Nemex Resources discovers iron ore at Boulere Prospect

10 January 2013 (Last Updated January 10th, 2013 18:30)

Australia's Nemex Resources has identified a 258 million tonne inferred maiden iron ore mineral resource at a grade of 37.3% Fe at the Boulere Prospect in Guinea.

Australia's Nemex Resources has identified a 258 million tonne inferred maiden iron ore mineral resource at a grade of 37.3% Fe at the Boulere Prospect in Guinea.

The Boulere prospect is part of the Telimele licence, where Nemex completed drilling over 2.5km², representing only 5% of the prospective area.

The resource includes potential direct shipping ore (DSO) iron mineralisation of 16.8 million tonnes at a grade of 55.1%.

Drilling at the Boulere North and Madina Prospects was not incorporated into this resource model despite the discovery of high grade ironstone at both prospects.

Resource from these prospects will be incorporated into the next update after planned infill drilling at the site.

Nemex also reported a regional exploration target of two to five billion tonnes of iron at 30-40% grade across the licences. The target includes potential DSO mineralisation of 50 to 100 million tonnes at 50-60% Fe.

Test work to determine the product type and quality is ongoing, using potential DSO metallurgical samples, while a concept study is underway to examine commercial viability of a 1 and 2 million tonne a year DSO operation.

Nemex aims to develop a DSO mining operation at Boulere with a product that does not require beneficiation prior to export.

Nemex managing director Peter Turner commented, "Nemex will now investigate early cash-flow from mining the high-grade potential DSO iron mineralisation and utilising the various nearby rail and port options."