 meters, and will should be released before August. Mintek, who is a leader with over 25 years experience in rare earth metallurgy and recovery, has been retained to evaluate the Wigu Hill Rare Earth mineralization and provide technical advice on metallurgical and hydrometallurgical process options.
Montero retains a number of other mineral interests in Tanzania that include the Iringa License in the Kilombera Basin, and the Liwale License on the eastern edge of the Selous Basin. Both projects are early stage grass roots uranium prospects exploring for roll front type uranium deposits.
Two large uranium claims blocks are also held in Quebec, Canada. The Girard Claims cover anomalous concentrations of uranium, where historic and early stage exploration has defined three significant anomalies at Ridge, LDZ, and North Beraud. The Lac Yvone Claims cover historic reports of both uranium and gold. Current exploration efforts on both Claims Blocks are aimed at upgrading the prospectivity of the uranium and gold occurrences.
In addition Montero has an option on four Phosphate Projects are held in South Africa. The Duyker Eiland, Phillips Kraal and Lamberts Bay projects are located in the Western Cape close to the deep water Saldanha harbor and the Western Cape area that cultivates both wheat and produces wine. The fourth Project at Bierkaal is located 20 kilometers from the Omina phosphate production complex at Phokeng, in the North West Province. The Western Cape Project areas have been mined in the past and Montero said to contain historic resources of 90 million tonnes of phosphate rock. Montero intends to complete a due dilignce which will involve drilling to confirm tonnage and grade of the main deposits.
The Senior Management at Montero has over 30 years of experience with international major mining corporations including Placer Dome and Phelps Dodge on African exploration projects.
Montero may look like a late entrant into an already crowded rare element sector, but the location, mineralogy and open cut potential of the project bodes well for it catching up to the select group of rare earth companies than can reasonably expect to be in production in the next 2-3 years.