Icon Resources will use USD 1.5 million to be raised in February for resource definition drilling and pre feasibility test work programs at Icon’s Mt Carbine Tungsten project in far north Queensland.

The objective is to complete pre feasibility for the project in 2010. Following a positive Scoping Study for an expanded open pit tungsten operation at Mt Carbine, a work program has been implemented to validate the resource and refine process options.

Drilling of the Iron Duke zone commenced at Mt Carbine with significant mineralization intersected adjacent to the existing open pit. Drilling commenced in mid December, with 2 diamond drill holes completed to date out of a planned 4500 meters program targeting mineralised zones adjacent to the existing open pit.

The drilling will initially test the Iron Duke Zone which comprises historical scheelite workings over 350 meters to 400 meters strike length to the NE of the pit. Analysis of the only previous drill hole in this vicinity has highlighted significant tungsten mineralization including 27 meters 0.14% WO3 from 105 meters hosted by cherts and 47 meters 0.23% WO3 from 163 meters hosted by met basalt.

The first hole of the current program has intersected significant scheelite mineralization in quartz veining, veinlets and disseminations within a highly fractured chert unit between 27 meters and 96 meters.

Metallurgical Test work commenced with preliminary work on the process flow sheet for Mt Carbine being completed as part of the Scoping Study, with a key component being the role of ore-sorting in beneficiating run-of-mine ore.

During the quarter an initial batch of ore and mineralised waste samples were dispatched to a laboratory in Poland for characterisation studies. Preliminary results have been very encouraging and further testing of bulk samples from ore and waste stockpiles is planned as part of the pre feasibility program.