New Bauxite Mineralisation Identified in the Darling Range
Perth, Jan 16, 2014 AEST (ABN Newswire) - Bauxite Resources Limited (
ASX:BAU) (BXRDF:OTCMKTS) ("BRL" or the "Company") is pleased to provide an update on recent exploration drilling activities throughout its Darling Range tenements.
Exploration vacuum drilling completed during November and December 2013 has identified significant bauxite mineralisation on the Company's new "Dionysus" bauxite project in the northern Darling Range, and on a number of properties in the Wandering - Pingelly region which is located in the eastern Darling Range, Western Australia (see Figure 1 in link below).
The exploration project areas are contained within the Company's joint venture with HD Mining & Investments Pty Ltd, (HDM) the wholly owned subsidiary of Shandong Bureau No.1 Institute for Prospecting of Geology & Minerals (Shandong). BRL maintains 100% interest in other minerals.
Dionysus Project Exploration Area
An exploration drilling campaign has been completed on private farmland approximately 120km north east of Perth on exploration licence E70/3405. Access from Perth is via the Great Northern Highway followed by the Calingiri West Road.
The exploration program comprised 201 vertical vacuum drill holes completed for 1,333.5 metres on a nominal 320m x 160m or 320m x 320m drill pattern.
Approximately 37% of the holes display greater than 25% available alumina over at least 1m thickness. The bauxite within these significant holes averages 3m, up to a maximum of 9m in thickness. The mineralised zones are shallow with limited overburden.
Significant intersections include:
- 9m @ 32.2% available alumina, 43.0% total alumina, 2.1% reactive silica from 2.5m in hole DHVBRL0679
- 7m @ 38.3% available alumina, 49.1% total alumina, 2.3% reactive silica from 1m in hole DHVBRL0560
- 5.5m @ 35.7% available alumina, 48.8% total alumina, 3.3% reactive silica from 0.5m in hole DHVBRL0580
- 6.5m @ 34% available alumina, 41.8% total alumina, 2.0% reactive silica from 1.5m in hole DHVBRL0596
The assay results quoted have been achieved without the aid of any beneficiation processes. Refer to Table 1 for all significant intersections.
Dionysus represents a new bauxite project for the Company and its JV Partner.
Wandering - Pingelly Exploration Drilling Area (East Darling Range)
Reconnaissance drilling was completed on a number of private land holdings on exploration licences E70/3890 and E70/3180, between the townships of Wandering and Pingelly, approximately 120km southeast of Perth, with a view to assess bauxite potential and target further exploration in the eastern Darling Range. The program comprised 119 vacuum drill holes for a total of 569 metres, completed on a 320m x 160m spaced grid, or as a series of broad spaced traverses (see Figure 3 in link below).
Approximately 53% of the holes display greater than 25% available alumina over at least 1m thickness. Bauxite up to 13.5m was intersected (average 3.5m), with limited overburden.
Significant intersections include:
- 7m @ 38.1% available alumina, 43.6% total alumina, 2.9% reactive silica from 0.5m in hole DHVBRL0789
- 13.5m @ 33.3% available alumina, 46.6% total alumina, 1.8% reactive silica from 1m in hole DHVBRL0838
- 7.5m @ 35.8% available alumina, 44.8% total alumina, 1.4% reactive silica from 1.5m in hole DHVBRL0842
- 4.5m @ 39.5% available alumina, 44.6% total alumina, 1.9% reactive silica from 1.0m in hole DHVBRL0799
The assay results quoted have been achieved without the aid of any beneficiation processes. Refer to Table 2 in link below for all significant intersections.
Drilling was completed on a nominal 320m x 160m, or a 320m x 320m spaced grid pattern, or as broad spaced traverses (see Figures 2 and 3 for drill hole locations), on a small number of private land holdings. The geological setting is laterite over a predominantly granitic basement with mineralisation tabular in nature, formed by the weathering of the granite or mafic rocks. A bauxite horizon up to 13.5m thickness has been intersected, that is typically covered by 0.5 to 2m of loose overburden. All holes were drilled vertically, with intersected thicknesses considered as true thickness, given the relatively flat lying nature of mineralisation. All samples were analysed using FTIR, with 10% of those displaying greater than 23% available alumina validated by low temperature (148o) caustic digest and ICP analysis for available alumina and reactive silica, and XRF analysis for total alumina and silica. Results have been compiled in conjunction with non-certified standard reference material and field duplicates.
Peter Canterbury, BRL CEO commented on the results: "The Company is encouraged by the results. Drill hole spacing is wide given the reconnaissance nature of the program; however it is has shown intersections of very good bauxite grades and thicknesses. This is very early stage exploration and further follow-up drilling will be required before a resource estimate can be made. Similar to our other deposits at Fortuna and Felicitas this deposit is located on large areas of private farmland where we have exploration access agreements with the landowner and is in close proximity to existing bulk rail infrastructure."
Mr Canterbury added "Not only do we have two new regions with good bauxite potential to supply low temperature refineries, in addition the bauxite we are finding shows real potential as a sweetening bauxite in high temperature refineries which are more common in China and will provide significant processing benefits such as increasing circuit liquor quality and yield as well as energy savings."
Bauxite Market Update
The Indonesian Government confirmed on January 12, 2014, that the ban on bauxite exports from Indonesia will commence immediately. Last year it is estimated approximately 40-45 million tonnes of bauxite was exported from Indonesia to China. The ban will ultimately require additional supply of bauxite to satisfy demand out of China.
Australia logistically is well placed to supply this demand and Western Australia is currently the largest bauxite producing region in the world. With BRL's bauxite resources located near existing rail infrastructure this provides an opportunity for low capital cost and nearer term start-up of direct shipment export of bauxite from Western Australia. Australia's proximity to China means Australia has a logistical advantage to many other alternative supply sources and therefore positions the Company well to take advantage of the increase in demand for Australian bauxite.
To view all results and data, including diagrams, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-BAU-664256.pdf
About Bauxite Resources Limited
Bauxite Resources (ASX:BAU) (OTCMKTS:BXRDF) was established with a substantial tenement holding in Western Australia to develop new bauxite supply for the global alumina/aluminium industry. The Company listed on the Australian Securities Exchange (ASX) in October 2007.
The Darling Range in the south-west of Western Australia (WA) is the world's largest bauxite mining and alumina refining region producing around 20% of the world's alumina. This area has mined bauxite and refined alumina since the 1960s. These industries are leaders in sustainable resource development and represent the fifth largest sector of WA's resource industry.
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