Melbourne, Feb 19, 2009 AEST (ABN Newswire) - West Wits Mining Limited (ASX:WWI) is delighted to announce it has completed its initial JORC Inferred/Indicated Gold Resource at the Company's Radiant Target ("the Radiant Resource"). West Wits' has obtained independent sign-off for a 232,000 ounce Inferred gold resource at an average grade of 1.70g/t and a 39,000 ounce Indicated gold resource at an average grade of 1.79 g/t, down to an average depth of 300 m across a 1.3 km strike length.
The Radiant Target is an unmined or 'virgin' section of the Kimberley Reef which was identified through the discovery of a proposed mine production forecast plan developed by the former Rand Leases owner, Rand Mines Limited. Due to the closure of the mine in the 1990's this delineated area never underwent mining activity.
The Radiant Resource has a defined 1.3 km strike length at surface and is along-strike of historically-mined and payable Kimberley Reef on the Company's Rand Lease property The Radiant Target was investigated for its potential to provide near surface open cut mining opportunities as well as underground mining opportunities. This initial Radiant Resource was calculated from surface to a 300 m vertical depth, remains open at depth and validates the Company's exploration strategy of focusing on near surface open cut opportunities which may provide early cashflow, as well as targeting unmined "virgin reefs".
The Company is encouraged by the size, grade and shallow depth of the resource. It has been a consistent strategy of the Company to delineate resources from surface to a maximum of 500 m vertical depth where there is a strong possibility of convertibility to reserves.
The mineralised reef horizons within the resource have been identified as the Upper 9 and the combined interval comprising the Lower 9 and 8 Kimberley Reef conglomerate bands, extensively mined elsewhere across the Company's leases. Initial resource studies have identified internal higher-grade channelised zones, which will assist in the delineation of further extensions both at depth and closer to surface within possible open cut boundaries. There is still also significant exploration potential at the Radiant Resource. The Company intends to investigate for mineralisation at depth, at surface outcrop extending west and for parallel mineralised reefs adjacent within historically mined areas east of the current Radiant Resource.
The majority of the resource was assigned an Inferred status due to the need to confirm further understanding of the position of the high grade channelisation. The Company is currently determining with the independent consulting geologist, the most efficient and cost effective methods of upgrading the resource status. An independent engineering consultancy will be selected to assist with scoping studies.
The Company anticipates having further initial resource estimates completed for the Princess and Marquise Targets during the March quarter 2009.
Highlights
- West Wits completes its initial Inferred/Indicated Gold Resource ahead of schedule at the Company's Rand Lease Radiant Target. These resources meet JORC reporting compliance standards.
- The Company has established an initial combined resource of 4.9 million tonnes at an average grade of 1.71 g/t for 271,000 ounces of gold. The resource is categorised as 39,000 ounces of gold as Indicated at an average grade of 1.79 g/t and 232,000 ounces of gold Inferred at an average grade of 1.70 g/t.
- Using a cut-off grade of 2.0 g/t, the Radiant Resource produces 16,000 ounces of gold at an average grade of 2.72 g/t in the Indicated category and 84,000 ounces at an average grade of 2.53 g/t. in the Inferred category.
- The Radiant Resource together with the previously announced Emerald Resource provides a significant upgrade of the Company's total gold resources to 389,000 ounces gold in the Inferred category and 43,000 ounces gold in the Indicated category (refer table 2).
- The Radiant Resource has been developed on unmined "virgin" Kimberley reef, which remains open at depth.
- The Company is encouraged by the size, grade and shallow depth of the resource. Part of the West Wits exploration strategy has been to delineate resources from surface to a maximum of 500 m vertical depth, where there is a strong possibility of converting resources into reserves.
- The Company believes only a small amount of additional surface drilling will be required to upgrade a significant proportion of the Radiant Resource to an Indicated status. This program is now being developed.
Contact
Michael Quinert
Chairman
Tel: +61-3-9824-8166
Fax: +61-3-9824-8161
Grant Ferguson
Executive Director
Tel: +61-3-9824-8166
Fax: +61-3-9824-8161
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