www.southbouldermines.com.au
South Boulder’s (ASX: STB) flagship project is the world class Colluli Potash Fertilizer Project in Eritrea where mine production of 1Mt p.a. is scheduled for 2016 or sooner from the world's first open cut potash mine.
South Boulder also operates the Duketon Project in Western Australia where there is demonstrated potential for gold, nickel sulphide and base metal mineralisation.
South Boulder Mines near surface potash hits keep on coming at Colluli
In a second such announcement this week, South Boulder Mines (ASX: STB) has hit more near surface potash at the Colluli Potash Project, in Eritrea, which has the potential for the world's first open pit potash mine.
The company's current drilling program is part of a JORC study into open pit mining and processing operations, with an initial starting capacity of 1.5 million tonnes of potash annually, with the study examining the potential for production to ramp up to 3 million tonnes per year.
New diamond drilling highlights include:
- 0.75m of sylvinitite from 23.97m;
- 1.51m of carnallitite from 24.72m; and
- 9.97m of kainitite from 26.23;
Highlights from a second hole include:
- 1.02m of sylvinitite from 23.95m;
- 0.16m of carnallitite from 24.97m;
- 13.73m of carnallitite from 28.11m; and
- 13.42m of kainitite from 41.84m;
The results further confirm the initial exploration target of 300 to 500 million tonnes of potash ores with average grades of 21-25% KCl.
A recent placement of 3.5 million shares at $2.00 per share raised $7 million, providing sufficient short term cash liquidity to advance exploration and pre-feasibility studies.
In early morning intra-day trade, South Boulders shares are up $0.20, or 7% to $2.90, after hitting a company record high of $2.95 at the open of trade.
