An initial Inferred Mineral Resource was announced on
14 September 2009 for the Mt Webber iron ore deposit, part of the Company’s
Daltons Joint Venture (Giralia 75% interest with Haoma Mining NL (“Haoma”) 25%
interest), located 150 kilometres south of Port Hedland in the Pilbara region
of Western Australia. Haoma retains rights to gold/silver and
tin/tantalum mineralisation. The Daltons JV tenements lie only 40
kilometres east of the BHP Billiton and FMG rail lines and host around 30
strike kilometres of Archaean age BIF as extensions to the units that host iron
ore deposits and prospects to the north.
The low alumina mineralisationat
Mt Webberappears to be a flat lying hematite-goethite enrichment cap up
to 70 metres thick, with mineralisation starting from surface in many holes.
The Daltons JV tenements at Mt Webber directly adjoin
Atlas Iron Limited’s (“Atlas”) Mt Webber prospect. Atlas recently
reported a resource estimate of 43.7 million tonnes @ 57.4% Fe on its tenement
at Mt Webber.
Calcined
Iron grade (CaFe) is a measure of iron content upon removal of volatiles (i.e.
LOI).
Consultants CSA Global Pty Ltd (CSA) completed the
initial resource estimate for the Mt Webber deposit based on 40 reverse
circulation ("RC") drill holes completed to date at Mt Webber by
Giralia in May to August
2009, which returned intersections including; 70 metres from surface @ 58.4%
Fe, including 54 metres @ 60.9% Fe, 1.5%Al2O3, 52
metres @ 60.5% Fe 1.3% Al2O3 from 4 metres depth,
60m @ 58.6% Fe from surface, including 44m @ 60.1% Fe, 1.7% Al2O3
and 68m @ 60.9% Fe, 0.7% Al2O3 from surface.
Additionally, earlier drilling of the smaller Northern Hill returned results
including 16 metres @ 58.5% Fe, and 34 metres @ 55.1% Fe.
Fig 1:Mt
Webber Cross Section
Helicopter supported
rock sampling and mapping carried out in areas of hematite potential selected
from interpretation of air photography and aeromagnetics within the 30
kilometres of strike of known iron formation outcrop the Daltons JV tenements.
The work identified seven new hematite zones with rock chip results in the
range 57% to 62% Fe, providing clear targets for resource growth.
The most significant zone was mapped around 1 kilometre north of the
Atlas Iron resource on the western range at Mt Webber, while 10 kilometres to
the west in the Soansville area in the central part of the Daltons JV tenement
block, zones of hematite enrichment were identified along several parallel iron
formation ranges, occasionally capped by remnants of pisolitic material.
Fig
2: Daltons JV,
Mt Webber summary plan, air photo draped on aeromagnetic base, hematite zones
in red
Fig
3: Photo of Mt Webber looking south
showing GIR/HAO drilling in foreground
Fig 4: Iron ore
projects in the Port Hedland area. Giralia’s tenements in red.
