Horizonte Minerals Regulatory News (HZM)

22 Apr 2008 07:00

Horizonte Minerals PLC22 April 2008 Horizonte Minerals plc / Index: AIM / Epic: HZM / Sector: Mining 22 April 2008 Horizonte Minerals plc, ("the Company" or "Horizonte") Further Drilling Results from Nickel Discovery at Lontra, Brazil Horizonte Minerals plc, the AIM listed exploration and development companyfocused on Brazil and Peru, is pleased to announce further encouraging nickel ('Ni') and cobalt ('Co') values at its priority 22,556 hectare Lontra NickelLaterite project in the Carajas Mineral Province of Northern Brazil. Positiveresults have been received following the re-analysis of auger drill samples,returning ore grade results averaging up to 1.5% Ni with Co values on average10% higher than original analysis. Highlights • Follow-up 2,000m auger drilling at Raimundo generating significant Ni grades • Re-analysis of samples from the Raimundo anomaly returned up to 1.66% Ni indicating potential for major discovery • Best interval averaging 1.5% Ni over 4m - ending in mineralisation • Co values on average 10% higher than original analysis • Ongoing auger drilling programmes continue to extend the known zones and test new Ni targets • Resource definition drilling programme to commence in May 2008 Horizonte CEO Jeremy Martin said, "These are excellent results and underpin theBoard's belief that the Lontra project has the potential to host an economicnickel deposit. The majority of holes analysed from the shallow auger drillingprogramme ended in Ni mineralisation, demonstrating that the first 6 to 10metres of the laterite material contain good Ni grades. A further two targetareas are currently being drilled with results due imminently. "Our exploration activities are progressing well with three teams in the finalphase of a regional shallow auger programme. The surface dimensions of the soiland auger anomalies indicate space for a significant resource at Lontra. A50-hole diamond drilling programme is due to commence May 2008 to test the depthpotential of the target areas and allow us to start working towards resourcedefinition." Detailed Information Results have been received for 12 samples previously reported with an upperlimit of 1% Ni during the first phase auger drilling programme. This was theupper limit (10,000ppm or 1% Ni) of ICP geochemical analysis used during theexploration phase. The samples were re-submitted to ACME Analytical LaboratoriesLtd ("ACME") for re-analysis using an ore grade process specifically used forlateritic nickel ores. The results seen in Table 1 highlight the drill hole geochemical data anddemonstrate surface leaching typical of this region, with grades indicating aclear trend of increase with depth. Table 1: Results of ore grade re-analyses for samples previously reported withan upper limit of 1% Ni - combined with ICP data for the respective holes. Noteall holes are vertical. Drill Hole From To Interval Ni Co Av. Ni grade (metres) (metres) (metres) LON_AG209 0.00 2.00 2.00 0.09% 0.013% 2.00 4.00 2.00 0.15% 0.045% 4.00 6.00 2.00 0.74% 0.080% 8m @ 1.0% Ni 6.00 8.00 2.00 1.43% 0.071% 6.00 8.00 2.00 1.42% 0.071% 8.00 10.00 2.00 0.98% 0.040% 10.00 12.00 2.00 0.80% 0.029% LON_AG211 0.00 2.00 2.00 0.18% 0.030% 2.00 4.00 2.00 0.19% 0.033% 4.00 6.00 2.00 0.40% 0.058% 6.00 8.00 2.00 0.77% 0.081% 8m @ 1.0% Ni 8.00 10.00 2.00 0.78% 0.078% 10.00 12.00 2.00 0.88% 0.083% 12.00 14.00 2.00 1.53% 0.070% LON_AG214 0.00 2.00 2.00 0.14% 0.040% 2.00 4.00 2.00 0.25% 0.068% 2.00 4.00 2.00 0.25% 0.070% 4.00 6.00 2.00 0.73% 0.052% 8m @ 1.0% Ni 6.00 8.00 2.00 1.34% 0.043% 8.00 10.00 2.00 0.88% 0.031% 10.00 12.00 2.00 0.98% 0.023% LON_AG220 0.00 2.00 2.00 0.26% 0.060% 2.00 4.00 2.00 0.37% 0.087% 4.00 6.00 2.00 0.59% 0.123% 6.00 8.00 2.00 1.17% 0.133% 5m @ 1.2% Ni 8.00 10.00 2.00 1.32% 0.083% 10.00 11.00 1.00 1.19% 0.074% LON_AG232 0.00 2.00 2.00 0.17% 0.044% 2.00 4.00 2.00 0.16% 0.049% 4.00 6.00 2.00 0.38% 0.068% 6.00 8.00 2.00 1.45% 0.055% 6m @ 1.4% Ni 8.00 10.00 2.00 1.46% 0.046% 10.00 12.00 2.00 1.42% 0.039% LON_AG273 0.00 2.00 2.00 0.09% 0.035% 2.00 4.00 2.00 0.10% 0.047% 4.00 6.00 2.00 0.16% 0.080% 6.00 8.00 2.00 0.54% 0.077% 8.00 10.00 2.00 1.34% 0.061% 4m @ 1.5% Ni 10.00 12.00 2.00 1.66% 0.049% Nickel laterites are a residual form of nickel mineralisation derived from aprocess of uplift, weathering, and secondary enrichment of a host ultramaficrock, typically of a composition ranging from harzburgite to dunite. Throughleaching and chemical exchange occurring over millions of years, concentrationsof nickel, cobalt, and iron are formed in varying quantities through thelaterite profile. A typical lateritic profile has a zone of leaching near thesurface, which reflects the ongoing process of remobilisation of the crucial Niand Co elements to deeper levels within the lateritic profile. At depositswithin the same district and with similar geologic settings, this leached zonecan vary from 0m to 50m and averages 10.5m at the Serra da Tapa deposit operatedby Xstrata located to the north of the Lontra project. Background to the Project The Lontra Laterite project is a 50/50 Joint Venture between Horizonte and aprivate Brazilian company. Lontra is situated in the Araguaia mobile belt,which flanks the eastern margin of the Carajas Mineral Province of northernBrazil. This is circa 80km south of the major lateritic Ni project operated byXstrata at Serra da Tapa (inferred resource of 60Mt at 1.63% Ni and 0.06% Co)and 7km northwest of the adjoining Vila Oito project, where Teck Comincocurrently has a drilling programme underway. Recent results released for theTeck-Cominco drilling at Vila Oito indicate the top of high-grade mineralisationis often intersected at depths of in excess of 10m and in some cases over 20m. Horizonte initially identified a number of priority Ni targets at the LontraProject following a regional stream sediment sampling programme in the firstquarter of 2007. This was followed by regional soil sample programmes over theseven target areas, which identified the drill targets. Sampling, assaying, and QA/QC These 1% upper limit samples were re-analysed using the ACME Laboratories 4NILAT methodology for lateritic nickel ores, which encompasses a totaldetermination and mass balance accounting for the major rock forming elements.The analytical tests report 21 elements of which the crucial Ni, Co, MgO, FeOand SiO2 are presented below. Table 2: Results of re-analysis of over limit Ni values by the 4 NILAT method. AUGER Utm E Utm N FROM TO INTERVAL Ni Co MgO Fe2O3 SiO2 m m m m m % % % % % LON_AG209 664760 9143600 6 8 2 1.43 0.08 5.7 57.3 14.8 Duplicate 6 8 2 1.42 0.09 5.7 57.7 14.6 LON_AG211 664600 9143600 12 14 2 1.53 0.09 3.2 52.2 14.5 LON_AG214 664780 9144000 6 8 2 1.34 0.05 19.9 35.2 26.2 LON_AG220 664780 9144400 6 8 2 1.17 0.12 3.9 62.2 11.9 8 10 2 1.32 0.07 17.6 37.4 24.3 10 11 1 1.19 0.06 23.1 29.4 29.3 LON_AG232 664360 9140300 6 8 2 1.45 0.07 3.5 57.0 14.8 8 10 2 1.46 0.06 5.5 51.7 19.4 10 12 2 1.42 0.05 8.4 45.0 23.7 LON_AG273 664360 9130800 8 10 2 1.34 0.06 5.4 50.2 16.6 10 12 2 1.66 0.06 7.1 46.8 19.3 Procedures adopted by Horizonte in the collection, preparation and storage ofsamples from the auger drilling programme, conform to industry-wide bestpractice and with chain of custody being observed for all samples. Analysis isundertaken by ACME at its laboratories in Vancouver, Canada, and the Companymaintains QA/QC on all analytical work via the inclusion of certified referencematerials and field duplicates and blanks, in addition to monitoring of thelaboratory's own internal check-analyses. The above information has been reviewed and verified by Mr. Jeremy Martin, aDirector and Chief Executive of Horizonte, for the purposes of the Guidance Notefor Mining, Oil and Gas Companies issued by the London Stock Exchange in March2006. Mr. Martin, with seven years of mining and management experience,graduated with a degree in geology from the Camborne School of Mines, and an MScin mineral exploration from the University of Leicester and is a member in goodstanding with the Society of Economic Geologists and the Institute of MiningAnalysts. * * ENDS * * For further information visit www.horizonteminerals.com or contact: Jeremy Martin/David Hall Horizonte Minerals plc Tel: 020 7495 5446 Jeremy Porter/Laura Littley Fairfax I.S. PLC Tel: 020 7598 5368 Hugo de Salis/ Felicity Edwards St Brides Media & Finance Ltd Tel: 020 7236 1177 Notes to Editors: Horizonte Minerals plc is an AIM listed exploration and development company witha portfolio of gold, nickel, silver, lead and zinc projects in producing mineraldistricts in Brazil and Peru. It has three primary projects working towards aresource definition including the 22,556 hectare Lontra nickel project situatedin the Araguaia mobile belt, which flanks the eastern margin of the CarajasMineral Province of northern Brazil, the silver-zinc-lead project El Aguilia inPeru, located in the historic mining district of Cerro de Pasco and the 300 sqkm Falcao gold project located near the Lontra project. In addition it has agenerative pipeline of early stage projects in development. The Company is focused on generating and rapidly advancing exploration projectsbefore joint venturing them with a major mining company to further develop theprojects and provide mid-term cash flow, which can be fed back into the businessand its other projects. This model was proven in December 2007 when Horizontesigned an option agreement with Troy Resources (ASX:TRY), to operate and developits Brazilian Tangara gold project by expending a total US$2.8 million onexploration and development as well as a royalty payment on production. This information is provided by RNS The company news service from the London Stock Exchange