Galaxy Resources Limited (ASX:GXY) Extends Mt Cattlin Mine Life After Resource Upgrade
Perth, Mar 22, 2011 AEST (ABN Newswire) - Galaxy Resources Limited (
ASX:GXY) (PINK:GALXF) is pleased to announce it has lifted the total contained lithium oxide (Li2O) resource at its wholly-owned Mt Cattlin mine by 14% to 197,000 tonnes from its last resource estimate, issued January 2010.
Recent drilling, modelling and evaluation have boosted both resources and reserves at Galaxy's Mt Cattlin lithium focussed project, which is near Ravensthorpe in Western Australia. Total resource tonnes at Mt Cattlin increased by 14.6%, or 2.31 million tonnes from the previous estimate, while the measured and indicated mineral resource was up 12%, or 1.50 million tonnes, to 13.8 million tonnes.
Galaxy Resources Managing Director, Iggy Tan, said the resource increase at Mt Cattlin extends the potential mine life of the spodumene project to 18 years, including inferred resources.
Resource Estimate Upgrade
The geological model was prepared by Galaxy Resources and the estimation was prepared by consultants Hellman and Schofield Pty Ltd (H&S).
This new estimate of contained mineral resources for the Mt Cattlin deposit is 197,000 tonnes of lithium oxide (Li2O) and 6.26 million pounds of tantalum pentoxide (Ta2O5) above a cut off grade of 0.4% lithium oxide, reported below in accordance with the JORC Code and Guidelines. The new estimate has increased the total tonnes for all resources by 2.31 million tonnes, while tonnes in the measured and indicated resource categories have increased by 1.50 million tonnes, or 12% compared to 2010.
The latest resource estimate includes an additional 67 RC holes (5446m) and five diamond holes (390m) compared to the January 2010 estimate. Collar positions of drill holes are shown in Figure 1 (see link at the bottom of the release), with those completed after the January 2010 resource estimate highlighted. Drilling during 2010 focused mainly on the North West Zone, which accounts for the bulk of the resource increase. Some infill drilling was completed in other areas to extend known mineralised zones or upgrade resource categories.
For the complete Galaxy announcement including figures and tables, please view the following link:
http://www.abnnewswire.net/media/en/docs/534496.pdf
About Galaxy Resources Limited
Galaxy Resources Limited (ASX:GXY) (OTCMKTS:GALXF) is an international S&P / ASX 200 Index company with lithium production facilities, hard rock mines and brine assets in Australia, Canada and Argentina. It wholly owns and operates the Mt Cattlin mine in Ravensthorpe Western Australia, which is currently producing spodumene and tantalum concentrate, and the James Bay lithium pegmatite project in Quebec, Canada.
Galaxy is advancing plans to develop the Sal de Vida lithium and potash brine project in Argentina situated in the lithium triangle (where Chile, Argentina and Bolivia meet), which is currently the source of 60% of global lithium production. Sal de Vida has excellent potential as a low cost brine-based lithium carbonate production facility.
Lithium compounds are used in the manufacture of ceramics, glass, and consumer electronics and are an essential cathode material for long life lithium-ion batteries used in hybrid and electric vehicles, as well as mass energy storage systems. Galaxy is bullish about the global lithium demand outlook and is aiming to become a major producer of lithium products.
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