Last checked at 14 Jun 2012 07:00
Anglesey Mining plc LSE:AYM
13 June 2012
Labrador Iron Mines Commences 2012 Exploration Programme
Drill programs designed to expand and extend resources
Anglesey Mining's 26% owned associate Labrador Iron Mines Holdings Limited ("LIM") is pleased to announce that its exploration field crew has been mobilized at properties in Labrador and Quebec to launch the 2012 exploration programme.
Exploration Programme Objectives
The main objectives of the 2012 exploration programme are to:
* convert historic resources to National Instrument (NI) 43-101 compliant mineral resources, which includes drilling at Houston (currently 22.9 million tonnes of Measured and Indicated mineral resources - see press release dated May 31, 2012), Gill, Malcolm and other nearby deposits, selected on a priority basis to support strategic planning. * acquire geological information to support ongoing geotechnical, metallurgical and hydrogeological interpretations required for detailed mine planning. * delineate historic crushed stockpiles as part of its evaluation as potential process feed sources for the Silver Yards plant. * drill test taconite targets identified in 2011: an initial diamond drill programme (2,400 m) will target taconite iron mineralization in both Quebec and Labrador. * evaluate historical manganese deposits, which will include exploration work and metallurgical testing.
An exploration budget of $8.6 million has been approved for 2012, comprising 11,280 metres (m) of drilling and 3,600 m of trenching, supported by geophysics, in 12 target areas. This represents the largest exploration effort ever undertaken by LIM.
Commenting on the 2012 exploration programme, Rod Cooper, LIM's President and COO, said, "We are extremely excited with this year's exploration programme, which is significantly larger than any previous programme executed by LIM and is designed to contribute to the strategic objectives of LIM. Our team has years of experience successfully completing fieldwork programmes in the Schefferville area and under the leadership of our recently appointed Vice President of Exploration, Michel Cormier, we look forward to a year of milestone results."
For full details of the work programmes please refer to LIM's press release on www.labradorironmines.ca/pdf/06-13-2012-LIM-Exploration-2012 (website).pdf.
About Labrador Iron Mines Holdings Limited (LIM)
Labrador Iron Mines (LIM) is Canada's newest iron ore producer. It owns a portfolio of direct shipping (DSO) iron ore operations and projects located in the prolific Labrador Trough. Initial production commenced at our 100%-owned James Mine in June 2011 and we recorded the sale of 400,000 tonnes of iron ore in our first start-up season. The first full production season commenced on April 2, 2012, with a sales target of 2 million tonnes of iron ore for the 2012 year.
LIM is focused on a strategic and robust growth plan arising from our portfolio of 20 iron ore deposits in Labrador and Quebec, all within 50 kilometres of the town of Schefferville. The James Mine is connected by a direct rail link to the Port of Sept-Iles, Qu©bec. The area also benefits from established infrastructure including the town, airport hydro power and railway service. Starting with the James Mine and leading to the development of the expanding Houston flagship project, its objective is to ramp up production and sales towards 5 million tonnes per year by 2015.
About Anglesey Mining plc
Anglesey holds 26% of Toronto-listed Labrador Iron Mines Holdings Limited which is now producing iron ore from its James deposit, one of LIM's twenty direct shipping iron ore deposits in western Labrador and north-eastern Quebec. Development of other deposits is underway and production of the high grade hematite iron ore is targeted to grow from 2Mt in 2012 to 5Mt in 2015.
Anglesey is also carrying out development and exploration work at its 100% owned Parys Mountain zinc-copper-lead deposit in North Wales, UK where there is estimated to be a total historical resource in excess of 7 million tonnes at over 9% combined copper, lead and zinc.
For further information, please contact:
Bill Hooley, Chief Executive +44 (0)1492 541981;Ian Cuthbertson, Finance Director +44 (0)1248 361333;Samantha Harrison / Klara Kaczmarek,Ambrian Partners Limited +44 (0)2076 344700;Emily Fenton / Jos Simson,Tavistock Communications +44 (0)20 7920 3155 / +44 (0) 7788 554035
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