Rex drills targets in Mauritania (September 24, 2001)

Rex Diamond Mining‘s (RXD-T) drilling campaign at its Karet South permit in north-central Mauritania has turned up more evidence of nickel, gold and platinum-group-metal mineralization.

The drilling was prompted by last year’s discovery of a gossanous, enriched serpentinite layer at a depth of 18-38 metres, which graded 0.89% nickel and a combined 1.64 grams per tonne of gold, platinum, palladium and other platinum group metals.

The most recent work comprised 15 vertical holes spaced on a 50-metre grid and drilled to a depth of 50 metres, except for one hole that was drilled to 200 metres.

Most holes revealed anomalous values of nickel, gold, platinum and palladium in a deeper weathering zone.

The best hole, collared 28 metres east of the discovery hole, graded 0.61% nickel and a combined 1.33 grams gold, platinum and palladium over 15 metres.

Rex says it will continue to look for similar mineralized weathering profiles elsewhere in the country.

To finance its ongoing diamond and metal exploration projects in Mauritania, the company has raised $2.4 million by privately placing 1.6 million units priced at $1.50 apiece. Each unit comprises one share and one Series K warrant. The warrants are exercisable at $2.25 and expire at the end of 2003.

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