New discovery at Abydos Project
Atlas Iron Ltd has reported on a new discovery at its 100% owned Abydos Project, located 100km south of Port Hedland in the Pilbara of Western Australia.Drilling included 54m at 60.4% Fe, 2.0% SiO2, 0.9% Al2O3, 0.06% P from 2m and 28m at 60.4% Fe, 3.5% SiO2, 0.3% Al2O3, 0.05% P from 62m.Results have been received from the first three holes drilled at the S4 target on the Lalla Rookh Trend. The results support company’s stated objective of targeting 15 to 20 million tonnes of resources at Abydos to underpin 3 million tonnes per annum.These first three holes are part of RC program of 60 holes for 4,500m across 6 new prospects along areas the company previously identified as the Pincunah and Lalla Rookh trends. These trends cover BIF (Banded Iron Formation) dominant units of the Paddy Market and Pincunah Hill Formations respectively which host the adjacent deposits of BHP Billiton and are highly prospective for direct shipping grade iron ore.“These results are fantastic, they are best first pass drilling results achieved date and definitely warrant the aggressive drilling campaign planned for the remainder of the year,” commented David Flanagan, Atlas’ Managing Director.“We are looking forward to more good drilling results, resource estimates and the results of the current scoping study over the next 6 months.” he added.Atlas Iron Ltd is working to complete environmental approvals and commence shipping of direct shipping grade (DSO) iron ore from its Pardoo Project by October 2008. The company is targeting export of 1 million tonnes of DSO iron ore during the first 12 months of operations with production growing to 3 million tonnes per annum by 2010. Together with the development of the Abydos project the company is targeting an ultimate production of 6mtpa of DSO before 2012.