Guadalcazar & Uranium Update
Vane Minerals PLC
21 November 2006
The following announcement replaces RNS 4001M. The link to the Company's website
is now live.
21st November 2006
VANE Minerals Plc (AIM: VML)
Guadalcazar and Uranium Portfolio Update
VANE Minerals Plc ('VANE' or 'the Company') today announces that the analytical
results for the recent seven-hole programme, GZR 06-13 to 06-19, at Guadalcazar,
Mexico, have been received and interpreted. These results reconfirm the highly
anomalous concentrations of gold and silver throughout the hydrothermal system
that occupies an area 6km by 2km in the Guadalcazar Basin. Tabulation of the
results can be viewed on the VANE website: http://www.vaneminerals.com/?page=
PressSingle&itemId=161
The results of recent drilling represent a measurable improvement from those
previously reported following the 2005 drill programme. However, further
drilling is required in order to define economically viable mineralisation.
It is the opinion of the VANE Board that the system constitutes an exploration
target worthy of considerable additional explorative drilling. However, the
exact genesis of the gold and silver found at the deposit remains only partially
understood. In view of the commitment necessary to test thoroughly the extensive
target, the VANE Board believes that this additional exploration should be
undertaken via a joint venture with another precious metals exploration company.
VANE is currently approaching several companies in this regard.
VANE has agreed with the Guadalcazar property owner that all property payments
will be temporarily suspended during the time required to set in place a
suitable joint venture arrangement.
This strategy will ensure that VANE's resources can be focused towards funding
the drilling on the Company's portfolio of uranium projects in the south-western
region of the United States. Following the recently announced receipt of
drilling permits, drilling at the Miller and Red Dike breccia pipes in Arizona
is expected to commence, weather-permitting, in early December, with a further
programme to commence on the North Wash project in south-eastern Utah in mid
December.
VANE has deep hole drill data on the five deep holes drilled on the Miller pipe
by Energy Fuels Nuclear Inc. in 1986, before drilling ceased due to the
deteriorating uranium market. Four of the five holes intersected uranium
mineralization at depth.
Key intercepts included:
- Hole Number 1640-5 contained a mineralized zone of 26.5 feet averaging 0.51%
U3O8 starting at a depth of 1,269 feet, with grades up to 1.47% U3O8.
- Hole Number 1640-3 contains a mineralized zone of 25 feet averaging 0.34%
U3O8, starting at 1,260.5 feet, with grades up to 1.78% U3O8. Within this
interval is a 10-foot zone that averages 0.57% U3O8.
The Red Dike project has had historic shallow drilling which has confirmed the '
breccia pipe' status and VANE is planning to deep drill this pipe to test for
mineralisation.
Michael Spriggs, Chairman of VANE Minerals, said: 'It is our intention to carry
out further exploration of Guadalcazar with a joint venture partner as we feel
this is this is the best way to optimise VANE's resources. Guadalcazar is a
major project in terms of its size and potential and we believe that working
with a joint venture partner is prudent and appropriate at this time. Our
uranium portfolio has grown dramatically over the last 12 months at a time when
the uranium market has continued to go from strength to strength. Our strategy
for the development of Guadalcazar will therefore enable management and
financial resources to focus on the fast track of our uranium assets and our
first drilling programmes begin imminently.'
Clark Arnold, PhD Geology, who is Director of Geology for VANE Minerals and who
meets the criteria of a qualified person under the AIM Guidance Note for Mining,
Oil and Gas Companies, March 2006 has reviewed and approved the technical
information contained within this announcement.
About VANE Minerals:
VANE Minerals was founded by the former international exploration team of
Freeport McMoRan Copper & Gold Inc., one of the world's largest producers of
copper and gold. The team negotiated exclusive access to Freeport-McMoRan's
global exploration database, made up of 7,000 plus files generated over nearly
100 years of exploration and, following the review of these files, VANE is
ideally placed to capitalise on project acquisition opportunities. The Company
has assembled a highly qualified and experienced management team with a proven
track record in exploration and development, who have spent their entire careers
searching for and defining large scale mineral deposits.
The Company is using the revenue generated by the Diablito mine to help fund
exploration work across its attractive portfolio of uranium, gold, silver, and
copper projects in the US, Mexico and Paraguay .
For further information, please review: www.vaneminerals.com.
Enquiries:
VANE Minerals Plc Ambrian Partners Limited
Matthew Idiens Richard Brown
+44 (0) 20 7667 6322 +44 (0) 20 7776 6417
Parkgreen Communications Daniel Stewart & Co
Cathy Malins / Annabel Leather Dan Willmott
+44 (0) 20 7493 3713 +44 (0)20 7776 6550
This information is provided by RNS
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