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Additional Information

Market:	ASX
Sector:	General Mining
EPIC:	ALK
Latest Price:	1.17 (-2.49% )
52-week High:	2.63
52-week Low:	0.91
Market Cap:	316.11M

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Alkane Resources Full Alkane Resources profile here

Alkane Resources (ASX: ALK) is a multi commodity mining and exploration company focused on the Central West of New South Wales, Australia. Alkane's shares are also listed as American Depository Receipts (ADR's). The company has built a gold resource inventory of over 1 million ounces at McPhillamys near Orange in a venture with Newmont Australia.

The Company has an advanced feasibility study in progress for the development of the Dubbo Zirconia Project which is based upon a very large in-ground resource of the metals zirconium, hafnium, niobium, tantalum, yttrium and rare earth elements.

Newmont to lift interest in Alkane Resources' McPhillamys Project

Tuesday, March 02, 2010 by Andrew McCrea

Newmont Australia Limited have elected to increase its interest in the Orange District Exploration Joint Venture (ODEJV) to 75% by completing a Bankable Feasibility Study (BFS) on the McPhillamys Project.

Ian Chalmers, managing director of Alkane Resources (ASX:ALK) regards the McPhillamys Gold Deposit as the largest greenfields gold discovery in Australia since Tropicana (Western Australia) in 2005.

Joint venture partner NAL will sole fund all expenditures to complete the BFS and there is no time constraints to finalise this study.

At Alkane’s election, NAL can earn a further 5% interest by securing funding for Alkane’s share of any capital costs for the development.

Clearly, with this announcement the project has taken a significant step closer to production.

NAL is a subsidiary of the US based Newmont Mining Corporation (NYSE: NEM).

The JV includes the Molong and Moorilda tenements located near the city of Orange in the Central West of New South Wales, adjacent to Newcrest Mining Ltd’s Cadia Valley Operations.

Preliminary block modelling by Newmont Australia has assigned a conceptual exploration target of 2-4 million ounces of gold with 50,000-100,000 tonnes of copper.

Further drilling and evaluation will be required to raise this conceptual exploration target to an Identified Mineral Resource.

The 2010 program for the JV will include further drill testing of the McPhillamys Gold Deposit at depth; drilling of regional targets; metallurgical testing and conceptual mine studies.

Alkane Resources is a multi commodity explorer and miner with its operations focussed in the Central West of New South Wales, centred about 400km northwest of Sydney. Over several years, including experience in developing the Peak Hill Gold Mine, Alkane has built a substantial resource base and is proceeding towards several developments.

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