Australian Bauxite (ASX: ABZ) has received all laboratory results from the first pass drilling campaign at its Binjour Project south of Gladstone in Queensland, confirming the discovery of a concealed layer of good quality bauxite, and first-pass drilling near Goulburn in NSW has intercepted bauxite on all tenements.
Also, the company has also had 7 of the 8 tenements in Tasmania recently granted. The drill crews and equipment have been shipped to Tasmania and drilling commenced on 14 October on grazing and cropping farmland around Campbell Town in the Tasmanian midlands.
Bauxite is being encountered in the drillholes and in surface sampling and laboratory results of the drillhole samples will take approximately 6 weeks.
The company’s bauxite is high quality and can be processed into alumina at low temperature and is the type that is in short-supply globally. A new exploration permit application has been made to secure the extensions of the deposit at Binjour.
During exploration, an area of several square kilometres was discovered on the Binjour (EPM 18014) plateau 170km SW of Bundaberg, that has a good quality bauxite layer concealed beneath a soft, freedigging overburden layer.
Bauxite at Binjour is unexpectedly extensive over a wide and diverse area, thus warranting surface mapping and a drilling strategy to delineate thicker, shallow, good quality zones which may justify early development. Plans are now in preparation to recommence drilling on the Binjour plateau.
In addition, drilling in the district around Goulburn in southern NSW has been successful on the two project areas of Taralga, located 40km north of Goulburn, and Windellama, 40km south of Goulburn Inverell.
A maiden resource of 5.4 million tonnes of bauxite at Taralga was announced on 16 September 2010 and since then, another 10 days of drilling has continued to encounter extensions to the resources and has discovered two new bauxite deposits. Laboratory results are awaited.
A review of environmental factors has been submitted for consideration by the Mines Department to enable further resource definition drilling to be undertaken at Taralga, with no major impediments have been identified.