Exploration to continue next spring at Back Lake Project, Northwest Territories, Canada
-- Munn Lake Kimberlite Sill Drilling Results --
TORONTO, Sept. 30 /CNW/ - SouthernEra Resources Limited (SUF-TSE) wishes
to announce that further exploration will commence this following spring on
the Back Lake project to locate the primary kimberlite sources of the Margaret
Lake and north Margaret Lake kimberlitic indicator mineral trains. Recent
diamond drilling and ground geophysical programmes, completed in the Munn Lake
area, at the company's joint ventured Back Lake project, Northwest
Territories, traced the Munn Lake kimberlite sill for a further 950 metres
giving a total length of 1.3 km, with thicknesses ranging between 12 metres
and 0.06 metres. No further testing is currently planned on this sill.
The Back Lake diamond project is a joint venture between SouthernEra
Resources Limited, Island-Arc Resources Corporation and Kalahari Resources
Incorporated. SouthernEra is the Operator of the project.
The purpose of the drilling programme was to follow up on the March, 1999
discovery of the Munn Lake kimberlite sill to define the strike and down-dip
continuity of the sill as well as its thickness on both the northern and
southern shores of Munn Lake. During March, ten diamond drill core holes,
drilled within an area of 150m x 300m on the ice over a small bay on Munn
Lake, defined a kimberlite sill that varied in true thickness from 12m to
0.25m. The shallow-dipping, northwest-striking kimberlite sill (dipping dyke)
returned excellent microdiamond counts with a majority of the diamonds of very
good white color and quality (see news release dated 8th June, 1999).
During August and September ten drill core holes tested the trend of the
sill to the southeast of Munn Lake on land (see attached map). Results
indicate the sill extends approximately 950m south of Munn Lake which, added
to the 350m strike length defined during the Spring drill programme, gives a
total strike length of 1,300m. The sill thickness for the land-based portion
ranges between 1.86m to 0.06m.
A further four drill core holes tested the northwesterly projection of
the kimberlite sill and a linear ground magnetic and electromagnetic
geophysical anomaly that is located up-ice of a kimberlitic indicator mineral
train on the northern shore of Munn Lake. No kimberlite was intersected which
suggests the mineral train may be part of the Margaret Lake train.
The Munn Lake kimberlite sill is a thin, but persistent sill body that is
best developed under the bay at Munn Lake. Based on the overall narrow
thickness of the kimberlite sill, no further testing of the sill will be
completed in the near future.
Further Exploration Plans
-------------------------
The objective of further diamond exploration on the Back Lake project
over the next six months will be as follows:
- Exploration to locate the primary kimberlite sources to the Margaret
Lake and north Margaret Lake kimberlitic indicator trains will
commence during the winter months when there is sufficient ice on the
lakes to complete the surveys. During Spring 1999, till samples were
collected from the bottom of Margaret Lake to define and locate the
up-ice cut-off point of a kimberlitic indicator mineral train defined
on the western shoreline area of Margaret Lake. A 100m spaced line of
till samples was collected 1km to 1.5km offshore in Margaret Lake
utilizing a sonic drill. No kimberlite indicators were recovered from
the samples, suggesting that the primary kimberlite sources of the
indicators possibly occur within 1.5km of the Margaret Lake shoreline.
In addition, a total of 40 till samples were collected this past
summer to further define a new 200m wide kimberlitic indicator mineral
train located on the northern side of Margaret Lake.
- Two bathymetry lows (topographic depressions) occurring within the
area of the kimberlite sill at the bottom of Munn Lake will be drill
tested.
- A number of subtle magnetic and electromagnetic only airborne
geophysical targets indicative of kimberlite pipe intrusions remain
to be tested.
Island-Arc and Kalahari financed the summer exploration programme
pursuant to an agreement announced 20th July, 1999 whereby Island-Arc and
Kalahari may increase their interest in the project from their present
aggregate 30% carried interest by earning a joint 10% working interest by
funding $750,000 in exploration on the project. To-date, Island-Arc and
Kalahari have contributed approximately $375,000 of the earn-in requirement,
earning a joint vested working interest of approximately 5% in the project.
Upon completion of the $750,000 working interest earn-in, the interests in the
Back Lake project will be:
SouthernEra 60%
Island-Arc 15% (10.62% carried)
Kalahari 25% (19.38% carried)
Since its formation in 1992 as a diamond exploration and development
company, SouthernEra Resources Limited has become one of the world's leading
diamond producers through its Marsfontein and Klipspringer properties in South
Africa. The Company's strategic goal is to increase its long-term revenue and
growth potential from both diamond and platinum mining. The Company holds an
excellent portfolio of properties and projects in South Africa, Angola,
Zimbabwe, Botswana, Brazil, Uruguay and in Canada's Northwest Territories. |
