uranium mineralisation & anomalism

1131 Hay Street, West Perth, W.A. 6005 PO Box 1036 West Perth, W.A. 6872
Tel: (08) 9486 7100 Fax: (08) 9486 7300. Website: www.matrixmetals.com.au Email: [email protected]
11 August 2005
Manager Company Announcements
Company Announcements Office
Australian Stock Exchange Limited
Level 10, 20 Bond Street
SYDNEY NSW 2000
ABN 42 082 593 235
Electronic delivery
No of pages: 5
Dear Sir,
ANNOUNCEMENT
Uranium Mineralisation and
Anomalism
Matrix Metals Limited commenced a detailed data search and regional
exploration program (Program) across the Company’s entire Mt Isa region
tenement portfolio commencing in late 2004. The Company is pleased to
announce that this Program has confirmed numerous significant occurrences of
high grade uranium mineralisation and several extensive under explored
anomalous uranium zones within the Company’s 3,500 square kilometre, 100%
owned, tenement holding. These occurrences are within close proximity to the
Mary Kathleen uranium mine and the large undeveloped Valhalla and Skal
uranium deposits.
Uranium occurrences of note include the following:
• Percussion drilling reporting results up to 0.38% U308, diamond drilling
results up to 4m @ 0.12% and 0.84% U308 in rock chips on the
Conquest Line in the Ewen Group Project Area, (Prospect #1 in
Figure1). The majority of the prospects in the Ewen Group are hosted by
sediments within the Eastern Creek Volcanics which host the Skal &
Valhalla uranium deposits. (resource grade of 0.14% U308)
• A 12 kilometre long very prospective co-incident geochemical and
airborne radiometric uranium anomaly along the Sierra Line in the White
Range Project area (Prospects #10 to 12). The uranium anomalies in
the White Range area are hosted by the Mary Kathleen Group
geological package in which the Mary Kathleen uranium mine occurred.
• Values of up to 1.18% U308 in rock chips taken at the Miranda Prospect
(Prospect #2) located about 23km SSW of Mt Cuthbert.
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The top 15 uranium occurrences identified on Matrix’s tenements at this
time are located in Figure 1 below. Specific details of the top 15 occurrences
are set out in Table 1.
Figure 1 Matrix Uranium Prospect Locations
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Uranium History in the Region
The Mt Isa region has a significant history in regard to the discovery and mining
of uranium. The most notable uranium discovery in the Mt Isa region is the
Mary Kathleen mine. This mine operated in two phases between 1958 and
1982. A total of 9.2 million tonne grading 0.13% U308 was produced during the
period.
Various other major uranium occurrences have been identified in the region,
with the most notable of these being a series of deposits located some 40
kilometres south west of the Matrix’s Mt Cuthbert and Ewen tenement blocks.
These deposits, owned by a third party, comprise indicated and inferred
resources of approximately 75 million pounds of U308.
Recent Work by Matrix Metals
As part of the regional exploration program commenced by Matrix in late 2004,
a significant number of uranium occurrences have been identified via
researching of existing data bases. In addition, recent geochemical sampling
carried out by Matrix in the White Range area has identified a 12 kilometre long
uranium geochemical anomaly along the Sierra Line. Modelling of the
anomalous uranium assays from lag sampling programs completed along the
Sierra Line produces the 3D contour image as presented in Figure 2 below.
Figure 2 Sierra Line Uranium Anomalies
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Table 1 Details of the Top 15 Uranium Prospects
Identified by Matrix
Prospect
No.
(Figure 1)
Prospect
Name
Nature of Uranium Identified
1. Conquest –
Barrier –
Impassable
Line
Line of radioactive occurrences over a strike length
of 2kms. Maximum rock chip of 0.84% U3O8.
Maximum percussion drill intersection of 0.2 metres
@ 0.38% U3O8. Maximum diamond drill intersection
of 4.0 metres at 0.12% U3O8
2. Miranda Line of radioactive occurrences over a strike length
of 1km. Rock chips up to 1.18% U3O8
3. Prospect Line of radioactive occurrences over a strike length
of 1km. Rock chips up to 0.145% U3O8
4. Lochness Large structure noted as anomalous in Uranium.
5. Shock –
Stance
Line of radioactive occurrences over a strike length
of 1.5km. Rock chips up to 0.25% U3O8
6. Wahn Structure noted as anomalous in Uranium.
7. Great
Western
Peak lag value to date of 33.7 ppm Uranium
8. Mother's
Delight
Lag programme underway. Peak lag value to date
of 31.3 ppm Uranium, near radiometric anomaly.
9. Cyril Lag programme underway. Peak lag value to date
of 26.8 ppm Uranium, near radiometric anomaly.
See Figure 2 for 4 km anomaly covering
Prospects 10 – 12. This anomaly is within the
major 12 kilometre Sierra Line anomaly (as
defined by lag, old workings & airborne
radiometric).
10. View Rock chips up to 209 ppm Uranium. Previous
drilling +1% Cu but not assayed for Uranium.
11. Sierra
South
Peak lag value to date of 17.9 ppm Uranium,
coincident with radiometric anomaly.
12. Overhang
East
Lag programme underway. Peak lag value to date
of 17.2 ppm Uranium. Very strong Molybdenum
anomaly (234ppm). Mo and U are commonly
associated.
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13. Big Mick Strong airborne Uranium/Thorium anomaly, near
high level granites.
14. Prospect Uranium/Thorium anomaly coincident with magnetic
anomaly, some 2.5 km SSE of Big Mick.
15. Prospect Strong airborne Uranium/Thorium anomaly, near a
granite contact, some 6 km SE of Big Mick.
Further Work by Matrix
In addition to the priority copper related exploration and resource drilling
programs that are continuing at White Range, and specifically at McCabe,
further evaluation of the uranium prospects will continue. This ongoing work will
include field work involving both geochemical and geophysical programs and
drilling programs.
Yours Faithfully
Andrew Chapman
Managing Director
T
he information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on
information compiled by Tony Alston and Bob Dennis. Mr Alston and Mr Bob Dennis are both Members of the
Australasian Institute of Mining and Metallurgy and are full-time employees of the Company. Messrs Alston and Dennis
have sufficient experience which is relevant to the style of mineralisation and the type of deposit under consideration
and to the activity which they is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the
“Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, the JORC Code”.
Messrs Alston and Dennis, each consents to the inclusion in the report of the matters based on information in the form
and context in which it appears.
END