Tiger Resources consolidates project interests around Kipoi Resource

Tiger Resources consolidates project interests around Kipoi Resource

Perth-based emerging copper miner Tiger Resources Ltd announce that it has reached agreement with Aurum sprl to restructure the existing joint venture between the two companies.

Tiger’s strategy is to focus on the discovery of copper/cobalt deposits within a radius of 25kms (trucking distance) around its lead Kipoi Project, which is located approximately 75 kms north of Lubumbashi. In September 2008 Tiger completed a Definitive Feasibility Study confirming the viability of the planned Stage 1 development at the Kipoi Central deposit. Tiger has also recently completed resource drilling on two other deposits within the Kipoi Project area, Kileba and Kipoi North. It is envisaged that (less than)3% Cu ore from Kipoi Central and the other deposits within the Kipoi area would be processed through a central SXEW plant to be constructed in the Stage 2 development of the project. Tiger is targeting achieving annual copper production of 100,000tpa from an SXEW plant located within the Kipoi area by 2015.

In line with Tiger’s intention to develop a mining operation at Kipoi in 2009, Tiger has revised its exploration strategy to now target the discovery and development of additional substantial copper deposits within trucking distance of Kipoi in order to benefit from economies of scale.

As part of this strategy, the terms of the joint venture with Aurum sprl have been amended such that Tiger will hold 100% of the Lupoto Project (PR2214) and Aurum will retain 100% of the Kolwezi Project. Tiger will also have the right to a 1% NSR from any production at the Kolwezi Project and Aurum will have the right to a 1% NSR from any production at the Lupoto Project.

The Lupoto Project (PR2214) has a surface area of 293 sq km and is located approximately 10kms to the south of the Kipoi Project area. The same structures and lithologies which host the Kipoi deposits have been identified as extending into the northeast of the PR2214 over a distance of at least 3km, and Tiger considers there is excellent potential to identify ore for processing at the planned Kipoi plant facilities.

Previous drilling by Tiger at the Lupoto Project has identified three significant anomalous areas, Sase, Kapampala and Mwana. Aircore drilling at Sase outlined significant copper mineralization over a minimum area of 450m by 50m. High grade copper intersects included 67m (at) 2.83% Cu and 0.19% Co (hole stopped in mineralisation) and 51m (at) 1.50% Cu and 34m (at) 1.15% Cu. The mineralisation is hosted within strongly weathered dolomites and black shales and is centred at the intersection of a major east-west, north-south trending fault system.

Results from a diamond drilling programme at Sase are expected later in the year. Further work is also planned for the Kapampala and Mwana prospects in 2009.

In addition, under the revised joint venture terms Tiger will have the right to earn a 70% interest in the Sakania Project by spending US$5 million and completing a bankable feasibility study within 5 years. The Sakania Project is prospective for gold, copper, cobalt and platinoids, covers an area of 1,095 sq kms and is close to First Quantum’s Frontier deposit.

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