02/05/2008 - 11:25

Mincor capitalise on new drilling technique

02/05/2008 - 11:25

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West Perth based Nickel miner Mincor Resources NL has intersected Nickel near its Otter Juan nickel mine in Kambalda, Western Australia.

West Perth based Nickel miner Mincor Resources NL has intersected Nickel near its Otter Juan nickel mine in Kambalda, Western Australia.

Mincor utilised innovative drilling techniques, returning an intersection of 8.29 metres at 3.70 per cent nickel.

Managing Director, Mr David Moore said that along with the result, the success of the alternative drilling technique was of equal importance.

"This is a very significant result that confirms the continuation of the Otter Juan ore trend to the north.
"Of equal significance is the success of the drilling technique, which has the potential to revolutionise our capacity to extend reserves at all our nickel mines," he said.

Aquired by Mincor last year, the Otter Juan mine has produced over 300,000 tonnes of nickel since the early 1970's.

Full announcement below:

Australian nickel miner Mincor Resources NL (ASX: MCR) has delineated a significant potential
extension to its Otter Juan nickel mine at Kambalda using an innovative underground drilling technique
that has returned an intersection of 8.29 metres @ 3.70% nickel (true width 3.5 metres) more than
100 metres beyond the furthest previous drill intersection in the ore body.
Mincor said today (Friday) that that the diamond drill hole intersected the Otter Juan ore trend at the
exact location predicted by its geologists, confirming the strength and predictability of what is
historically the strongest ore trend in Kambalda. The intersection lies just inside the current inferred
mineral resource.
The Otter Juan mine, which was acquired by Mincor last year, is by far the biggest ore system yet
discovered in the Kambalda district, with over 300,000 tonnes of nickel metal produced since the early
1970s.
"This is a very significant result that confirms the continuation of the Otter Juan ore trend to the north,"
said Mincor's Managing Director, Mr David Moore. "Of equal significance is the success of the drilling
technique, which has the potential to revolutionise our capacity to extend reserves at all our nickel
mines.
"The key point is that to drill out the Otter Juan trend from surface would be costly and time
consuming," he said. "With this new drilling technique we have used a 420 metre long underground
drill hole to do what would otherwise have needed a 1.5 kilometre deep surface hole."
In what is believed to be a first for Kambalda, the hole was drilled parallel to the estimated position of the
ore trend from an excavation in the footwall, and then bent upwards to intersect the target zone.
"It is this kind of innovative thinking that will realise the true potential of the Kambalda Nickel District,"
Mr Moore continued. "Combined with the other innovations that have been employed over the past few
years, it reinforces our belief that the district - already by far the biggest concentration of high-grade
nickel sulphides known in Australia - has massive untapped potential and many decades of profitable
mining ahead of it."

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