Mining round-up: Discovery Metals, Patagonia Gold, Karelian ...

Shares in Discovery Metals picked up at it reported a successful drill test of the newly discovered Ophion exploration target, located 40 km southwest of the Zeta deposit at the Boseto Copper Project. Initial results confirmed that Ophion is mineralised at depth, Discovery said, with follow-up drilling over the full 12km strike length of the Prospect. Follow-up drilling is planned to commence before the end of 2010. The company also today placed 45.3m shares at A$1.12 per share.Patagonia Gold reports the construction of the 50,000 tonne heap leach pad at the Lomada de Leiva Project is progressing ahead of schedule with the completion of earthworks and civils. Subject to successful leaching and additional permitting, further loading and production from the first stage heap leach will continue until the main 5m tonne heap leach project is fully operational, scheduled for Q4 2011Central African Gold (CAG) said its parent company New Dawn Mining has announced a placing of more than 4m shares to raise C$7.5m. Proceeds will be used to advance gold production and mine development, funding the working capital requirements of CAG at its operations in Zimbabwe.Karelian Diamond Resources has been awarded licences for two kimberlite bodies in eastern Finland. Drilling by previous operators showed levels of kimberlite, a type of potassic volcanic rock that can contain diamonds.Newly AIM-listed West Africa-based miner Paragon Diamonds has announced a proposed joint venture with Virgin Islands-registered International Diamond Consultants (IDC). Paragon will spend $2m on the Lemphane kimberlite mine in Lesotho, which is owned by IDC's 85% owned subsidiary Meso Diamond. In return, Paragon will receive a 10% stake in Meso Diamond. In addition to the interest in Meso, Paragon will also obtain an option over 5% of IDC's share capital at a value of $0.60 cents per share. If fully exercised this would result in Paragon stumping up around $1,2m, based on the current issued share capital of IDC.