Sundance Resources (ASX:SDL) is an Australian-based international iron ore company developing the Mbalam Project in the Republic of Cameroon in central west coast of Africa.
Sundance is advancing a significant exploration program and feasibility studies on the project based on production of 35 million tonnes per year hematite. Sundance is targeting to commence operations in 2012, this forming the basis for developing a global iron ore business.
Sundance Resources commences drilling at Nabeba Deposit
International iron ore company Sundance Resources (ASX: SDL) has kicked off drilling at the Nabeba Deposit in the Republic of Congo, a key exploration target for the Company’s Mbalam Iron Ore Project in 2010.
The Nabeba Deposit is located 42km south of the Mbarga Deposit, where Sundance has previously reported JORC-Code compliant Indicated and Inferred Resources of High Grade Hematite totalling 215.2Mt grading 60.2% Fe and Indicated and Inferred Resources of Itabirite Hematite totalling 2,325 million tonnes grading 38.0% Fe.
Drilling at the Nabeba Deposit is aimed at defining additional JORC-Code compliant resources of High Grade Hematite based on a current Exploration Target* of 100 to 250Mt Hematite grading 55% to 65% Fe.
The Company has commenced drilling with the Sandvik DE710 drill rig purchased in late 2009. This rig has achieved excellent penetration rates and core recovery from recent drilling on the Company’s exploration landholdings to the north of the Nabeba Deposit in the Republic of Cameroon.
A new Schramm RC drill rig is currently being shipped from the US and is targeted to commence drilling at Nabeba in the March 2010 Quarter.
“We are very pleased that drilling has commenced at Nabeba after a tremendous effort by our field team in constructing new access to the deposit over recent months,” Sundance chief executive Don Lewis said.
“Local infrastructure improvements and support to the local communities in this remote part of the Republic of Congo is being well received as are the employment opportunities and training being provided to the National workforce by Sundance”.
Mr Lewis said the first phase of drilling on Exploration Permit 92 in Cameroon successfully defined a world-scale Resource inventory of High-Grade and Itabirite Hematite at the Mbarga, Mbarga South and Metzimevin Deposits.
"We are currently drilling out these deposits with the aim to progressively convert current resources to reserves," he said.
“We look forward to increasing our High-Grade Hematite Resource inventory over the coming months through the drilling program now underway at Nabeba. If our Exploration Target is achieved, this could result in a potential doubling of the tonnage of High-Grade Hematite controlled by the Company.
“This is an important milestone for the Mbalam Project following our recent $85 million capital raising. The drilling program, which forms a core part of our Definitive Feasibility Study, has the potential to add substantial value to the Project as we progress discussions with prospective partners, customers and financiers in support of project financing activities in 2010.”
Sundance is an Australian exploration company focused on mining interests in the Republic of Cameroon and the Republic of Congo, on the central west coast of Africa.
Sundance has commenced feasibility study on its Mbalam Iron Ore Project as the basis for developing a global iron ore business. Central West Africa is considered to have the potential to develop into a significant new iron province, underpinned by the Mbalam Project and nearby projects in Congo and Gabon.
WA-based Sundance has been listed on the Australian Stock Exchange since 1993 and is also traded on over-the-counter markets in Frankfurt, Berlin, Hamburg, Stuttgart and Munich.
