Drilling Report

RNS Number : 3897I

Landore Resources Limited

25 July 2012

 



LANDORE RESOURCES LIMITED

(AIM Ticker: LND.L)

 

                  25^th  July 2012

DRILLING UPDATE

JUNIOR LAKE NICKEL PROJECT

 B4-7 DEPOSIT

Highlights: 

·     Assay results from the recently-completed drilling campaign on the eastern section of the B4-7 deposit indicate massive sulphide mineralisation with grades of > 1% nickel plus notable credits of copper, cobalt and platinum group metals.

·     The results of the campaign are highly encouraging having significantly increased the potential tonnage amenable to open pit development.  The B4-7 remains open down dip and along strike to the east and west.

·     Work has commenced on an upgraded resource estimate for the B4-7 Deposit, scheduled for completion early Q4 2012.

Assay results have now been received for all drilling covering the eastern portion of the B4-7 deposit. This section spans from line 0 to line 5+00E, and encompasses drill-holes 0412-367 to 0412-420, 0412-426 to 0412-438, and re-entered holes 0409-202, 0409-237/238 and 0411-359, for 10,992 metres of drilling.

B4-7 mineralised intersections , not previously reported , include:   

Drill-hole	From	Width*	Ni	Cu	Co	Pd	Pt	Au
No	Metres	Metres	%	%	%	ppb	ppb	ppb
0412-420	316.65	2.80	0.96	0.62	0.08	718	218	24
including	318.00	1.45	1.02	0.47	0.08	680	133	24
0412-423	298.43	6.87	0.98	0.52	0.08	665	157	18
including	301.05	2.95	1.07	0.52	0.07	632	158	19
0412-427	30.07	4.68	0.97	0.62	0.05	858	146	18
including	33.00	1.00	1.41	1.16	0.05	1090	242	16
and	41.18	2.47	1.03	0.66	0.06	503	21	20
0412-428	17.22	3.98	0.77	0.45	0.07	618	99	13
0412-429	23.00	2.06	0.93	0.28	0.10	676	88	21
0412-430	60.49	3.75	0.77	0.59	0.07	581	95	57
including	61.50	0.75	0.62	1.23	0.13	696	62	142
0412-432	79.38	10.04	0.85	0.47	0.06	1008	370	30

*The actual true thickness of mineralisation is estimated to represent between 75-80% of the intervals shown in the above table.

Additionally, drill-hole 0412-437 revealed encouraging zinc results with 1.32 metres at 5.87% Zn, 0.22% Ni, 0.50% Cu, and 0.04% Co.

These significant drill results have successfully increased the potential tonnage of the B4-7 deposit, most notably within the upper 150-metre portion of the deposit along the eastern 500 metres of strike length. Drilling consistently intersected the B4-7 massive sulphide main zone through this 500 metre section. (Drill testing has shown that the mineralisation in this section extends to the surface.

Encouraged by these results, Landore reviewed all assays from drill-holes 0412-367 to 0412-424 and re-entered holes 0409-202, 0409-237/238 and 0411-359. Samples from these drill holes had initially been submitted to Landore's primary laboratory for exploration-grade analysis with ore grade analysis triggered at a threshold metal level.

Significant mineralised intersections from these drill-holes were re-submitted to the laboratory for full ore grade analysis. Results from this testing have indicated average grade increases of approximately 8.1% nickel, 1.6% copper, and 4.4% cobalt within these intersections.

Re-evaluated mineralised B4-7 intersections include:

Drill-hole	From	Width*	Ni	Cu	Co	Pd	Pt	Au
No	Metres	Metres	%	%	%	ppb	ppb	ppb
0409-238	116.00	19.83	0.64	0.61	0.05	579	117	34
including	129.30	5.75	0.99	0.54	0.08	791	110	21
0412-374	96.60	13.96	0.79	0.62	0.07	618	101	31
including	99.00	8.50	0.98	0.68	0.08	770	120	23
0412-375	191.00	13.72	0.73	0.45	0.05	527	113	17
0412-378	46.90	23.97	0.87	0.59	0.07	782	123	27
including	61.50	7.50	0.99	0.70	0.06	1132	221	16
0412-376	285.00	8.80	0.92	0.75	0.06	502	191	92
0412-381	256.51	13.17	0.91	0.59	0.06	695	185	20
0412-382	145.11	7.90	1.01	0.59	0.08	568	83	23
0412-385	139.00	30.08	0.82	0.46	0.07	597	162	29
including	164.58	4.50	1.03	0.44	0.08	189	145	28
0412-386	20.48	20.17	0.74	0.63	0.07	689	173	40
including	23.20	12.90	1.02	0.58	0.06	893	214	33
0412-388	44.90	8.41	0.99	0.49	0.07	494	165	19
0412-394	33.00	3.39	0.60	0.88	0.27	304	124	55
0412-396	79.36	11.34	0.68	0.41	0.05	356	167	44

*The actual true thickness of mineralisation is estimated to represent between 75-80% of the intervals shown in the above table.

Accordingly, Landore modified its B4-7 analysis protocol to include nickel and copper assaying using strict ore grade methodology, and lowered the trigger limit for cobalt ore grade re-analysis. All drill-holes subsequent to 0412-424 (comprising of 0412-425 to 0412-448 and re-entered holes 0409-222 and 0409-257) have followed this new protocol.

The Junior Lake property:

The Junior Lake property, 100% owned by Landore, is located in the province of Ontario, Canada, approximately 235 kilometres north-northeast of Thunder Bay, and is host to; the B4-7 Nickel-Copper-Cobalt-PGMs deposit, the VW Nickel deposit, the B4-8 prospect and numerous other highly prospective mineral occurrences.

The combined resources (Canadian National Instrument (NI) 43-101 compliant) of the VW and B4-7 deposits delineated to date, total 48,281 tonnes of nickel equivalent (NiEq), 82 per cent of which is in the Indicated category.  Both deposits remain open down dip and along strike to the east and west.

B4-7 Nickel-Copper-Cobalt-PGEs deposit:

The B4-7 deposit is located approximately 3 kilometres to the northwest of the VW deposit. The B4-7 deposit mineralisation is hosted within a sub-vertical massive sulphide vein with stringers, net-textured and disseminated sulphides in the immediate hanging wall. In Q1 2010, a NI 43-101 compliant report and resource estimate upgrade for the B4-7 deposit was completed. The resource reported 26,521 tonnes NiEq, at a 0.25% Nickel cut-off.

The drilling campaign started in February 2012, aimed at expanding the B4-7 deposit and providing adequate drill density to bring inferred portions of the deposit to indicated status, is now complete. In total, 81 diamond core NQ size holes and 4 re-entered holes (0412-367 to 0412-448 and 0409-202, 0409-237/238 and 0411-359) for 15,868 metres, have been completed. Assays are outstanding for 10 drill-holes and will be reported as they become available.

2012 Planned Works:

The results of the current drilling campaign on the B4-7 deposit are highly encouraging having significantly increased the potential tonnage amenable to open pit development. 

Landore has initiated an in-house resource upgrade, including a full review of all quality assurance-quality control (QAQC) data, geological and grade wireframe modelling, internal resource estimate and the updating of all text required for the final NI43-101 report. On completion, Landore will submit all data for an independent audit and external resource upgrade of the B4-7 deposit. The resource upgrade is anticipated for completion in early Q4 2012.

Pre-feasibility studies on the combined B4-7 and the VW deposits will be initiated in Q1 2013.

A drilling program to extend the B4-7 to the west is currently being planned to commence in Q4 2012.  

QAQC

Landore has in place a stringent quality assurance and quality control programme to ensure best practices in sampling and assaying. All samples from the B4-7 project were collected by employees of Landore and shipped directly to ALS Laboratories, Thunder Bay, (ISO 9001 Certified) for preparation and assay in sealed bags. All samples are assayed for gold, platinum and palladium by fire assay, and nickel, copper, cobalt and silver by aqua regia digestion with AA finish, according to ALS's procedures PGM-ICP23, Ni Cu AA46, and Co Ag AA45. Inductively-coupled plasma ("ICP") analyses for a suite of multi-elements (35 elements, including base metals and silver) were performed by procedure ME-ICP41.

Michele Tuomi, (P.Geo., BSc. Geology),  Exploration Manager of Landore Resources Canada Inc. and a qualified person as defined in the Canadian National Instrument 43-101, has reviewed and verified all scientific or technical mining disclosure contained in this announcement.

- ENDS -

About Landore Resources Ltd.

Landore Resources Ltd. is an exploration company that seeks to grow shareholder value through the acquisition, exploration and development of precious and base metal projects in eastern Canada. The Company is primarily focused on the development of the Junior Lake Nickel Project, anticipated to enter into pre-feasibility stage Q1 2013. Landore Resources has mineral rights to 5 properties in eastern Canada.  The Company is headquartered in London, with an exploration office located in Thunder Bay, Ontario, Canada.

Landore Resources is listed on the AIM market of the London Stock Exchange under the symbol LND.

Cautionary Statement Regarding Forward-Looking Information

This news release includes certain information that may constitute "forward-looking information" under applicable securities legislation. Forward looking information includes, but is not limited to, forecasts as to free-cash flow, strategic plans, mineral resources estimates, future operations, results of exploration, future works programs, capital expenditures and objectives. Forward-looking information is necessarily based on a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information, including the risks identified in the Company's public disclosure. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based upon the opinions and estimates of management and information available to management at the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.

For more information please contact:

Bill Humphries, Chairman Richard Prickett, Chief Executive Officer     Landore Resources Limited	Tel: [phone] Tel: [phone] www.landore.com
Simon Raggett /Angela Hallett Strand Hanson Limited Nominated Adviser/ Broker	Tel: [phone]
David Bick	Tel: [phone]

 

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