| Tue 23 Jan 2007, 9:00 | | LON - Lonmin Plc - New PGM mineralisation and dril |
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LON
LOLMI
LON - Lonmin Plc - New PGM mineralisation and drill results from Sudbury PGM
Joint Venture at Denison
Lonmin Plc
(Incorporated in England and Wales)
(Registered in the Republic of South Africa under registration number
1969/000015/10)
JSE code:LON
Issuer Code:LOLMI & ISIN:GB0031192486
("Lonmin")
Lonmin PLC
New PGM mineralisation and drill results from Sudbury PGM Joint Venture at
Denison
Lonmin is pleased to announce the extension of a known zone (9400 Zone) and
discovery of a new narrow subparallel zone (Upper Breccia Zone) of significant
low sulphide high PGM mineralisation on the Denison property close to the
location of the old Crean Hill Mine, see Figure 1. Denison is one of six
properties which comprise the previously announced PGM joint venture with CVRD
Inco Limited in Canada`s Sudbury Basin.
Extension mineralisation to the 9400 Zone has been intersected in 9 holes
drilled from the footwall towards the Sudbury Igneous Complex (SIC) contact. The
zone of mineralisation defined by drilling to date extends from a depth below
surface of 370 metres to 550 metres, has a strike length of 100 metres and
appears to have a vertical plunge. The PGM mineralisation is associated with
thin veins and disseminated nickel-copper sulphides. The mineralisation is open
along strike to the west and to depth.
The Upper Breccia Zone mineralisation has been intersected by 4 holes at depths
between 300 - 400m and is characterized by very low sulphide mineralization
hosted in weakly sheared metabasaltic rocks. The mineralisation is open along
strike and down plunge where it is yet to be tested. Drilling is continuing to
determine the extent of both types of mineralization.
Ian Farmer, Lonmin Chief Strategic Officer commented:
"We are pleased to announce the latest drilling results that extend the known
mineralisation in the area and the discovery of a new type of low sulphide PGM
mineralisation. This type of PGM mineralization may have been overlooked in the
past when exploration was geared to more massive sulphide nickel targets and we
believe that there is further potential to discover similar mineralisation"
Figure1. Map of the Denison Property and drill hole locations
The assay results received to date for the 9400 Zone extension are shown in
Table 1.
Core True Grade
Hole From To length Thickness
Number m m (m) (m)
Pt-Pd- Pt Pd Au g/t % Ni % Cu
Au g/t g/t g/t
LM0008-1 486.7 499.4 12.6 7.3 4.59 2.36 1.85 0.38 2.36 1.82
Including 488.1 494.5 6.4 3.7 6.44 3.51 2.64 0.29 2.75 3.34
LM0010-0 464.6 472.7 8.1 3.4 8.85 3.97 3.79 1.09 0.08 0.02
LM0012-0 Trace
LM0014-0 514.0 544.5 30.5 18.3 3.15 0.94 1.62 0.59 0.64 0.54
Including 514.0 529.3 15.3 9.2 4.01 1.10 2.04 0.86 0.11 0.11
Including 529.3 544.5 15.2 9.1 2.28 0.78 1.20 0.31 1.17 0.96
LM0020-0 500.1 501.0 0.9 0.5 4.67 1.80 2.22 0.65 0.09 0.03
LM0021-0 584.7 585.0 0.3 0.1 1.86 0.46 1.25 0.14 0.25 0.09
and 633.0 637.1 4.1 1.6 1.62 0.67 0.85 0.10 0.65 0.51
LM0021-1 Trace
LM0021-2 Trace
LM0022-0 537.2 548.4 11.2 3.2 33.89 14.72 14.68 4.49 0.21 0.07
Including 537.2 540.3 3.3 0.9 110.10 47.54 47.82 14.74 0.61 0.07
The assay results received to date for the Upper Breccia Zone are shown in
Table 2.
Core True Grade
Hole From To length Thickness
Number m m (m) (m)
Pt-Pd- Pt Pd g/t Au g/t % Ni % Cu
Au g/t g/t
LM0009-0 283.4 298.7 15.3 11.0 1.37 0.49 0.65 0.23 0.07 0.04
Including 283.4 292.5 9.1 6.5 2.10 0.74 1.00 0.35 0.10 0.04
LM0010-0 373.8 380.0 6.2 2.8 17.67 7.09 8.14 2.45 0.23 0.08
LM0018-0 384.0 384.1 0.1 0.1 99.70 37.89 40.97 20.85 1.54 0.51
LM0022-0 435.1 435.3 0.2 0.1 7.99 3.43 2.99 1.57 0.14 0.02
All tabulated assay data has been rounded to two decimal places. Compiled assay
intervals are length weighted. Two additional holes have been drilled for which
complete assay results are pending.
In addition to the drilling on the Denison Property, 3 drill rigs have been
deployed on the Capre, Levack North and McKim properties.
Qualified Persons, Quality Control & Methodology
CVRD Inco Limited, the manager of the joint venture with Lonmin, takes no
responsibility for nor makes any representation or warranty of any kind relating
to the information contained in this news release.
Details of the quality control procedures for these drill results are as
follows: Half core samples are delivered to the ALS Chemex sample preparation
facility in Sudbury, Ontario, where the entire sample is weighed and then
crushed to 70% -10 mesh. ALS Chemex then homogenises the crushed reject by
passing it once through a Jones riffle and then recombines the two halves from
which a 200-250 gram portion is split using the same Jones riffle. The split is
ring pulverised to 85% -200 mesh from which a 100 gram split is sent to their
analytical facilities in Vancouver, British Columbia.
All of the samples with sulphide contents greater than 10% are analysed by their
ME-ICP81 (formerly A6 procedure) for Cu, Ni, Co, Fe, S, As, Pb and Zn (0.2 grams
of sample are fused with 2.6 grams of Na2O2 in zirconium crucibles), for Au, Pt
and Pd by fire assay/ICP (PGM-ICP23) and for low-level As, Pb and Ag by nitric
aqua regia digestion/AAS (AA45). All three procedures are ISO 9002 certified.
Results, which exceed the upper limit of the procedures, are redone by an
appropriate assay method for the element and level of concentration.
Samples with sulphide contents of less than 10% are submitted for the ME-ICP61+
PGM-ICP23 procedure. This package is a total acid digestion that assays for Au,
Pt, Pd, Ag, Al, As, Ba, Be, Bi, Ca, Cd, Co, Cr, Cu, Fe, K, Mg, Mn, Mo, Na, Ni,
P, Pb, S, Sb, Sr, Ti, V, W and Zn. A prepared sample (0.250 gram) is digested
with perchloric, nitric and hydrofluoric acids. The sample is then further
digested in a small amount of hydrochloric acid. This solution is analysed by
inductively coupled plasma-atomic emission spectrometry and the results are
corrected for spectral inter element interferences.
About the joint venture:
Lonmin Plc entered into the joint venture with CVRD Inco Limited in January 2005
exploring for low sulphide high PGE-Au mineralisation on six Inco properties:
Levack North, Trillabelle, Denison, McKim, Capre and Wisner. The joint venture
has targeted a type of PGE-Au mineralisation recently identified in Sudbury
Ontario, where high grades of PGE`s are associated with low levels of copper-
nickel sulphides ("low sulphide high PGE-Au mineralisation"). This type of
mineralisation has become an increasingly higher profile exploration target in
the Sudbury Basin and is being explored, evaluated and in some instances mined
by a number of companies.
Forward-Looking Statements
Any forward looking statements made in this document represent management`s
judgment as to what may occur in the future. However, the group`s actual results
for the current and future fiscal periods and corporate developments will depend
on a number of economic, competitive and other factors including some which will
be outside the control of the group. Such factors could cause the group`s actual
results for current and future periods to differ materially from those expressed
in any forward looking statements made in this document. Unless otherwise
required by applicable law, accounting standards or regulation, we do not
undertake any obligation to update or revise any forward-looking statements,
whether as a result of new information, future developments or otherwise.
Enquiries:
Alex Shorland-Ball +44 (0)207 201 6060
Vice President,
Investor Relations & Communications
ENDS
Date: 23/01/2007 09:00:05 Produced by the JSE SENS Department.
