| Wed 10 Oct 2007, 8:38 | | TEL - Teal Exploration & Mining Inc - Kalumines` L |
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TEL - Teal Exploration & Mining Inc - Kalumines` Lupoto Copper Project -
Drilling Update
TEAL Exploration & Mining Inc.
Corporate Access Number: 31403
ISIN: CA8781511099
(Incorporated in Yukon, Canada on 1 June 2005)
SA Company Registration Number: 2006/003229/10
JSE share code: TEL
JSE short name: TEAL
KALUMINES` LUPOTO COPPER PROJECT - DRILLING UPDATE
TEAL Exploration & Mining Incorporated (TSX-"TL") (JSE-"TEL") ("TEAL") has
announced further high-grade exploration drilling intersections at the
Lupoto Copper Project, which forms part of TEAL`s 60%-owned Kalumines
Copper-Cobalt Project ("Kalumines") in the Democratic Republic of the Congo
("DRC").
Phases 1 and 2 of the drilling program have been completed: these phases
confirmed and verified the historical mineral resource estimate for the
Lupoto Copper Project; while a further phase 3 drill program, aimed at
increasing the resource, has started. TEAL`s existing mining licence for
Kalumines is located 25km north-west of Lubumbashi and covers a surface
area of 77km2. The licence hosts four near surface exposures of copper
mineralization, namely: Lupoto, Kasonta, Niamumenda (all within a few
kilometres from each other) and Karavia. Kalumines is a 60:40 joint venture
with La Generale des Carrieres et des Mines ("Gecamines").
Historical mineral resources were previously reported for the four known
copper prospects at Kalumines. The Inferred Mineral Resource estimates are
shown below:
TABLE 1: INFERRED MINERAL RESOURCE (HISTORICAL)
Lupoto 6.70 mt @ 3.13 % T Cu
Kasonta 1.50 mt @ 5.18 % T Cu
Karavia 0.50 mt @ 3.92 % T Cu
Niamumenda 0.04 mt @ 5.38 % T Cu
Phase 1 verification drilling program
The aim of the phase 1 drilling program was to verify the previously
drilled resource, defined by Gecamines, on the Lupoto prospect. Twelve twin
boreholes were drilled and further drilling comprised closer spaced
boreholes at 50 metre intervals between the previously drilled boreholes.
The phase 1 drilling program also included verification boreholes in the
area defined for rapid-entry open-pit mining. A total of 2,485 metres were
drilled, comprising 22 reverse circulation holes and 10 diamond drill
holes. Geological logging and sampling of the borehole core and chip
samples were completed and analytical results are in the process of being
received.
The Kalumines prospect area occurs within a wide kite-shaped anticline zone
cored by Roches Argilo-Talcqueuse ("RAT") and containing numerous rafts of
Mine Series rocks, comprising more than 26km of strike. TEAL`s exploration
program has also identified further exposures of copper mineralization, of
which the occurrence at Bumen, not more than about 1,000 metres east of
Lupoto, is encouraging. Further exploration work on the property,
comprising geological mapping and geochemical sampling, is in progress.
The Lupoto Copper Project has been drilled in the past by Union Miniere du
Haut Katanga ("UMHK") and Gecamines. A total of 73 diamond drill holes
totaling over 9,100 metres were drilled between 1923 and 1967, while some
additional drilling occurred until 1977. Most of the drilling, where drill
fences were completed at 100 metre intervals, was focused on the southern
portion of the project where the surface mineralization was best developed.
The high grade Karavia prospect was mined on a small-scale, between 1959
and 1963, by UMHK.
Phase 2 - Infill drilling program between lines N000 and N700
The objective of the phase 2 drilling program was to decrease the drill
spacing to 50 metre line intervals to outline the resource more accurately,
which will ultimately assist in defining the resource in the southern
portion of the Lupoto Copper Project. A total of 4,906 metres were drilled,
comprising 46 boreholes, 28 reverse circulation holes and 18 diamond drill
holes. The drill program has been completed and analytical results are
being received.
Initial results of this completed drilling program, with a comparison of
the results of previously drilled boreholes are shown in Table 2, which
refers to the schematic sections for the central limb at the Lupoto Copper
Project. A good comparison between the previously drilled borehole
intersections and the TEAL drilled boreholes is evident.
Phase 3 - Expansion drilling program between line N700 and N1250
The aim of the phase 3 expansion drilling program is to expand the Lupoto
resource to the north on both limbs, to define possible copper
mineralization on the eastern raft, and to define the hinge zone to the
south of line N000. An initial 5,000 metres of drilling is underway, of
which 2,000 metres has been drilled to date, comprising 16 reverse
circulation drill holes. The reverse circulation chips are presently being
logged and samples are being prepared for submission to the independent
laboratory. Initial results from the borehole intersections are shown in
Table 3.
TABLE 2: SELECTED DRILL RESULTS OF THE LUPOTO EAST LIMB
Section Borehole No. Depth Drill Cu Co (%)
from (m) width (%)
(m)
N000 LPOD 001 6.6 2.7 11.2 0.11
LPOD 001 23 13 6.4 0.11
N000 LPO 152* 49.5 12.8 1.21 0.14
N000 LPO 153* 39.2 10.6 2.09 0.01
N000 LPO 134* 11.2 24.6 2.83 0.21
N450 LPDR 028 66 16 3.33 0.01
N450 LPRD 029 21 16 3.31 0.01
LPRD 029 46 31 2.88 0.01
N500 LPO 123* 78.7 22.6 5.12 0.22
LPO 123* 104.4 11.8 8.86 0.25
LPO 123* 131.8 22.5 1.71 0.25
N500 LPO 106* 65.6 54.4 4.97 0.24
N500 LPO 140* 27.9 29.7 6.39 0.33
N500 LPO 141* 1.7 30.8 5.29 0.19
N550 LPOR 005 65 25 5.6 0.01
N550 LPOR 003 4 5 1.66 0.01
N550 LPOR 001 30 49 6.76 0.01
N600 LPO 139* 74.1 53.1 4.68 0.31
N600 LPO 103b* 48 23.4 4.29 0.24
LPO 103b* 74.4 50.6 3.46 0.24
N600 LPO 116* 26.8 15.1 1.51 0.12
LPO 116* 45.1 20.7 5.79 0.12
LPO 116* 71.3 18 6.52 0.2
LPO 116* 91.5 17.6 1.05 0.2
N600 LPO 104* 22.7 36.5 7.18 0.21
N600 LPO 109* 29.6 2.6 2.2 0.13
LPO 109* 34.7 7.9 6.13 0.13
N650 LPRD 034 140 26 5.17 0.01
N650 LPRD 004 100 40 7.08 0.01
N650 LPRD 035 34 21 3.9 0.01
* UMHK/Gecamines boreholes drilled previously (historical results)
Cobalt at 0.01% is below detection
As the information is not yet available, TEAL will report "true widths" of
intersections when the 43-101 compliant resource is completed
TABLE 3: DRILL THICKNESS OF COPPER MINERALIZATION
Borehole No. Drill thickness
LPR 038 38m
LPR 039 30m
LPR 040 15m and 18m
LPR 041 41m and 15m
LPO 150* 13.5 m @ 1.83% T Cu, 0.36% T Co
LPO 151* 23.8 m @ 6.80% T Cu, 0.13% T Co
*Previously drilled boreholes and analytical results
Geological modeling and resource estimation
TEAL has appointed an independent consultant to conduct the database
verification, geological modeling, ore body modeling and resource
estimation work. A geological model has been created and the ore body has
already been modeled for the Lupoto Copper Project between grid lines N000
to N700. Resource estimation work has also commenced.
Mining and processing
An initial phase of open-pit mining at the Lupoto Copper Project has
started and is currently ramping up to a proposed full production rate of
110,000 m3 per month. Good progress has been made on the new operation,
which is a credit to all TEAL stakeholders, including the authorities in
the DRC, local suppliers as well as all contractors and employees. The
copper ore concentrate is currently produced through manual hand sorting
and a mechanized screening plant is being installed, which will enhance the
efficiencies of sorting the lumpy copper ore and increase production. The
copper ore concentrate is being toll processed at furnaces in Lubumbashi
until TEAL`s electric arc furnace is commissioned, which is expected later
this month. The furnace has the capacity to produce approximately 5,000
tonnes per year of `black copper` ingots grading up to 95% copper.
A full feasibility study on a larger open pit mining operation at Lupoto,
together with a dedicated processing facility, is in progress and is
scheduled for completion after the verification and in-fill resource
drilling, as well as the metallurgical test-work, have been concluded.
These recent analytical results are certified by ALS Chemex Laboratory in
Johannesburg, South Africa an internationally accredited facility. TEAL
uses standard procedures for the drill sampling, including the appropriate
use of Certified Reference Materials, field duplicates and blank samples.
Mr. Claus Schlegel, Pr.Nat.Sci (No. 400149/90), the Company`s Vice
President: Exploration and Business Development and a 43-101 "qualified
person" as defined by the Canadian National Instrument 43-101, has reviewed
the technical material contained herein.
NOTES:
TEAL is incorporated under the laws of the Yukon, Canada and its common
shares are listed on the Toronto Stock Exchange ("TSX") and the JSE Limited
("JSE"). The common shares of the Company trade under the symbol "TL" on
the TSX and "TEL" on the JSE.
TEAL is a mineral development and exploration company with development
projects and exploration areas in Namibia, Zambia and the DRC. TEAL has a
portfolio of base and precious metal development projects and complementary
exploration areas, and the Company continues to seek other opportunities,
mainly in southern and central Africa.
TEAL has targeted specific core projects: the Konkola North Copper Project
in Zambia; the Otjikoto Gold Project in Namibia; and the Kalumines Copper-
Cobalt Project in the DRC. TEAL also has interests in various other mineral
licence areas in Zambia and in Namibia on which the Company continues
drilling and other exploration activities.
ADDITIONAL TEAL INFORMATION CAN BE FOUND AT: www.tealmining.com
For further details contact:
Julian Gwillim (VP: Investor Relations and Corporate Development) on +27 82
4524 389 (SA); or julian@tealmining.com
or
Rick Menell (President and CEO) on +27 82 450 2301; or rick@tealmining.com
Tuesday, October 9, 2007
Date: 10/10/2007 08:38:49 Produced by the JSE SENS Department.
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