Krucible Metals Limited (ASX:KRB) Quarterly Report For The Period Ended 31 December 2009

Brisbane, Feb 1, 2010 AEST (ABN Newswire) - Krucible Metals Limited (ASX:KRB) is pleased to provide Quarterly Activities Report for the period ended 31 December 2009.

Significant progress has been made in the Scoping Study currently being carried out on the Company's PHM South Phosphate deposit, located close to the operating fertiliser mine and plant at PHOSPHATE HILL (owned by Incitec Pivot).

This Study is expected to be completed in March 2010 but results to date indicate that a mining operation should be viable; provided the Phosphate market continues to improve.

Results of high grade Copper and Gold from float sampling at Pilgrim (reported to ASX on December 2009) have been confirmed with anomalous results from recent sampling of nearby sub outcrop. Results from this follow up rock chip sampling have returned values up to 25.3% Copper, 11.3 g/t Gold & 31.4 g/t Silver.

This exciting area is within the prospective PILGRIM FAULT CORRIDOR and is close to the historic high grade Tick Hill Gold Mine. The virtually unexplored ground at Pilgrim is considered to be very prospective for IOCG (Iron Oxide Copper Gold) mineralisation associated with major structures and magnetic anomalies. This is precisely the type of Copper-Gold Prospect that Krucible intended to discover as noted in the Company's Prospectus in November 2007. Drilling is expected to be carried out in April - June this year.

Drilling at Toomba in the Simpson Desert region has confirmed the presence of Copper mineralisation at the Champ Prospect. Recently a high resolution aeromagnetic / radiometric survey has been flown to better define possible mineralising structures and intrusions, underneath the prevailing sand cover.

Results of surface sampling, carried out in late 2009, have also been encouraging with up to 1.33 g/t Gold returned from lag sampling at Dukes Prospect (located approx. 11km SSW of Champ). A number of IOCG Targets are expected to be generated from geochemical and geophysical work in this frontier terrain, for drill testing in 2010.

Krucible is well placed to advance the exploration and pre-development status of its 100% owned land package in 2010 with adequate cash reserves and no debt.

CORPORATE UPDATE

Krucible held cash resources of A$4.7m at the end of the quarter

The directors of Krucible currently hold 14% of KRB fully paid issued shares (8,553,500)

The top 20 shareholders currently hold approximately 58% of KRB fully paid issued shares

During the quarter a placement of 8.5 million shares at 32 cents per share was completed to raise additional working capital of A$2.7 million.

A number of Institutions have joined the Company share register via the Placement in October 2009 Fosters Stockbroking have issued a positive Research Paper on Krucible and a copy of this document can be viewed on the Company's website at;

http;//www.kruciblemetals.com.au

For the complete Krucible Metals Quarterly Report for the period ended 31 December 2009, please click the link below:
http://www.abnnewswire.net/media/en/docs/62184-ASX-KRB-217673.pdf

Contact

Tony Alston Managing Director Krucible Metals Ltd. Tel: +61-7-4772-5880 Website: www.kruciblemetals.com.au