Macarthur Minerals Limited (ASX:MIO) (CVE:MMS) has intersected high-grade magnetite in infill drilling at Moonshine project within the Lake Giles Iron Project in the Yilgarn region of Western Australia.
This drilling intersected a zone of high-grade magnetite mineralisation that had been identified previously at Moonshine North deposit.
Broad high-grade intersections
One reverse circulation (RC) hole intersected 94 metres from 86 metres averaging 40.51% iron and this included 50 metres at 47.52% from 121 metres.
Another RC hole hit 57 metres at an average of 40.23% from 95 metres which included 18 metres at 60.64% from 129 metres.
The program concluded on December 8 and included 21 RC holes and nine diamond drill holes for 3,674 metres.
A diamond hole at Moonshine North has also intersected 71.24 metres of mineralisation from a downhole depth of 91.5 metres with strong visual magnetite content.
Strong magnetite mineralisation at the Moonshine North zone in diamond drill hole LGDD_071.
Potential for high-grade concentrate
Previous test work by Macarthur, which completed a dual listing on the ASX last Friday, demonstrated the potential to produce a processed high-grade magnetite concentrate.
Macarthur’s executive chairman Cameron McCall said, “The company is extremely pleased with its successful listing on the Australian Securities Exchange and the positive market response in the first two days of trading.
“Macarthur’s dual listing on the ASX and the TSX-V will provide the company with increased opportunities in the pre-development stage of its flagship Moonshine Magnetite Project.”
Dual listing “makes sense”
McCall said, “With Australia as a major exporter of iron ore to the world and the ASX being the home exchange to some of the world’s largest iron ore producing companies, it makes sense for Macarthur to be dual-listed in Australia.”
Macarthur opened on the ASX last Friday at 28 cents and has since traded up to 32 cents, which was today’s closing price.
The company’s infill drilling program has been designed at closer drill hole spacing to upgrade the resource classification for some of the Moonshine and Moonshine North deposits.
Reverse circulation drill chip samples of materials from the Moonshine North deposit.
The project has an inferred resource of approximately 710 million tonnes at 30.1% iron and Macarthur is confident of upgrading the resource in terms of size, classification and grade.
Metallurgical test work indicates the resource can be upgraded to 68.5-69.1% iron.
Analytical results are pending for a further eight holes drilled at Moonshine North, all of which include visually logged intervals with a high percentage of magnetite content.
Study nearing completion
Results from the drilling will also be used in a feasibility study, which is nearing completion.
The company is focusing on bringing its magnetite project into production to take advantage of strong market fundamentals for magnetite.
Lake Giles also includes an 80 million tonnes hematite resource within the Ularring project which the company plans to exploit through tribute mining.