| Thu 8 Feb 2001, 0:00 | | Messina Reports Updated Pgm Resource For Messina P |
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News Release
MESSINA LIMITED
Messina Limited Reports Updated PGM Resource for Messina Platinum Project
Johannesburg, 8 February 2001: Following an independent audit, Messina Limited
announced today an updated platinum group metals ("PGM") resource of 15.9
million ounces at its Messina platinum project in the Northern Province,
representing a 60% increase from previous estimates. Of this updated resource,
approximately 8.2 million ounces are in the measured and indicated category
contained in 41.6 million tonnes at an average grade of 6.1 grams per tonne.
Messina currently consists of 4 separate project areas (Voorspoed, Doornvlei,
Zebediela and Voorspoed East) all located within the Bushveld Complex. Each
project area hosts the Merensky and UG2 Chromitite reefs which are the most
prolific PGM producing reefs in the world. Previous resource estimates at the
Messina project were based on the Voorspoed and Doornvlei areas only. Resource
calculations include the 5 PGMs (platinum, palladium, rhodium, iridium and
ruthenium) plus gold, but excludes by-product nickel and copper. The 5 PGMs
account for well over 95% of the contained precious metal content of the
resource.
The following table summarizes the updated 5 PGM plus gold resource:
Measured and Indicated
Project Area Tonnes Grade Ounces
(000's) (g/T) (000's)
Voorspoed
Merensky 10,900 5.70 2,000
UG2 15,500 6.72 3,350
Doornvlei
Merensky 5,730 4.43 816
UG2 9,450 6.65 2,020
Zebediela
Merensky
UG2
Voorspoed East.
Merensky
UG2
All Areas
Merensky 16,630 5.27 2,816
UG2 24,950 6.69 5,370
TOTALS 41,580 6.12 8,186
Inferred
Project Area Tonnes Grade Ounces
(000's) (g/T) (000's)
Voorspoed
Merensky
UG2
Doornvlei
Merensky 5,670 4.43 804
UG2 9,360 6.65 2,000
Zebediela
Merensky 7,960 4.19 1,070
UG2 11,640 5.62 2,100
Voorspoed East.
Merensky 5,570 5.84 1,050
UG2 4,810 4.19 650
All Areas
Merensky 19,200 4.74 2,924
UG2 25,810 5.72 4,750
TOTALS 45,010 5.30 7,674
Total
Project Area Tonnes Grade Ounces
(000's) (g/T) (000's)
Voorspoed
Merensky 10,900 5.70 2,000
UG2 15,500 6.72 3,350
Doornvlei
Merensky 11,400 4.43 1,620
UG2 18,810 6.65 4,020
Zebediela
Merensky 7,960 4.19 1,070
UG2 11,640 5.62 2,100
Voorspoed East.
Merensky 5,570 5.84 1,050
UG2 4,810 4.19 650
All Areas
Merensky 35,830 4.98 5,740
UG2 50,760 6.20 10,120
TOTALS 86,590 5.70 15,860
This resource was independently verified by Professor Danie Krige who is best
known for developing the Kriging system of grade estimation which bears his
name. Professor Krige has over 50 years of experience in mine evaluation.
The resource is based on drilling by Impala Platinum Ltd. and takes into
account underground mining dilution associated with mining widths ranging from
1.0 to 1.5 metres which are typical of the Bushveld Complex. The resource is
calculated down to 1,000 metres below surface. The deepest intersection to
date is at 1550 which yielded 1.72 metres grading 4.9 grams per tonne. The
Merensky and UG2 reefs, if projected at the current dips, would remain within
each of the four project areas to well below 2000 metres, still within
practised mining depths elsewhere on the Bushveld complex.
In early 2000, SouthernEra Resources Limited (which now owns 70.4 percent of
Messina Limited) completed a bankable feasibility study on Messina's Voorspoed
project which was chosen for its extensive infrastructure and the significant
underground development work that had already been completed. The feasibility
study was based on the Voorspoed resource to a depth of only 575 metres,
resulting in a planned production rate of 159,000 ounces of 5 PGMs plus gold
with an estimated average operating cost of US$150 per ounce of payable metal
(net of nickel and copper by-product credits) and a mine life of 17 years. The
mine is currently under construction with a planned commercial start-up in
early 2003.
Ongoing work at the mine has verified much of the data in the feasibility study
and has increased confidence in the estimation methods used in the resource
calculation. Both the UG2 and Merensky reefs have recently been exposed on two
levels at the main Voorspoed shaft. The reefs dip at 60 degrees with the
result that relatively little waste development is required for access to the
orebodies.
Messina Limited is listed on the Johannesburg Stock Exchange under the symbol
MES. SouthernEra Resources Limited is a diamond mining and exploration company
and an emerging platinum group metals producer. The common shares of
SouthernEra are traded under the symbol SUF on the Toronto Stock Exchange.
FOR FURTHER INFORMATION PLEASE CONTACT:
SouthernEra Resources Limited
Christopher M.H. Jennings, Chairman at
Telephone: (082) 600-5792; or
Rudi P. Fronk, Director at
Telephone: (091) 416 359-9282
Fax: (091) 416 359-9141
e-mail: inbox@southernera.com
