 |
 |
||||||
[October 2008]
Mineral Resource and Tenement Consolidation in Eucla Basin
Iluka Resources Ltd has advised that, subject to satisfactory completion and signing of a sales and purchase agreement, it intends to acquire Adelaide Resources Limited’s Eucla Basin assets for a consideration of A$5 million. This transaction is also subject to legal due diligence and the granting of Ministerial consent to the transfer of certain exploration tenements.
The assets intended to be acquired, subject to the above conditions, include Adelaide Resources’ approximately 49 per cent interest in the Colona Joint Venture, including the Tripitaka deposit, equating to approximately 307,000 tonnes of Heavy Mineral and categorised as Inferred when reported in accordance with the JORC Code.
The transaction includes three Colona JV exploration licences (EL 3637, 3638 and 3316) which cover 5,251 square kilometres. The acquisition of Adelaide Resources’ interest in Tripitaka would provide Iluka with the following total heavy mineral (HM) resource position for this deposit:
• EL3233 – Inferred Mineral Resource of 14.2 million tonnes @ 2.7% HM, containing 377,000 tonnes of HM with an assemblage of 67% zircon, 4% rutile and 13% ilmenite.
• EL3316 – Inferred Mineral Resource of 27.4 million tonnes @ 2.3% HM, containing 627,000 tonnes of HM with an assemblage of 63% zircon, 6% rutile and 7% ilmenite.
Iluka’s Managing Director, David Robb, stated: “The intended acquisition consolidates Iluka’s position in the relatively small although high zircon assemblage Tripitaka deposit, as well as extending Iluka’s tenement holding in this prospective mineral sands region”.
Iluka is currently advancing the development of its major Jacinth-Ambrosia zircon deposit, within the Eucla Basin and with first production scheduled mid 2010. Iluka’s Eucla Basin tenement holdings, covering approximately 50,000 square kilometres, are the prime focus of Iluka’s greenfields exploration activities.
ENDS