CONTINUING WORLD CLASS RESULTS FROM MASAPELIDJul 30, 2012 · BMS-024 are preliminary at this...

LINDIAN RESOURCES LIMITED

ASX Release

30 July 2012


Level 1 / 33 Richardson Street

West Perth, Australia WA 6872

Tel: +61 8 9200 4438

Fax: +61 8 9200 4469

Contact:

Steve Leithead

Managing Director

E-mail:

[email protected]

For the latest news:

www.lindianresources.com.au

Directors / Officers:

Matthew Wood

Steve Leithead

Scott Funston

Angus Caithness

Brian McMaster

ASX Symbol: LIN, LINOC

Hole BMS-019: 42.00 to 46.00 metres.

CONTINUING WORLD CLASS

RESULTS FROM MASAPELID Lindian Resources Limited is extremely pleased to announce that the

Company has continued to receive further results for final holes of the

Phase 1 diamond core drilling at Masapelid.

HIGHLIGHTS High grade gold mineralisation intersected in hole BMS-024

comprising:

High Grade Gold Zone:

8.00 metres from 127.00 metres at 10.82g/t gold, including:

2.00 metres from 127.00 metres at 38.40g/t gold.

Holes BMS-019 intersected extraordinarily high grade silver

mineralisation (which is dominant in that hole) along with

gold, and copper in the Supergene copper-silver±gold zone.

Intersection include:

Supergene Copper-Silver Zone:

11.00 metres from 35.00 metres at 0.24g/t gold, 136.88g/t silver,

and 0.57% copper in the supergene copper-silver zone,

including:

4.00 metres from 42.00 metres at 0.57g/t gold, 331.68g/t silver

and 0.97% copper.

High grade gold silver mineralisation intersected in hole BMS-

020 as well as copper, lead and zinc mineralisation comprising:

High Grade Gold-Silver Zone:


0.30% copper, 0.70% lead and 1.29% zinc, including:


0.50% copper, 0.89% lead and 1.76% zinc: and

1.00 metre from 139.00 metres at 17.02g/t gold, 117.70g/t

silver, 0.21% copper, 5.68% lead and 1.84% zinc.

Re-assay of selected samples from previously reported

diamond drill hole BMS-018, has resulted in the restatement of

the silver and base metal grades for an improved overall

headline intersection for hole BMS-018 of:


0.38% copper, 0.11% lead and 0.31% zinc, which includes:

Supergene Copper-Silver Zone:

28.00 metres from 28 metres at 1.27g/t gold, 140.50g/t silver,

1.10% copper and 0.23% lead.

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Hole BMS-020: 109.00 to 112.00

metres.

Hole BMS-024: 127.00 to 129.00

metres.

Hole BMS-020: 139.00 to 140.00

metres.

Lindian has previously announced the conclusion of its Phase 1 drilling

programme on the Masapelid Project. However, due to laboratory turnaround

times of approximately 6 weeks at present, assays continue to flow from the

final holes completed as part of that programme.

Final results have now been received for holes BMS-019 to BMS-023

inclusive.

Results for holes BMS-025 to BMS-027 are pending and results for hole

BMS-024 are preliminary at this stage, the final results received for hole

BMS-019 to BMS-023 and preliminary results for hole BMS-024 are

extremely encouraging.

In addition, gold assays have been received for BMS-024 for the surface to

140.00 metres interval. Silver and base metal assays (copper, lead and zinc)

have yet to be received as well as full suite assays (gold, silver, copper, lead,

and zinc) for the interval from 140 metres to the end of hole depth of 271.60

metres in hole BMS-024.

Intersections for holes BMS-019 to BMS-023 and gold only assays (at this

stage) for BMS-024 (0.00 to 140.00 metre interval) are shown in Table 1.

These are significant intersections and highlight the high grade gold potential

of the New Discovery Zone at Sabang.

Drill holes BMS-019 to BMS-023 were completed on South Hill, a

topographic high located to the immediate southwest of the New Discovery

Zone. Geological exposure at South Hill shows geological and structural

similarity to the New Discovery Zone and hence drilling of holes in the series

BMS-017 to BMS-025 was performed on South Hill to test for extension to

the mineralisation identified at the New Discovery Zone. Results obtained

thus far from holes drilled on South Hill confirms that supergene copper-

silver±gold mineralisation drapes over that topographic feature and that high

grade gold and silver vein style mineralisation is also present.

Additionally, results show the presence of broad zones of lead and zinc

mineralisation at South Hill. This style of mineralisation is very typical in the

outer mineralisation shell of a porphyry copper-silver-gold system.

The New Discovery Zone and South Mineralisation systems are located in

the outer shell of the Sabang clustered porphyry system and overlap the outer

mineralised, lead-zinc mineralised shell of that porphyry system. In this zone,

later stage epithermal gold-silver telescope through, and overprint, the earlier

porphyry copper-silver-gold system and its broader mineralised system.

Whilst not related in timing of mineralisation, drilling through the outer shell

of the porphyry system variously intersects the epithermal gold-silver vein

system, the pre-existing copper-silver-gold porphyry system (either proximal

to the core copper zone or in the distal lead and zinc mineralised shell).

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Phase 2 RC drilling programme well

underway.

RC drilling, Sabang Prospect,

Masapelid Project.

Whilst this may prove confusing when assessing intersections, the separation

of the mineralised intervals into component parts (core proximal, or core

distal components of the porphyry copper-silver-gold system, or

mineralisation strictly related to later stage and comparatively younger,

epithermal gold-silver veining is relatively simple to deduce).

Consistent with the preceding and due to surprisingly and unexpectedly high

grade silver mineralisation and the presence of elevated lead and zinc assays

encountered in the first of the holes drilled at South Hill (hole BMS-018), the

Company performed check assays on selected samples from that hole to

confirm earlier results. It is pleasing that check assaying has largely

confirmed previously reported results that have prudently required a

recalculation of intersections for holes as shown in Table 1.

The recalculated results for BMS-018 are very positive and confirm that a

broad zone of precious and base metal mineralisation exists on the northern

flank of South Hill (Figure 3).

The results show that higher grade copper-silver mineralisation occurs in the

relatively near surface environment in that hole extending from 28 metres to

78 metres down hole depth (Table 1). That zone overlies a broad zone of

copper-silver-zinc±gold mineralisation extending from 78 metres down hole

to approximately 152.00 metres down hole depth.

The results from selected check assaying of samples from BMS-018 has

produced results entirely consistent with neighbouring holes (BMS-019 and

BMS-020) (Table 1). The results from holes adjacent to BMS-018, provides

further confirmation that the high grade silver assays and the presence of zinc

and lead in the South Hill mineralised system is real and extensive and

underlies (in the main) a near surface zone of higher grade, supergene

copper-silver mineralisation.

The Company believes that the overall mix of mineralisation occurring at

South Hill, which is an extension of the New Discovery Zone, has very

positive implications for project value moving forward.

Whilst the northern flank of South Hill is well mineralised, the southern flank

of that hill is yet to be drill tested. This will be subject of RC drilling in the

coming weeks.

With the above in mind and understanding that the later holes in the Phase 1

drilling programme and initial holes in the Phase 2 RC drilling programme

are targeting South Hill and further extensions to the New Discovery Zone,

further similar style mineralisation should be expected to be reported in the

coming weeks.

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Work is moving forward apace on the Phase 2 drilling programme and the

Company is extremely encouraged by what it is seeing in the logged geology

(breccia’s and veining) and obvious base metal mineralisation in the initial

RC drill holes. This is very encouraging and the Company looks forward to

receiving, and reporting, initial results of this exciting new phase of drilling.

Steve Leithead

Managing Director

COMPETENT PERSONS STATEMENT The information in the above announcement that relates to Exploration Results is based on information

compiled by Mr Steven Leithead, who is a member of the Australasian Institute of Mining and

Metallurgy. Mr Leithead is a Director of Lindian Resources Limited. Mr Leithead has sufficient

experience which is relevant to the style of mineralisation and type of deposit under consideration and to

the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of

the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr

Leithead consents to the inclusion in the report of the matters based on his information in the form and

context in which it appears.

DISCLAIMER

The announcement may contain certain forward-looking statements. Words ‘anticipate’, ‘believe’,

‘expect’, ‘forecast’, ‘estimate’, ‘likely’, ‘intend’, ‘should’, ‘could’, ‘may’, ‘target’, ‘plan’, and other

similar expressions are intended to identify forward-looking statements. Indication of, and guidance on,

future earnings and financial position and performance are also forward-looking statements.

Such forward-looking statements are not guarantees of future performance, and involve known and

unknown risks, uncertainties and other factors, many of which are beyond the control of Lindian, its

officers, employees, agents and associates, which may cause actual results to differ materially from

those expressed of implied in such forward-looking statements.

Actual results, performance, or outcomes may differ materially from any projections or forward-looking

statements or the assumptions on which those statements are based.

You should not place any undue reliance on forward-looking statements and neither Lindian nor its

directors, officers, employees, servants or agents assume any responsibility to update such information.

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Figure 1: Lindian Resources Limited – Philippines Projects.

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Figure 2: Masapelid Project showing location of Sabang Prospect on the southern portion of Masapelid Island.

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Figure 3: Sabang Prospect – Drill Hole Locations.

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Figure 4: Sabang Prospect – Cross Section BMS-018, BMS-020, BMS-023.

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Figure 5: Sabang Prospect – Cross Section BMS-019, BMS-021, BMS-022.

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Figure 6: Sabang Prospect – Cross Section BMS-024, BMS-025.

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Table 1: Significant Intersections for Drill holes BMS-019 to BMS-024 inclusive.

Prospect

Hole Number

Easting

Northing

Azimuth

Dip

Depth

(metres) From

(metres) To

(metres) Interval

(metres) Gold

(g/t) Silver

(g/t) Copper

(%) Lead

(%) Zinc

(%)

SABANG PROSPECT BMS-018 791430.87 1069686.85 135 -60 349.10 7.00 13.00 6.00 0.36 15.07 0.24

and 27.00 244.00 217.00 0.25 22.78 0.38 0.11 0.31

including 17.00

28.00 11.00 0.10 9.40 0.19

including 28.001

78.001 50.00

1 0.49

1 81.35

1 0.77

1 0.18 0.14

which includes 28.00 56.00 28.00 1.27 140.50 1.10 0.23

which also includes 28.001 31.00

1 3.00

1 6.22

1 77.40

1 1.37

including 78.00 132.00 54.00 0.11 8.40 0.24 0.18 0.78

which includes 96.00 113.00 17.00 9.01 0.26 0.22 0.99

which includes 124.00 130.00 6.00 0.42 11.23 0.13 0.15 0.94

which also includes 128.001 129.00

1 1.00

1 2.27

1 19.90

1 0.15

1 0.64

1

including 140.00 169.00 29.00 0.09 4.24 0.28 0.30

which includes 151.001 152.00

1 1.00

1 1.22

1 14.40

1 0.43

1 0.40

1 0.30

1

including 178.00 245.00 67.00 0.11 3.38 0.30 0.14

including 223.00 225.00 2.00 1.26 5.50 0.41 0.32 0.32

and 266.001 267.00

1 1.00

1 1.96

1 2.90

1 0.19

1

and 300.001 302.00

1 2.00

1 1.23

1 2.60

1

and 318.001 319.00

1 1.00

1 1.93

1 2.40

1

BMS-019 791410.00 1069634.45 135 -60 252.15 0.00 111.00 111.00 0.07 18.55 0.09 0.21

including 24.00 35.00 11.00 13.38 0.14

including 35.00 36.00 1.00 0.24 136.88 0.57

including 42.00 46.00 4.00 0.57 331.68 0.97

which includes 44.00 45.00 1.00 1.15 575.00 1.60

including 46.00 54.00 8.00 6.98 0.24

including 54.00 59.00 5.00 10.16 0.42 0.95

including 59.00 64.00 5.00 6.74 0.26

including 64.00 67.00 3.00 0.53 12.70

including 102.00 104.00 2.00 8.85 0.19 1.16

and 155.00 159.00 4.00 0.11 7.43 0.39

and 195.00 202.00 7.00 1.60 0.21

and 233.00 234.00 1.00 0.56 0.14 0.17

BMS-020 791411.00 1069708.00 135 -60 287.40 5.00 16.00 11.00 4.80 0.11

and 30.00 38.00 8.00 3.64 0.10 0.10

and 57.00 59.00 2.00 2.55 0.09 0.22 0.32

and 80.00 83.00 3.00 1.77 0.22

and 90.00 109.00 19.00 2.66 0.20

and 109.00 256.00 147.00 0.34 10.84 0.27 0.20 0.42

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Prospect

Hole Number

Easting

Northing

Azimuth

Dip

Depth

(metres) From

(metres) To

(metres) Interval

(metres) Gold

(g/t) Silver

(g/t) Copper

(%) Lead

(%) Zinc

(%)

including 109.00 113.00 4.00 2.18 96.98 0.30 0.70 1.29

which includes 110.00 112.00 2.00 3.74 178.35 0.50 0.89 1.76

including 114.00 117.00 3.00 5.80 0.28 1.17

including 130.00 132.00 2.00 22.60 0.61 0.75 1.66

including 139.00 140.00 1.00 17.02 117.70 0.21 5.68 1.84

including 143.00 145.00 2.00 0.36 55.40 0.28 2.51 0.33

including 151.00 153.00 2.00 0.36 18.65 0.22 0.34 1.24

including 156.00 158.00 2.00 0.47 20.35 0.57 0.31

including 167.00 170.00 3.00 0.32 14.93 0.32 0.33 0.78

including 194.00 196.00 2.00 0.14 11.55 0.27 0.25 0.71

including 206.00 218.00 12.00 2.05 0.55

including 234.00 248.00 14.00 0.42 10.97 0.31 0.17 0.72

and 258.00 261.00 3.00 0.19 4.43

and 265.00 267.00 2.00 0.26 1.55

and 273.00 275.00 2.00 0.49 2.55

BMS-021 791392.00 1069652.00 135 -60 293.35 34.00 45.00 11.00 8.84 0.15 0.30

and 54.00 71.00 17.00 4.95 0.11 0.24

and 123.00 134.00 11.00 6.78 0.18 0.34

and 146.00 158.00 12.00 3.95 0.10 0.25

and 186.00 198.00 12.00 3.03 0.14 0.12

and 202.00 219.00 17.00 0.13 2.82 0.22 0.12

and 229.00 230.00 1.00 0.42 1.90

BMS-022 791379.00 1069666.00 135 -60 343.20 69.00 83.00 14.00 1.48 0.10

and 94.00 100.00 6.00 3.30

and 294.00 323.00 29.00 0.10 4.75

BMS-023 791388.00 1069725.00 135 -60 344.45 70.00 74.00 4.00 3.08

and 136.00 147.00 11.00 5.80 0.11 0.21

and 154.00 178.00 24.00 0.14 4.34 0.21

and 186.00 192.00 6.00 0.16 3.32 0.30

and 298.00 309.00 11.00 0.46 1.11 0.10

including 298.00 300.00 2.00 1.91 1.95

BMS-024 791442.00 1069740.00 135 -60 271.60 1.00 5.00 4.00 0.34 Silver and base metal assays awaited

and 69.00 72.00 3.00 1.18 Silver and base metal assays awaited

and 127.00 135.00 8.00 10.29 Silver and base metal assays awaited

including 127.00 129.00 2.00 38.40 Silver and base metal assays awaited

140.00 271.60

Assays for the interval 140.00 to 271.60

metres awaited

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Prospect

Hole Number

Easting

Northing

Azimuth

Dip

Depth

(metres) From

(metres) To

(metres) Interval

(metres) Gold

(g/t) Silver

(g/t) Copper

(%) Lead

(%) Zinc

(%)

BMS-025 791517.00 1069669.00 315 -60 220.80 At laboratory



NOTE:

1. Previously announced intersections – Lindian Resources Limited Quarterly Activities Report – March 2012 Quarter.

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CONTINUING WORLD CLASS RESULTS FROM MASAPELIDJul 30, 2012 · BMS-024 are preliminary at this...

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