Kalahari Minerals reports forecast-busting maiden resource for Rossing South Zone 2 ahead of schedule by Andre Lamberti

Kalahari Minerals PLC (AIM: KAH) said 40 percent controlled Extract Resources Ltd (TSX, ASX: EXT) reported a maiden resource for Zone 2 of the the Rossing South uranium deposit at the Husab project in Namibia, with the timing ahead of schedule and the resource above market expectations.

Extract today reported a maiden resource at Rossing South Zone 2 of 122 million pounds triuranium octoxide at a grade of 543 parts per million, which should be a nice surprise for analysts who had not been expecting the announcement before next month and who had been hoping for a resource of at least 100 million lbs U3O8.

These latest numbers have raised the resource estimate for the whole of Rossing South by 84 percent from the previous figure, to a total of 267 million lbs U3O8 at an improved grade of 487 ppm for Zones 1 and 2.

Only three weeks ago, Extract announced a new estimate for Zone 1 of 145 million lbs with an average grade of 449 ppm U3O8, which represented a 34 percent increase size from the previous estimate.

Kalahari Chairman Mark Hohnen commented on the latest resource estimate: "These are incredible results which ensure that Rossing South is now one of the largest uranium deposits in the world. The 82% increase in the resource at Rossing South and the grade quality mean this project is truly world class.”

“Including Ida Dome, Extract now has a JORC compliant resource in excess of 290 million lbs U3O8 of which 267 million lbs U3O8 at 487 ppm is from the two zones at Rossing South. With both Zones 1 & 2 open along strike and down-dip we are confident that Extract has the ground and potential to deliver on Kalahari's estimates of a resource in the region of 500 million lbs U3O8,” he added.

Kalahari cited Extract's managing director Peter McIntyre as saying: “Rossing South continues to deliver on the upside, and has well exceeded the original targets established. The project has grown rapidly from the original discovery announcement in January 2008.”

He added that Zones 1 and 2 would continue to grow as they remain open in multiple directions. "The fact that we have delivered this after only 18 months of resource drilling gives us confidence that a resource well in excess of 300 million lbs should be achieved by the end of the year."

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