Junior Lake Nickel-Copper Project Update

RNS Number : 4269D

Landore Resources Limited

29 January 2015

 



LANDORE RESOURCES LIMITED

(AIM Ticker: LND.L)

 

 

LANDORE COMMENCES WINTER EXPLORATION CAMPAIGN

JUNIOR LAKE NICKEL-COPPER-PGE PROPERTY

London, United Kingdom - 29 January 2015 - Landore Resources Limited (AIM:LND)("Landore Resources" or "the Company") today announces the commencement of the winter exploration campaign on the Junior Lake Nickel-Copper-PGE Property, Ontario, Canada.

A review of existing data has established that the Alpha Zone immediately adjacent to the B4-7 nickel-copper-cobalt-PGEs deposit is far more significant than previously determined and provides the potential to add significant tonnage to the existing resource.

·     Re-logging and sampling of 2012 drill core from the B4-7 nickel-copper-cobalt-PGEs deposit, consisting of 67 drill holes for 12,448 metres, is currently underway to identify additional Alpha Zone mineralisation.

·     A 3,000 metre diamond drill programme will commence in February 2015 on the eastern section of the B4-7 deposit to determine the scope of the main massive sulphide mineralisation at depth, to establish continuity of the exciting high grade palladium and platinum in the Alpha Zone, and test other highly prospective targets along the B4-7 East trend.

·     A ground Electromagnetic (MaxMin), VLF and Magnetic geophysical survey is in-progress on the B4-7 deposit extending eastwards for 4.1 kilometres to the VW north area to identify further potential targets along this highly-prospective trend.

Alpha Zone:

The Alpha Zone, identified by drilling in 2001, contains significant palladium with elevated nickel, copper, cobalt, platinum and gold mineralisation and is found in both the open pit and the underground portions of the B4-7 deposit. 

The Alpha Zone mineralisation is interpreted to be a zone or zones located along the southern margin of the Grassy Pond Sill, a succession of inter-fingered sills composed of rocks ranging from coarse anorthosite to fine grained gabbro with a strike length of over 7 kilometres occurring through the B4-7 deposit to the VW deposit.

The drill programme completed in the fall of 2014 intersected significant Alpha Zone mineralisation on line 00 and 275E within 50 metres north of the main B4-7 massive sulphide zone (RNS dated 19^th November 2014) prompting a review of previous Alpha style mineralization intercepts within the B4-7 deposit. The review has established that the Alpha Zone is far more significant than previously determined.

Accordingly, Landore has initiated a comprehensive relogging and sampling programme of existing drill core from the B4-7 deposit to identify potential Alpha Zone mineralisation previously not sampled due to low sulphide content. It is now recognised that PGE mineralisation is not necessarily tethered to sulphide content, as is the case with the recent high-grade PGEs intersected in drill-hole 0414-503.

The re-logging and sampling of the existing core is expected to be completed within 5-6 weeks, the results of which will be reported as they become available.

Previously reported significant Alpha Zone intersections showing NiEq include:

NS Line	Drill-hole	From	Width*	Ni	Cu	Co	Pt	Pd	NiEq
	No	Metres	Metres	%	%	%	g/t	g/t	%
100W	0406-93	222.00	35.45	0.47	0.25	0.03	0.27	0.78	0.96
	Incl.	248.50	7.10	0.96	0.62	0.07	0.27	0.99	1.80
00	0414-503	378.57	20.15	0.11	0.04	0.01	0.64	1.54	0.73
	Incl.	385.44	0.56	0.08	0.01	0.01	11.50	10.90	6.38
	Incl.	398.00	0.72	0.06	0.04	0.01	2.50	12.85	4.26
100E	0407-167	188.00	18.39	0.23	0.10	0.01	0.48	2.25	1.05
	Incl.	198.00	4.00	0.33	0.10	0.02	1.28	3.33	1.68
275E	0409-219	13.14	2.61	3.11	0.19	0.13	0.04	3.46	4.33
275E	0414-504	18.46	2.90	0.78	0.14	0.04	0.06	1.54	1.35
	Incl.	20.78	0.58	1.77	0.20	0.08	0.09	3.27	2.90

*The actual true thickness of mineralisation is estimated to represent between 60-70% of the intervals shown in the above table.

The nickel equivalency (NiEq) formula is based on average long-term metal prices and overall recoveries:

1.   Average long-term metal prices (US$) are: $8.50/lb nickel, $3.00/lb copper, $16.00/lb cobalt, $1,400/oz platinum, $800/oz palladium, $1,200/oz gold.

2.   Nickel equivalent factors are: 0.655 x Cu%; 1.267 x Co%; 0.293 x Pt g/t; 0.266 x Pd g/t; and 0.377 x Au g/t.

3.   The estimated overall metal recoveries are: 55% nickel, 87% copper, 55% cobalt, 50% platinum, 80% palladium, 80% gold. Note: No metallurgical studies have been completed as yet specifically on the Alpha Zone material.

Winter drill programme:

A 3,000 metre diamond drill programme will commence mid-February 2015 on the eastern section of the B4-7 deposit to determine the scope of the main massive sulphide mineralisation at depth, to establish continuity of the exciting high grade palladium and platinum in the Alpha Zone, and test other highly prospective targets along the B4-7 East trend. The programme is expected to last 4 to 5 weeks; results will be released when available.

Ground geophysics, B4-7 East Trend:

A ground Electromagnetic (MaxMin), VLF and Magnetic geophysical survey is currently underway on the B4-7 deposit from line 100W extending eastwards 4.1 kilometres to line 4000E in the VW North area. This survey will identify further drill targets north of the pre-existing surveys from 2001 and 2013, an area in which the B4-7 polymetallic trend and the BAM gold trend intersect.

To-date there has been little exploration north of 200N, an area which is highly prospective for further polymetallic nickel, copper, cobalt, PGEs and gold mineralisation. Results from this geophysical survey will be utilized during the upcoming winter drilling programme.

The Junior Lake property:

The Junior Lake property, 100% owned by Landore Resources, is located in the province of Ontario, Canada, approximately 235 kilometres north-northeast of Thunder Bay, and is host to; the Scorpion Zone, which contains the B4-7 Nickel-Copper-Cobalt-PGEs resource, the recently-identified Exploration Target and the Alpha Zone. Junior Lake also contains the VW Nickel resource and numerous other highly prospective mineral occurrences.

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

RESOURCE CLASS	VOLUME (tonnes)	GRADE (% NiEq)	Contained Metal (tonnes NiEq)
Indicated	2,695,000	1.24	33,248

Exploration Target

1,500,000 to 2,000,000

~1.24

~20,000

The report is compliant with the requirements of National Instrument 43-101 (NI 43-101). The resource remains open down plunge at depth and along strike to the west.

VW Nickel Resource:

RESOURCE CLASS	VOLUME (tonnes)	GRADE (% NiEq)	Contained Metal (tonnes NiEq)
Indicated	3,730,000	0.49	21,760
Inferred	720,000	0.49

The report is to NI 43-101 standards. The deposit remains open down plunge at depth and along strike to the east and to the west.

Works completed on the Junior Lake property to date have clearly demonstrated the existence of a geological environment that is favourable for the deposition of magmatic nickel-copper sulphide mineralisation. Based on geological signatures and available geological knowledge, this favourable environment is believed to exist along a strike length of approximately 10 kilometres. At its widest, the favourable rock sequences are in the order of 1,000 to 1,500 metres in thickness.

Michele Tuomi, (P.Geo., BSc. Geology), Director/VP Exploration 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

Landore Resources 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. Landore Resources has mineral rights to 6 properties in eastern Canada.  The Company is headquartered in London, UK, with an exploration office located in Thunder Bay, Ontario, Canada.

For more information please contact:

Bill Humphries, Chairman Richard Prickett, Chief Executive Officer     Landore Resources Limited	Tel: [phone] Tel: [phone] www.landore.com
Angela Hallett / James Spinney Strand Hanson Limited Nominated Advisor	Tel: [phone]
Jon Belliss Hume Capital Securities plc	Tel: [phone]
David Bick	Tel: [phone]

 

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