07/02/2011 - 14:49

Doray, Hunnu dip on resource estimates

07/02/2011 - 14:49

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Two of Western Australia's top sharemarket performers of 2010, Doray Minerals and Hunnu Coal, have seen their share prices dip after announcing resource estimates.

Doray, Hunnu dip on resource estimates

Two of Western Australia's top sharemarket performers of 2010, Doray Minerals and Hunnu Coal, have seen their share prices dip after announcing resource estimates.

Doray announced today that completion of drilling programs at its Andy Well gold project in the Murchison had revealed a maiden high-grade JORC-compliant gold resource of 311,000 tonnes at 17.5 grams of gold per tonne, for a total of 174,000 ounces.

Doray Minerals managing director Allan Kelly said the release of the maiden resource was a significant milestone anda substantial achievement occurring within 10 months of the discovery drill hole and within the first year of listing on the ASX.

"From the outset, we believed there was unfinished business at Andy Well," Mr Kelly said.

"We recognised the possibility for a significant, high-grade, and potentially very profitable gold deposit to be found and described this potential and objective to the market in our IPO prospectus."

"Our drilling over the last 10 months, and now this initial high-grade JORC-compliant resource estimate for Wilber, supports our initial convictions," he said.

But investors were not so chuffed with the news, and at close of trade today, Doray was down 5.74 per cent, at $1.15.

Meanwhile, Hunnu Coal also announced its maiden resource count for its Tsant Uul coking coal project in southern Mongolia.

Hunnu reported an initial coal resource at Tsant Uul of around 90 million tonnes, with 34Mt JORC measured and 27Mt JORC indicated.

Hunnu said it now holds total coal resources to JORC code standards of over 400Mt across its projects, with new coal resources being estimated at its Unst Khudag and Tenuun-2 projects.

But Hunnu's share value also dipped following the announcement, and at close of trade was down 4.8 per cent, to $1.29.

 

 

 

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