(MENAFN - ProactiveInvestors - Australia) TNG Limited (ASX:TNG) has confirmed the potential for resource upgrade at its Mount Peake vanadium-titanium-iron project in the Northern Territory following positive results from reverse circulation drilling.
The positive results could pave the way for resource additions from extension drilling, with a revised JORC resource likely for March this year.
TNG completed a program of RC drilling last quarter comprising 59 holes for a total of 7,189 metres primarily as infill and step out drilling around the edges of existing resource.
The drilling was designed to upgrade the current inferred and indicated resource for the Mount Peake project at 160 million tonnes at 0.3% V2O5, 5% TiO2 and 23% Fe, to indicated and measured status.
Sample analysis from the drill holes show that all but four of the 59 holes drilled or 93% intersected significant grades and widths of V-Ti-Fe mineralisation.
The best intercept was at 147 metres at 0.48% V2O5, 8.80% TiO2 and 31.9%Fe.
TNG also completed a diamond drilling program during the December 2012 quarter designed to provide metallurgical samples for pilot plant testwork.
This program comprised a total of 14 holes for 1,712 metres.
Mineralised diamond drill core is being composited to form the material used in process plant testwork now underway as part of the Mount Peake definitive feasibility study.