Tuesday, April 21, 2009

Hazelwood claims biggest tungsten resource

Hazelwood Resources is claiming its Big Hill tungsten deposit in the Pilbara is the largest measured source of the metal in Australia.

Increasing its forecasts, Hazelwood said the deposit held a total mineral resource of 8.97 million tonnes, representing 1.6 million metric tonne units of tungsten at cut-off grade, or 2.5 million metric tonne units at a lower grade.

The forecasts are a jump from earlier estimates, which put the total resource at five million mtu and and 800,000 mtu of cut-off grade tungsten.

"We are absolutely delighted with the resource," Hazelwood executive chairman Mark McAuliffe said in a statement.

"This certainly makes us the largest measured resource of tungsten in Australia," he said, although larger sources were indicated in other areas.

He said the company was completing a preliminary feasibility study, which should be finalised by October this year.

First production likely in the second half of 2010 or early 2011, Mr McAuliffe said.

The Big Hill deposit has 70 per cent of its resource within 100 metres of the surface, the company said.

Hazelwood shares closed up two cents, or 13.33 per cent, at 17 cents.


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