THREE NEW COPPER PIPES DISCOVERED

 

Highlights:

 

·       Exploration success with three new high grade copper pipes discovered at Redbank

 

·       Significant high grade intersections, open at depth, including 11m @ 7.0% Cu

 

·       Increases confidence for expansion of resources, supporting recently released Mine Plan

 

Redbank Copper Limited (ASX: RCP) announced today significant results from the Reverse Circulation drilling program currently underway on its Redbank Copper Project, in the South McArthur basin region of the Northern Territory. 

 

Initial drilling of three advanced targets at the 100% owned ERL94 tenement have all returned significant copper values, with intersections up to 7% copper, confirming the high grade potential and the Company’s resource expansion strategy.

 

All three new pipes – Roman Nose, Camp Valley and San Manuel - are open at depth and are expected to contribute to the resource base at Redbank after further drilling.

 

New 2009 RC Drilling Highlights, Redbank Copper Project

 

Hole No.	Length	Grade Cu	From
Roman Nose
RNRC09-002	62m	1.55%	82m
RNRC09-005	50m (Including 11m)	3.03% 7.03%	193m 210m
Camp Valley
CVRC09-001	22m (Including 8m)	2.05% 3.05%	100m 100m
San Manuel
SMRC09-001	36m (Including 3m and including 4m)	0.75% 1.21% 1.15%	surface surface 13m

 

Redbank Managing Director Bruce Morrin said the results had identified new copper zones in the Redbank area, and continued the Company’s progress towards recommencement of operations at the project.

 

“The new results from Roman Nose, Camp Valley and San Manuel are particularly significant as there is currently no resources associated with these targets, so they are new copper zones, with initial high grade intersects which we will be following up with further drilling,” Mr Morrin said.

 

“The development of resources at these deposits will support the recently released Mine Study for Redbank.”

 

The Mine Study (announced 2^nd September 2009), confirmed strong economic viability for a copper cathode and concentrate project at Redbank, and includes a base case model for an open pit copper mine with a life of ten years, including production from both oxide and sulphide ores. First production is targeted for 2010.

“We are pretty excited by these latest results, and vindicates our strategic exploration approach. Our drilling program is continuing as per schedule, and will soon be moving back for follow up drilling to target down dip extensions at these newly discovered copper zones,” Mr Morrin said.

 

Redbank has now drilled 6000 meters of RC drilling in the current campaign, and will now drill more holes at the Roman Nose, Camp Valley and San Manuel prospects, following the current water bore drilling near Sandy Flat.

 

At the Roman Nose deposit, a result of 50m @ 3.0% from 193m, including 11m @ 7.0% Cu was received from RNRC09-005. This impressive high grade result confirmed the modelled breccia pipe after the initial discovery drilling in hole RNRC09-002, and the company expects to generate further significant intersections from follow up drilling.

 

At the Camp Valley prospect 200m west of Roman Nose, an initial discovery hole encountered significant copper both up-dip and at the bottom of the hole. Best result received was 22m @ 2.05% Cu from 100m, including 8m @ 3.05% Cu from CVRC09-001. The zone is only partially tested and remains open at depth representing a significant target for generating additional sulphide resources.

 

Two holes were drilled into the San Manuel prospect, which a produced a result of 4m @ 1.15% Cu from 13m within an overall low grade zone of 36m @ 0.75% Cu from surface for hole SMRC09-001.  Further drilling is expected to confirm the presence of an oxide resource from surface again for additional sulphide resources.