Last checked at 29 Jul 2010 14:25
RED ROCK RESOURCES PLC
Update
Dated: 29 July 2010
Red Rock Resources plc ("Red Rock" or the "Company"), the gold mining and exploration company with projects in Kenya and Colombia, and interests in steel feed and uranium, reports on progress at its operations.
Migori gold project: A helicopter geophysical VTEM programme (versatile time-domain electromagnetic system), comprising 378 line kilometers flown at 50m height on lines at 100m intervals has been flown by Geotech Airborne Ltd along the strike of the Macalder VMS mine at Migori, Kenya, covering both sides of the W-E trending anticline. Initial results are expected by end-August 2010.
A fixed wing magnetic/radiometric survey has been contracted over the whole license area with UTS-Aeroquest and is expected to start on 16 August. It will comprise 3,117 line kilometers flown at 30m height, with 2,295 line kilometers flown at a 200m spacing and 822 infill kilometers flown at a 50m spacing. Initial results are expected by mid-September 2010.
Metallurgical results are awaited from Amdel Laboratories on the Macalder tailings, and gold sample results from trenching at Mirema are awaited from SGS Laboratories in Mwanza. Trenching has continued at the Kowere prospect.
CSA Global Ltd have been contracted to carry out a preliminary JORC Resource estimate of the Macalder tailings.
Red Rock expects to finalise a drill programme of 5,000 metres to 10,000 metres during September 2010.
Colombia gold project: the Company continues to work closely with its local partner at the El Limón mine site and in Medellin on implementing the investment programme to increase production at El Limón and bring Machuca (La Aurora) into first production. The programme involves refurbishment of the treatment plant, improvement of ventilation, electric, and mine safety systems, pumping out the shaft at Machuca, recruitment of professional staff and workforce, and other matters. Progress has been good, with no significant bottlenecks reported to date. The Company expects to be able to report on percentage accomplishment and timetable shortly.
Exploration continues, investigating at surface areas to the north and east of the known mineralization. In one area a trench was dug and samples taken from a 10cm vein encountered. Samples were also taken from Levels 6 and 7 at El Limón for metallurgical testwork.
Jupiter Mines Ltd (ASX:JMS)(23.2% held): Progress continues with the fast-tracking of exploration of the Mt Ida Magnetite Project, the near-surface resource potential of which may be 1.1 bn tons to 1.3 bn tons. An RC (reverse circulation) drill programme of up to 11,000 metres began on 20 July, targeting the magnetic anomalies in the central area of Mt Ida. The drilling will test the interpreted geological model for magnetite and will in conjunction with the geological structural mapping enable the generation of an initial inferred magnetite resource at Mt Ida. A Level 2 Flora and Vegetation Survey has also been completed. Further information is given in the Jupiter Mines quarterly report issued today at: http://www.asx.com.au/asxpdf/20100729/pdf/31rl9jrvdspyzx.pdf
Sample results were received from the 2,046 metres of RC drilling at tenement E45/2641, part of the Oakover Manganese Project, which tested some priority VTEM targets on a wide-spaced grid for shallow VTEM conductors with a target hole depth of 50m. Significant intersections included:
- 2m at 35.35% Mn from 17m (100KRC177)
- 4m at 31.21% Mn from 33m including 1m at 49.60% (100KRC057)
- 4m at 26.89% Mn from surface (100KRC022)
- 6m at 25.02% Mn from 12m (100KRC001)
43 holes were drilled, of which 26 returned no significant mineralization, and 17 holes gave 19 significant intercepts of over 15% Mn were encountered. These latter are summarized below:
| Hole | Prospect | From (m) | To (m) | Interval (m) | Mn% | Including | Fe% | LOI% | Al2O3% | P% | SiO2% |
| 10OKRC0001 | C12 | 12 | 18 | 6 | 25.03 | 1m @ 33.60 | 22.09 | 10.67 | 3.64 | 0.03 | 17.24 |
| 10OKRC0015 | C12 | 0 | 10 | 10 | 23.95 | 4m @ 32.00 | 24.96 | 13.04 | 4.24 | 0.02 | 10.71 |
| 10OKRC015A | C12 | 8 | 10 | 2 | 22.00 | 1m @ 22.90 | 26.05 | 10.78 | 2.50 | 0.02 | 21.30 |
| 10OKRC0016 | C12 | 2 | 12 | 10 | 18.36 | 1m @ 29.00 | 20.87 | 10.01 | 5.06 | 0.02 | 28.20 |
| 14 | 20 | 6 | 20.88 | 4m @ 25.02 | 20.75 | 11.37 | 7.06 | 0.02 | 20.03 | ||
| 10OKRC0022 | C12 | 0 | 4 | 4 | 26.89 | 2m @ 31.85 | 22.44 | 12.01 | 2.33 | 0.02 | 14.12 |
| 10OKRC0028 | C12 | 3 | 7 | 4 | 19.54 | 1m @ 25.00 | 11.68 | 7.76 | 2.41 | 0.01 | 44.68 |
| 10OKRC0029 | C12 | 0 | 16 | 16 | 15.76 | 2m @ 25.45 | 25.78 | 10.60 | 5.20 | 0.02 | 23.23 |
| 10OKRC0030 | C12 | 1 | 5 | 4 | 20.46 | 1m @ 23.50 | 34.58 | 12.13 | 1.66 | 0.01 | 7.06 |
| 23 | 25 | 2 | 16.50 | 1m @ 17.45 | 33.90 | 11.58 | 5.94 | 0.02 | 10.25 | ||
| 10OKRC0035 | C12 | 0 | 2 | 2 | 19.93 | 1m @ 21.10 | 14.90 | 13.23 | 7.43 | 0.02 | 24.55 |
| 10OKRC0036 | C12 | 5 | 7 | 2 | 22.65 | 1m @ 27.20 | 17.25 | 10.22 | 5.15 | 0.02 | 23.78 |
| 10OKRC0037 | C12 | 0 | 5 | 5 | 17.16 | 1m @ 28.30 | 10.60 | 12.71 | 7.70 | 0.02 | 33.38 |
| 10OKRC0057 | C11 | 33 | 37 | 4 | 31.21 | 1m @ 49.60 | 17.53 | 11.93 | 5.82 | 0.02 | 14.35 |
| 10OKRC0062 | C11 | 8 | 10 | 2 | 17.65 | 1m @ 18.75 | 23.03 | 12.98 | 5.79 | 0.03 | 19.98 |
| 10OKRC0067 | C11 | 0 | 4 | 4 | 16.80 | n/a | 20.40 | 12.05 | 8.84 | 0.02 | 24.50 |
| 10OKRC0073 | C11 | 24 | 25 | 3 | 20.07 | 1m @ 32.90 | 19.62 | 9.72 | 6.04 | 0.03 | 24.40 |
| 10OKRC0077 | C11 | 17 | 19 | 2 | 35.35 | 1m @ 39.40 | 18.25 | 11.18 | 1.43 | 0.01 | 13.08 |
| 10OKRC0079 | C11 | 10 | 15 | 5 | 18.06 | 1m @ 24.60 | 26.21 | 10.74 | 3.61 | 0.03 | 22.66 |
Further information may be obtained at: http://www.asx.com.au/asxpdf/20100723/pdf/31rgjmkwbdg6rq.pdf
The Extraordinary General Meeting of Jupiter Mines Ltd shareholders to approve the acquisition of the Tshipi manganese mine in South Africa will be held on 12 August.
Resource Star Ltd (ASX:RSL)(26.3% held):An RC rig has been mobilized to site to begin the maiden 1,500 metre drill programme at the Machinga Rare Earth Project in Malawi, where the company's farm-in partners Globe Metals and Mining Ltd are operators. The objective is to test four different zones of heavy rare earth oxide (HREO) and high-grade niobium mineralisation intersected in trenches at the Machinga North target. Further information is given in the announcement issued today by Resource Star at: http://www.asx.com.au/asxpdf/20100729/pdf/31rl5z72qghnv6.pdf
New Resolution Geophysics have been contracted to fly 270 line kilometers of helicopter magnetics/radiometrics, at 20-30m height and on a 50m line spacing, over the Ilomba Hill uranium/niobium/rare earth prospect in N Malawi. This is expected to be completed in August.
Following the definition of a maiden JORC Inferred Resource of 4.6m lbs U3O8 at 270ppm, a follow-up drill programme is planned for the Autumn to expand the resource base and follow up areas of higher grade. The programme is expected to be finalized by mid-August.
In Australia, a third quarter drill programme is being contracted to follow up the uranium anomalies identified from airborne geophysics flown earlier in the year, and subsequent ground investigation, at the Edith River and Hayes Creek licenses in the Pine Creek Geosyncline of the Northern Territory.
Andrew Bell, Red Rock Chairman, comments: "Our core gold business continues its progress towards increased production. Our indirectly held interests also report significant progress. In this update we make reference to nearly 4,000 line kilometers of airborne geophysics ordered or under way, and we report on drill programmes completed or in process of perhaps 30,000 metres. Directly or through associates we now have continuous exploration activity on promising deposits and targets. In Malawi a maiden JORC resource at Livingstonia is being followed by maiden drilling at Machinga, and these are significant milestones for us. Elsewhere, we report that we are defining a new JORC Resource in Kenya, and that our associate in Australia is drilling out its prime magnetite property where Red Rock has a 1.5% production royalty, in order to move towards a JORC Resource declaration."
The geological information in this announcement has been reviewed and approved by Andrew Bell, a director of the Company and a Fellow of the Geological Society who is a qualified person as defined in the Note for Mining and Oil and Gas Companies, June 2009, of the London Stock Exchange.
Enquiries:
| Andrew Bell
| 0207 402 4580 or 07766 474849
| Red Rock Resources plc | Chairman |
| Sandra Spencer
| 0207 402 4580 or 07757 660 798
| Red Rock Resources plc | Public and Investor Relations |
| Peter Trevelyan-Clark/ Ben Jeynes
| 020 7444 0800 | Religare Capital Markets | Nominated Adviser |
| Nick Emerson
| 01483 413500 | Simple Investments Ltd | Broker |
Updates on the Company's activities are regularly posted on its website, www.rrrplc.com.