The second batch of assays from Energio’s (ASX: EIO) 2011/2012 drilling campaign at its Agbaja Iron Ore Exploration Project in Nigeria have confirmed grades at the high end of the initial target range of 48-53% iron.
The new results, which indicate grades of up to 54% iron, further support the presence of near surface iron ore.
Chairman Dr Ian Burston said the results continue the positive pattern of the analysis of the first four holes with the grade and thickness of the ore body surpassing Energio’s expectations.
“The grades from this batch of results remains at the upper end of our target range and interestingly the most recent drill intersections are on average approximately three metres thicker in the main ore body when compared with the initial four drill hole results,” he said.
Energio received the initial batch of samples from the project last week which confirmed the thickness and grade of the oolitic mineralisation, with grades up to 55% iron.
The 20,000 metre drilling program, which is aimed at defining a maiden JORC Resource, is on track for completion in the June quarter of 2012. So far, 200 drill holes have been completed.
Over coming months, Energio will complete a full analysis of the drill samples, conduct metallurgical testing to determine the best way to process the material and finalise an infrastructure study to identify the most efficient production and export solutions.
Change of activities
Shares in Energio are in suspension as the company makes the shift to iron ore.
In 2011 the company exercised its call option with TGP to acquire 100% of the fully paid ordinary shares in KCMH Australia.
KCMH Australia is the holding company of KCM Nigeria which owns of a package of iron ore licences in Kogi State, Nigeria.
Originally published at: http://www.proactiveinvestors.com.au/companies/news/24475/energio-surpasses-expectations-with-iron-ore-intersections-at-agbaja-project-in-west-africa-24475.html
Proactiveinvestors is a leading multi-media news organisation, investor portal and events management business with offices in New York, Sydney, Toronto, Frankfurt and London.
No comments:
Post a Comment