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Tri-Star Resources hails progress at antimony projects

Published: 08:49 20 Jun 2012 BST

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Tri-Star Resources (LON:TSTR) reported that the mineralisation at its Göynük project has been independently classified as an exploration target with a potential of 350,000 tonnes grading one to three percent antimony.

The company today updated investors on its projects in Turkey, UAE and Canada, while saying that the antimony market remained strong with the metal trading at US$14,000 and analysts projecting widening shortage to 2016.

“The company achieved important milestones this year; progression of important relationships in the antimony industry, progress at our upstream assets in Turkey and Canada and further steps and welcome support for the development of the roaster project in the UAE,” said managing director of Tri-Star Emin Eyi.

An independent assessment of Göynük suggested a two-stage exploration programme to fully define the extent and grade of the mineralisation, upgrade the exploration target to inferred and indicated resource and support a pre-feasibility study to upgrade it to probable reserve status.

The first stage programme is expected to cost US$750,000 and will require around 25 drill holes totalling 2,000 metres.

If this is successful in delineating a significant mineral resource, the second stage should include detailed in-fill drilling and metallurgical test-work as part of a mine scoping study.

In the meantime, Tri-Star has secured an environmental permit for a processing facility with a capacity of 14,000 tonnes to treat existing stockpiled material at Göynük.

The company has also received a construction permit for site preparation work t the 20 hectare leased area in the Al Ghail Industrial Park in the UAE.

Tri-Star’s joint venture partner in the UAE has signed a non-binding letter of intent to provide up to US$30 million of working capital for its roaster project once it is operational.

As part of the company's on-going technology verification investigations, Wardell Armstrong conducted direct leaching of antimony sulphide concentrates and achieved a 99.4 percent recovery.

The report also included an update from the company’s Canadian operations, where it rationalised its area of interest to 252 claims from 765 claims and formulated a work programme to cover that area.

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