Equinox Drills Kanga and Extends Malundwe Deposit at Lumwana
Fri Jul 25, 11:30 AM/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION
IN THE U.S./
TORONTO, July 25 /CNW/ - Equinox Minerals Limited (TSX and ASX symbol: "EQN") ("Equinox" or the "Company") is pleased to report that recent exploration drilling at the Company's Kanga Prospect ("Kanga") continues to intersect significant copper intercepts.
Kanga (at which Equinox has identified a series of highly prospective geophysical IP anomalies), lies directly on strike and immediately to the south of the Malundwe Main Pit ("Malundwe") where the Company is currently commissioning the Lumwana Copper Mine ("Lumwana") in Zambia.
In evaluating these anomalies (see Figure 1 following), Equinox has now drilled 20,000m in 112 drill holes comprising mainly reverse circulation with some diamond drilling. The drill program focused on testing the area extending south from Malundwe (optimised at US$1.20/lb copper) into the Kanga area along an extended strike length of 1km and over a length of 1.2km across strike.
Significant copper mineralization (presented below in Table 1) was intercepted on every cross section. Copper intercepts identified have been found to be similar geologically as well as in grade and in thickness to those at Malundwe indicating the strong potential to increase the mineral reserves of Malundwe which presently hosts 119.2Mt grading 0.90% copper.
The drilling program at Kanga is ongoing and due for completion in September 2008. Following compilation of all assay results, a Kanga inferred resource estimate will be calculated and Malundwe pit optimisations applied to determine the scale of the opportunity that exists to increase current Lumwana reserves and mine life.
TABLE 1: Selected Kanga Prospect Drill Intercepts greater than or equal
to 0.2%Cu
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Depth
Hole No. mE mN RL From To Width Cu Ore below
(m) (m) % Type surface
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LUM0399 371675 8645661 1307 184 198 14 0.28 Sulphide 184
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and 238 242 4 0.66 Sulphide 238
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and 250 254 4 1.25 Sulphide 250
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LUM0403 371081 8645675 1319 220 236 16 1.86 Sulphide 220
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MLW0260 371863 8645203 1323 238 262 24 1.12 Sulphide 238
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MLW0261 371761 8645198 1313 247 270 23 0.99 Sulphide 247
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and 277 279 2 0.82 Sulphide 277
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MLW0263 371557 8645206 1320 266 268 2 0.26 Sulphide 266
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and 276 296 20 0.52 Sulphide 276
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MLW0265 372398 8645004 1343 160 165 5 0.59 Sulphide 160
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MLW0268 372104 8645001 1338 216 234 18 0.57 Sulphide 216
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MLW0269 372008 8644999 1335 204 218 14 0.66 Sulphide 204
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and 226 236 10 1.03 Sulphide 226
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MLW0270 371912 8645008 1332 225 243 18 1.07 Sulphide 225
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MLW0272 371662 8645005 1312 167 179 12 1.21 Sulphide 167
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MLW0275 371410 8644998 1332 232 246 14 1.18 Sulphide 232
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MLW0277 372149 8644801 1343 102 112 10 0.48 Sulphide 102
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and 118 128 10 0.32 Sulphide 118
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MLW0278 372053 8644801 1339 98 112 14 0.88 Sulphide 98
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MLW0279 371952 8644800 1336 108 120 12 0.92 Sulphide 108
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MLW0286 372201 8644399 1349 109 115 6 0.89 Sulphide 109
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and 123 129 6 1.15 Sulphide 123
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MLW0287 372103 8644408 1348 141 149 8 1.15 Sulphide 141
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MLW0288 371999 8644402 1346 172 174 2 0.87 Sulphide 172
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MLW0290 372312 8645004 1342 173 179 6 0.38 Sulphide 173
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MLW0294 371657 8645198 1311 256 274 18 1.47 Sulphide 256
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MLW0316 371305 8645001 1335 248 260 12 0.76 Sulphide 248
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MLW0320 371352 8645199 1330 216 238 22 0.34 Sulphide 216
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NOTE: All drill holes were drilled -85 degrees/094 degrees
Commenting on the latest Kanga data, Mr. Craig Williams, Equinox's President and CEO stated that: "Such an extension could materially impact the economics of Lumwana with higher grade Kanga ore possibly displacing lower grade Chimiwungu ore from the current mine schedule. In addition, this data will further advance the positive merits of bringing forward our process plant expansion plans".
On Behalf of the Board of Directors of Equinox:
Craig R. Williams - President & Chief Executive Officer
To view Kanga IP & Drill Collar Map, please visit http://files.newswire.ca/707/KangaIPDrillCollarMap.doc
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Competent Person and Sampling Protocols
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As required by the National Instrument 43-101, Equinox's designated qualified personnel required for the supervision of exploration of the projects are John Cooke and Mike Richards, employees of the Corporation. Drill methods utilised to generate the samples was 4.5" diameter reverse circulation or HQ diamond drilling. Reverse Circulation used a face sampling hammer bit. Collar positions were located using a differential GPS and the holes were surveyed every 50m downhole. RC samples were collected into plastic bags via a cyclone on 1m intervals and split through a 75:25 Jones riffle splitter. 1m samples were composited to cover a 2m interval at all projects. The resultant sample of 2kg was placed in a calico bag. Diamond drill core was halved by diamond saw and sampled on 1m intervals. Duplicates, standard reference samples and blanks were inserted in the sample sequence at a rate of 1 in 20. Samples were despatched to Lumwana Exploration Camp, where they were prepared in accordance with protocols designed by senior ALS personnel through a purpose built sample preparation facility. Pulps were air freighted to ALS Chemex at Malaga, Perth Western Australia. All samples were dried, crushed and pulverised to achieve 90% passing -75microns. The pulp was collected from the pulveriser bowl by a ceramic sample scoop, and the balance of the pulp stored for re-assay, if required. Samples were assayed by four acid digest and method ME-ICP61 up to 10000ppmCu; above this level samples were re-assayed by Cu-OG62, a more accurate ore grade determination Uranium was assayed by ME-ICP61 up to a value of 1,000ppm whereupon they were re-assayed by XRF fusion. Intercepts were calculated as an arithmetic average. Intervals represent down hole intercepts, although because of the shallow dip of the mineralization these approximate true thickness of the intercept. Lower cut off grades accepted for the intercepts were 0.2%Cu and 100ppmU, with up to 4m permissible as internal waste.
Cautionary Language and Forward Looking Statements
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This press release contains "forward-looking statements" and "forward-looking information", which may include, but is not limited to, statements with respect to the future financial or operating performances of Equinox, its subsidiaries and their respective projects, the future price of copper and uranium, the estimation of mineral reserves and resources, the realization of mineral reserve estimates, the timing and amount of estimated future production, estimated costs of future production, capital, operating and exploration expenditures, costs and timing of the development of the Lumwana Project, the costs of Equinox's hedging policy, costs and timing of future exploration, requirements for additional capital, government regulation of exploration, development and mining operations, environmental risks, reclamation and rehabilitation expenses, title disputes or claims, and limitations of insurance coverage. Often, but not always, forward-looking information can be identified by the use of words such as "plans", "expects", "is expected", "is expecting", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes", or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might", or "will" be taken, occur or be achieved. The purpose of forward-looking information is to provide the reader with information about management's expectations and plans for the Company. Readers are cautioned that forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Equinox and/or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include, among others, those factors discussed in the section entitled "Risk Factors" in the Company's annual information form, which is available at www.SEDAR.com. Although Equinox has attempted to identify statements containing important factors that could cause actual actions, event or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward-looking information contained herein are made as of the date of this document based on the opinions and estimates of management on the date statements containing such forward looking information are made, and Equinox disclaims any obligation to update any forward-looking information, whether as a result of new information, estimates or opinions, future events or results or otherwise. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward looking information.
Technical information in this release is summarized or extracted from the "Amended Technical Report on the Lumwana Copper Project, North Western Province, Republic of Zambia" dated June 2008 (the "Technical Report"), prepared by Michael Davis, Process Manager, Ausenco Ltd. ("Ausenco"), Ross Bertinshaw, Principal of Golder Associates Pty Ltd. ("Golder"), Andrew Daley, Director, of Investor Resources Finance Pty Ltd ("IRF"), Daniel Guibal, Corporate Consultant (Geostatistics and Resources), of SRK Consulting (Australasia) Pty Ltd ("SRK") and Robert Hanbury, Associate Director, of Knight Piésold Pty Ltd. ("Knight Piésold"), each of whom is a "Qualified Person" in accordance with National Instrument 43-101 -Standards of Disclosure for Mineral Projects.
Readers are cautioned not to rely solely on the summary of such information contained in this release, but should read the Amended Technical Report which is posted on Equinox's website (www.equinoxminerals.com) and filed on SEDAR (www.sedar.com) and any future amendments to such report. Readers are also directed to the cautionary notices and disclaimers contained herein. All currency in this release is U.S. dollars unless otherwise stated.
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ContactsCraig R. Williams
(President and Chief Executive Officer)
Michael Klessens
(V.P. Finance and CFO)
+61-(0)-8-9322-3318
equinox@equinoxminerals.com or Kevin van Niekerk
(V.P. Investor Relations/Corporate Development)
(416) 865-3393
Email: kevin.van.niekerk@equinoxminerals.com For information on Equinox and technical details on the Lumwana Project please refer to the company website at www.equinoxminerals.com
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