6 Nov 2008 09:03
6 November 2008
Minco plc
DRILLING AT PALLAS GREEN:
OPENS UP MINERALISED EXTENSION TO THE SOUTH OF TOBERMALUG
CONTINUES TO EXPAND HIGH GRADE ZINC AND LEAD MINERALISATION AT BOTH TOBERMALUG AND SRAHANE WEST
Dublin, 6 November, 2008 - Minco plc (AIM -"MIO") is pleased to announce additional results from drilling at Pallas Green, Co. Limerick, Ireland where fifteen diamond drills continue to operate. The project is a joint venture with Xstrata Zinc. To the end of October 2008, 87 holes have been completed for a total of 39,126 metres out of 50,000 metres of drilling planned for 2008.
Mineralisation Extended to South
Step-out drilling to the south along the trend of the Tobermalug deposit has yielded very encouraging results. Hole MN 2529-065, the most southerly hole to be completed within the Tobermalug mineralised trend, located approximately 200 metres southeast of hole MN-2529-049, confirms the extension of the zone to the south and opens up the potential for significant additional tonnage in the area.
Hole MN-2529-065 has returned the following results:
532.80 - 534.80 m 2.00 m @ 6.78% Zinc and 6.44% Lead
542.60 - 556.55 m 13.95 m @ 8.37% Zinc and 1.32% Lead
Including 547.70 - 554.30 m 6.60 m @ 10.90% Zinc and 1.88% Lead
Including 551.80 - 554.30 m 2.50 m @ 14.98% Zinc and 2.59% Lead
Four wider step-out holes are currently being drilled in this southern target area.
Comment by Chief Executive
Commenting on the drill results, Terence McKillen, Chief Executive said, "We are particularly pleased and excited to report that initial results of the incremental step-outs to the south of Tobermalug (hole MN 2529-065), towards the southern boundary fault, are confirming the potential in that direction. Hole MN 2529-065 reported good grade mineralisation over a total (non-continuous) interval of almost 24 metres, including a high grade interval of 15% Zinc over 2.5 metres."
Tobermalug
Additional mineralised intercepts within the main Tobermalug massive sulphide lens continue to add to the previously reported resource estimate. Further assay results from such drilling include the following four holes:
Hole MN-2529-059, in the central part of the Tobermalug prospect has intersected massive and disseminated sulphides over an 8.55 metre interval:
370.4m - 378.95m 8.55m @ 15.18% Zinc and 3.11% Lead
including 374.30m - 378.95m 4.65m @ 24.58% Zinc and 4.59% Lead
Hole MN-636-086, drilled on the footwall side of the Caherconlish Fault returned:
357.9m - 363.95m 6.05m @ 3.32% Zinc and 0.96% Lead
including 362.3m - 363.95m 1.65m @ 6.18% Zinc and 1.11% Lead
Hole MN-2529-046 intersected a northeasterly trending fault and encountered a narrow zone of low grade mineralisation:
641.45m - 643.45m 2.00m @ 2.30% Zinc and 0.58% Lead
Hole MN-636-084, collared along the northwestern part of the deposit, 100 metres to the northwest of hole MN-636-99, intersected:
350.45 - 354.65 m 4.20m @ 6.28% Zinc and 0.62% Lead
Including 350.45 - 352.10 m 1.65m @ 12.86% Zinc and 1.52% Lead
374.90 - 376.45 m 1.55m @ 6.44% Zinc and 1.02% Lead
"Results of the additional in-fill and shorter step-out drilling in the immediate area of the Tobermalug deposit continue to add additional tonnage to the estimated resource potential of the main massive sulphide lens", said Terence McKillen.
Minco previously reported a preliminary estimate of resource potential (not compliant with JORC) of approximately 10 million tonnes grading 9.90% zinc and 1.78% lead at Tobermalug (approximately the same size of deposit from which the Galmoy mine was developed) and remains optimistic about the potential of the southern extension area, where four drill holes are in progress, in which a larger and higher grade deposit could be present. [This preliminary estimate of potential is not intended to be, and must not be interpreted as a mineral resource as defined under JORC. It is considered too geologically speculative to apply economic considerations. Readers are cautioned that such a preliminary estimate does not have demonstrated economic viability. It does, however, provide an estimate of magnitude for the volume, or tonnage potential, of the mineralized zone as currently defined.]
Srahane West
The Srahane West area is located approximately 4.5 kilometres northwest of the Tobermalug deposit and represents one of several additional sulphide lenses discovered in the general area of Caherconlish. Hole MN-636-088, a step-out hole to the southwest returned:
245.15 - 251.40 m 6.25m @ 3.23% Zinc and 0.47% Lead
Including 245.15 - 247.05 m 1.90m @ 6.85% Zinc and 1.07% Lead
About Pallas Green
The Pallas Green license block was originally acquired by Minco in the early 1990's to cover the west- northwest striking Pallas Green alteration trend, which has a width of approximately two kilometres and a length of twenty five kilometres. The alteration trend is comparable to the Rathdowney alteration trend which hosts the cluster of massive sulphide deposits which constitute the currently producing Lisheen and Galmoy zinc-lead mines.
Approximately seventy percent of the alteration trend remains unexplored by drilling, and this is considered to have significant potential for the occurrence and discovery of other major zinc-lead deposits.
Exploratory drilling has recently commenced in a new area five kilometres to the east of Tobermalug where a similar structural setting to that at Tobermalug is believed to be present.
Qualified Person
The above information has been reviewed and verified by Mr. Terence N McKillen, B.A. (Mod), M.A., M.Sc., P.Geo., Chief Executive Officer. Mr. McKillen is the Qualified Person for the purposes of the AIM Guidance Note on Mining, Oil and Gas Companies dated March 2006. Mr. McKillen holds degrees in Geology from the University of Dublin (Trinity College) and the University of Leicester. He has 40 years of exploration experience in Ireland and internationally.
About Minco
Minco PLC is an AIM quoted precious and base metals exploration and development company engaged in zinc exploration on the Pallas Green property in Ireland in a joint venture with Xstrata Zinc and investments in zinc-silver projects in Mexico through its 60% shareholding in Xtierra Inc. listed on the TSX Venture Exchange (Toronto) under the symbol "XAG".
| For further information, www.minco.ie or contact: | |
| John Kearney: Executive Chairman | +1 416 362 6686 |
| Terence McKillen: Chief Executive | +1 416 362 6686 |
| Danesh Varma: CFO & Company Secretary | +44 (0) 8452 606 034 |
| John Frain / Fergal Meegan: (NOMAD) Davy | +353 (0)1 6796363 |