TUC Resources Limited (ASX:TUC) Rare Earth Drill Results Expand Mineralisation Potential

Perth, Sep 7, 2011 AEST (ABN Newswire) - TUC Resources Limited (ASX:TUC) says today that additional zones of higher grade mineralisation with assays of up to 4.45% Rare Earth Oxide, have been intersected two hundred metres to the north of the initial Quantum discovery section. This extends mineralisation along strike, the prospect remains open and further drilling is in progress.

Highlights:

- Significant Total Rare Earth Oxide (TREO) drill intersections Include:

TDD19: 3.2m @ 3.13% TREO from 296m, including 1.2m @ 4.45% TREO from 296m; within 10.4m @ 1.12% TREO from 292.8m;

TDD20: 2.4m @ 2.97% from 296.9m, within 8.3m @ 1.01% TREO from 292m;

TDD21: 0.8m @ 1.24% from 397.6m.

- Drilling has now outlined two separate zones of higher grade mineralisation on section.

- Given the repetitive nature of the mineralisation, it is thought that many more exploration opportunities exist over the +4km length of the prospect area.

- Drilling continues and Infill drilling is planned on-section to target high grade, thick intercepts (+8m).

- Mineralisation remains open to the north and south. Further step out and infill drilling is planned.

Figure 2 (see link at the bottom of the release) shows the repetitious nature of mineralisation. All of these zones will now be targeted in ongoing exploration thus offering increased discovery potential. Planned drilling illustrated on Figure 2 (see link at the bottom of the release) shows how recent higher grade intercepts will be further targeted.

This section is approximately 200m north of high grade intercepts in the initial discovery drilling (See TUC ASX Announcement dated 11 August 2011 and TUC Quarterly Activity Report dated 29 July 2009, for recent summaries of all previous results and progress at Quantum).

Approximately twelve per cent of the TREO distribution at Quantum is the critical rare earth Neodymium. The rare earth distribution at Quantum is very similar to Molycorp's Mountain Pass Mine in the USA.

Recent significant intersections are illustrated on Figures 2 and 3 (see link at the bottom of the release) and relevant hole details are listed in Table 1 (see link at the bottom of the release).

Figure 3 (see link at the bottom of the release) shows a long-section of the Quantum drilling results and plans. Recent extensional results are highlighted in red text. A number of pre-collars are ideally placed for infill and extensional drilling and results to date suggest a strong continuity of mineralisation with a good grade profile. Two pre-collars have been drilled to 1km to the south of the existing drilling focus to provide for a more rapid assessment of size potential.

Figure 4 (see link at the bottom of the release) shows the Quantum prospect's location, TUC tenements, and the regional geological setting, with respect to TUC's other rare earth prospects at Stromberg and Drax (see recent TUC ASX Announcement dated 25 August, for information regarding these recent critical and heavy rare earth discoveries).

For the complete TUC Resources Limited announcement including figures and tables, please view the following link:
http://media.abnnewswire.net/media/en/docs/ASX-TUC-556175.pdf

Contact

Mr Ian Bamborough Managing Director TUC Resources Limited Tel: +61-8-8947-0944 Email: ibamborough@tucresources.com.au