3 April 2006

Company Announcements Office
Australian Stock Exchange Limited
10th Floor
20 Bond Street
SYDNEY NSW 2000

Dear Sir

Strong Extensional Nickel Results at Blair Deeps

Australian Mines Limited (ASX: AUZ) is pleased to announce the successful results from its recent underground diamond drilling programme at Blair Nickel Mine, located 30 km South East of Kalgoorlie in West Australia.

An extensional diamond drilling programme of 5 holes was recently drilled to provide information below the deepest workings at the Blair Mine.

The results are very promising, with the 2 holes intersecting E shoot approximately at 425RL (25 metres below current workings) indicating significant nickel mineralisation continues with depth.

The results include: -
  • 3.1 metres at 13.14 % Nickel from E Shoot
  • 2.49 metres at 8.65 % Nickel from E Shoot
Assays are awaited from the additional 3 holes which were drilled to intersect E Shoot at 405RL (50 metres below current workings). These holes have all intersected sulphides

Tabulated below are significant intersections from the first 2 holes of the March 2006 underground diamond drilling program:
   
Hole Id North (m) East (m) RL (m) Azi (deg) Dip (deg) From (m) To (m) Intersection (m) Grade (%Ni)
AMUG167 6578944 376855 473 307 -27 9.4 12.1 2.7 5.02
            43.93 50.1 5.15 3.28
            77.3 78.3 1.0 3.23
            100.7 103.8 3.1 13.14
AMUG168 6578944 376855 473 298 -26 39.9 41.0 1.1 1.27
            103.67 106.16 2.49 8.65
              includes 1.49 13.91


The March drilling programme has successfully confirmed good quality ore on the E Shoot below current workings, which supports continued decline development on the Blair Deeps. Decline development is now proposed to the 430mRL.

Two intersections of potentially economic ore were recorded in the ultramafic hangingwall in hole AMUG 167, and these will be interpreted when all of the assays from the 5 hole programme are returned.

Yours faithfully
AUSTRALIAN MINES LIMITED
Brett Young
Chief Operating Officer

The information in this report that relates to Exploration Results is based on information compiled by Mr M Elias who is a Fellow of The Australasian Institute of Mining and Metallurgy. Mr Elias is employed by CSA Australia Pty Ltd and is a Non-Executive Director of AUZ. Mr Elias has sufficient experience which is relevant to the style of mineralisation and type of deposits under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.’
Email Subscription


Latest News
Production Increases Significantly
Australian Mines has achieved its best quarterly production result since the June 2005 quarter at the 100%-owned Blair Mine, located 32 kms from Kalgoorlie in W.A.
Continuing Strong Drill Results
Australian Mines continues to intersect significant mineralisation in its 2008 resource drilling at Blair Deeps at the Blair Mine, located 32km from Kalgoorlie WA.
Significant High Grade Drill Intersection at Blair
Australian Mines (ASX:AUZ) has recommenced 2008 resource definition drilling at Blair Deeps with drilling initially targeting the high grade E03C shoot below current workings at the Blair Nickel Mine located 32kms from Kalgoorlie.
Nickel Production Expected to Grow in 2008
Australian Mines is forecasting a continuation of improving production at its 100%-owned and operated Blair Nickel Mine following good progress with the development of the Blair Deeps orebody.
Resource Update - Marriott's Nickel Project
Australian Mines (ASX:AUZ) is pleased to announce a 25% increase in resources at its 100% owned Marriott's nickel project, following the completion of Phase 1 infill diamond drilling
Update: Marriott's Nickel Project
Australian Mines Limited (ASX: AUZ) is pleased to announce another impressive high grade intercept from resource definition diamond drilling at the Marriott's nickel project, which is 65 km from Leinster in W.A.
Copyright © 2008 Australian Mines | Disclaimer | Privacy