Toronto-base diamond and metals exploration company Tsodilo Resources has announced high potential for a high-quality prospects at its iron ore project in northwest Botswana.
Tsodilo Resources said on Friday a target of 5 billion to 7 billion tonnes of iron ore for the entire strike length (36.8 km) is expected from its Xaudum Iron Ore Project.
According to the company, Xaudum Iron Ore Project is based on conservative modeling of ground magnetic data over the project area, and all mineralized units within the project are capable of producing a premium grade magnetite product.
Tsodilo calculated this exploration target by extrapolating results from current drill hole data to the far larger area covered by the ground magnetic geophysical data by utilizing a ground magnetics inversion model.
"The potential magnitude of the Xaudum Iron Ore project is highlighted by these exciting exploration target results, they reinforce our belief in the project to host substantial magnetite iron ore material," said James Bruchs, chairman and chief executive officer of Tsodilo Resources.
Tsodilo Resources's previous test work have indicated that it will be possible to meet magnetite iron ore export standards for use in the global steel making industry through beneficiation.
The magnetite could also supply steel manufactures that employ technology which enables thermal coal to be utilized in their steel making process.
"Our magnetite can also be used in the production of dense media separation (DMS) material for use by the burgeoning coal export business in Botswana, preparing products for international and domestic use," Bruchs said.
"These potential markets coupled with these exploration target figures strongly indicate that there is real potential for the project to become a major economic source for iron ore," he added.
Bruchs said though Botswana is synonymous for diamonds, the coal, iron and copper will be important drivers of the Botswana economy too.
Meanwhile approximately only a fifth of the ground magnetic anomaly has been drilled to date, around 7 km of the 36.8 km total strike length, from which 30.6 km of core has been recovered from 143 boreholes in this area.
Tsodilo Resources is engaged in the search for economic diamond and metal deposits at its Newdico and Gcwihaba projects in northwest Botswana