24 July 2006Company Announcements OfficeAustralian Stock...

24 July 2006
Company Announcements Office
Australian Stock Exchange Limited
4th Floor
20 Bridge Street
SYDNEY NSW 2000
Dear Sir/Madam
Encounter Resources Limited Intersects High Grade Uranium Mineralisation
Please find attached an ASX release made by Encounter Resources Limited in respect of high grade uranium
mineralisation intersected at Bellah Bore East within the Yeelirrie Channel Project.
Avoca Resources Limited has a 20% interest in the project.
Yours faithfully
AVOCA RESOURCES LIMITED
Kevin Hart
Company Secretary
Level 1, 30 Ord Street, West Perth WA 6005
PO Box 1156, West Perth WA 6872
Telephone: (08) 9226 0625
Facsimile: (08) 9226 0629
Email: [email protected]
HIGH GRADE URANIUM MINERALISATION AT BELLAH
BORE EAST
• Encounter Resources Ltd has identified high grade uranium mineralisation in the
follow up drilling program at Bellah Bore East. (80% Encounter, 20% Avoca).
• EYN064 intersected 3m @ 781ppm U3O8 from 4m including 1m @ 2,111ppm
U3O8.
Encounter Resources Ltd (ASX:ENR) recently completed an 18 hole aircore drilling
program at the Bellah Bore East Prospect, within the Yeelirrie Channel Project. This
program was designed to test the immediate area to the north, south and west of the
uranium mineralisation intersected in EYN001 (7m @ 100ppm U3O8 from 1m including
2m @ 165ppm U3O8) and EYN005 (8m @ 123ppm U3O8 from surface including 3m
@ 204ppm U3O8) identified in the June 2006 reconnaissance drill program.
The follow up drilling program has intersected 3m @ 781ppm U3O8 from 4m including
1m @ 2,111ppm U3O8.in drill hole EYN064. This hole is located roughly in the center of
a zone of near surface silicified calcrete and associated low grade uranium mineralisation
that remains open to the north, south and west (see Figure 2).
Encounter now plans to complete an infill drilling program to delineate the area of high
grade mineralisation and to extend drilling to the north and south to test for additional
zones of high grade uranium mineralisation. This drilling will be completed in conjunction
with the testing of the Yeelirrie South geochemical anomaly as soon a suitable drill rig can
be arranged.
Table 1. Drill hole collar locations and Assay Results
Hole # Northing Easting Dip Azi From
(m)
To (m) Width
(m)
U3O8
(ppm)
V
(ppm)
EYN 064 7,025,200 779,200 -90 360 4 7 3 781 130
incl. 5 6 1 2,111 320
EYN 063 7,025,400 779,200 -90 360 2 8 6 20 154
EYN 065 7,025,000 779,200 -90 360 3 9^ 6 17 50
EYN 068# 7,025,200 779,000 -90 360 - - - - -
EYN 071 7,025,200 778,800 -90 360 5 18.5^ 13.5 32 196
EYN 009 7,025,600 779,400 -90 360 3 6.5^ 3.5 23 64
EYN 010 7,025,100 779,340 -90 360 3 7 4 30 90
EYN 001* 7,025,450 779,400 -90 360 1 8 7 100 17
incl. 5 7 2 165 12
EYN 005* 7,025,140 779,220 -90 360 0 8 8 123 49
incl. 0 3 3 204 66
# hole terminated above target zone
^ end of hole
* results reported 2 July 2006
Figure 1. Tenement location plan - Bellah Bore East Prospect (Yeelirrie Channel Project)
Figure 2. Drill hole location plan - Bellah Bore East Prospect
The information in this report that relates to Exploration Results is based on information compiled by Mr. Peter
Bewick who is a Member of the Australasian Institute of Mining and Metallurgy. Mr. Bewick is a full time
employee of Encounter Resources Ltd and has sufficient experience which is relevant to the style of
mineralisation under consideration to qualify as a Competent Person as defined in the 2004 Edition of the
'Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr. Bewick
consents to the inclusion in the report of the matters based on his information in the form and context in which
it appears.