Atlantic shares up on resource upgrade

Diversified Perth-based explorer Atlantic has announced drilling results have revealed a 19 per cent increase in JORC-compliant resources at its Windimurra vanadium project in the Mid West.

Atlantic shares increased nearly 8 per cent on the news, to trade at $1.89 at 12:47PM (WST).

Atlantic managing director Michael Minosora said short distance haulages from the expanded resources' location at the northern edge of the project's start-up pit to the processing plant would extend the current life of the mine.

""We are delighted with the great work done by the operational team to increase the global resource by over 33 million tonnes from a $460,000 drilling programme," he said.

"In conjunction with Cube Consulting, the team is now using this increased resource to develop an updated reserve statement for Windimurra with the ultimate objective of developing a selective mining strategy targeting the high-grade zones identified within the resource."

"Positive results from this reserve and selective mining strategy work will then allow us to implement an updated mine plan targeting higher head grades in time for plant commissioning in the third calendar quarter of 2011."

"This in turn will lead to an increase in vanadium production from the Windimurra plant and further reduce cash operating costs."