Perth based iron ore developer Sundance Resources (ASX: SDL) has acquired a second diamond drilling rig enabling acceleration of exploration of High Grade hematite prospects at its Mbalam Iron Ore Project in West Africa.
Don Lewis chief executive officer of Sundance said the decision to add a second drill rig for drilling at the Nabeba deposit, located 42km south of the flagship Mbarga Deposit, is aimed at converting the exploration target for Nabeba deposit of 100 to 250m/t of hematite grading 55 to 65% FE, to JORC compliant resources.
He said the the expansion of the work program would assist to achieve project financing in 2010.
The definition of additional High Grade hematite resources would supplement current high grade hematite inventory and is a key part of this work program and has the potential to add significant value as we progress discussions with prospective strategic partners, Don Lewis said.
The second Sandvik DE710 (UDR 200D LS) Track Mounted Drill Rig will supplement the rig currently being mobilised to site for drilling at the Nabeba Deposit.
The company was able to obtain the rig because it exercised an option over this identical rig (to the first) when it was purchased in August.
Sundance will self-perform drilling operations for both rigs with the first rig expected to be commissioned on site this week. The second rig is expected to be delivered in Johannesburg ready for shipment to Cameroon later this month.