Sydney, Dec 11, 2007 (ABN Newswire) - Paradigm Metals Ltd (ASX: PDM) is pleased to report an increased Inferred Mineral Resource estimate at White Rock of 260,000 tonnes @ 0.7%WO3 and 0.15%SnO2. This is a 75% increase in tonnage compared to the previous Resource calculated in December 2006, with a minor decrease in tungsten grade. The Resource includes a tin component for the first time. The new Resource incorporates all available tungsten and tin drill hole information based on 52 recent and historical drill holes.
The Mineral Resource has extended the White Rock deposit for a total strike length of 240m. The maximum depth of the Resource is 50m, however 65% of the Mineral Resource lies within 30m of surface. The Mineral Resource occurs in three separate flat-lying skarn lenses.
Highlights:
- An Inferred Mineral Resource of 260,000 tonnes at 0.7%WO3 and 0.15%SnO2 at White Rock has now been calculated on 54 drill holes.
- The new Resource represents a 75% increase in tonnage on the previous estimate with only a minor decrease in tungsten grade, with tin reported for the first time. Almost two thirds of the Mineral Resource lies within 30 metres of surface. A scoping study to assess the project economics is to be initiated immediately.
- Mineralisation is open to the north, and further potential to expand the resource exists beneath current drilling levels. Further RC drilling is scheduled for Q1 2008. Metallurgical tests are expected shortly for the two most abundant skarn types.
- Other projects: Field work is continuing on the Paradigm-Exco tenements near Cloncurry with sampling and mapping of the uraniferous Toolebuc Limestone. At Frogmore, an airborne EM survey (VTEM) is now scheduled for early January.
Metallurgical testwork
Metallurgical testwork results are expected shortly for the two dominant skarn types (Table 1) utilising magnetic and gravity separation techniques. Tungsten occurs as a mix of scheelite (CaWO4) and ferberite (FeWO4) both of which have a high specific gravity (SG of 6 and 7 g/cc, respectively). Ferberite is weakly magnetic.
White Rock Potential
The White Rock Resource, although relatively small at this stage, remains well located and should be easy to mine. It is also of an attractive grade. Preliminary metallurgical testwork results have indicated that the process flowsheet may be relatively simple, although this requires confirmation with further testing. The Company will begin a scoping study immediately to assess the economics of the current project.
There are also several exploration opportunities to further expand the Resource at White Rock.
Mineralisation is open to the north beyond the last line of drilling. Repetitions of skarn possibly occur under the granite sill beneath the current level of drilling (see long section - Figure 1). Tungsten mineralisation was intersected within a granite host in drill hole TCL001 (2.4m @ 0.8% WO3) which offers an additional style of exploration target (see long section - Figure 1). This mineralisation was not included in the Resource calculation.
Gold assays are still awaited for all of the recent Paradigm drill holes. Limited gold assays of previous drill holes indicate the green-brown skarn is gold bearing (best of 3m @ 1.4g/tAu).
In addition to White Rock, a number of small tungsten occurrences within 10km of White Rock on Paradigm's tenements will be reassessed.
Cloncurry Uranium
Fieldwork is continuing at Cloncurry on the Exco-Paradigm exploration permits, consisting of rock chip and scintillometer mapping of the Toolebuc Limestone to prioritise areas for drilling. Results will be released to the market when assays are available. Aircore drilling will now be postponed until early next year due to current unfavourable weather.
Frogmore Base Metals
An airborne EM survey (VTEM) is scheduled for early January to identify new sulphide targets around the Frogmore copper vein system.
Please view the entire announcement including table data and charts at Paradigm Metals Website:
http://www.paradigmmetals.com.au/IRM/content/Home.html
