Blackthorn Resources boosts exploration budget by A$1m at Mumbwa copper project

Wednesday, September 07, 2011

Blackthorn Resources (ASX: BTR) has provided a boost to the Phase 5 drilling program at the Mumbwa Project in Zambia by increasing the exploration budget by A$1 million to A$6 million.

The Phase 5 drilling program aims to further define the current JORC Inferred mineral resource already estimated for Kitumba, and to test a newly identified target in the vicinity of the Mutoya anomaly.

Kitumba currently hosts an Inferred JORC Resource of 87 million tonnes at 0.94% copper, using a 0.5% cut-off. The company is aiming to achieve an upgrade to the resource in early 2012.

The extra funding will expand the program and allow additional and deeper holes to be drilled, including core drilling of 16 holes for about 8,900 metres.

Scott Lowe, managing director, said "in addition to further defining the JORC code compliant inferred resource at Kitumba, we are also optimistic about the potential for further exploration – perhaps even a Tier 1 discovery.

"Of course “scout” drilling is always speculative in nature, but there are positive indications of potential for mineralisation and we are eager to test these new zones."

The company also said reprocessing of the FALCON™ data and inclusion of all new exploration information compiled from previous drilling phases has generated some new targets worthy of follow up exploration.

This work has identified new high priority targets in the Mutoya area situated about 6 kilometres from Kitumba. These targets were not previously tested by BHP Billiton (ASX: BHP). Blackthorn believes there is potential for a Tier 1 discovery in the Mutoya area that BHP may have missed.

Mumbwa had been a joint venture with BHP, but the big Australian miner has allowed Blackthorn to move to a 100% interest of the project, with the decision withdraw.

The planned depth of the Phase 5 drill hole P5-002 has been extended to 800 metres and two additional drill holes have been approved to test a newly identified target in the vicinity of the Mutoya anomaly.

Two rigs are onsite drilling the first two cored holes of the Phase 5 program. The company is making plans to implement double shifting on both rigs in the near future.

First assay results are expected in the fourth quarter of 2011 and Alfred H Knight Group have been commissioned to prepare and analyse the samples.

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