Celamin Holdings NL (ASX:CNL) Trench Assays Confirm Historic Results on the Chaketma Exploration Permit in Tunisia

Melbourne, Feb 13, 2012 AEST (ABN Newswire) - Celamin Holdings NL (ASX:CNL) has received the following report from Celamin Ltd (CL);

As previously announced, Celamin Ltd has completed a trenching program at Gassaa Kebira on the Chaketma Exploration Permit (EP) in Northern Tunisia held and funded jointly with Tunisian Mining Services SARL (TMS).

Analytical results have been now been received for all five trenches. The location of these trenches is shown in Figure 1 (see link at the bottom of the release) and the results for five trenches are summarised in Table 1 (see link at the bottom of the release) together with the historic results. The detailed sample results for the trenches listed in Table 2 (see link at the bottom of the release). The Celamin/TMS results compare remarkably well with the historic results giving Celamin confidence that results from the earlier exploration can be accepted at face value.

DETAILS

Celamin/TMS have completed five trenches at the same locations as historic trenches at Gassaa Kebira on the Chaketma Exploration Permit (EP). The results are given in Table 1 (see link at the bottom of the release):

The standard of trenching is high; the trenches are dug perpendicular to stratigraphy and sampling to geological boundaries is carried out along channels cut uniformly with an angle-grinder. The position of each sample is determined by hand-held GPS. Sample locations are marked with spray paint for later pick up by a surveyor.

Celamin has compiled the available historic data for the Chaketma project area. However, results are only available for 9 of the 10 trenches within area of the EP (Figure 2 - see link at the bottom of the release). This early work demonstrates the tenor and continuity of the mineralised phosphate unit. The location of this earlier work is shown on Figure 2.

Exploration will now focus on Kef El Louz which has a surface area roughly 2 times the size of Gassaa Kebira. Only limited historic exploration in the form of trenching at four locations on the northern and eastern flanks, and recent mapping by Celamin/TMS has been completed at Kef El Louz. The mapping and detailed field observation suggests that Kef El Louz has a much lower overburden to ore ratio than Gassaa Kebira; 2:1 compared to between 4 and 8:1. A four to six hole reconnaissance drilling program is planned with the combined objectives of confirming the overburden thickness and the tenor of the underlying phosphate horizon (thickness and grade). Should the reconnaissance drilling prove to be successful it will be followed by staged resource definition drilling aimed at delineating sufficient resources to support a mining and milling operation initially for 10 years.

As previously reported in late 2011, Celamin/TMS drilled 12 HQ diamond core holes totaling 1,200 metres at Chaketma. Eleven of the 12 holes intersected potentially economic thicknesses. Empirically, there is a good correlation between the grades in drill holes at Gassaa Kebira and historic trench results.

PROJECT DESCRIPTION

The Chaketma project is located 210km south west of Tunis by road. The bulk of the phosphate is located at the base of a massive limestone unit close to the top of a high segmented plateau, which rises approximately 600m above the valley floor. This plateau extends for approximately 12 kilometres from north to south, and from 900 in 1,200 metres width. The average width of the ridge is 1,000 metres.

The plateau is divided in to distinct domains or prospects by a series of normal faults. Within the Celamin/TMS exploration permit these are from north to south: -

Gassaa Kebira - a basin like feature with an outer rim at 1100 to 1170 metres dipping to the west at 5 to 20 degrees;

Douar Ouled Hamouda - a slump or down faulted block at a height of 875 metres to the east of Gassaa Kebira;

Kef Sidi Ali Ben Oum Ezzine - a prominent pinnacle rising to 1307 metres;

Kef El Louz - a fault bound monocline which dips to the west at 10-15 degrees;

Gassaat Ez Zerbat - the southern most phosphate occurrence in the Chaketma tenement area.

The Chaketma permit area has been mapped in detail. The area is faulted into blocks and tilted plates bordered in some places by high cliffs. The phosphate unit has been identified at all the prospects and is continuous under the limestone overburden.

The limestone cap is from 0 to 153 metres thick in the vertical drill holes. The phosphate unit ranges in thickness from 9 metres to 39 metres with an average of around 15 metres. The strata are relatively flat lying, but have been folded in to a series of broad-open east-west orientated anticlines and synclines then block faulted.

No resource estimate has been made for Chaketma. Continuity of the mineralisation has been demonstrated both by detailed outcrop mapping and trenching and then confirmed by drilling.

Over burden thicknesses can be estimated from outcrop to a level of confidence not often encountered in exploration and estimates of exploration potential can also be made to a degree not found in other styles of mineral deposit.

CORPORATE

The current exploration program is partly funded by CNL pursuant to the terms of the Acquisition Agreement with Celamin Limited. CNL has advanced an additional $600,000 to Celamin Limited in accordance with this agreement.

SAMPLING AND ASSAYING PROCEDURES

Trenches are sampled after geological logging generally at 1-m intervals or to lithological boundaries. These samples were crushed and riffle split and 500g splits were sent to commercial laboratories for analysis.

The samples were then sent to Al Amri Laboratory in Jeddah Saudi Arabia for analysis for major oxides using XRF on fused "buttons".

For the complete Celamin Holdings announcement including tables and figures, please view the following link:
http://media.abnnewswire.net/media/en/docs/ASX-CNL-369083.pdf

Contact

Celamin Holdings NL T: +61-3-9692-7222 F: +61-3-9529-8057 http://celaminnl.com.au