Amara Mining Regulatory News (AMA)

8 Nov 2005 07:01

Cluff Gold PLC08 November 2005 CLUFF GOLD PLC Baomahun gold project, Sierra Leone - Resource more than doubles to 500,000 ounces - 75% of prospective corridor yet to be drilled - Prospects for open pit cluster mining enhanced Cluff Gold Plc ("Cluff" or "the Company") today announces that SRK Consulting ("SRK") has prepared an up to date resource estimate for the Baomahun GoldProject, Sierra Leone. This follows the recent completion of a 4600 metre coredrilling programme which covered less than 25% of the known strike extent of thegold in soil anomaly on the licence. SRK's estimate has been reported inaccordance with the JORC Code and comprises a total Mineral Resource of some4.54 million tonnes with a mean grade of 3.6 g/t Au (just over 500,000 ounces).All three zones drilled to date remain open at depth. ZONE CLASSIFICATION TONNES ('000) Grade (g/t) Contained Au (Oz)East Indicated 160 5.1 27,000 East Inferred 1,770 4.3 242,000Central Inferred 530 4.0 67,000West Inferred 2,080 2.7 182,000 Sub-Total Inferred 4,380 3.5 491,000 Totals All Zones Indicated + Inferred 4,540 3.6 518,000 The Baomahun licence area covers more than 12 kilometres of strike along theKangari Hills greenstone belt. The airborne geophysical surveys conductedearlier in the year, on the belt, picked up extensive banded iron formation ("BIF"). This formation has been found to be intimately associated with high gradegold mineralisation in the drilled areas. Future exploration will use the BIF asa marker horizon for auriferous zones in the belt. Mr. Douglas Chikohora, Technical Director of Cluff Gold plc, comments, "Theresource update by SRK surpassed our expectations and strengthened our view thatthe Baomahun Project has potential to host a much bigger deposit than weoriginally thought. Seventy five percent of the prospective corridor is yet tobe drilled. We believe this work will generate targets amenable to open pitcluster mining. We expect low stripping ratios from future mining given the hillslope location of the mineralised zones." About Baomahun: Baomahun is located about 180 km east of the capital, Freetown, in the SouthernProvince of the country and the geological setting is similar to the LakeVictoria goldfields in Tanzania. Cluff has a right to earn a 60% interest inBaomahun by funding the project to the completion of a bankable feasibilitystudy or to a maximum of US$5 million. This right is to be acquired fromWinston Mines which owns the two exploration licences relating to Baomahun,covering an area of approximately 137 km(2). For further information, please contact: Cluff Gold Numis Securities Parkgreen CommunicationsJ.G. Cluff / John Harrison Justine Howarth /Douglas Chikohora Tel: +44 (0) 20 7776 1500 Cathy Malins Chairman / Tel: +44 (0) 20 7493 3713 Technical Director Tel: +44 (0) 20 7340 9790 This information is provided by RNS The company news service from the London Stock Exchange