Selwyn Resources Limited announced update investors on the status of the exploration program at Selwyn Project being undertaken in support of the bankable feasibility study set for completion in mid 2011. To date, 48 drill holes have been completed with 5 in progress for a total of 13,685.54 metres. The majority of the drilling is designed to upgrade the confidence of the NI 43-101 compliant, Inferred mineral resources in the XY Central, XY West and Don deposits into the Indicated category for use in the ongoing bankable feasibility study. A minor portion of the drilling was allocated to condemnation drilling in the vicinity of infrastructure to determine mineral potential, prior to the commencement of engineering assessment.
XY Central Drilling;
The 2010 definition drilling of the high grade mineral resource of the XY Central deposit began in early June with one drill rig and has been the focus of exploration work to this point with up to five drill rigs working in August. Work on the XY Central deposit is nearly complete with three drill rigs still active; noting that work should be complete by end of October. A total of 14,500 meters are planned for the conversion of Inferred mineral resources as stated in the February 2009 NI 43-101 compliant underground high-grade mineral resource estimate. The February 2009 mineral resource estimate was supervised by Non Independent Qualified Person, Mr John J O’Donnell and yielded an Indicated mineral resource in the high grade underground XY Central deposit of 10,738,000 tonnes grading 10.38% zinc and 4.41% lead and an Inferred mineral resource of 2,849,000 tonnes grading 10.86% zinc and 4.41% lead.
To date, 37 diamond drill holes have been completed in the high-grade underground mineral resource of the XY Central deposit for a total of 11,495.2 meters with 3 drill holes in progress for an additional 252.0 metres. This drilling has confirmed Selwyn’s 3D geological and mineral resource models. The drill holes have been marked up for sampling and the collection of samples bound for the laboratories however, it should be noted that the drill holes were being held pending completion of a detailed geotechnical data collection process for rock mechanics at a commercial laboratory. This portion of the rock mechanics work program is now completed and mineralized intervals are being prepared for submittal to the laboratory for assaying. Results of this drilling will be reported when assays have been received and reviewed under Selwyn’s internal QAQC procedures and protocols.
XY West Drilling
The XY West deposit was discovered in 2008. Following drill testing of the newly discovered mineralization, a NI 43-101 compliant mineral resource estimated to contain an Inferred mineral resource of 1,910,000 tonnes grading 7.70% zinc and 2.45% was determined. The NI-43-101 compliant Inferred mineral resource was reported by Non Independent Qualified Person Mr John J O’Donnell for the Selwyn Project.
In recent drilling, 4 diamond drill holes have been completed in the high grade underground mineral resource of the XY West deposit for a total of 1,609.3 meters with two drill holes in progress for an additional 866.8 meters. A third drill rig will be added next week to advance definition drilling. The detailed, 3D model is being updated as drill holes are being completed. Although drilling is providing very positive results, it has indicated some minor changes to the deposit and its orientation that may require additional drilling to firm up the geological and structural framework and the possible structural repetition of mineralized lenses. This stacking of mineralized lenses can be extremely beneficial as it can increase the potential for more available tonnes of mineralization per vertical foot in any future mine plan.
There still remains a largely untested gap of 650 meters between the high grade underground NI 43-101 compliant mineral resource of XY West and the adjacent and much larger, XY Central deposit to the southeast. This project opportunity is not part of the current definition drilling program; however can be easily assessed when Selwyn Project expands drilling in the future.
