TNG Limited targets JORC 140Mt upgrade from in-fill drilling at Mount Peake

TNG Limited (ASX: TNG) is focused on boosting the JORC Resource at company's Mount Peake Iron-Vanadium-Titanium Project in the Northern Territory, which is already one of Australia's largest vanadium projects.

The latest program will comprise 24 holes for 2000 metres of reverse circulation in-fill drilling, aimed at increasing the confidence level of the resource into the Indicated category, from the current Inferred JORC Resource of 140 million tonnes at 0.29% V2O5, 5.34% TiO2 and 23.66% iron resource.

The expected resource upgrade will form part of the current Pre-Feasibility work, which TNG has confirmed as proceeding on schedule and budget.

In addition, the drilling will test two extra geophysical targets which have recently been delineated, which TNG identified during re-assessment of geophysical data.

The company described the additional targets as:

- M1; a high priority circular gravity anomaly with dimensions of 400 metres by 400 metres confirmed by a ground gravity survey, with a target depth of 150 metres; and
- G34; a high priority airborne electro-magnetic (GEOTEM) and confirmed by a ground survey with dimensions of around 300 metres, with a targeted depth to a bedrock conductor source of 200 metres.

The exploration target at the project is 500 million tonnes to 700 million tonnes (0.2% to 0.4% V205, 5% to 9% TiO2, 25% to 35% iron), and considering only 1.3 kilometres of the 9 kilometre strike has been drilled to date, extensive potential remains for TNG to continue increasing the project's resource in the short to medium term.


Broker support for TNG

TNG has landed firmly on the radar of broker Old Park Lane Capital which just last week put a BUY recommendation on the company with a $0.27 price target.

The broker went as far as to say '... highly conservative in our valuation'.

TNG last traded at $0.095.

Originally published at: http://www.proactiveinvestors.com.au/companies/news/17830/tng-limited-targets-jorc-140mt-upgrade-from-in-fill-drilling-at-mount-peake-17830.html