Last checked at 1 Dec 2008 07:00
AIM: EMED 1 December 2008
UPDATE ON GOLD EXPLORATION IN SLOVAKIA
EMED Mining Public Limited ("EMED Mining" or "the Company") is pleased to announce an update on the Company's gold exploration program in Slovakia.
Highlights
At the Biely Vrch porphyry gold deposit, a diamond drilling programme of 34 holes has been completed on a 100m by 100m grid pattern.
Assay results have so far defined known mineralisation to a depth of 300m below surface with individual drillhole assays ranging between 0.2g/t and 1.9g/t gold.
Preliminary estimates suggest roughly 50 million tonnes containing approximately 1.2 million ounces of gold. The company will next complete geostatistical analyses and a conceptual mine design, leading to an initial estimate of JORC compliant Mineral Resources. The deposit is open at depth.
Exploration is progressing at other promising prospects within the Company's large, 100%-owned licences in central Slovakia where there is excellent potential for large porphyry gold and copper-gold deposits.
Biely Vrch Deposit
The pattern diamond drilling at the Biely Vrch deposit for 2008 has been successfully completed under budget and on schedule. Heavy winter snow conditions have commenced and the Company's drill-rig is now undergoing maintenance prior to being stored for the winter.
Assay results have been received for 32 of the 34 holes completed at the Biely Vrch gold deposit, which broadly confirm EMED Mining's previous estimate of the size and grade of the deposit. Every drillhole within the deposit was mineralised throughout its entire length and the deposit remains open at depth.
Notable recent drill holes are:
DVE37, which assayed an average of 1.1g/t gold from surface to the bottom of the hole at 471m; and
DVE41 which assayed an average of 1.2g/t gold from surface to the bottom of the hole at 461m.
This program has defined the shape and approximate grade of known mineralisation at Biely Vrch to a vertical depth of 300m below surface. EMED Mining's preliminary estimate of this zone of mineralisation is roughly 50 million tonnes with individual drill hole assays ranging in grade from 0.2g/t to 1.9g/t gold (typically 0.8g/t to1.1g/t gold), containing approximately 1.2 million ounces of gold. (This estimate is conceptual in nature and it remains uncertain whether further work will result in the determination of a Mineral Resource as defined in the JORC Code.)
This program was based on a 100m by 100m grid pattern and was designed to collect the necessary data for an initial Mineral Resource estimate. Following receipt of the remaining assays results, the next steps are to complete geostatistical analyses and a conceptual mine design, leading to an initial estimate of Mineral Resources which is compliant with the Australasian JORC Code, internationally the most widely accepted code for reporting Mineral Resources and Ore Reserves.
Initial metallurgical testwork of Biely Vrch drill core samples indicates the gold mineralisation is not metallurgically complex and recoveries can be expected to be consistent with analogous porphyry gold projects in other parts of the world.
Other Targets for Porphyry Gold Mineralisation in this Prolific District
Exploration is progressing at other promising prospects within the Company's large (1,107km2), 100%-owned licences in central Slovakia. This is conducted by the Company's exploration team based in Central Slovakia and includes mapping, geochemistry and scout drilling.
More than 20 prospects have been identified within the Company's licences. Scout drilling has eliminated two of these from further work, the prospects known as Slatinske Lazy and Kralova.
High-priority exploration activities are currently being carried out at the Sementlov, Zlatno and Stozok Prospects. Historical exploration and recent fieldwork by EMED Mining indicate that these three prospects have excellent potential for large porphyry copper-gold deposits.
More than 10 prospects will be investigated in 2009, as it is has been demonstrated that the Biely Vrch deposit is one of a cluster of mineral deposits untested with modern techniques in this historically prolific district. Historical mining occurred for over 800 years and the precious metals yielded from the Company's current licence holdings exceeded 120 million ounces of silver and 2.5 million ounces of gold.
Harry Anagnostaras-Adams, Managing Director of EMED Mining, commented:
"Results at Biely Vrch are so far consistent with our expectation of a deposit containing approximately 1 million ounces of gold with more potential at depth. This deposit is within an under-explored district containing a cluster of many similar-looking targets at surface. In the winter we will conduct intense research and workshops aiming at further exploring this potential and prioritising work for 2009. This will utilise the expertise of selected exploration specialists from elsewhere in within the EMED Mining group.
"We are proud of the Company's team in Slovakia, which has not only been successful from a discovery viewpoint but has also been very cost effective. In today's financial climate, this approach is a notable strength of EMED Mining.
"We appreciate the warm welcome from the local community and look forward to continuing the proud mining heritage of this historical and well-endowed district. The Company operates within a framework of active community partnering programs.
"The gold sector is one of the few bright spots in the global economy and the gold price itself is currently performing well as a safe haven of value in times of financial turmoil. It is also notable that the international gold demand-supply deficit will now be reinforced by cut-backs in exploration-funding around the world due to share-market collapses. In this context, the precious metals potential of Slovakia is one of the nation's natural strengths along with the professionalism and work ethic of its people and the responsible-development policy of its Government. EMED Mining works hard to unlock that potential for the benefit of all stakeholders."
Background on Porphyry Gold Deposits
The recognition of Biely Vrch as a porphyry gold deposit has provided valuable insights which assist EMED Mining's plans for exploration of its Slovakian licences.
Porphyry gold deposits differ to the more common porphyry copper-gold deposits, and typically:
are low-grade (0.7g/t to 1.8g/t gold), multi-million ounce deposits;
are large (>100 million tonnes), bulk-mineable deposits;
are metallurgically simple and the gold is recoverable via conventional heap leaching;
occur in clusters of several similar deposits; and
contain very minor amounts of copper and molybdenum.
Social Licence
A core value of EMED Mining is to invest in a socially and environmentally responsible manner, with a view to creating enormous social benefits via collaborative partnerships. A matter of equal importance to the assessment of the technical merits of our projects in Slovakia is the degree of social licence gained.
EMED Mining personnel have built-up outstanding relationships with the Slovak government, local communities, business chambers, scientific societies and other stakeholders that are based on integrity, transparency and progress. These stakeholders have been very supportive of the responsible development of metal production operations in Slovakia. The Government is supportive and, notably for Central Europe where the gold industry has confronted some unusual activist opposition, in 2007 legislated to permit the use of conventional industrial-cyanidation techniques for metallurgical gold-recovery processes, subject to community support and proper controls in accordance with normal international standards.
The Company carries out open dialogue with stakeholders to ensure that its exploration and potentially its mining and metal production activities are undertaken in appropriate locations and in an appropriate manner.
As part of our community relations process, the Company participated in "Clean Up the World" day on 20 September 2008 in association with the Municipality of Detva, the Faculty of Environmental Sciences at the Zvolen Technical University and the communities of Klokoc, Ocova, Slatinske Lazy and Stozok. Volunteers cleaned-up the amphitheatre area of Detva, where the most popular folklore festival in Slovakia takes place in July every year. EMED Slovakia participated actively at the festival last July. A similar clean-up afternoon was organised in Stozok village with the participation of local kindergarten children on 24 September 2008.
At the recent AGM of the Slovak Mining Chamber, Dr Demetrios Constantinides, EMED Slovakia's Managing Director, was appointed a member of the committee for community and public relations. This provides an example of EMED Mining's progressive philosophy and practices which are being widely acknowledged.
EMED Mining is also benefiting from the Slovak governments supportive mining policies. Unlike some of its neighbours, Slovakia supports gold and other metal production which is developed and operated in accordance with international standards and practices.
Enquiries
| EMED Mining | Fox-Davies Capital | RFC Corporate Finance | Bishopsgate Communications |
| Harry Anagnostaras-Adams | Daniel Fox-davies | Stuart Laing | Nick Rome |
| +357 9945 7843 | +44 (0)207 936 5230 | +618 9480 2500 | +44 (0)207 562 3350 |
| www.emed-mining.com | |||
| www.emed.tv |
Competent Person
References in this announcement regarding exploration results and potential have been approved for release by Mr Ron Cunneen, B.Sc. (Honours). Mr Cunneen is Head of Exploration for EMED Mining and has more than 20 years' relevant experience in the field of activity concerned. He is a member of The Australian Institute of Geoscientists ("AIG") and has consented to the inclusion of the material in the form and context in which it appears.
Sampling and Assaying Procedures
All drilling on the Biely Vrch Prospects has been done with PQ (85.0mm diameter), HQ (63.5mm diameter) and NQ (47.6mm diameter) size core samples. Core recovery has averaged 95% throughout the mineralised zones. All core has been logged and separated into 1.0m lengths. PQ size core has been quartered, while HQ and NQ sized core have then been cut in half by a diamond saw. The split core has then been sent for assay.
Sample preparation has been done by ALS - Chemex in Romania and assayed for gold by 30gm fire assay (method Au-AA25). Both standards and blanks have been used in the sample batches sent by EMED to ALS - Chemex in line with EMED company quality control procedures.
Notes to Editors: About EMED Mining Public Limited
EMED Mining was admitted to trading on AIM in May 2005. The Company is based in Cyprus and has a strong commitment to responsible development of metal production operations in Europe, with an initial focus on copper and gold.
The Group's region of interest are the tectonic belts spanning across Europe and over to the Middle East. The strategy is to evaluate exploration and development opportunities in several jurisdictions throughout this quality mineral belt and to promote sustainable development practices through the implementation of European Union and other leading-edge international standards. The Company strictly implements its Environmental & Community Policies which includes:
Integrating environmental management into our business, planning and reporting processes.
Promoting a strong environmental ethic throughout the Company and the community.
Complying with, as a minimum, all applicable local and European Union laws and regulations.
Communicating with community stakeholders in a responsible and transparent manner.
EMED Mining has now established a strong position in the following selected zones:
Exploration areas in Slovakia are centred on a cluster of volcanic centres. Low-detection geochemical methods are being applied to these areas for the first time together with open-pit bulk mining concepts. The principal targeted mineralisation style is low-grade, bulk-mineable porphyry gold. The Company has announced a significant gold discovery at Biely Vrch and the identification of many targets with apparently similar geological characteristics in its wholly-owned exploration licenses in Central Slovakia.
The mines in Cyprus and at Rio Tinto in Spain are located in the Iberian Pyrite Belt, which is probably among the best known in the world for its mineral endowment. EMED Mining's goal is to restart copper production at its projects in both of these well-endowed, historical mining districts. Both Spain and Cyprus are progressive members of the European Union and EMED Mining has been made to feel welcome in both host countries. The styles of mineral deposits and production techniques are similar in both mining districts.
Exploration areas in Turkey were vended into 32%-owned KEFI Minerals Plc which was admitted to AIM in December 2006. KEFI Minerals owns carefully selected licence areas in Turkey, as well as an extensive proprietary database of regional and specific exploration data providing a pipeline of further projects to evaluate. It recently announced a joint venture at the Artvin Project with Centerra Gold Inc of Canada. See www.kefi-minerals.com.
For further information on the Company's activities, visit www.emed-mining.com or www.emed.tv.
Geological Maps showing spatial relationship
Please click on link to view map
http://www.rns-pdf.londonstockexchange.com/rns/2422J_-2008-11-30.pdf
Drilling Assays from Biely Vrch
| Hole Number | Easting | Northing | RL | Dip | Azimuth | Depth | From | To | Length | Au | |
| (m) | (m) | (m) | (m) | (g/t) | |||||||
| DVE1 | 380,039 | 5,379,851 | 420 | 60 | 95 | 108.2 | 0.0 | 108.2 | 108.2 | 1.26 | |
| DVE2 | 380,007 | 5,379,617 | 429 | 60 | 95 | 102.8 | 0.0 | 102.8 | 102.8 | 0.16 | |
| DVE3 | 380,036 | 5,379,798 | 434 | 60 | 99 | 220.0 | 0.0 | 220.0 | 220.0 | 0.49 | |
| DVE4 | 380,136 | 5,379,828 | 423 | 60 | 272 | 252.0 | 0.0 | 252.0 | 252.0 | 1.21 | |
| DVE5 | 380,297 | 5,379,877 | 405 | 55 | 275 | 559.0 | 228.0 | 559.0 | 331.0 | 1.05 | |
| DVE7 | 379,886 | 5,379,847 | 404 | 70 | 279 | 568.0 | 0.0 | 59.0 | 59.0 | 0.21 | |
| DVE8 | 380,013 | 5,379,856 | 420 | 70 | 275 | 262.5 | 0.0 | 154.0 | 154.0 | 1.34 | |
| DVE9 | 380,154 | 5,379,944 | 401 | 50 | 275 | 350.0 | 62.0 | 103.0 | 41.0 | 0.68 | |
| DVE10 | 379,942 | 5,379,698 | 431 | 70 | 275 | 368.3 | 25.0 | 33.0 | 9.0 | 0.83 | |
| DVE11 | 379,942 | 5,379,703 | 429 | 60 | 98 | 400.4 | 0.0 | 400.4 | 400.4 | 1.25 | |
| DVE12 | 380,047 | 5,379,694 | 451 | 60 | 93 | 400.0 | 0.0 | 400.0 | 400.0 | 0.55 | |
| DVE13 | 380,247 | 5,379,945 | 404 | 60 | 278 | 400.0 | 206.0 | 400.0 | 196.0 | 0.50 | |
| DVE14 | 380,103 | 5,379,792 | 426 | 60 | 99 | 300.0 | 0.0 | 213.0 | 213.0 | 0.67 | |
| DVE15 | 380,031 | 5,379,947 | 401 | 60 | 278 | 300.2 | 42.0 | 94.0 | 52.0 | 0.51 | |
| DVE16 | 379,935 | 5,379,587 | 407 | 60 | 92 | 272.5 | 0.0 | 272.5 | 272.5 | 0.10 | |
| DVE17 | 380,059 | 5,379,598 | 431 | 60 | 90 | 406.0 | 372.0 | 400.0 | 28.0 | 0.54 | |
| DVE27 | 380,092 | 5,379,803 | 433 | 60 | 270 | 460.0 | 0.0 | 460.0 | 460.0 | 1.14 | |
| DVE28 | 380,057 | 5,379,905 | 409 | 60 | 270 | 252.3 | 0.0 | 252.3 | 252.3 | 0.35 | |
| DVE29 | 380,051 | 5,379,801 | 435 | 60 | 90 | 251.4 | 0.0 | 251.4 | 251.4 | 0.76 | |
| DVE30 | 380,058 | 5,379,905 | 410 | 60 | 90 | 293.2 | 0.0 | 293.2 | 293.2 | 0.52 | |
| DVE31 | 380,005 | 5,379,796 | 431 | 60 | 90 | 444.7 | 0.0 | 444.7 | 444.7 | 0.78 | |
| DVE32 | 379,958 | 5,379,906 | 404 | 60 | 90 | 350.3 | 0.0 | 350.3 | 350.3 | 0.44 | |
| DVE33 | 379,902 | 5,379,809 | 412 | 60 | 90 | Abandoned | |||||
| DVE34 | 380,160 | 5,379,906 | 403 | 60 | 90 | 98.2 | 0.0 | 98.2 | 98.2 | 0.08 | |
| DVE35 | 380,155 | 5,379,709 | 444 | 60 | 90 | 143.0 | 0.0 | 143.0 | 143.0 | 0.29 | |
| DVE36 | 380,157 | 5,379,905 | 403 | 60 | 270 | 458.1 | 0.0 | 458.1 | 458.1 | 0.46 | |
| DVE37 | 380,154 | 5,379,708 | 444 | 60 | 270 | 471.5 | 0.0 | 471.5 | 471.5 | 1.14 | |
| DVE38 | 380,103 | 5,379,708 | 450 | 50 | 180 | 164.7 | 0.0 | 164.7 | 164.7 | 0.49 | |
| DVE39 | 380,053 | 5,379,700 | 451 | 60 | 270 | 254.2 | 0.0 | 254.2 | 254.2 | 0.89 | |
| DVE40 | 380,008 | 5,379,698 | 446 | 60 | 180 | 140.0 | 0.0 | 140.0 | 140.0 | 0.51 | |
| DVE41 | 379,895 | 5,379,811 | 412 | 60 | 90 | 461.4 | 0.0 | 461.4 | 461.4 | 1.21 | |
| DVE42 | 60 | 270 | 275.3 | 0.0 | 178.0 | 178.0 | 1.02 | ||||
| DVE43 | 60 | 90 | 433.8 | Assays Pending | |||||||
| DVE44 | 60 | 270 | 323.1 | Assays Pending | |||||||
Note: Drillholes DVE18 to DVE26 are not included in the above as they are located to the east and southeast of the known Biely Vrch deposit.
-Ends-
Company Reg No: 152217