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Archer Exploration reveals high purity alumina exploration target in South Australia

Proactive Investors Monday, 19 August 2019
Archer Exploration Ltd (ASX:AXE) has revealed a maiden exploration target for its Eyre Peninsula High Purity Alumina (EPHPA) Project in South Australia. The EPHPA Project area is about 150 kilometre south-east of Andromeda Metals Ltd (ASX:ADN) Poochera Project and is within close proximity to existing power, water, road, rail and other critical infrastructure. A review of historical drill results has resulted in the establishment of a maiden kaolin exploration target of 55-130 million tonnes at a grade of 33 – 36% alumina for the EPHPA Project. Kaolin is an aluminous clay that is used as the feedstock for high purity alumina production. The exploration target only includes the Kelly Tank and Bunora kaolin prospects  and does not include other known kaolin occurrences within Archer’s Eyre Peninsula tenement area. These other targets include Bunora East, Bunora West. Google Earth image showing outcropping kaolin (white colour) within the Kelly Tank Exploration Target area The exploration target is based on historical drilling, across 72 percussion drill holes, and auger drilling undertaken by Pechiney (1968 - 1971) and CSR (1971 – 1973). This historical drilling and trenching intersected substantial widths of high purity alumina (HPA) mineralisation over an extensive area. The initial exploration work was focussed on the exploration for kaolin for use in paper manufacture rather than for HPA production. Close to rail, power, gas and other infrastructure Archer executive chairman Greg English said: “We have been pleasantly surprised by the recent increase in merger and acquisition activity within the HPA sector. “On the Eyre Peninsula we have declared a large HPAExploration Target that is based on a relatively conservative interpolation of grade and tonnage from historical drill results. “The project is ideally situated close to existing rail, power, gas and other significant infrastructure which will aide further exploration and possible project development. “The development of this potential HPA project is consistent with Archer’s strategy of pursuing opportunities in the reliable energy space.” Next steps Archer intends to undertake shallow aircore drilling and metallurgical test work to verify the results from past exploration. Exploration activities can commence once cropping is finished and all landowner and government approvals are in place. The company will also look for opportunities for co-development or divestiture of the EPHPA Project.
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