Australian manganese explorer Shaw River Resources has announced further results from the recently completed 10,000 meter drilling program at its 70% owned Baramine Project. The drilling is targeting manganese mineralization similar to that at the world class Woodie Woodie deposits.
Shaw River will use the latest drilling results to define resources and begin to evaluate the economics of producing high grade (+40%Mn) manganese products through simple mechanical beneficiation. Beneficiation of manganese ores is common practice globally and results in high value products for sale. A 40% Mn product currently carries an approximate in situ market value of USD 240 per tonne. Using these conservative prices, each 100,000 tonnes of 40% Mn product can be valued at approximately USD 24,000,000 in situ.
Mr Vincent Algar MD of Shaw River said that "We are delighted by the results being received from the recently completed drill program at Baramine. The cumulative effect of drilling more holes are adding constantly to our understanding of the geology and bearing fruit at Baramine. We are well on our way to defining initial resources suitable for beneficiation to saleable, highly valuable manganese products as we continue to expand the target areas and potential of the project."
Shaw River is targeting an initial manganese resource which will pave the way for a long-life mining operation at Baramine. Activity over the coming months will provide investors with regular news flow and will include:
1. Having reported on exciting intersections at Nells, Area 3 in September, Shaw River has added to this extensions of the known Area 4 mineralisation, and new discoveries at Beebie. Big Mn and Area 4 South
2. Further exciting results are expected from Area 5 and additional holes at Area 3 and Nells in October 2010
3. Beneficiation test results from RC holes in Area 3 and Nells are expected in October and will assist with ore body modeling activity
4. Exploration Targets on key prospects will be released on receipt and analysis of all RC drilling results
5. A 1,000 meter diamond drilling program for manganese ore characterization and beneficiation testing will commence once all results have been received results from testing will likely be received towards the end of December 2010
6. Co incident with diamond drilling, initial Inferred resources will be calculated at key prospects at Baramine, expected before end of December 2010
6. Follow up drilling throughout 2011
7. The outcome of preliminary economic scoping studies will be released in early2011
8. Heritage, environmental and mining application processes will commence in early 2011
