GlobeStar Drills Nickel Laterites

Vancouver — Drilling into nickel laterites in the Dominican Republic is returning good grades for GlobeStar Mining (GMI-T).

Recent results from Cumpie Hill are the best grades Globestar has seen to date from its large nickel- laterite property. Hole 96 returned 1.73% nickel over 39 metres starting 5 metres down-hole. Nearby hole 95 intersected 27 metres of 1.92% nickel, and hole 93 returned 2.02% nickel over 24 metres. Since nickel-laterite deposits are essentially flat-lying, all widths are considered true widths.

The company holds 192 sq. km of nickel-laterite concessions covering 44 km of the central peridotite belt extending southeast from the Falcondo nickel-laterite mine and smelter complex that Xstrata (XSRAF-O, XTA-L) acquired in its takeover of Falconbridge last year. GlobeStar’s goal is to identify ore that could be processed by Falcondo’s existing smelter facilities. The company has not entered into discussions with Xstrata on the idea.

In 2006, GlobeStar completed a 65-hole drill program at C1, the concession directly adjacent to Falcondo’s property that includes Cumpie Hill, and outlined a zone of high-grade nickel mineralization. Three holes returned over 18 metres of 1.7% nickel; a fourth hole assayed 1.94% nickel over 11 metres.

Nickel laterites in the Dominican are generally situated on the summits of a series of hills and ridges along a belt of peridotites. In the tropical climate of the Domincan, peridotite can weather to produce an enhanced-grade nickel-laterite profile, with an upper zone of high iron limonite and lower-grade nickel followed by a saprolite horizon with typical grades between 1.5% and 2%.

GlobeStar’s current focus is on development of its Cerro de Maimon copper-gold project, also in the Dominican Republic. Initial production from the 6-million-tonne, open-pit mine is expected next summer.