Lincoln Minerals in new iron ore drilling programe

Lincoln Minerals Ltd has commenced a second drilling program on its Eyre.....

  Lincoln Minerals Ltd has commenced a second drilling program on its Eyre Peninsula iron ore deposits identified earlier this year by the company's inaugural exploration, some 20km from port facilities at Port Lincoln.Chairman, Richard Ryan AO, told last Friday’s annual meeting in Adelaide that the new deeper diamond drill program was under way to test the extent, grade and character of iron formations in the company's flagship Gum Flat project.Results of the first drilling program at Gum Flat included several drill holes which intersected good hematite-rich banded iron formation with assays up to 56.6% iron.Mr Ryan said the inaugural air core and reverse circulation (RC) drilling program on the southern Eyre Peninsula project followed the announcement in August 2007 of Lincoln Minerals’ exploration and investment agreement with Indian metals and iron-ore mining group, Mineral Enterprises Limited."Under the Heads of Agreement, subject to certain conditions, Mineral Enterprises Limited will contribute up to $2.5 million in exploration expenditure, earning up to 40% of the Gum Flat Iron Ore Project. In addition, Mineral Enterprises Limited has taken up 3,500,000 fully paid ordinary shares in Lincoln Minerals at 30 cents per share, thus raising $1.05 million," he said."Lincoln Minerals is very pleased to welcome Mineral Enterprises as a partner in an exciting iron ore project within 20km of port facilities at Port Lincoln."Representatives of Mineral Enterprises were in Adelaide for the Lincoln Minerals AGM and provided a presentation on their company's operations.Mr Ryan told the meeting that Lincoln Minerals had a portfolio of quality iron ore, uranium, gold, base metal (lead-zinc-copper-nickel-silver) and Olympic Dam style iron oxide copper-gold-uranium projects in the highly prospective and world class mineral province, the Gawler Craton of South Australia."Projects are close to established infrastructure at a time when there is unprecedented demand for iron ore, copper, zinc, lead, gold and uranium," he said."During the year, the company has maintained an active program of identifying and acquiring new projects. At the time of listing the company had exploration tenements totalling 3,329sqkm but that has now been increased to 3,753 km2 with additional tenements on Eyre Peninsula."The company’s announcement of the details of the second iron ore drilling program follows last Thursday's Lincoln Minerals announcement of "new and significant mineralisation identified at the company's Cockabidnie project - also on Eyre Peninsula."Of particular note is a new nickel discovery in the Campoona Syncline where one drillhole intersected 6m at 0.4% nickel in saprolitic clay above weathered gabbro. This style of mineralisation is similar to lateritic nickel deposits and is an exciting discovery for the company," Mr Ryan said."Not all assay results have been received for drilling in the Cockabidnie region, but those to hand also include significant base metal mineralisation up to 2.4% Pb+Zn, gold-silver mineralisation up to 0.26g/t Au + 26g/t Ag and uranium mineralisation up to 81ppm U," he saidThe company is also awaiting assay results for drilling in its Mount Hill and Wilcherry region.