Anglo Australian Resources Nl (ASX:AAR) Commencement of Drilling Campaign at Leonora Project, Western Australia

Anglo Australian Resources Nl (ASX:AAR) drilling to commence to test signifcant bedrock conductor with potential for massive copper-zinc mineralisation at Leonora Project, Western Australia.

The discovery of the large Moving Loop Electromagnetic (MLEM) anomaly is an exciting development that has greatly enhanced the potential of the Leonora Project to host VMSstyle massive copper-zinc deposits similar to the Jaguar and Bentley deposits.

Anglo Australian Resources NL is planning a 5 hole 1300m RC drilling program to test a significant bedrock conductor which has potential for massive copper zinc mineralisation at its Leonora Project in Western Australia. This drilling is planed to commence middle to late October.

The Leonora Project is located 25 kilometres south of the Jaguar mine of Jabiru Metals Limited (Reserves: 3.23 Mt @ 1.8% Cu, 7.91%Zn, 99 g/t Ag, 0.4 g/t Au) and Jabiru's Bentley deposit (3.0 Mt @ 2.0% Cu, 9.8% Zn, 138 g/t Ag, 0.7 g/t Au). Both these deposits were discovered by drill testing bedrock electromagnetic conductors. These two volcanogenic massive sulphide (VMS) style deposits occur near the boundary between mafic and felsic units. The Leonora Project consists of two Exploration Licenses, located 10 km north of Leonora, which cover a 10 km long zone of felsic volcanics and sediments broadly analogous to the geology at Jaguar and Bentley. Based on interpretation of previous aircore drilling and of aeromagnetic data, Anglo Australian Resources considers 7km of this zone is highly prospective for VMS-style mineralisation. As bedrock in the zone is mostly covered by younger transported sediments, the Company has used a MLEM survey as its primary exploration tool to search for VMS deposits that are generally highly conductive and amenable to location by such geophysical methods.

MLEM survey completed in May 2011 at the Leonora Project targeting potential massive copper-zinc mineralisation discovered a strong 800m long bedrock conductor. Interpretation of the MLEM anomaly by geophysical consultants, Southern Geoscience, suggests the source of the conductor, (potentially massive or disseminated sulphide), commences at the base of weathering approximately 150-170m below surface and dips steeply south west.

The only previous drilling in the vicinity of the MLEM anomaly consisted of a single traverse of vertical aircore hole which were assayed for copper, zinc and lead. The hole nearest to and on the strike trend of the conductor is highly anomalous in copper, as it contains a 9m interval assaying 600ppm Cu within weathered basalt compared to background values of 40 - 60 ppm Cu. The company is also very encouraged by the extensive alteration seen in remnant chips from this and adjacent holes. All VMS deposits ubiquitously have an alteration halo around the sulphide mineralisation.

For the complete Anglo Australian Resources announcement, including figures, please refer to the following link below:
http://media.abnnewswire.net/media/en/docs/ASX-AAR-557266.pdf


About Anglo Australian Resources Nl

Anglo Australian Resources NL (ASX:AAR) (PINK:AAURF) has been listed on the ASX as a junior explorer since 1986 focusing on gold and base metals. The company has now in place a strategy to move the company from a junior exploration company to a mid tier miner.

In the last three years we have advanced Mandilla from an exploration project to a producing gold mine. This mine, while lasting only nine months, is providing the company with cash flow to fund exploration and development work on the company’s key base metal project Koongie Park.

If the current high demand for base metals is maintained, development of this project has the potential to provide substantial revenue for the company. In addition Anglo Australian Resources NL is actively exploring its strong portfolio of tenements prospective for gold and base metal.

 

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