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Monday, June 18, 2007
Further Positve Drill Results from Agata Nickel Laterite
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EDMONTON, Alberta; June 18, 2007 - Mindoro Resources Ltd. (TSXV: MIO; Frankfurt: WKN 906167) is pleased to report results from a further eleven drill holes on two drill cross sections on the Agata nickel laterite project. The limonite horizon on the two sections, 100 meters apart, averages 1.15 percent nickel and 44.77 percent iron over an average thickness of 6.63 meters. These grades exceed current requirements for direct shipping grade ferro-nickel feedstock for nickel containing pig iron production in the Asia-Pacific region. The underlying saprolite horizon averages 1.13 percent nickel over an average thickness of 7.01 meters. Mineralization thicknesses exceed expectations, and tonnage of material greater than one percent nickel is expected to be nearly double the original target projection for these two sections.
As reported on March 13, 2007, five coring drill rigs are operating on the Agata nickel laterite project, with the objective of defining a NI 43-101 compliant resource adequate, initially, for three to five years of production at a rate of 500,000 to 700,000 wet metric tonnes per annum of direct shipping-grade material for the very high demand ferro-nickel markets of China, India and Korea. Mindoro has a target production date of the first half of 2008. The drilling is being conducted on 50 meter centers. This initial drill program covers less then ten percent of the area of nickel laterite mineralization mapped to date at Agata.
Results from eleven drill holes on sections 10,000N and 10,100N are reported. Results are very consistent with the previously reported sections 9,950N and 10,050N (June 6, 2007). A drill location map accompanies this release, as well as the two cross sections showing assay results. The iron-rich overburden above the limonite horizon also has high iron content of over 43 percent, as well as greater than 0.7% nickel, and has potential for blending purposes. The nickel and iron grades of the limonite horizon are robust, remarkably consistent between the two sections, and exceed current grade requirements for ferro-nickel feedstock. The average grade of the underlying saprolite horizon (1.13 percent) is diluted by internal boulders and un-lateritized blocks ("floaters") which would be screened out during a mining operation, thus providing higher grade feed which has potential for nickel processing plant feedstock, with corresponding higher credits for nickel content. Even the low-grade material in the underlying saprolitic bedrock (averaging 0.64 per cent nickel over 9.99 meters) has production potential.
Results are exceeding initial expectations and Mindoro management considers they form a sound basis for fast-tracking the project. Haul road designs have been completed, and the Environmental Compliance Certificate is in progress. Mindoro has been approached by many interested consumers with whom discussions are ongoing.