Proactiveinvestors recommends

Breakaway Resources gains exploration upside surrounding 7.5m silver ounce Altia project
IMX Resources: full ownership of the Nachingwea Nickel Project clears path to production
Greenland Minerals and Energy receives broker valuation of more than five times current share price

Additional Information

Market:	ASX
Sector:	General Mining
EPIC:	STB
Latest Price:	0.87 (-3.33% )
52-week High:	3.54
52-week Low:	0.85
Market Cap:	101.12M

1 year chart

1 day chart

South Boulder Mines Full South Boulder Mines profile here

South Boulder’s (ASX: STB) flagship project is the world class Colluli Potash Fertilizer Project in Eritrea where mine production of 1Mt p.a. is scheduled for 2016 or sooner from the world's first open cut potash mine.

South Boulder also operates the Duketon Project in Western Australia where there is demonstrated potential for gold, nickel sulphide and base metal mineralisation.

South Boulder Mines confirms significant potash deposit in East Africa

Monday, October 18, 2010 by Jeff Coote

Assays from South Boulder Mines' (ASX: STB, SO3-Fra, SO3-BER) first complete hole at its fully owned Colluli potash deposit in Eritrea have exceeded the company's expectations, confirming Colluli as a highly significant potash deposit.

The first true width assays from hole Col-004 confirm extensive shallow potash at Colluli including:

- 7.72m of Sylvinite @ 25% KCl (16% K2O) from 28.68m depth; including 3.44m of Sylvinite @ 44% KCl (28% K2O) from 32.96m and;
- 14.79m of Carnallitite + Kainitite @ 16% KCl (10% K2O) from 48.55m depth; including 3.20m of Kainitite @ 22% KCl (14% K2O) from 55.60m; including 4.20m of Kainitite @ 24% KCl (16% K2O) from 58.60m.

Lorry Hughes, managing director, said “this is an outstanding result to be able to drill high grades at such shallow depths."

"Hole Col-004 is the first complete hole we have received from the laboratory and we expect to have the remainder of the holes within two weeks. It appears that Colluli is one of the shallowest potash deposits in the world and I expect the engineering study results to confirm a cheap capex and opex operation."

Exploration work is continuing, including the commencement of a ground gravity survey at the end of October to help delineate structures that control mineralisation.

The gravity results together with the remaining chemical results will allow South Boulder to better target further resource delineation drill sites.

The drill rig is still onsite and drilling is set to resume in early November.

To date potash has been intersected over a 4.5km2 area and it is planned to expand on this with the current drill program. Data will be used to generate a geological resource estimate at year end and concurrent scoping study estimates and planning is well advanced.

Information on the scoping study program and further exploration results will be released as it comes to hand.

South Boulder Mines has a market capitalisation of $68.1 million, 87.8 million shares on issue and $3.4 million cash at bank.

Eritrea is a country in the Horn of Africa, bordered by Sudan in the west, and Ethiopia in the south.

No investment advice

The Company is a publisher and is not registered with or authorised by the Financial Services Authority (FSA). You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.