TNG (ASX: TNG) has already identified three new magnetite targets at the Mount Peake Iron-Vanadium Project in the Northern Territory, and is preparing a reverse circulation program to test these targets, which will commence mid-March 2012.
TNG said that the magnetic targets have been refined following recent fieldwork combined with a greater understanding of the geological setting of the Mount Peake deposit as a "sill" (horizontal intrusive layer).
Each new target has been inspected in the field and vanadium- and titanium- bearing magnetite noted on the surface at each locality.
TNG anticipates that the magnetic anomalies represent highly magnetic portions of additional "sills" which may be highly mineralised adding to the potential size of the Mount Peake Project.
Mount Peake already hosts a JORC Indicated and Inferred Resource of 160 million tonnes at 0.3% V2O5, 5% TiO2 and 23% iron. The Indicated component is 110 million tonnes at 0.29% V2O5, 5.3% TiO2 and 23% iron.
The new drilling program will comprise ten holes to around 100 metres in depth, and importantly the targets have been selected and cleared by the Central Land Council in conjunction with the Traditional Owners for the area.
Pilot Plant Testwork Update
TNG is also progressing the construction of the modular pilot plant for the TIVAN™ hydrometallurgical process, which is on schedule to commence testwork in mid-March.