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Citadel Resource new Lode 1 copper resources to boost project economics
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Sunday, 17 Oct 2010
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An updated resource estimate for Jabal Sayid Lode 1 at Citadel Resource Group's Jabal Sayid Project in Saudi Arabia will provide the company with additional base and precious metals above the plan for Lodes 2 and 4 indicating the highly prospective nature of the project and region.

Of importance, the new resource for Lode 1 has a relatively high measured resource of 0.9 MT 1.9%Cu, 17KCuT with indicated 1.8 MT 1.8%Cu, 33KCuT and inferred 3.7 MT 1.7%Cu, 62KCuT. The Lode 1 copper deposit provides the Jabal Sayid project with ready access to significant additional base and precious metals over and above the existing plan for Lodes 2 and 4.

The upgrade increases the total project for Lodes 1, 2 and 4 to; 37.5 MT 2.2%Cu for 827KCuT with the category split measured, 15.8 MT 2.5%Cu, 389KCuT indicated, 12.9 MT 2.3%Cu, 297KCuT and inferred, 8.8 MT 1.6%Cu, 140KCuT.

While Lodes 2 and 4 are to be mined from underground using an existing decline, Lode 1 will commence its operational life as an open cut. Existing underground development already intersects the upper copper sulphide resource which is within 200 meters of the Lode 2 deposit where initial production for Jabal Sayid is planned.

The Load 1 deposit is exposed over a +320 meters length, 270 meters width and +620 meters depth and is hosted within a sequence of weakly metamorphosed, felsic volcanic rocks, comparable to Lodes 2 and 4. The prospect area is marked by extensive alteration zones and a prominent gossanous cap observed over a strike length of 200 meters.

Mr Ines Scotland CEO and MD of Citadel Resource said that “The Jabal Sayid mining lease and exploration area remains highly prospective for discovering additional copper mineralization.”

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