Rambling Creek Resource

The Clear Hills oolitic iron deposit is bedded, flat lying and has a maximum thickness of 10m. The ironstone, exposed on the banks of Rambling Creek and extending northwest for several kilometres, consists of ooliths, siderite, and clastic material embedded in a clastic matrix and ferruginous cement. The ooliths consist of concentric layers of intimately intergrown goethite, nontronite, and amorphous phosphate around centres which are generally quartz.

Overlying the Rambling Creek block, glacial overburden is approximately 30m in thickness. The overburden is underlain by the Puskwaskau (shale) and Bad Heart (iron-bearing oolitic sandstone) formations.

There are now 545 drill holes in the Ironstone database representing over 28,000m of drilling. The majority of the drilling on the property (350 holes) was performed thirty to forty years ago and by operators other than Ironstone.

In March 2008, Ironstone completed its first drilling program on the Rambling Creek block of the Clear Hills Property. The company successfully drilled 2,055m and recovered 385m of oolitic iron ore from 47 diamond core holes.

View of diamond coring rig on Rambling Creek block

All cores are cut inside 5-foot acrylic liners to avoid oxidation of the iron and maximize recoveries. To ensure all core would remain in its most pristine form, the core was subsequently sealed in poly-tubing before the core boxes were sealed. Each core tube was marked to identify the intervals. Ironstone Resources uses an independent qualified geologist to review the programs and provide guidance during all core sampling programs.

All of the core intervals are submitted for geochemical assay (Strong Acid Digest with Fusion of Residue ICP-OES Analysis, and Borate Fusion Whole Rock Analysis (WRA) by XRF). 

NI 43-101 compliant mineral resources for the 2008 Rambling Creek program were estimated by SRK Consultants (Vancouver, Cardiff) and reported on October 28, 2010.

Two mineralized zones were modelled; a densely oolitic (DIOS) and a moderately oolitic (MIOS) zone. Mineral resources were estimated using block model method with values interpolated into 50m by 50m by 2m blocks to reflect drill spacing and the relative thin nature of the deposit when compared to its lateral extent.

In order to validate the reasonable prospect test, SRK applied a Whittle shell to the Clear Hills Iron deposit to determine the amount of iron that could potentially be mined under reasonable assumptions.

Mineral Resource Statement*

Rambling Creek Deposit, Alberta, SRK Consulting (Canada) Inc., October, 2010

SRK notes that “the oolitic ironstone at Rambling Creek is laterally very extensive and that the mineral resources presented in this report only represent a small portion of the overall iron deposit. The deposit is open to the west and south and potential to expand the mineral resources in these directions is good. The deposit appears to be of consistent thickness and grade and it is reasonable to assume that additional drilling will identify additional resources”.

SRK also notes that the Rambling Creek Iron deposit is associated with appreciable concentration of vanadium pentoxide. SRK has not included the vanadium in the economic parameters while estimating the viability of the Whittle shell.

In late March, the company completed its 2011 resource drilling program on its North Whitemud River block. The program encompassed the drilling of 148 diamond core holes. Information on Ironstone’s 2011 drilling program can be found here.

By combining the North Whitemud resource with the Rambling Creek resource, SRK currently reports a total compliant resource of 556Mt of indicated iron resource and 87Mt of inferred iron resource in the Clear Hills.

Plan View of Resource Classification at Rambling Creek (SRK) (Green = Indicated, Blue = Inferred)