Kimberley Metals Limited (ASX:KBL) Update On Mineral Hill Project
Sydney, Jan 14, 2011 AEST (ABN Newswire) - Kimberley Metals Ltd (
ASX:KBL) ("Kimberley", "the Company") is pleased to provide an update on activities at its Mineral Hill mine redevelopment project. The Mineral Hill mine is located approximately 50 kilometres north of Condolbolin in central Western New South Wales.
Metallurgical Drilling Results - Parkers Hill
Kimberley has received assay results from diamond drilling at the Parkers Hill Deposit, at Mineral Hill, conducted in late 2010. The drilling was undertaken following a decision by the Company's Board to adopt a dual track development approach at Mineral Hill as announced to the market in November 2010. The program consisted of two diamond drill holes approximately 50 metres apart for a total of 303.9 metres in the cental and northern portions of the deposit.
The Company has previously established Indicated sulphide resources for the Parkers Hill Deposit of 1.2 million tonnes at 1.9% Cu, 1.2% Pb, 1.2% Zn and 35g/t Ag (0.6% Cu cut-off grade). The most recent program was designed to provide samples for grinding and metallurgical test work.
Hole KMHDD006 targeted volcanics-hosted sulphide mineralisation towards the northern end of the deposit, and both oxide and sulphide base metal mineralisation was encountered for nearly the full length of the drill hole. Best results include 27 metres at 1.8% Cu, 0.2% Pb, 0.3% Zn and 25g/t Ag from 103 metres, and 14 metres at 1.8% Cu, 0.7% Pb, 0.8% Zn and 8g/t Ag from 134 metres.
Hole KMHDD007 targeted predominantly sediments-hosted sulphide mineralisation in the central part of the orebody, with base metal mineralisation once again extending from very near the surface to greater than 120 metres down hole. Best results in this hole include 56 metres at 1.8% Cu, 1.2% Pb, 1.0% Zn and 58g/t Ag from 46 metres, including a particularly high grade intersection of 16 metres at 3.5% Cu from 76 metres, and 7.5 metres at 2.0% Cu, 0.4% Pb, 1.3% Zn and 15g/t Ag from 116 metres.
Parkers Hill Underground Operations
The Parkers Hill deposit is accessed from the main Mineral Hill decline via a drive approximately 130 meters below the surface. The three existing development drives within the orebody provide the opportunity for production to focus on higher grade stopes. Kimberley has appointed mining contractor Pybar to provide underground mining services at Parkers Hill, with the Pybar team on site since early December 2010 to provide sufficient ore on stockpile for copper concentrate poduction in June 2011.
Pearse Project Regulatory Approval Update
Priority work continues on completion of the Environmental Impact Statement (EIS). All environmental specialist investigations have been completed and reports received. The EIS is being expanded to reflect the dual track development of the Parkers Hill underground copperlead-zinc deposit and the Pearse gold-silver open cut. Submission of the EIS is expected within the next month. The regulatory timetable for project approvals remains on-track for mid-2011.
Process Plant Refurbishment
Refurbishment and modifications to the existing process plant at Mineral Hill remain on-target for commissioning and production from mid-2011. Work on the run-of-mine feed bin, primary crusher, and secondary crusher have been completed and electrical upgrade is in progress. Mechanical works are now focused on the conveyors, screens, fine ore bins has commenced. Fabrication of new flotation cells has also commenced. Modifications to the flotation circuit will deliver increased process capacity of up to 250,000 tonnes per annum.
Kimberley Metals has recently appointed an experienced manager for the process plant and has commenced recruitment of all operations staff for Mineral Hill.
For the complete Kimberley Metals Limited including table, please refer to the following link:
http://www.abnnewswire.net/media/en/docs/64984-ASX-KBL-524476.pdf
About KBL Mining Ltd
KBL Mining Ltd (ASX:KBL) is an Australian resource Company listed on the ASX with a focus on producing precious and base metals. KBL's main assets include the Mineral Hill copper-gold-silver-lead-zinc mine near Condobolin in New South Wales and Sorby Hills lead-silver-zinc project in Western Australia. The Company has been operating the refurbished processing plant at Mineral Hill since October 2011 to produce copper-gold concentrates and in 2013 commenced producing a separate lead-silver concentrate. Sorby Hills (KBL holds 75% with Henan Yuguang Gold & Lead Co. Ltd (HYG&L) holding 25%) is a large near surface undeveloped silver-lead deposit close to port infrastructure and a short distance from Asian markets.
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