Red Rock Resources Regulatory News (RRR)

26 Jul 2006 07:01

Red Rock Resources plc26 July 2006 RED ROCK RESOURCES PLC Exploration Update - Mkushi Project Dated: 26 July 2006 Red Rock Resources plc ("Red Rock" or the "Company") the mineral exploration anddevelopment company focused on advancing iron ore, uranium and manganeseprojects in Australia and East Africa, is pleased to provide an update of theexploration programme under the Mkushi prospecting permit. Following approval of the exploration programme by the Zambian Mines DevelopmentDepartment on 31st May 2006, ground operations have begun at Red Rock's 400hectare Mkushi prospecting permit area crossing the Great North Road andadjacent to the Tanzam railway. Geological mapping, surface channel sampling,and shallow trenching will delineate the areal extent of the psilomelane (agroup name for hard black unidentified manganese oxides) mineralization withinthe license, both at surface in the west and under thin cover in the east of thelicense area. Upon conclusion of the detailed mapping programme a rotarypercussion drilling programme of between 600m and 750m will begin in August totest deposit thickness and continuity and to enable a preliminary resource to beestablished in part of the license area. No resources or reserves under internationally recognised standards have beenestablished on the property. All results to be reported in the currentexploration phase and subsequently will be reported under the Canadian CIMstandard. Summary A significant high grade manganese ("Mn") deposit, first located in 1931-1932,was examined in the Mwendafye Hills area of Central Zambia. The manganesedeposit was traced along the northerly margin of a small granitic intrusive body0.5 to 1.0 km wide striking in an easterly-north easterly direction. Themanganese is traceable on the northerly dip slope margin of the graniticintrusive body for a distance of 4 km. The manganese is traceable in outcrops upto 10 meters in thickness, in float talus boulders, and in fine grainedmanganese particles and black manganese soils over a strike length of 7.3 km.Small scale hand mining produced a recorded 80,000 tonnes of 50% Mn between 1954and 1962 from one small pit location in a toe of the slope area. A recent 10 kg composite sample of manganese ore returned analytical values of52% Mn. Another oxidized manganese sample returned values of 43.7% inmulti-element analysis. This is a significant deposit of high grade manganese ore along a strike lengthof 7.3 km, thicknesses ranging to 10 metres plus and unknown down dip depthalong the northerly margin of the granitic intrusive body. This occurrence has asignificant tonnage potential for high grade manganese in outcrop and subcropalong the length of the strike. Observations Near the junction of the Mkushi farm block road and the tarred Nakonde highway asignificant outcrop of manganese was traced down dip slope along the northerlymargin of the granitic intrusive body for a distance of 100 metres in outcropand test pits. The topmost part of the outcrop is covered with several largeremnant crops of coarse quartz breccia flooded with manganese. Beneath thequartz breccia remnants lies a massive outcrop of manganese up to 10 metresthick plus, traceable along strike (in an easterly-north easterly direction) inoutcrop and test pits for several hundred metres. For four km easterly along the north margin of the granitic intrusive bodyabundant massive manganese boulders are found in talus slopes. Manganeseoutcrops were observed in two locations approximately 50 metres uphill of thetoe of the slope. In overburden along the toe of the slope abundant manganesefloat boulders from fist sized to 50 cm in diameter were observed along withfine manganese particles 2 cm minus and black manganese soils. 4 km easterly along strike from the described first significant outcrop, amassive manganese outcrop in the Nakonde highway ditch marks the location wherethe manganese body crosses under the Nakonde highway into a flat valley areanorth of the highway. At 5 km along strike from the first significant outcropthe manganese body was located in a flat valley area in outcrop and floatboulders striking in an easterly-north easterly direction. In this area themanganese body was observed in outcrop and sub-crop over a 10 metres thickness.The manganese ore observed was usually massive and a steely grey colour onfreshly broken surfaces Some manganese samples contained quartz fragments; however selective mining inclean massive material would overcome any dilution effect. One boulder of beddedchert was observed among manganese float boulders in the toe of the slopeoverburden area. Conclusion The Mwendafye hills manganese deposit is a significant high grade manganesedeposit with a potential for substantial tonnage of around 50% Mn. The ore istraceable in outcrop, sub-crop, float boulders and manganese soils over a strikelength of 5 km. Thicknesses of up to 10 metres plus were observed in outcrop.Dip slope depths are unknown and may have significant potential. The surfaceexpression of this manganese deposit suggests straightforward geologicalevaluation and mining exploitation with minimum overburden removal. The locationadjacent to major rail and road arteries and within 4 km of a railway loadingarea makes this a prime target for evaluation and exploitation. Current exploration programme Geological mapping, sampling, and trenching will require some 14 days tocomplete. In the west of the license the manganese mineralization is generallyexposed, but where it strikes east and crosses the highway and continues in flatterrain under thin cover, an excavator will carry out shallow trenching acrossthe line of strike to delineate manganese mineralization. Surface and trench samples will be taken to Kitwe for analysis. Upon completionof the detailed mapping programme, a rotary percussion drilling programme willfollow. Drill cuttings will be processed in a cyclone settler and bagged at 5metre intervals. Upon completion of the drilling programme, the depth and natureof the psilomelane ore reserves will be determined, a report written, andconversion to a mining license applied for. Declaration The geological information in this report is based on information compiled by DrWolfgang Wiessner, a consulting geologist to Red Rock. Dr Wiessner has a Diplomain Geology and a Doctorate in Natural Sciences from the Technical University ofKarlsruhe, and is a Member of the Geological Association of Germany and theOberRhein Geological Association. Dr Wiessner, who has been practising geologyfor over 25 years, has sufficient experience which is relevant to the style ofmineralisation and type of deposit under consideration and to the activity whichhe is undertaking to qualify as a qualified person under the AIM Rules. Dr Wiessner consents to the inclusion in this RNS announcement of the mattersbased on his information in the form and context in which it appears. Enquiries: Andrew Bell 07766 474849 Red Rock Resources plc Chairman John Simpson 020 7512 0191 ARM Corporate Finance Ltd Nominated Adviser Ron Marshman / 020 7628 5518 City of London PR Public RelationsJohn Greenhalgh Limited Updates on the Company's activities are regularly posted on Red Rock's website,www.rrrplc.com. This information is provided by RNS The company news service from the London Stock Exchange