Ecometals Reports Summary of 2008 Exploration Results, Brazil Iron Projects and a New Manganese JVadmin
Ecometals Limited is pleased to announce summary results of exploration programme on its iron projects and the start of a new manganese JV in Brazil.
Airborne geophysics surveys completed in the third quarter 2008 have resulted in a significant strike extension of the strongly magnetic iron formations. The original Matapi Central occurrence, which was previously drilled over 200m strike, has demonstrated iron contents in excess of 60% Fe from grab samples of outcropping itabarite iron formation containing magnetite and martite.
Detailed ground geophysics, mapping and sampling has significantly extended the potential for similar type mineralization to a new area known as Matapi West. The characteristic strong magnetic response of magnetite-rich iron formation is now confirmed over a 20 km strike length.
Geological mapping has also identified widespread canga style of laterite & colluvial haematite mineralization which was not previously recognized. Canga mineralization forms primarily in deep tropical weathering environments such as are found in Brazil and Australia, and may form a significant portion of an economic deposit. Grab sampling of canga mineralization has returned results from 30 to greater than 48% Fe depending on the proportion of primary material and gangue.
The economics of iron mining in the Matapi area are significantly enhanced by the proximity to both rail and mains power supply, and vehicle access via paved and maintained gravel roads.
In other areas, two large-scale strongly anomalous magnetic responses indicative of iron enrichment have been identified from the detailed airborne geophysics survey. These remote areas will be investigated in detail as part of the ongoing exploration program.
The Company also entered into an exclusive option to purchase agreement with respect to two mineral exploration licenses comprising 10,000ha in Tocantins State, north central Brazil. Under the terms of the agreement, the Company can earn a 65% interest in concession areas by making three staged payments totalling US $1,000,000 within one year of signing the agreement.
The licenses are underlain by schistose rocks derived from manganiferous metasediments. Metamorphic and weathering processes have enriched the manganese up to 34% in surface grab samples. The southern part of the concessions has been recently mapped, surveyed with ground magnetics, and sampling of outcrop and soils conducted on a 50 X 200m grid. Samples of outcrop chip samples have been submitted to SGS laboratory for analysis of the major oxide suite with results expected in December.
Fran Scola, CEO, commented, “These very positive results highlight the benefits gained from the use of the airborne geophysical survey, allowing us to rapidly cover the company’s large mineral license package. While the new manganese JV allows the company to expand and diversify its potential resource base.”
Ecometals Limited is a Canadian-listed mineral exploration and development company focused on the mineral resources in Latin America. Ecometals also has significant gold projects in Ecuador at grass roots and pre-feasibility stages, and holds 44.4% of Atomaer Holdings Pty Ltd., an Australian-based company involved in mineral processing technology.