Adelaide, South Australia:
Base metals explorer Mithril Resources Ltd (ASX: MTH) is pleased to advise that assay results from a surface channel sample (Figure 1) at the newly identified El Gordo* prospect (see ASX Announcement dated 22 May 2012) returned 7 metres grading 0.94% copper, 2.8g/t silver and 0.05g/t gold. The El Gordo* prospect is located within the Company’s Illogwa IOCG Area, approximately 175 kilometres east of Alice Springs in the Northern Territory.
The result has been obtained from a composite of seven 1-metre continuous surface samples collected from a north-south oriented traverse across one of the mineralised horizons at EL Gordo. The southernmost 1m sample returned 3% copper suggesting the mineralisation is not closed off to the south (See Notes).
Assay results have also been returned from surface grab sampling east of El Gordo at the recently found Mini-Me* prospect. Individual surface grab samples have commonly returned over 0.1% copper (maximum of 5% copper) over a strike length of 2km with gold ranging from 0.01g/t to 0.28g/t (Figure 2).
Ongoing geological mapping and surface sampling continues to find new copper mineralisation throughout the Illogwa ICOG area. The most recent is the Nigel* prospect, located 5km to the west of El Gordo where secondary copper mineralisation has been found in sub-cropping quartz-iron veins (Figure 2).
Reverse circulation and diamond drilling to test beneath outcropping copper mineralisation at the El Gordo, Bigglesworth, Austin*, Mini Me and Nigel Prospects is scheduled to commence in late July following the completion of heritage surveys.
The Board of Directors welcome Mithril’s new Managing Director Mr David Hutton. http://www.mithrilresources.com.au/pdfs/2012-03-15-05065120120315_New_MD_David_Hutton.pdf
Mithril’s new Managing Director, Mr David Hutton, commenced with the company on the 18th of June.
Commenting on the release of further positive results from Illogwa, Mr Hutton said “The confirmation of copper mineralisation at El Gordo is a significant development as it reinforces the Company’s belief in the economic potential of the Illogwa IOCG area. It is rare to find an exploration project of this quality and I look forward to commencement of drilling in the near future”.
*The Austin, El Gordo, Nigel and Mini Me Prospects are located on EL25643 where Mithril may earn an 80% interest under a joint venture with Sammy Resources Pty Ltd, a wholly owned subsidiary of ASX-listed Cazaly Resources Ltd (ASX:CAZ).
Note: The dimensions provided in the above statements relate only to the surface expression of the mineralisation and do not imply a depth extent. The presence of this mapped surface mineralisation and alteration may or may not extend at depth and this can only be confirmed by drilling which is planned in the coming months.
The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr David Hutton, who is a full?time employee of the Company and a Fellow of the Australasian Institute of Mining and Metallurgy. Mr Hutton has more than five years experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”.
Mr Hutton consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
Mithril Resources Ltd is an Australian exploration company focused on the discovery and development of base metal deposits - primarily nickel and copper. Mithril is a frontier explorer in the Northern Territory and Western Australia, with an experienced team operating out of Adelaide.
phone:08 8378 8200
phone: (08) 8267 6888
mobile: 0418 585517
David Hutton, Managing Director, Mithril Resources
P: 08 8378 8200