Eland Platinum Adds to Mine Area

Platinum mining house Eland Platinum [JSE:ELD] had exercised its option to acquire the remaining portion of land adjacent to its Elandsfontein Platinum Mine, being built near Brits, for R70 million (US$9.74 millio), it said yesterday.

The purchase of the 51% stake in the property from black empowerment group Waterberg Portion Property, led by Pretoria-based businessman Mpume Sikhosana, will give Eland Platinum a 73.9% stake in the “triangle” area of the farm Elandsfontein, which forms part of the developing mine. The mining rights at Elandsfontein extend over the triangle area.

Payment will be made in R50 million (US$6.96 million) cash and 285,715 Eland Platinum shares at R70 (US$9.74) a share, with a three-year lock-in provision. The purchase price is equivalent to R29/oz (US$4.03/oz) of platinum in the ground.

The triangle area is former state-owned land, which, according to Eland Platinum’s mineral reserves statement published at the beginning of the year, contains an estimated resource of 34.8-million tonnes of ore at a grade of 4.28g a tonne of four platinum group metals, giving 4.80-million ounces of precious metals.

Eland said in January it would exercise its option to acquire the outstanding 51% stake in the triangle and said it was also evaluating other platinum group metals properties held by Sikhosana.

CE David Salter said Eland Platinum was evaluating a number of properties, including some held by Sikhosana, over a wide area on the western Bushveld.

The group has stated its intention of being a 1-million-ounce-a-year producer by 2015 and Salter would look at opportunities that would add to its growth in an appropriate way, if the price and asset were right.

Salter said management had no fixed ideas and would consider either an outright purchase or a joint venture, depending on the asset.

Another platinum venture on the western limb of the Bushveld that is widely speculated to be seeking partners or consolidation opportunities is Wesizwe Platinum’s Frisch-Ledig project, which released its pre-feasibility study last week.

Salter said Eland was not talking to Wesizwe [JSE:WEZ].

Today, Wesizwe reported a R19.8 million (US$2.75 million) loss for the year ended December. However, the group pointed out that, as an exploration and development focused entity, it was at present not a cash generative business and that the loss therefore represented investment in asset growth and development as opposed to operating losses as understood in a conventional business sense.

Mike Solomon, CEO of Wesizwe, described the past financial year as a highly successful and significant one for the company. He said the company had accelerated its exploration programme to the point where it was now generating some 10,000 million of core per month and the graduation of the resource from the Inferred category to the Indicated and Measured categories was proceeding apace.

Solomon said that the company was looking forward to as successful a year this year.

Source : www.resourceinvestor.com

Platinum Australia Limited

The latest results from the resource definition drilling programme being undertaken by Platinum Australia Limited (ASX: PLA, AIM: PLAA) on the Kalahari Platinum (Kalplats) project in South Africa have extended the mineralisation at both Serpens North and Serpens South deposits. These are two of seven known deposits, together with three other prospects, identified over a 12km strike length of the Stella Layered Intrusive (SLI) structure and outlined to a depth of approximately 150m below surface. All appear to be open at depth and along strike.

This initial 20,000m drilling programme, due to be completed shortly, is designed to update the resource estimate for the Serpens North & South and Sirius deposits and to provide additional information on the extent of the Crater and Crux deposits. An updated resource estimate for these deposits should then be completed by June.

The programme will continue with a second phase of drilling, comprising a further 25,000m and scheduled for completion by October. This will enable an updated resource estimate to be established for the whole Kalplats project, including evaluation of the three known mineralised prospects - Scorpio, Pointer and Tucana.

Commenting today, PLA managing director Mr John Lewins said: "These results continue to confirm our open pit target for the Kalplats project of up to 3m ounces of 3E PGM (platinum, palladium and gold) to a depth of approximately 200m. In addition, the first results from the Sirius deposit confirm those from some of the previous drilling which identified unusually thick reef intersections and possible duplication of the reefs."

Although the 3m ounce target is conceptual and does not imply that a mineral resource has been or will be defined at Kalplats, PLA says that the results from the current drilling programme have significantly increased confidence in the potential of the project to achieve this target.

The Kalplats project, located 330km west of Johannesburg, is a joint venture with African Rainbow Minerals Platinum (ARMplatinum) in which PLA is earning a 49p.c. interest by completing a bankable feasibility study and providing the right for the project to use the patented Panton metallurgical process to treat the ore. The BFS is due to be completed by the end of 2007.

The project currently has indicated and inferred resource of 3.4m ounces 3E PGM, including a high grade component of 1.4m ounces 3E PGM, contained within seven separate deposits over a 12km strike length of the SLI. However, PLA believes there to be significant potential to increase these resources as all the deposits are open at depth and along strike. Geochemical surveys and a high-resolution aeromagnetic survey completed by PLA have also identified a number of additional targets within the SLI for further investigation.

As part of the JV with ARMplatinum, the two companies have applied for a prospecting right covering an area extending approximately 20km to the north and 18km to the south of the Kalplats project area, increasing the total strike length held over the Stella Layered Intrusion to almost 50km. Each company will have a 50p.c. contributing interest in the new area, and PLA will manage exploration which will target extensions of the known "Kalplats style" PGM mineralisation.

Significant results (3E PGM) from the latest drilling include:

Serpens North
8m of 2.40g/t from 50m and 6m of 3.97g/t from 68m in same hole 8m of 1.73g/t from 107m 2m of 2.92g/t from 22m and 5m of 3.51g/t from 39m in same hole 4m of 3.23g/t from 5m 2m of 2.29g/t from 23m, 2m of 4.21g/t from 31m and 4m of 7.17g/t from 39m (including 1m of 14.89g/t) in same hole 3m of 3.88g/t from 48m and 1m of 3.81g/t from 54m in same hole

Serpens South
9m of 2.11g/t from 54m (including 4m of 3.31g/t) and 3m of 2.64g/t from 70m in same hole 4m of 5.80g/t from 30m 3m of 3.92g/t from 153m 2m of 5.44g/t from 73m and 2m of 2.34g/t from 86m in same hole

Crater
4.55m of 4.44g/t from 118m (including 1m of 9.02g/t) 5.52m of 1.73g/t from 153m, 1.72m of 3.53g/t from 160.5m and 8m of 2.83g/t from 166m (including 1m of 8.80g/t) in same hole 3m of 3.47g/t from 78m

Sirius
3m of 2.57g/t from 6m, 3m of 2.52g/t from 16m and 8m of 3.42g/t from 39m (including 1m of 5.36g/t) in same hole

Source : www.mineweb.net

Wesizwe to spend R210m on exploration, studies this year

Platinum exploration company Wesizwe expects to spend R210-million on exploration in 2007, the company said on Tuesday.

In a commentary to the firm’s annual results for 2006, CE Michael Solomon said that the R210-million would be used to take the company’s Pilanesberg project through to bankable feasibility study stage, as well as for the exploration of other properties for which Wesizwe has been or should be granted the prospecting permits.

The figure included the costs of a three-dimensional geoseismic survey and the bankable feasibility study itself, which was commissioned after a prefeasibility study indicated that the project would be economically viable, and is scheduled for completion in the first quarter of 2008.

The expenditure will be financed from Wesizwe’s balance book, after the company conducted a number of private placement capital raisings in 2006.

“The funds received as a result [of the capital raisings] have placed Wesizwe in a strong position to see the project through to the completion of the bankable feasibility study,” Solomon said.

The company narrowed its loss for the 12 months ended December 31, 2006, to R19,8 million, compared with a loss of R32,1-million in 2005.

Exploration and evaluation expenses for the year amounted to R38,2-million, compared with R25,5-million in 2005.

The Pilansberg project refers to Wesizwe’s portfolio of exploration assets located on the western limb of the Bushveld Igneous Complex, comprising Ledig 909JQ, and portions of the farms Frischgewaagd 96JQ, Mimosa 81JQ and Zandrivierspoort 210JP, situated near Rustenburg.

Wesizwe said last week that capital construction the complex was expected to start in the fourth quarter of 2008 after the prefeasibility study on the Frisch-Ledig complex had confirmed the economic viability of developing an underground mine, producing 180 000t/m 4E as an attractive prospect because of its grade, prill split and relatively shallow depth.

Capital expenditure for the mine's development was estimated at R3,59-billion, with peak cost funding of R866-million in year six (2013).

Shares in Wesizwe closed 7,69% higher on Tuesday, at R10,50 a share.

Source : www.miningweekly.co.za

Update of ongoing platinum exploration projects

Several developments and exploration results in platinum mining have been released from around the world.

* In its Plateau PGE Project in Canada, Hinderland announced assay results of eight holes bored at the project and discovered a broad platinum and palladium zone, of up to 31.1 metres wide. Weighted average intersections of the zone reached 1.07 g/t of platinum group metals, with maximum individual values up to 2.52 g/t.
* Largo Resources' systematic sampling programme in South America has returned initial results of up to 2.37 g/t platinum and 0.65 g/t palladium at the site.
* Eurasia Mining's Volchetundra in north-west Russia has revealed several zones of platinum mineralisation with grades of between 1.9 and 11 g/t of platinum and palladium.
* Polar Bear prospect in Australia has show up to 21.2 g/t of platinum at the Halls Knoll project, as well as 2.5 g/tof rhodium and 6.4 g/t of ruthenium.

Northern Shield Resources Identifies Platinum and Nickel Minerals in Sediment Sample from Highbank Lake

Northern Shield Resources Inc. ("NorthernShield") (TSX-V: NRN) is pleased to announce that a small grain of sperrylite (a platinum mineral) has been identified in a heavy mineral concentrate from a sediment sample previously collected at Northern Shield's Highbank Lake property. A grain of pentlandite (nickel sulphide) was also identified in another sample taken within 400 meters of where the platinum mineral was found.
Geochemical studies carried out on core samples from last years' drill programs provided important new information about the layout of the intrusion and the results are being used to delineate new targets with good potential for reef-style PGE mineralization. The geochemical studies were conducted by Northern Shield. with the assistance of Dr. Wolfgang Maier of University of Western Australia, a world-renown specialist in the Bushveld and other PGE deposits. The location of the samples containing the sperrylite and pentlandite grains coincides with one of the areas suggested by Dr. Maier as being most prospective for PGE mineralization at Highbank Lake.
Northern Shield is in the process of selecting drill targets, to be discussed with Impala Platinum Holdings Limited, for a third drill program at Highbank Lake planned for this summer.
The heavy mineral concentrates from the sediment samples were prepared by Overburden Drilling Management Ltd. of Ottawa and analysed by scanning electron microscope (SEM) at Carleton University in Ottawa by Dr. Richard Taylor.
The Highbank Lake project is being supervised by Christine Vaillancourt, Northern Shield's Chief Geologist and, a Qualified Person under National Instrument 43-101.
The Highbank Lake property covers a recently discovered layered intrusion, which extends for approximately 500 square kilometers, and is being explored for eef-hosted PGE and chromium, and contact-type PGE mineralization. Impala Platinum Holdings limited of South Africa, the world's second largest platinum producer, entered into an option agreement with Northern Shield pursuant to which Impala has the option of incrementally earning a 60% interest in the PGE and PGE by-products of the property by incurring $5 million in exploration expenditures on the property within five years. Impala has already earned a 20% interest in the Highbank Lake project by incurring $1 million of exploration expenditures.

Forward-Looking Statements Advisory

This news release contains statements concerning the potential for PGE mineralization at Highbank Lake, the plans for a third drill program at Highbank Lake and other expectations, plans, goals, objectives, assumptions, information or statements about future events, conditions, results of operations or performance that may constitute forward-looking statements or information under applicable securities legislation. Such forward-looking statements or information are based on a number of assumptions which may prove to be incorrect.
Although Northern Shield believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because Northern Shield can give no assurance that such expectations will prove to be correct.
Forward-looking statements or information are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by Northern Shield and described in the forward-looking statements or information These risks and uncertainties include, but are not limited to geological geophysical, and geochemical interpretation, the ability of Northern Shield to obtain equipment, supplies and qualified personnel necessary to carry on a third drill program at Highbank Lake and the general risks and uncertainties involved in mineral exploration.
The forward-looking statements or information contained in this news release are made as of the date hereof and Northern Shield undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.