Jindalee Resources Limited (ASX:JRL) has completed an exploration target range (ETR) at its Lyon River magnesite deposit as part of its 100& owned greater Prospect Ridge Project.
The Lyons River ETR demonstrates the potential to increase the existing mineral resource base at Prospect Ridge, which should positively impact the economics of any mining studies at the project.
A 3,000 metres diamond drill program has been designed to infill the deposit to provide the necessary confidence in grade and geological continuity required to upgrade the ETR to a mineral resource.
Mineralisation at Lyons River ETR
The Lyons River ETR is based on a total of 37 diamond drill holes completed between 1982 and 1989 with mineralisation delineated over a 2 kilometre strike, 400 metres wide and 300 metres deep.
Mineralisation remains open at depth and the ETR is constrained to 100 metres depth from surface.
At a 40% MgO cut-off, the ETR is 40 to 60 million tonnes at 40–44% MgO, 2.5–3.5% CaO, 5.5-6.5 % Fe₂O₃ and 1.0-1.2% SiO.
Plan of drillhole collar positions at Lyons River
Prospect Ridge project
The Prospect Ridge is in north-west Tasmania and consists of both the Arthur River and Lyons River magnesite deposits with Jindalee holding 100% beneficial interest in the project.
The Arthur River mineral resource was reported using a cut-off grade of 40% MgO, which is considered appropriate in the context of similar projects and based on an assessment of the likelihood of future economic extraction as required by the JORC (2012) Code.
The Arthur River mineral resource is 6.5 kilometres north along strike of the Lyons River deposit, with the area between the two deposits only lightly explored.
Jindalee is actively engaged in discussions with potential project partners seeking to continue advancing the Prospect Ridge project.