Perth, July 1, 2008 AEST (ABN Newswire) - Pilbara iron ore developer Aurox Resources Limited (ASX:AXO)(PINK:AUOXF) is pleased to announce another significant development in its Balla Balla magnetite project, with a 46 percent increase to its Mineral Resource Estimate.
Aurox has upgraded the Balla Balla resource from 325 to 473 million tonnes. The upgrade follows infill and extension drilling completed earlier this year across the Western Pit area, and a recalculation of Inferred Resources along the 9.5 kilometre strike of magnetite mineralisation in the Far West area.
Aurox Managing Director Charles Schaus said the results follow a resource upgrade in April, and continued to bolster the resource base at Balla Balla, as the Company moves toward production.
"This strong interim result is in line with our Balla Balla Resource and Reserve development plan. The Company is aiming to define a 650 million tonne Resource by the end of August and expects to exceed 1 billion tonnes before Christmas," Mr Schaus said.
"At the same time we are advancing toward production at Balla Balla, with long lead items ordered, detailed engineering underway, and the signing of a recent port agreement further de-risking the project," Mr Schaus said.
The Western Pit resource modelling was carried out by Golder and Associates. The resource model has been delivered to mining consultants Orelogy Pty Ltd for pit optimisation, mine design and scheduling work. An updated Ore Reserve estimate from this area is expected later in the month.
Meanwhile infill and extension drilling along the Far West area is scheduled for completion near the end of July. Resource modelling work to upgrade the low level Inferred Resources to Measured and Indicated Resources will commence once final assay results are received. Aurox anticipates a large upgrade of the Inferred Resources to Measured and Indicated Resource status thereby making the Far West area eligible for Ore Reserve conversion.
A map and corresponding long-section (please refer to figure 2 below) shows the location of the current Balla Balla Project Ore Reserves and Mineral Resources. The long-section also depicts the location of 'target resource tonnages' in anticipation of completion of the full drilling programme.
Contact
Charles Schaus
Telephone: +61-8-9382-4477
Facsimile: +61-8-9383-2012
Email address: mail@aurox.com.au
Visit the Aurox website: www.aurox.com.au
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