Great Western appoints contractor for exploration program at Steenkampskraal

Rare earths processor Great Western Minerals (CVE:GWG) said Thursday it has contracted Drillcorp Africa to carry out its exploration program at its Steenkampskraal rare earth element project in South Africa.
The initial aim of the program, which will be fully underway by September 14, is to provide geological information, metallurgical characterization and test data in support of a fully compliant National Instrument 43-101 resource estimate of stockpiled ore at surface, as well as underground in-situ material.
Following the first objective, its second goal is to expand the resources at Steenkamskraal through testing the down-dip extension of the main structure and to investigate the encasing host rock mineralization.
Great Western said South African-based Drillcorp is a highly experienced drilling team that has been in business since 1988.
With 45 rigs operating across South Africa, Drillcorp provides diamond core drilling to depths of 3,000 metres coupled with reverse circulation, underground, and percussion drilling services.
Great Western’s Chief Executive, Jim Engdahl, said: "This is another pivotal moment in the progress of the company at Steenkampskraal with the launch of an exploration program at site designed to confirm previous data and produce an NI 43-101 resource estimate."
The Steenkampskraal rare earth mine rests about 70 kilometres north of the town of Vanrhynsdorp, in the Western Cape Province of South Africa, roughly 350 kilometres north and west of Cape Town.
A refurbishment project for the property is also well underway, and is progressing towards the year-end 2011 completion date, as scheduled, the company said late last month.
Great Western's rare earth specialty alloys are used in the battery, magnet and aerospace industries, and are produced at its subsidiaries, Less Common Metals in Birkenhead, U.K., and Great Western Technologies in Troy, Michigan. These alloys contain aluminium, nickel, cobalt and rare earth elements.
Aside from Steenkampskraal, the company also holds interests in six rare earth exploration properties in North America.
The Saskatoon-based company’s shares were trading at 75 cents Thursday afternoon on the Toronto Stock Exchange.