Zamia Gold Mines assay results support Anthony Prospect's molybdenum potential

As announced on 23 March 2010, the current drilling programme at Zamia Gold Mines’ (ASX: ZGM) Anthony molybdenum discovery in the Clermont district of central Queensland has been completed.

Assays for the diamond tails on the last two holes, RCD30 and RCD31, have now become available.

Hole RCD31 is at the south-western extremity of the current drilling and the results indicate that the mineralisation remains “open” in that direction.

When the RC and diamond drilling assays for RCD31 are combined, there are 107 metres from 153 – 260m at 710 ppm (0.070%) Mo.

All previous significant results at Anthony were provided in the ASX announcement of 23 March 2010.

These results indicated that extensive continuous high grade intersections (from 36 to 132 metres width) of sulphide zone Mo (> 0.07% or 700 ppm Mo) were assayed in 8 holes in recent drilling.

The results also showed the Western high grade zone has expanded, with 7 holes now having significant continuous intersections (> 24 metres) assaying above 0.1% (1000 ppm) Mo.

The molybdenum price, as at 23 March 2010 on the London Metal Exchange, was US$38,000 per tonne (US$17.24 /lb). At an A$/US$ exchange rate of 91 cents, this translates to A$41.76 per kg of molybdenum or per tonne of ore at 0.1% Mo.

Resource consultants, Hellman and Schofield Pty Ltd, are in the process of producing resource estimates (JORC) based on all the drilling at Anthony to date.

Ken Maiden, Managing Director, said "this latest information continues to support the potential of the Anthony prospect to host a major mineral system."

"Future drilling will target the extensive areas of soil geochemical anomalies and areas where drilling has been limited to date," he added.

http://www.proactiveinvestors.com.au/companies/news/6004/zamia-gold-mines-assay-results-support-anthony-prospects-molybdenum-potential-6004.html