Amara Mining Regulatory News (AMA)

24 Jan 2008 13:11

Cluff Gold PLC24 January 2008 24 January 2008 AIM:CLF Cluff Gold plc (''Cluff Gold'' or "the Company'') CLUFF COMMENCES GOLD PRODUCTION AT ANGOVIA Cluff Gold today announces the commencement of heap leaching operations at theAngovia Gold Mine in Cote d'Ivoire (''Angovia'') and updates on mineconstruction progress at the Kalsaka Gold Project in Burkina Faso (''Kalsaka''). Highlights: Angovia (90% effective ownership) • Heap leaching operations have now commenced with the spraying of 12,000 tonnes of oxide ore on the leach pads. Once full production has been achieved, production is expected to reach an annualised 40,000 ounces of gold. Kalsaka (78% effective ownership) • Most of the processing plant has now been delivered to site • Mining contractor established at site • Heap leaching operations are scheduled to commence in Q2 2008 with gold production expected to reach an annualised 60,000 ounces of gold. It is expected that these two mines will come into production at a combinedconstruction cost of less than US$35 million; neither of these projects isburdened by any debt. Douglas Chikohora, Technical Director of Cluff Gold said today, "We are verypleased with the start of gold production at Angovia in Cote d'Ivoire and theprogress achieved at our Kalsaka gold project in Burkina Faso. The commissioningof Angovia marks a significant milestone in the transformation of the Companyfrom explorer to gold producer" Angovia Gold Mine, Cote d'Ivoire: The development of the gold mine at Angovia continues as planned with the dryplant having been commissioned late last year. A total of 12,000 tonnes of oxideore material has been loaded onto the heap leach pads and spraying has nowcommenced. The first gold pour is still on schedule to occur during the firstquarter of 2008. Production is expected to reach an annualised production levelof 40,000 ounces of gold in the second half of 2008. Kalsaka Gold Project, Burkina Faso: The development of the Kalsaka gold mine is progressing well despite shipmentinterruptions over the Christmas period. Most of the processing plant has nowbeen delivered to site with the final shipment of the remaining equipment fromSouth Africa expected shortly. The mining contractor has mobilised to site andis completing the establishment of workshops and offices. Dry commissioning ofthe plant is scheduled for the first quarter of 2008 with commissioning of thewet plant and commencement of production in the first half of 2008. Productionis expected to reach an annualised production level of 60,000 ounces of gold inthe second half of 2008. Qualified Persons: Douglas D Chikohora has reviewed and approved the information contained in thisannouncement. Douglas D Chikohora, Msc, MIMMM, CEng, is Technical Director ofthe Company. For further information, please contact: Cluff Gold plc WH Ireland Limited J.G. Cluff / Douglas Chikohora David Youngman / Katy Mitchell Chairman / Technical Director Tel: +44 161 832 2174 Tel: +44 (0) 20 7340 9790 Seymour Pierce Limited Parkgreen Communications Charles Kernot Louise Goodeve / Justine Howarth Director Metals and Mining Tel: +44 (0) 20 7851 7480 Tel: +44 (0) 20 7107 8000 Notes to Editors: About Cluff Gold Cluff Gold plc is focused on the identification, acquisition and development ofgold deposits in West Africa that are amenable to open-pit mining and low costproduction techniques. The Company has made significant progress since its floatation on AIM inDecember 2004, increasing gold resources across its projects, expanding theproject portfolio and broadening the investor base to an increasinglyinternational audience. Mt. Yaoure, Cote d'Ivoire The Mt. Yaoure permit is located 40km northwest of Yamoussoukro, the politicalcapital of Cote d'Ivoire, and covers a surface area of 534km(2). The licencearea includes the Angovia gold mine which operated between 1998 and 2003, andwhich is now being re-opened. The mine reportedly produced over 180,000 ouncesof gold during this period by heap leaching some two million tonnes of oxidematerial. The infrastructure in the area is good and includes a hydroelectric dam sixkilometres from the Angovia mine site. Kalsaka, Burkina Faso Kalsaka is located approximately 150km north west of Ouagadougou, the capital ofBurkina Faso, and contains a total oxide gold mineral resource of 791,000 ouncesthat has been demonstrated, by a feasibility study, to be technically amenableto open-pit mining and processing via heap leaching. Water, environmental andmining permits for the project have been granted. The mining permit is valid fortwenty years. Baomahun, Sierra Leone. The Baomahun Gold Project covers an area of about 137 km-2 and is located about180 kilometres east of Freetown, in the Southern Province of Sierra Leone. Thegeological setting is similar to the Lake Victoria goldfields in Tanzania.According to the terms of a joint venture agreement with the owner of Baomahun,Winston Mines Limited, Cluff Gold has recently completed an earn-in of a 60%interest in the Baomahun prospect by spending US$5 million on exploration /development funding. A JORC compliant total mineral resource of 1,160,000ounces of gold has so far been delineated at Baomahun, though more than 70% ofthe defined mineralised zone is yet to be drilled. This information is provided by RNS The company news service from the London Stock Exchange