Perth-based resources explorer Rox Resources Ltd today announced the discovery of a positive zone of lead-zinc sulphide mineralisation at its Pha Luang project in Laos.
Perth-based resources explorer Rox Resources Ltd today announced the discovery of a positive zone of lead-zinc sulphide mineralisation at its Pha Luang project in Laos.
The discovery of a thick and continuous mineralisation zone at the Nam Yen prospect has been accompanied by a rise in Rox's share price.
Shares in Rox opened the day trading at 22.5 cents and by early afternoon had risen to 46 cents, increasing the company's market capitalisation by around $8.5 million.
Managing Director, Mr Ian Mulholland said today's results reinforced the potential of the Pha Luang project to become a major lead-zinc field.
"Prior to Rox's drilling of outcrops last year there had been no drilling undertaken, and very little modern style exploration," Mr Mulholland said.
"We believe the Pha Luang project represents an emerging Mississippi Valley Type (MVT) district which could host a number of rich zinc and lead deposits similar to other major MVT districts in the world..
"As such this represents a major opportunity for Rox and we intend to progress our exploration and drilling activities as quickly as we can."
Nam Yen is one of four major soil anomalies delineated to date at the Pha Luang project. A further 12 known occurrences of mineralisation have yet to be mapped and soil sampled to generate drill targets.
Loas has risen to prominence in recent times as an exploration target for Australian resource players, with Oxiana among the companies to have established operations in the country.
Oxiana owns the Sepon gold and copper operations in the Savannakhet Province in south-central Laos.
THE FULL ASX/MEDIA RELEASE APPEARS BELOW.
27 April 2006
ROX MAKES LEAD-ZINC SULPHIDE DISCOVERY IN LAOS
HIGHLIGHTS
§ Thick zones of sulphide mineralisation drilled at Nam Yen prospect.
§ Intercepts include 33 metres of 11.4% Pb+Zn.
§ Further drilling results pending.
§ Currently drilling major soil anomaly at Bon Noi prospect.
Rox Resources Limited (ASX: RXL) ("Rox") today announced the discovery of a thick and continuous zone of lead-zinc sulphide mineralisation at the Nam Yen prospect within the Pha Luang project in Laos.
Managing Director, Mr Ian Mulholland said today's results reinforced the potential of the Pha Luang project to become a major lead-zinc field.
"Prior to Rox's drilling of outcrops last year there had been no drilling undertaken, and very little modern style exploration," Mr Mulholland said.
"We believe the Pha Luang project represents an emerging Mississippi Valley Type (MVT) district which could host a number of rich zinc and lead deposits similar to other major MVT districts in the world," he said.
"As such this represents a major opportunity for Rox and we intend to progress our exploration and drilling activities as quickly as we can."
Drilling was targeted at the source of a 200x100 metre lead-zinc soil anomaly and outcropping oxide-sulphide mineralisation.
Results for 8 of the 19 holes drilled to date are given in the table, with significant results including:
PLR015: 33 metres grading 11.4% combined Pb+Zn, from 4 metres
PLR010: 8 metres grading 8.7% combined Pb+Zn, from 16 metres
PLR009: 6 metres grading 11.6% combined Pb+Zn, from 4 metres
PLR008: 4 metres grading 26.2% combined Pb+Zn from surface.
Peak values in drilling are 30.3% Pb, 8.5% Zn and 95 ppm Ag.
Mineralisation is open in most directions and results of a further 11 holes are expected within 2-3 weeks. Further drilling at Nam Yen is planned once drill access has been prepared.
The mineralisation consists of galena (lead sulphide) and sphalerite (zinc sulphide) hosted in a limestone breccia. This style of mineralisation is typical of MVT deposits, and grades of typical mined sulphide MVT deposits average 8.6% combined lead and zinc worldwide. Usually zinc grade exceeds lead grade.
The Nam Yen results however, indicate a lead-rich zone providing direct comparison to the 110 million tonne lead-rich Viburnum Trend deposits in the USA which graded 6.9% Pb, 1.5% Zn, with 8.4% combined Pb and Zn on average. Hole PLR015, which is representative of the bulk of mineralisation drilled so far, exceeds this average grade.
Nam Yen is one of four major soil anomalies delineated to date at the Pha Luang project. A further 12 known occurrences of mineralisation have yet to be mapped and soil sampled to generate drill targets.
