2007
More High Grade Platinum-Rhodium Rich UG2 REEF Intersections Reported at Spitzkop.
May 16, 2007Mr. Ian Rozier, President and CEO of Eastern Platinum Limited ("Eastplats") is pleased to report on the results from the third and fourth batches of assay results received from the infill drilling programme at the Spitzkop platinum group metals ("PGM") project in South Africa. Spitzkop, located near Steelpoort in the eastern limb of the Bushveld Complex is a high grade, platinum and rhodium rich, shallow dipping, surface accessible PGM deposit with a Measured Resource in the UG2 Reef.
Infill drilling has been conducted across the property to further evaluate the grade, reef continuity, dip and content of individual PGM in the UG2 Reef. The results of the first batch of assay results from twenty-four UG2 reef intersections were reported in a news release dated November 8th, 2006, and assay results from sixty-seven UG2 Reef intersections were reported on January 30th, 2007. The third and fourth batches of results reported herein are derived from a further seventy-one reef intersections sampled and assayed from the UG2 Reef at Spitzkop. Thirty-three holes of the most recent drilling programme also intersected the Merensky Reef which overlies approximately 815ha (87.5%) of the area underlain by the UG2. The assay results from fifty-eight intersections from these holes will be reported in a future news release. It is considered that the Merensky Reef could add considerably to the Spitzkop PGM resource base.
The recent assay results continue to confirm the high PGM grades, particularly the high platinum (56%) and rhodium (8%) content of the UG2 Reef , and also that the PGM grades and widths in the UG2 are consistent with previous work reported by Eastplats and Impala Platinum.
Stated Ian Rozier, President and CEO of Eastern Platinum Limited, "These results are important in that they greatly increase our confidence in the overall continuity of the UG2 Reef across Spitzkop as well as confirming its general high grade and high platinum-rhodium content."
As part of the ongoing feasibility study for Spitzkop, the objectives of the infill drilling program were to;
- Confirm the continuity of the UG2 reef;
- Confirm general high PGM grade of the UG2 reef across the property;
- Confirm the high platinum and rhodium grades in the UG2;
- Evaluate reef thickness and continuity of the Merensky Reef;
- Evaluate the grade profile across the Merensky Reef;
- Provide core samples for metallurgical and rock mechanics testing.
The data generated from the 2006/7 drill progamme will be used for mine planning for the Northern Block at Spitzkop where the UG2 reef outcrops on surface and extends to a depth of 350m at a dip of between 11º and 14º, and for longer term mine planning for the deeper sections.
For the UG2 the objective was to obtain four reef intersections from each hole. Intersections of UG2 Reef from the motherhole and two deflections were usually sampled and sent for assaying. The intersected reef in the third deflection of each hole will be subjected to metallurgical or rock mechanics testing. It should be noted that in some instances where the reef was intersected at a shallow depth it was not possible to insert the required number of wedges in the mother hole to achieve the desired number of reef intersections. In such cases the drill rig was successively moved approximately a metre from the previous collar position and new holes were drilled from surface to obtain the necessary reef intercepts. On rare occasions where core recovery of 100% was not achieved because of either poor ground conditions or unacceptable drilling practice in any reef intercept, the intersection was repeated by completing another deflection. Thus, in some instances more than three deflections had to be drilled to achieve to proper QA/QC.
The assay results from the UG2 are reported on a 4 ELEMENT basis ("4E"g/t), with average mineral content of individual PGM elements or "prill splits" being expressed in percentage terms. For purposes of clarity, all the holes drilled are reported and if no sampling or assaying was undertaken the reasons are provided.
Summary of drill/assay results from the UG2 are appended to this news release in Table 1. With reference to the reported results, the following should be noted;
- As stated, the UG2 Reef widths are "intersected" widths.
- All holes are vertical.
- The UG2 Reef at Spitzkop dips between 11º and 14º.
- The average metal contribution or 'prill splits' for the UG2 Reef intersections are:
Pt 56%; Pd 35%; Rh 8%; and Au 1%.
Eastern Platinum Limited trades on the TSX and AIM Stock Exchanges under the trading symbol ELR and is on the S&P TSX Composite Index.
The qualified person having prepared the contents of this news release is Mr. Ian Rozier, B.Sc.(Hons), M.Sc., P.Eng.
For further information contact:
Mr. Ian Rozier, M.Sc., P.Eng., President & CEO
Website: www.eastplats.com
Email: info@eastplats.com
#501-837 West Hastings Street,
Vancouver, BC, Canada, V6C 3N6
Tel: (604) 685-6851, Fax: (604) 685-6493
NOMAD: Canaccord Adams Limited, London
Tel +44 20 7050 6752
Email:
Robin.Birchall@canaccordadams.com
Clayton.Bush@canaccordadams.com
Caution Regarding Forward Looking Statements:
Safe Harbor Statement under the United States Private Securities Litigation Reform Act of 1995: Except for the statements of historical fact contained herein, the information presented constitutes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements, including but not limited to those with respect to the price of gold, silver and copper, the timing and amount of estimated future production, costs of production, reserve determination and reserve conversion rates, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, risks relating to the integration of the acquisition, risks relating to international operations, risks relating to joint venture operations, the actual results of current exploration activities, actual results of current reclamation activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, future prices of gold, silver and copper, as well as those factors discussed in the section entitled "Risk Factors" in the Form 20-F as on file with the Securities and Exchange Commission in Washington, D.C. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
Cautionary Note to U.S. Investors Concerning Estimates of Measured, Indicated and Inferred Resources:
This presentation uses the terms "Measured", "Indicated" and "Inferred" Resources. U.S. investors are advised that while such terms are recognized and required by Canadian regulations, the Securities and Exchange Commission does not recognize them. "Inferred Resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Resources may not form the basis of feasibility or other economic studies. U.S. investors are cautioned not to assume that all or any part of Measured or Indicated Resources will ever be converted into reserves. U.S. investors are also cautioned not to assume that all or any part of an Inferred Mineral Resource exists, or is economically or legally mineable.
TABLE 1
SUMMARY OF DRILL/ASSAY RESULTS - UG2
Av.
Hole Depth to Grade Intersected
Number Top of UG2 4E(g/t) Reef Width (m)
--------- ----------------- --------- ----------------
SP35 515.26 5.93 0.81
SP35U1 515.23 8.58 0.71
SP35U2 514.99 6.92 0.78
SP36 380.20 5.51 1.11
SP36U1 379.58 5.21 0.63
SP36U2 380.25 8.13 1.12
SP37 496.71 3.76 0.33
SP37U1 496.56 4.44 0.71
SP38 238.66 6.58 1.05
SP38U1 238.75 4.66 1.11
SP38U2 238.76 7.07 1.06
SP39U1 372.99 7.94 1.02
SP39U2 372.80 6.37 1.01
SP39U3 372.95 6.91 0.99
SP40 513.98 7.21 1.24
SP40U2 514.13 6.97 1.25
SP40U3 513.78 6.50 1.18
SP41 766.36 5.44 0.63
SP41U1 766.39 4.67 0.75
SP41U2 766.60 4.76 0.86
SP42 636.61 20.83 0.96
SP42U2 636.55 8.39 1.00
SP42U3 636.92 7.03 1.09
SP43 551.90 5.28 0.88
SP43U1 551.95 6.16 0.89
SP43U3 552.03 5.43 0.80
SP44 UG2 potholed Not sampled
SP45 549.89 7.96 1.38
SP45U1 550.03 6.21 1.35
SP45U3 549.56 6.77 1.25
SP46 706.44 5.01 1.16
SP46U1 706.31 6.90 1.17
SP46U3 706.27 5.76 0.98
SP47U1 482.37 6.01 1.23
SP47U2 481.37 7.13 1.09
SP47U3 482.19 8.68 1.50
SP48 UG2 faulted out Not intersected
SP49 UG2 potholed Not sampled
SP50 UG2 potholed Not sampled
SP51 UG2 potholed Not sampled
SP52 554.95 6.07 0.91
SP52U1 555.18 6.89 1.09
SP52U2 554.98 7.59 1.01
SP53 582.58 6.88 1.04
SP53U2 583.11 6.37 0.95
SP53U4 582.44 4.83 0.99
SP54 624.01 5.10 0.29
SP54U1 624.27 4.68 0.40
SP54U2 624.09 4.50 0.30
SP55 633.50 6.66 0.89
SP55U1 633.60 5.84 0.90
SP55U3 633.76 7.20 1.08
SP56 621.33 7.78 0.78
SP56U2 621.49 6.18 0.93
SP56U3 622.10 8.19 0.99
SP57 236.02 6.76 1.18
SP57U1 236.09 5.87 1.14
SP57U2 235.68 6.69 0.93
SP58 689.23 7.61 0.79
SP58U1 689.03 6.36 0.67
SP58U3 689.10 9.80 0.71
SP59 588.22 4.74 0.88
SP59U1 588.16 4.01 0.95
SP59U2 588.03 5.34 1.00
SP60U1 585.79 6.26 1.20
SP61 Dyke
SP62 538.72 9.41 1.00
SP62U1 538.21 6.93 1.00
SP62U2 537.94 7.87 1.13
SP63 623.32 8.78 1.07
SP63U2 623.68 8.65 1.30
SP63U3 623.56 8.94 1.00
SPD01 Dyke
SPD02 UG2 weathered Not sampled
SPD02U1 38.62 6.18 1.10
SPD03 143.13 5.19 1.74
SPD03U1 Core retained for Metallurgical Test
SPD04 Merensky Reef Hole Only
SPD05 Hole Abandoned
SPD06 Core retained for Metallurgical Test
SPD06U1 129.04 5.48 1.06
SPD07 Core retained for Metallurgical Test
SPD07U1 288.30 6.20 1.03
SPD08 UG2 potholed Not sampled
SPD08U1 551.10 5.20 0.71
