| Thu 24 May 2007, 17:58 | | EPS - Eastplats - Continuity, width and grade of M |
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EPS - Eastplats - Continuity, width and grade of Merensky Reef confirmed at
Spitskop
EASTERN PLATINUM LIMITED
(Incorporated in Canada)
(Canadian Registration number BC0722783)
(South African Registration number 2007/006318/10)
Share Code TSX: ELR & ISIN: CA2768551038
Share Code AIM: ELR & ISIN: CA2768551038
Share Code JSE: EPS & ISIN: CA2768551038
("Eastplats" or "the Company")
CONTINUITY, WIDTH AND GRADE OF MERENSKY REEF CONFIRMED AT SPITSKOP
Mr. Ian Rozier, President and CEO of Eastern Platinum Limited ("Eastplats") is
pleased to report on the results from the third and fourth batches of assay
results received from the infill drilling programme at the Spitskop platinum
group metals ("PGM") project in South Africa that include assay results from the
Merensky Reef. Spitskop, located near Steelpoort in Mpumalanga Province is a
high grade, platinum and rhodium rich, shallow dipping, surface accessible PGM
deposit with a Measured Resource in the UG2 Reef, and an Indicated Resource in
the Merensky Reef as previously reported.
Confirmatory drilling has been conducted across the property primarily to
further evaluate the grade, reef continuity, dip and content of individual
platinum group elements in the UG2 Reef. The results of the first batch of assay
results from twenty-four UG2 Reef intersections were reported in a news release
dated November 8th, 2006, and assay results from sixty-seven UG2 Reef
intersections were reported on January 30th, 2007. The third and fourth batch of
results from the UG2 were reported on May 16, 2007. Thirty-three holes of the
most recent drilling programme were drilled to intersect the Merensky Reef and
the assay results from fifty-eight Merensky Reef intersections from these holes
are shown in Table 1. The results are summarized as follows:
The drilling and assay results from the Merensky Reef confirm the continuity of
this reef across Spitzkop and that the average grades over the full Merensky
Reef section are consistent with previous work conducted by Impala Platinum and
reported by Eastplats.
The recent assay results confirm that the PGM grades in the Merensky are
consistent with previous work reported by Eastplats and Impala Platinum, as well
as the platinum rich (59%) nature, of the Merensky at Spitskop.
The average weighted average grade of the full Merensky Reef section from the
recent drilling and assay results is 2.43g/t, and the average intersected reef
width is 3.21m.
Although the Merensky reef has a lower average grade than the UG2 Reef, the
Merensky is considerably thicker, with an average intersected full reef width of
3.21m in the recent drilling.
Stated Ian Rozier, President and CEO of Eastern Platinum Limited, "These results
are important in that they greatly increase our confidence in the overall
continuity of the Merensky Reef across Spitskop as well as confirming its high
platinum content; at current metal prices an average grade of 2.4 g/t over 3.2m
becomes extremely interesting."
As part of the ongoing feasibility study for Spitskop, the objectives of the
infill drilling program were to":
- Confirm the continuity of the UG2 Reef;
- Confirm general high PGM grade of the UG2 Reef across the property;
- Confirm the high platinum and rhodium grades in the UG2;
- Evaluate reef thickness, grade and continuity of the Merensky Reef;
- Provide core samples for metallurgical and rock mechanics testing.
Drilling was conducted by Geosearch, a division Transbor (Pty) Ltd. On site
geological work and supervision was carried out by MSA Geoservices under the
direction of Davminex Mineral Consultants (Pty) Ltd. Assaying was conducted by
Set Point Laboratories, S.A.
The data generated from the 2006/7 drill progamme will be used for mine planning
for the Northern Block at Spitskop where the UG2 Reef outcrops on surface and
extends to a depth of 350m at a dip of between 11degrees and 14degrees, and for
longer term mine planning for the deeper sections in the UG2 reef and for mining
the Merensky reef.
With respect to the Merensky Reef the objective in drilling was to obtain two
reef intersections from each hole, one from the motherhole and one from a
deflection hole, with the core from both intersections being sampled and sent
for assaying. This was achieved in all but six of the thirty-three drillholes
that intersected the Merensky.
The assay results for the Merensky are reported on a 4 ELEMENT basis ("4E"),
with average mineral content of individual PGM elements or "prill splits" being
expressed in percentage terms. For purposes of clarity, all the holes drilled
are reported and if no sampling or assaying was undertaken the reasons are
provided.
Summary of drill/assay results from Merensky are appended to this news release
in Table 1. With reference to the reported results, the following should be
noted;
- Merensky Reef widths are "intersected" widths.
- All holes are vertical.
- The Merensky Reef at Spitskop dips between 11degrees and 14degrees.
- Table 1 reports assay results over the full section of Reef.
- The average metal contribution or `prill splits` for the Merensky Reef
intersections are:
* Pt 59%; Pd 30%; Rh 3.2%; and Au 7.5%
Spitskop is envisaged to start as a decline mining operation that will exploit
high grade PGM resources in the UG2 reef at relatively shallow depth without the
requirement for high capital cost shaft mine infrastructure. Spitskop is
situated updip of, and adjacent to, the Kennedy`s Vale project owned by Barplats
Investments Limited ("Barplats"), in which Eastplats owns a 74% indirect
interest, with transactions pending to increase this to 85%. Kennedy`s Vale and
the deeper sections of both properties could utilize the twin vertical shafts
that already exist at Kennedy`s Vale. This infrastructure would result in a
significant reduction in capital costs for the development of deeper sections at
Spitskop.
Eastern Platinum Limited trades on the TSX and AIM Stock Exchanges under the
trading symbol ELR and on the JSE in South Africa under the trading symbol EPS.
The qualified person having prepared the contents of this news release is Mr.
Ian Rozier, B.Sc.(Hons), M.Sc., P.Eng.
For further information contact:
Mr. Ian Rozier, M.Sc., P.Eng., President & CEO
Website: www.eastplats.com
Email: info@eastplats.com
#501-837 West Hastings Street,
Vancouver, BC, Canada, V6C 3N6
Tel: (604) 685-6851, Fax: (604) 685-6493
NOMAD: Canaccord Adams Limited, London
Tel +44 20 7050 6752
Email: Robin.Birchall@canaccordadams.com
Clayton.Bush@canaccordadams.com
Certain statements included herein constitute "forward-looking statements"
within the meaning of applicable Canadian securities legislation. These forward-
looking statements are based on certain assumptions by Eastplats and Barplats
and as such are not a guarantee of future performance. Actual results could
differ materially from those expressed or implied in such forward-looking
statements due to factors such as general economic and market conditions,
increased costs of production and a decline in metal prices. Eastplats is under
no obligation to update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise, except as required by
applicable laws
TABLE 1
SUMMARY OF DRILL/ASSAY DATA - MERENSKY
Hole Depth to Top Av. Grade Intersected
Number of Merensky 4E(g/t) Reef
Reef Thickness (m)
SP10 261.39 3.20 2.44
SP10U7 258.31 4.92 2.19
SP18U4 225.55 1.91 3.35
SP18U6 225.14 1.68 3.98
SP19 176.44 0.94 2.99
SP19U5 176.29 1.15 3.34
SP22 215.81 2.00 9.61
SP22U4 215.66 1.89 8.32
SP25 234.97 5.39 2.47
SP25U2 233.21 1.75 4.20
SP27 108.04 3.59 2.68
SP27U5 107.98 1.65 2.82
SP31 60.83 2.02 3.02
SP31U4 60.85 1.09 3.11
SP34 392.56 1.95 1.93
SP34U2 392.75 3.08 1.74
SP35 324.06 2.85 1.42
SP35U5 323.68 3.81 2.04
SP36 190.39 2.35 0.84
SP35U5 190.49 4.05 1.01
SP37 297.59 3.13 2.81
SP37U3 297.43 1.69 3.40
SP38 41.00 0.77 3.10
SP39 191.04 0.74 3.67
SP39U6 190.76 1.55 2.65
SP40 311.11 2.62 3.69
SP40U6 311.12 1.63 3.58
SP41 597.24 3.17 2.68
SP41U4 596.56 1.94 2.69
SP45 358.24 1.89 3.13
SP45U5 358.23 0.92 3.08
SP46 509.32 1.18 7.33
SP46U4 509.32 0.31 7.41
SP47 275.96 2.89 3.86
SP47U4 275.87 1.82 3.76
SP49 412.31 2.85 2.01
SP49U3 412.55 1.74 1.93
SP50 235.85 2.51 1.82
SP50U1 235.48 5.26 2.00
SP51U3 376.96 4.75 2.84
SP51U4 376.92 1.93 2.92
SP52 363.50 1.62 3.36
SP52U5 363.70 2.93 3.34
SP53 392.47 0.26 0.42
SP54 451.29 2.78 0.30
SP57 47.45 2.14 3.01
SP57U4 47.58 2.38 3.25
SP58 486.16 3.55 2.04
SP58U5 486.19 1.18 2.07
SP59 417.73 4.36 3.37
SP59U5 417.92 2.22 3.09
SP60U1 384.33 1.93 0.94
SP61 235.06 4.48 3.44
SP61U1 235.03 7.10 3.76
SP62U4 330.25 1.60 9.75
SPD01 183.08 0.66 3.16
SPD04U1 2.6352 2.44 3.67
SPD07U2 86.61 2.38 3.27
Date: 24/05/2007 17:00:05 Supplied by www.sharenet.co.za
Produced by the JSE SENS Department .
