Tertiary Minerals Regulatory News (TYM)

5 Sep 2007 07:01

Tertiary Minerals PLC05 September 2007 Tertiary Minerals plc PLAN TO DRILL PRIME IRON TARGET IN HEART OF FINLAND'S MAIN IRON ORE DISTRICT • Testing Strongest Magnetic Anomaly in Kolari Iron District • Historic Work Points To Over 200 Million Tonnes Of Magnetite • Joint Venture Offer Turned Down From Leading Company In Order To Value-Add • Emphasis On New Nordic Projects Whilst Saudi Licence Awaited___________________________________________________________________ Tertiary Minerals plc ("Tertiary" or "the Company") is pleased to announce thatit intends to drill a prime iron ore target in Kolari at the heart of Finland'smain iron ore district. The "Sivakkalehto" target represents the strongest known magnetic anomaly in theKolari iron district where magnetite iron ore was last worked in the 1980's byFinnish company Rautaruukki Oy. The Geological Survey of Finland (GTK) hasreported that geophysical interpretation of this magnetic anomaly suggests thatthe Sivakkalehto deposit may contain over 200 million tonnes1 of the ironmineral magnetite within a 2km by 300-500m broad area within Tertiary's claims. The Sivakkalehto target sits in the heart of the Kolari-Pajala iron provincewhich stretches over the border into Sweden. Today, Canadian company NorthlandResources, capitalised at over £210 million, is undertaking intensiveexploration and feasibility studies on surrounding claims for the development ofa new iron ore mine. Last month Northland released a NI43-101 compliant2iron-copper-gold resource at its 100% owned Hannukainen deposit at Kolari whichlies 10km to the north of Tertiary's Sivakkalehto target. Total Measured plusIndicated resources are reported by Northland to be 84.6 million tonnes with anaverage grade of 34.6% Fe, 0.20% Cu, and 0.093 g/t Au using a cut-off of 15% Fe.An additional 81.6 million tonnes @ 35.7 % Fe + 0.13%Cu + 0.036 g/t Au have beendefined in the inferred category. Northland's Hannukainen iron deposits give rise to distinctive magneticanomalies, but the Sivakkalehto magnetic anomaly is the strongest known in thewhole Kolari iron district and previous drilling by Rautaruukki Oy has returnedsignificant intersections of iron mineralisation which warrant follow up,including: Hole No. From To Interval Fe %R1 36m 347m 311m 14% Feinc 298m 303m 5m 62% Fe R4 203m 219m 16m 54% Fe R21 239m 355m 116m 26% Feinc. 259m 304m 45m 40% Fe R22 278m 296m 17m 56% Fe R12 273m 304m 31m 56% Fe Copper mineralisation has not been evaluated at Sivakkalehto although it isknown from limited historic assays to be present in places at low grades. "The historic drilling results for iron compare favourably to those reported atHannukainen by Northland and suggests at least a similar resource potentialwithin our project, but this can only be confirmed by drilling." commentedPatrick Cheetham, Tertiary's Chairman. "There is a big economic advantage tohave production within the European market with significant savings on the costof importing iron ore from the southern hemisphere." he added. The Company has been approached in recent months by a leading company for afarm-in at Sivakkalehto but has opted in favour of adding value itself beforetalking to interested parties. It has just completed modelling of recentlycollected airborne magnetic data, and is planning a drilling programme inOctober to test for shallow iron-ore positions. Tertiary is placing more emphasis on its Nordic portfolio, with new prospectsbeing generated, while awaiting the granting of its exploration licence on thegiant Ghurayyah tantalum-niobium, deposit in Saudi Arabia. "Our activities in the Nordic countries have been on the backburner andconsequently overlooked by the market in recent times. We hope to be able togive details of additional developments there soon." commented Mr. Cheetham. The Company has held its Kolari property for five years as part of its IOCG(iron oxide-copper-gold) project portfolio. Other Tertiary IOCG deposits are atVahajoki, Finland and Ahmavuoma in North Sweden. Further info: Patrick Cheetham, Executive Chairman, Tertiary Minerals plc. Tel: +44 (0)1625-626203 Ron Marshman/John Greenhalgh, City of London PR Limited. Tel: +44(0)20-7628-5518 Notes: The information in this release has been compiled and reviewed by Mr. PatrickCheetham (MIMMM, MAusIMM) who is a qualified person for the purposes of the AIMGuidance Note for Mining Oil & Gas Companies issued on March 16, 2006. MrCheetham is a Member of the Institute of Materials, Minerals & Mining and also amember of the Australasian Institute of Mining & Metallurgy. 1. The historical tonnage figure referred to by GTK for Sivakkalehto does notconform to any resource categories in any recognised resource estimation Code orInstrument. The Company believes that this tonnage figure is speculative andshould not be relied upon. The Company does not have - and is not aware of - anyresource estimates which conform to the standards laid out in any recognisedCode or Instrument. 2. National Instrument 43-101 (NI 43-101) is a rule developed by the CanadianSecurities Administrators and administered by the provincial securitiescommissions that governs how issuers disclose scientific and technicalinformation about their mineral projects to the public. It incorporatesdefinitions of resources and reserves adopted by the Canadian Institute ofMining, Metallurgy and Petroleum. This information is provided by RNS The company news service from the London Stock Exchange