WESTERN PLAINS RESOURCES
Media release 06 June 08
Grant of mineral lease for Peculiar Knob DSO deposit in South Australia
Western Plains Resources Ltd (ASX:WPG) announced today it has received an offer from Primary Industries and Resources of South Australia (PIRSA) for the grant of a mineral lease covering its flagship DSO iron ore deposit south east of Coober Pedy.
WPG has received PIRSA?s offer of a mining lease covering the Peculiar Knob direct shipping iron ore deposit south east of Coober Pedy in South Australia. WPG completed its bankable feasibility study for the development of Peculiar Knob in September 2007 and this will be the Company?s first mining operation. The mineral resource estimates for Peculiar Knob are set out in Table 1.
Table 1
Mineral Resource Estimate ? Peculiar Knob
Category |
Million Tonnes |
Fe
% |
P
% |
SiO2
% |
Al2O3
% |
LOI
% |
Measured resource
Indicated resource
Inferred resource |
13.4
4.1
1.5 |
63.7
63.4
64.5 |
0.01
0.02
0.02 |
7.4
8.2
6.0 |
0.3
0.2
0.3 |
0.5
0.4
0.3 |
Total resource |
19.0 |
63.7 |
0.02 |
7.5 |
0.3 |
0.5 |
WPG is well advanced with plans for the construction of haul roads, its camp, project water supply, and other essential infrastructure including crusher plant and rail siding for this mine. The mining and rehabilitation plan (MARP) is nearing completion and all documentation including the MARP will be lodged around the end of June.
WPG?s other DSO deposits are the Buzzard and Tui deposits at Hawks Nest. The combined resource estimates for all three deposits are shown in Table 2.
Table 2
Total Mineral Resource Estimates, Peculiar Knob, Buzzard and Tui DSO Deposits
Knob, Buzzard and Tui DSO Deposits
Resource
Category |
Tonnes
(million) |
Grade |
Fe% |
SiO2% |
Al2O3% |
P% |
LOI% |
|
Measured |
25.5 |
62.9 |
7.7 |
0.8 |
0.03 |
0.7 |
Indicated |
9.3 |
61.6 |
9.5 |
0.7 |
0.05 |
0.8 |
Inferred |
2.6 |
63.0 |
7.8 |
0.5 |
0.04 |
0.5 |
TOTAL |
37.4 |
62.6 |
8.2 |
0.8 |
0.03 |
0.7 |
The resource estimate shown in Tables 1 and 2 have been prepared using a 55% Fe cut-off grade.
Further Information
For further information please contact WPG?s Executive Chairman Bob Duffin, on (02) 9251 1044 or 0412 234 684, or Heath Roberts, Executive Director and Company Secretary on (02) 9247 7359 or 0419 473 925.
Doug Macdonald
0424 255 959
Capital Group
Level 5, 55 Harrington St
The Rocks Sydney 2000
02 9252 3900