Good News
Attention Business Editors:
SouthernEra Reports Updated PGM Resource for Messina
TORONTO, Feb. 8 /CNW/ - Following an independent audit, SouthernEra
announced today an updated platinum group metals ("PGM") resource of 15.9
million ounces at its 70.4% owned Messina project in South Africa,
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 Kafferskraal East) all located within the famous
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:
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Measured and Indicated Inferred Total
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Project Tonnes Grade Ounces Tonnes Grade Ounces Tonnes Grade Ounces
Area (000's) (g/T)(000's) (000's) (g/T)(000's) (000's) (g/T) (000's)
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Voorspoed
Merensky 10,900 5.70 2,000 10,900 5.70 2,000
UG2 15,500 6.72 3,350 15,500 6.72 3,350
Doornvlei
Merensky 5,730 4.43 816 5,670 4.43 804 11,400 4.43 1,620
UG2 9,450 6.65 2,020 9,360 6.65 2,000 18,810 6.65 4,020
Zebediela
Merensky 7,960 4.19 1,070 7,960 4.19 1,070
UG2 11,640 5.62 2,100 11,640 5.62 2,100
Kafferskraal E.
Merensky 5,570 5.84 1,050 5,570 5.84 1,050
UG2 4,810 4.19 650 4,810 4.19 650
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All Areas
Merensky 16,630 5.27 2,816 19,200 4.74 2,924 35,830 4.98 5,740
UG2 24,950 6.69 5,370 25,810 5.72 4,750 50,760 6.20 10,120
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TOTALS 41,580 6.12 8,186 45,010 5.30 7,674 86,590 5.70 15,860
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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. of South Africa
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 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.
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.
SouthernEra owns 70.4 percent of Messina Limited, which is listed on the
Johannesburg Stock Exchange under the symbol MES.
%SEDAR: 00004535E
-0- 02/08/2001 |
