Sydney, July 26, 2007 AEST (ABN Newswire) - Mineral Sands Ltd (ASX: MSN) and Olympia Resources Ltd (ASX: OLY) are pleased to announce a joint venture farm-in for the exploration licenses EL 69/2090, 69/2091, 69/2092 in the Eucla Basin.
Highlights:
- Joint venture farm-in between Mineral Sands Limited and Olympia Resources Limited in Eucla basin adjacent to Mineral Sands Limited Pioneer project area.
- Mineral Sands Limited to earn 80% of the licence's through the meeting of expenditure commitments over 2 years.
- Joint venture landholding comprises 457.6 sq kms.
Olympia Resources and Mineral Sands announce that they have signed an agreement where Mineral Sands can earn 80% of the above exploration licences by carrying out exploration on the tenements, sufficient to meet the minimum expenditure commitments for a period of two years, by spending approximately $360,000 on exploration of the tenements. The joint venture tenements are adjacent to Mineral Sands Limited tenements which yielded intersections of significant zircon rich heavy mineral with grades up to 4.2% HM and zircon contents up to 42% earlier in 2007.
Peter Gazzard, Managing Director of Olympia Resources said "The joint venture with Mineral Sands will allow Olympia to retain an interest in its Balladonia tenements while prioritising our expenditure on developing mines at Harts Range and Keysbrook and a zircon processing plant in Kalimantan. Although we continue to explore in Southwest WA and Kalimantan Olympia sees that moving its advanced projects into production and cashflow is the best means of adding value for its shareholders."
Patrick McManus Managing Director of Mineral Sands said "This agreement allows Mineral Sands to increase its landholding in an area where we have had recent success in our mineral sands exploration programme. Encouraging results on the adjoining Pioneer project area were reported to the market 27 June 2007 and the joint venture enables Mineral Sands to increase land tenure in the Western Eucla project area."
For a location map and a full copy of this announcement, please visit the website at: http://www.olympiaresources.com
About MZI Resources Ltd
MZI Resources Ltd (ASX:MZI) is a mineral sands company focused on the high value minerals of zircon, rutile and leucoxene based in Perth, Western Australia. Its flagship operating asset is the Keysbrook Mineral Sands Project, located 70km south of Perth. At the Keysbrook mine, mineral sands are mined and processed to produce heavy mineral concentrate (HMC) which is processed into final products under a toll treating arrangement with Doral Mineral Sands Pty Ltd at the Picton Mineral Separation Plant (MSP) near Bunbury.
The Keysbrook mine hosts a world-class zircon / leucoxene ore body with total Ore Reserves equivalent to over 15 years of production at design output rates, and total Mineral Resources equivalent to over 30 years of production. Production commenced in late 2015, making the Keysbrook Project Australia’s first – and the world’s largest - primary producer of high value leucoxene.
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