Projects
Advanced Stage: Highland Plains Phosphate Project
At the most advanced stage is the Company’s 100% owned Highland Plains Project Highland Plains Phosphate Project in the Northern Territory of Australia . There is a JORC code compliant phosphate resource at Highland Plains All quoted resource numbers were calculated by Independent Resource Consultants, Cube Consulting Pty Ltd.
1.1 Western Mine Target Zone: A higher grade, shallower area targeting an initial, low capex, start up mining operation:
Inferred Resource of 14 million tonnes at 20% P2O5 with a lower cut off of 15% P2O5.
The aim of the Companies Phase 1 work has been to clearly identify the area at Highland Plains where a commercial phosphate mining operation could be initiated. This area has shallower mineralisation, with a lower strip ratio anticipated to enable the building of a low capex ‘starter mine’.
Mineralisation begins at the western edge of the western area almost at surface, and gently dips to the east. Drilling has shown some very high grades (including 5m at 30.5% P2O5 from 2m in hole HAC001) in this western area. This is the obvious place to begin mining and enables POZ to target an operation that requires a low capex start up cost.
1.2 Total Resource at Highland Plains:
Inferred Resource of 56 million tonnes at 16% P2O5 with a lower cut off of 10% P2O5.
This resource confirms that Highland Plains is indeed a large and persistent mineralised phosphate body. These numbers are based upon the limited amounts of drilling to date over a large area.
The Board of POZ believe these resources have the potential to be significantly improved (particularly the higher grade shallow areas) with further drilling programs.
Figure 1: Highland Plains Project Area, Resources and Western Mine Target Zone
Figure 2: Highland Plains geological cross section