Bannerman Resources Limited
TSX : BAN
ASX : BMN

Bannerman Resources Limited

October 28, 2010 06:06 ET

Bannerman Significantly Expands Etango Project Uranium Resource

PERTH, AUSTRALIA--(Marketwire - Oct. 28, 2010) - Bannerman Resources Limited (TSX:BAN)(ASX:BMN)(NSX:BMN) ("Bannerman" or the "Company") is pleased to announce that an updated and substantially larger mineral resource estimate has been completed for the Etango Project.

Highlights:

  • 31% increase in total contained metal. 
  • Measured and Indicated resources total 336.2Mt at 201ppm for 148.7Mlbs U3O8, and Inferred resources total 164.6Mt at 176ppm for 63.9Mlbs U3O8. The estimate is reported at a cut-off grade of 100ppm U3O8.
  • The updated resource estimate includes Inferred resources for the Ondjamba and Hyena satellite deposits for the first time.
  • Adoption of Ordinary Kriging methodology, resulting in more tonnes at a lower grade than the previous estimate, is considered a more prudent approach for modeling the Etango deposit. 
  • The increased resource estimate has the potential to extend the total Project mine life.

"The 31% increase in the Etango resource follows the recent successful application of the RadonX™ exploration method in areas where desert sand cover has rendered the more frequently used radiometric methods ineffective," said Mr Len Jubber, Bannerman's CEO. "The discovery of the Ondjamba and Hyena deposits has encouraged our confidence in the targets identified from the RadonX™ survey. We continue to investigate other prospects that could potentially continue to expand the size of the Etango Project."

"Importantly, we have taken the prudent decision to revert to the Ordinary Kriging resource modeling approach following a review of the study activities to date. It should however be noted that radiometric truck scanning technology in use at existing hard rock open pit uranium mines presents the opportunity to conduct selective mining, and hence optimise the project economics."

"The continued resource growth comes as no surprise and the globally significant scale, demonstrably low technical risk and excellent location of the Etango Project underpins our belief in its strategic value at a time when the nuclear energy sector is growing rapidly" highlighted Mr Jubber.

A complete technical description of the resource update is available on the Company website at www.bannermanresources.com and on SEDAR (www.sedar.com).

Investors can access a Boardroom Radio interview by Bannerman CEO, Len Jubber, in relation to the resource update by typing brr.com.au/event/71021 into their web browser.

About Bannerman - Bannerman Resources Limited is an emerging uranium development company with interests in two properties in Namibia, a southern African country considered to be a premier uranium mining jurisdiction. Bannerman's principal asset is its 80%-owned Etango Project situated southwest of Rio Tinto's Rössing uranium mine and to the west of Paladin Energy's Langer-Heinrich mine. Etango is one of the world's largest undeveloped uranium deposits. Bannerman is focused on the feasibility assessment and development of a large open pit uranium operation at Etango. More information is available on Bannerman's website at www.bannermanresources.com.

Technical Disclosures

Certain disclosures in this report, including management's assessment of Bannerman Resources Ltd's plans and projects, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to Bannerman's operation as a mineral development company that may cause future results to differ materially from those expressed or implied in such forward-looking statements. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: fluctuations in uranium prices and currency exchange rates; uncertainties relating to interpretation of drill results and the geology, continuity and grade of mineral deposits; uncertainty of estimates of capital and operating costs, recovery rates, production estimates and estimated economic return; general market conditions; the uncertainty of future profitability; and the uncertainty of access to additional capital. Full descriptions of these risks can be found in the Company's various statutory reports, including its Annual Information Form available on the SEDAR website, sedar.com. Readers are cautioned not to place undue reliance on forward-looking statements. Bannerman Resources Ltd expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

The Company has not completed feasibility studies on its projects. Accordingly, there is no certainty that such projects will be economically successful. Mineral resources that are not ore reserves do not have demonstrated economic viability.

The information in this report relating to the Mineral Resources of the Etango Project is based on a resource estimate completed by Mr Neil Inwood, and the information in this report relating to the Mineral Resources of the Ondjamba and Hyena deposits is based on a resource estimate completed by Mr Neil Inwood and Mr Steve Le Brun. Both Mr Inwood and Mr Le Brun are full time employees of Coffey Mining Pty Ltd. Each of Messrs. Inwood and Le Brun are Members of The Australasian Institute of Mining and Metallurgy and have sufficient experience relevant to the style of mineralisation and types of deposits under consideration and to the activity which is being undertaken 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", and are independent consultants to Bannerman and Qualified Persons as defined by Canadian National Instrument 43-101. Messrs. Inwood and Le Brun consent to the inclusion in this report of the matters based on their information in the form and context in which it appears.

ABN 34 113 017 128

Contact Information

  • Bannerman Resources Limited - Perth, Western Australia
    Len Jubber
    Chief Executive Officer
    +61 (0)8 9381 1436
    admin@bannermanresources.com.au
    or
    Bannerman Resources Limited - Perth, Western Australia
    Peter Kerr
    Chief Financial Officer
    +61 (0)8 9381 1436
    or
    Bannerman Resources Limited - Toronto, Ontario, Canada
    Ann Gibbs
    Investor Relations
    +1 416 388 7247
    ann@bannermanresources.com
    www.bannermanresources.com
    or
    Australasian Media - Professional Public Relations
    David Tasker
    +61 (0)433 112 936
    david.tasker@ppr.com.au
    or
    Namibian Media:
    Brandon Munro
    GM, Corporate Development
    Windhoek, Namibia
    +264 61 226 621