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Image Resources commences Feasibility Study at North Perth Basin project

Image Resources (ASX: IMA) has kicked off a Feasibility Study at the North Perth Basin project in Western Australia, with Level 2 Flora and Fauna surveys underway over the Atlas deposit.

The company has appointed 360 Environmental to undertake the Environmental Impact Studies.

This work involves managing and coordinating all environmental activities required to achieve permitting of the project at a Public Environmental Review level.

Environmental approvals make up the longest lead time item and starting the process now puts Image on track to commence production in 2014.

Image had $2.1 million in cash at the end of the September quarter.

Drilling results

Drilling programs at the North Perth Basin project are continuing, with infill drilling at Gingin South beginning in late October.

The program is designed to upgrade the Inferred Resource at Gingin South to Indicated status.

This will allow Image to upgrade Gingin South to a Measured and Indicated Resource, with about 90% of the resource expected to fall within the Measured category.

Results from the drill program included 6 metres at 7.52% heavy metals, 2 metres at 5.72% heavy metals and 11 metres at 5.63% heavy metals.

Importantly, the results also show the low slime content at Gingin South, with values ranging from 2% to 13.4% slimes.

Drilling has begun on the zircon enhanced Boonanarring and Red Gully deposits.