Desert Mines and Metals: KORES to fund tungsten-molybdenum drilling in South Korea
Desert Mines and Metals (ASX:DSN)
have signed a new exploration agreement with Korean Resources
Corporation (KORES) to fully fund the next phase of exploration drilling
at the Daehwa tungsten-molybdenum project in South Korea.
The
agreement is for the term of one year which can be extended subject to
an annual review by KORES management, and allocation of drilling
meterage will be decided within the next four weeks.
Final assays
from the last drilling campaign identified medium to high grade
molybdenum and tungsten mineralisation associated with narrow quartz
vein structures, located down dip of historically mined lodes.
Better
assays included: 0.53 metres at 2.64% molybdenum from 46.03 metres,
12.34 metres at 0.12% molybdenum from 72.08 metres, 0.1 metre at 12.4%
molybdenum from 177.3 metres, and 0.35 metres at 4.38% tungsten from
267.52 metres.
These results followed intervals from the first
two holes of 0.1 metre at 4.38% molybdenum from 58 metres, and 0.15
metres at 3.55% molybdenum from 92 metres.
Mining activity at
Daehwa commenced in 1904 and operated through until 1979, before being
placed on care and maintenance and finally closing in 1984 due to
declining commodity prices.
Recent drilling confirms that the
mineralisation extends well below and into the hangingwall of the
historic workings, which demonstrates the potential to develop an
underground mining operation.
Desert also has silver, gold and nickel interests in Australia, and is capped at around $2 million.
