ABN 46 006 045 790
www.cullenresources.com.au ASX Symbol: CUL 8 December 2016 Mt Stuart Iron Ore Joint Venture - Updated Mineral Resource EstimateAPI Management Pty Ltd (API), the Manager of the Mt Stuart Iron Ore Joint Venture (MSIOJV), has provided an Updated Mineral Resource Estimate for the MSIOJV - (ELs 08/1135, 1292, 1330, 1341 and MLs 08/481, 482) between Cullen Exploration Pty Ltd (30%) and API - 70%. A copy of the covering letter from API and the report by Golder Associates Pty Ltd for the MSIOJV Updated Mineral Resource Estimate is attached.
On the 29 November, the Directors of Cullen Resources Limited (Cullen or the Company) announced to the ASX that Cullen and its subsidiary Cullen Exploration Pty Ltd (Cullen Exploration) have entered into a conditional agreement with API Management Pty Ltd (API), the Manager and the holder of the other 70% participating interest in the Mt Stuart Iron Ore Joint Venture (MSIOJV), to sell:
Cullen Exploration's 30% participating interest in the MSIOJV; and
all of Cullen Exploration's other rights and interests in the tenements the subject of the MSIOJV (Tenements), including registered ownership of the Tenements.
482) - is between Cullen Exploration Pty Ltd (30% and contributing) and API Management Pty Ltd (API) - 70%. The shareholders of API are the participants in the unincorporated joint venture known as the Australian Premium Iron Joint Venture (APIJV), namely Aquila Steel Pty Ltd 50% (the ultimate owners of which are Baosteel Resources Australia Pty Ltd (Baosteel) (85%) and Aurizon Operations Limited (15%)); and AMCI (IO) Pty Ltd 50% (the ultimate owners of which are AMCI Investments Pty Ltd (51%) and Posco WA Pty Ltd (Posco) (49%)). Baosteel and Posco are subsidiaries of major steel producers in China and Korea respectively.
API Management Pty Ltd is the manager of the APIJV, the MSIOJV and the Red Hill Iron Ore Joint Venture (between API and Red Hill Iron Limited). These joint ventures hold the iron ore rights over a number of deposits that form the West Pilbara Iron Ore Project (WPIOP), located in the northern part of Western Australia.
Dr. Chris Ringrose, Managing Director 8 December, 2016REGISTERED OFFICE: Unit 4, 7 Hardy Street, South Perth WA 6151.
Telephone: +61 8 9474 5511 Facsimile:+61 8 9474 5588
CONTACT: Dr. Chris Ringrose, Managing Director.
21 November 2016
Cullen Exploration Pty Ltd Unit 4, 7 Hardy Street SOUTH PERTH WA 6151
Aquila Steel Pty Ltd Level 14
225 St Georges Terrace PERTH WA 6000
AMCI Australia Pty Ltd Level 37 Riverside Centre 123 Eagle Street
BRISBANE QLD 4000
Attention: Dr Chris Ringrose / Miles Zhou / Brian Clifford Dear Sirs,
API Management Pty Limited
ABN 66 112 677 595
Level 1
1 Preston Street
Como WA 6152
Telephone: (61) 8 9423 0222
Facsimile: (61) 8 9423 0233 mail@apijv.com.au www.apijv.com.au
Re: Updated Mineral Resource Estimate for the MSIOJV to include the maiden Cardo Bore Mineral ResourceAPI Management Pty Ltd (APIM) and Golder Associates Pty Ltd (Golder) have updated the MSIOJV Mineral Resource estimate to include the maiden Mineral Resource estimate for the Cardo Bore Channel Iron Deposit (CID). The division of each deposit based on Joint Venture (JV) ownership is summarised in the Table below.
Full Deposit Name | Sub-Reference Name (JV Split) | JV |
Cardo Bore | Cardo Bore | MSIOJV |
Cardo Bore West | RHIOJV |
The Mineral Resource estimates are presented in the attached report received from Golder dated 21 November 2016. A Competent Person Statement is contained within the report covering work completed by Golder.
In the instance the Mineral Resource Statement is to be issued for public release the following Competent Person Statement should be attached when referring to the resources detailed in this report. Prior to public release of the Mineral Resource Statement consent must be obtained from the Competent Persons. Consents will be provided following review by the Competent Persons of the proposed release document.
Competent Person Statement
The Competent Person responsible for the geological interpretation and the drill hole data used for the resource estimation is Mr Michael Wall who is a full-time employee of API Management Pty Ltd, and Member of the Australasian Institute of Mining and Metallurgy. Michael Wall has sufficient relevant experience to the style of mineralisation and type of deposit under consideration and to the activity for which he is undertaking to qualify as a Competent Person as defined in the JORC Code (2012 Edition).
The information in this statement which relates to Mineral Resources is based on information compiled by Mr Richard Gaze who is a full-time employee of Golder Associates Pty Ltd, and Member and Chartered Professional of the Australasian Institute of Mining and Metallurgy. Richard Gaze has sufficient relevant experience to the style of mineralisation and type of deposit under consideration and to the activity for which he is undertaking to qualify as a Competent Person as defined in the JORC Code (2012 Edition).
Mineral Resource Estimates
APIM has reviewed the Mineral Resource estimates for each deposit and is satisfied the estimates have been completed to industry standard. All Mineral Resource estimates are reported at a 52% Fe block cut-off.
The updated global MSIOJV Mineral Resource estimate of 176 Mt at 54.4% Fe represents an increase of 14 Mt from the previously released 2015 Mineral Resource for the MSIOJV (162 Mt). The previous estimate also used a 52% Fe block cut-off. Please note rounding of values has resulted in variation between tables.
The increase is attributed to;
discovery and reporting of the maiden resource estimate for Cardo Bore (14 Mt). Table 1 summarises the new estimate for Cardo Bore.
The Mineral Resource estimate from Catho Well was not updated as part of this work.
The full MSIOJV Mineral Resource Statement is presented in Attachment A. Refer to Figure 1 for deposit locations.
Table 1. The Cardo Bore (MSIOJV) Mineral Resource estimate (52% Fe cut-off).Deposit | Joint Venture | Tonnage Mt | Fe % | SiO2 % | Al2O3 % | Mn % | LOI % | MgO % | P % | S % |
Cardo Bore | MSIOJV | 14.3 | 54.32 | 6.81 | 5.11 | 0.03 | 9.57 | 0.13 | 0.061 | 0.020 |
TOTAL | 14.3 | 54.32 | 6.81 | 5.11 | 0.03 | 9.57 | 0.13 | 0.061 | 0.020 |
The Mineral Resource estimate update for Cardo Bore deposit totals 14.3 Mt at 54.3% Fe.
Figure 1. West Pilbara Iron Ore Project - Stage 1 - CID deposit location plan.Cullen Resources Limited published this content on 08 December 2016 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 09 December 2016 21:10:02 UTC.
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