Rum Jungle Resources Ltd.: Ammaroo South - Phosphate Resource and Exploration Targets

Darwin - Rum Jungle Resources Ltd. (ASX:RUM) is pleased to announce another Inferred phosphate resource estimated at 70 Mt at 13% P2O5 using a 10% cut-off. Ammaroo South is a satellite rock phosphate deposit along strike from Rum Jungle Resources' flagship Northern Territory Ammaroo deposit. Ammaroo South is between 53 km and 78 km southeast of the centre of the main Ammaroo Resource. Both deposits lie on the northern palaeo-shore of a Cambrian sea which suggests the potential existence of a major phosphate province within the tenements shown below.

Only a limited amount of work has been carried out at Ammaroo South but it was necessary to undertake resource estimation as precursor to applying for more secure tenure over this area. At this stage, no further work is planned at Ammaroo South.

The Ammaroo South deposit was discovered prior to the main Ammaroo resource. Ammaroo South was found by following-up:

- prospective stratigraphy and putative phosphate in waterbore RN13015

- Rum Jungle Resources' assays of the stratigraphic hole NTGS ELK3

- reconnaissance aircore drilling by Aragon Resources Ltd. done in 2009 and previously reported by them.

Rum Jungle Resources undertook more systematic aircore drilling in 2010, which resulted in the delineation of what was then called the Ammaroo 1 prospect. Further gridded reverse circulation resource definition drilling was undertaken in 2012.

Collectively, the estimates reported here are based on 32 aircore holes drilled by Aragon Resources during 2009 and 193 aircore and reverse circulation holes drilled by Rum Jungle Resources since 2010 for a combined 12,032 metres of drilling.

Mineralisation is divided into two areas, north and south, bisected by a 3.1 km wide cultural exclusion zone which runs along the Sandover River.

The northern zone contains an Inferred Resource, drilled on nominal 400 m centres. Table 1 (below and also in link below) shows the Resource estimates for selected P2O5 cut off grades. This Resource was independently estimated by Jonathon Abbott of MPR Geological Consulting Pty Ltd and is reported in accordance with the JORC 2012 code.

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Cut Off Mt P2O5% Al2O3% CaO% Fe2O3% K2O% MgO% MnO2% Na2O% SiO2% TiO2% U3O8  
 P2O5%                                                                ppm
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  5    170 9.5   5.0    13   1.8    0.6  0.3  0.09  0.07  66    0.3   21 
  10    70  13   3.8    18   1.4    0.4  0.3  0.06  0.06  59    0.2   26 
  15    13  17   2.8    25   1.1    0.3  0.2  0.05  0.06  50    0.2   33
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Table 1(also see link below): Ammaroo South Inferred Resource.


MPR's review of the Ammaroo South deposit included construction of an Ordinary Kriged model from 1 m down-hole composited assay grades from aircore and reverse circulation drilling within mineralised domain wireframes capturing composites grading more than approximately 5% and 10% P2O5 respectively. Portions of the model based on approximately 400 m by 400 m spaced drilling are reported as Mineral Resources. Model estimates for more broadly sampled areas have been used for estimation of Exploration Targets.

The Mineral Resource estimates extend over approximately 6.4 km of strike with an average width of approximately 3.1 km, and an average thickness of around 7.6 m. The estimates extend to around 60 m depth, with approximately 90% from depths of less than 50 m.

No density information is available for Ammaroo South. The estimates include a density of 1.7 t/bcm consistent with the value adopted for the Ammaroo Project on the basis of immersion density measurements of diamond core.

The Ammaroo South Resource is surrounded by an area of exploration potential (shown in pink in Figure 2 in link below) in which there is insufficient data to yet define a Mineral Resource. A second area of exploration potential is interpreted south of the cultural exclusion zone (shown in blue in Figure 2 in link below). Drilling in these areas is generally spaced at around 1 km to 2 km by 1 km by 1.5 km and broader.

Collectively within these two areas of exploration potential, broadly spaced drilling suggests the presence of an Exploration Target of around 200 Mt to 400 Mt at 7% to 10% P2O5 at a cut off grade of 5% P2O5, and 50 to 100 Mt at 12% to 15% P2O5 at a cut off of 10% P2O5. These estimates are based on broad spaced drilling completed by Rum Jungle Resources and Aragon Resources. The potential quantities and grades are conceptual in nature. There has been insufficient exploration to estimate a Mineral Resource and it is uncertain that future exploration will result in estimation of a Mineral Resource. The Exploration Target estimates are derived from portions of the Ordinary Kriged model (pink and blue in Figure 2) with approximately 1.5 to 2 km by 1 km and broader spaced drilling with appropriate factoring and rounding to generate a range of tonnages and grades.

To view table 1, figures and the JORC code, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-RUM-407418.pdf


About Rum Jungle Resources Limited:

Rum Jungle Resources (ASX:RUM) is an Australian Securities Exchange listed, diversified junior explorer focused on highly prospective land located in Australia’s Northern Territory and Queensland.

A Northern Territory and Queensland focussed mineral explorer with a portfolio including: Uranium, Potash, Phosphate and Base Metals.

Rum Jungle Resources has strategic alliances with other major Northern Territory explorers increases exposure to additional exploration areas.

Rum Jungle Resources has experienced geological management backed up by a solid financial base to fund exploration budgets.



Contact:

Rum Jungle Resources Ltd.
T: +61-8-8942-0385
F: +61-8-8942-0318
www.rumjungleresources.com.au