Sign In
23 Sep 2013 07:00
Chaarat Gold Holdings Limited
("Chaarat" or the "Company")
POSITIVE DRILLING RESULTS AT THE CHAARAT GOLD PROJECT
Road Town, Tortola, British Virgin Islands (23rd September 2013)
Chaarat (AIM - CGH), the AIM quoted exploration and development company with assets in the Kyrgyz Republic, is pleased to provide an update on the in-fill drilling programme in the Main Zone of the Chaarat Gold Project.
In recent months, the Company has been drilling a number of test holes as part of the data collection process for the Definitive Feasibility Study. The latest results have now been analysed. The Board is delighted to report that the grades of the samples recovered are higher than previously anticipated.
Highlights
· Positive in-fill drill results including:
· Section 3160: CCH13M30116: 60 metres of 4.11 g/t Au
· Section 3040: CCH13M30117: 25.50 metres of 5.57 g/t Au
· Section 2560: CCH13M24149: 16.50 meters of 5.02 g/t Au
· Substantial potential to significantly increase the open pit potential and reduce the upfront project cost.
Dekel Golan, CEO of Chaarat, commented:
"The results reported today continue to demonstrate why Chaarat is one of the best undeveloped gold deposits in the world. With the uncertainty surrounding the gold price and costs of production, a high grade near surface open pit operation is the best way to ensure the viability of a mining project."
Enquiries:
Chaarat Gold Holdings Limited | + 44 23 800 11747/+ 44 20 7499 2612 |
c/o Central Asia Services Limited | info@chaarat.com |
Dekel Golan CEO | |
Linda Naylor FD
| |
Numis Securities Limited | +44 (0) 20 7260 1000 |
John Prior, Stuart Skinner (NOMAD) | |
James Black (Broker) |
|
Further information is available at www.chaarat.com.
General description of the Main Zone
The Main Zone is one of three zones of mineralisation within the Chaarat Gold Project, the others being the Contact and Tulkubash Zones. The Main Zone strikes parallel to the other two zones and extends discontinuously over 10 kilometres from M2400 in the southwest to the Ishakuldy areas in the northeast. The mineralised zones dip at 65-80 degrees to the NW.
Data collection for the Definitive Feasibility study (DFS) has included a 10,000 metre in-fill and step-out exploration drilling programme. The objective of the drilling programme is to extend the shallow high grade-open pit-partially heap leachable reserve base of the Project. Increasing production from this portion of the deposit will significantly improve the Project cash flow as capital expenditure on the costly oxidation unit can be delayed.
Positive results to date have been obtained in the Main Zone where the Company has delineated a mineralization strike of 2.5 km, which includes some outstanding gold intervals. The results from of all drill holes as well as a map of the Main Zone are available at www.chaarat.com.
The mine design is in progress and indications are that this portion of the deposit will support increased lower cost early stage production than originally envisaged when the Pre-Feasibility Study was prepared in 2011. This will contribute considerably to the objective value of the deposit. If the deposit can sustain initial production without the need to use oxidation, the early stage cost of production, as well as the initial capital cost, will be significantly reduced. The impact of these parameters on project value will considerably improve the project's value.
Drilling in the Main Zone
A total of 143 holes have been drilled in the Main Zone along the 2.5 km strike, of which 29 were drilled in 2013, and 23 more are planned to be drilled before the end of the season.
Geology of the Main Zone
Mineralisation in the Main Zone is hosted in a 10-15 metre wide shear zone as an anatomising strike slip fault system; within the Ordovician age Chaarat formation (siltstones and sandstones). The gold mineralization is associated with sulphides, sericitic alteration and minor quartz veinlets.
Further update
Chaarat will provide a further update on the Definitive Feasibility Study in its half year results statement to 30 June 2013 which will be released shortly.
Appendix 1: The table below includes the results from holes drilled and assayed (only gold grades are included).
Holes drilled this year | ||||||
Section | Hole Number | From | To | length | True width | Au Grade |
1680 | CCH13M24126 | 1.00 | 9.00 | 8.00 | 6.93 | 3.86 |
1680 | CCH13M24126 | 2.00 | 5.00 | 3.00 | 2.60 | 6.64 |
1720 | CCH13M24139 | 63.50 | 65.50 | 2.00 | 1.74 | 1.77 |
1760 | CCH13M24123 | 15.00 | 18.00 | 3.00 | 2.60 | 1.94 |
1760 | CCH13M24123 | 27.00 | 34.00 | 7.00 | 6.06 | 2.29 |
1760 | CCH13M24123 | 36.00 | 47.00 | 11.00 | 9.53 | 3.14 |
1760 | CCH13M24123 | 94.00 | 98.00 | 4.00 | 3.46 | 3.41 |
1760 | incl | 96.00 | 97.00 | 1.00 | 0.87 | 5.33 |
1840 | CCH13M24134 | 52.50 | 57.00 | 4.50 | 4.00 | 2.00 |
1840 | CCH13M24134 | 70.50 | 78.00 | 7.50 | 6.00 | 1.85 |
1840 | CCH13M24134 | 79.50 | 85.50 | 6.00 | 4.80 | 2.66 |
1880 | CCH13M24128 | 76.00 | 77.50 | 1.50 | 1.31 | 4.23 |
1880 | CCH13M24128 | 88.00 | 89.50 | 1.50 | 1.31 | 2.43 |
1920 | CCH13M24127 | 257.50 | 281.50 | 24.00 | 20.88 | 2.75 |
1920 | incl | 262.00 | 266.50 | 4.50 | 3.92 | 4.12 |
1920 | CCH13M24127 | 296.00 | 299.00 | 3.00 | 2.61 | 4.14 |
2080 | CCH13M24130 | 55.50 | 60.00 | 4.50 | 3.92 | 2.38 |
2080 | CCH13M24130 | 112.50 | 118.50 | 6.00 | 5.22 | 4.45 |
2120 | CCH13M24132 | 45.50 | 50.00 | 4.50 | 3.90 | 2.96 |
2120 | CCH13M24132 | 65.00 | 76.20 | 11.20 | 9.30 | 2.24 |
2120 | CCH13M24132 | 69.50 | 72.50 | 3.00 | 2.75 | 5.26 |
2120 | CCH13M24140 | 71.00 | 74.00 | 3.00 | 2.40 | 3.71 |
2120 | CCH13M24140 | 75.50 | 78.50 | 3.00 | 2.40 | 2.33 |
2120 | CCH13M24140 | 80.00 | 84.50 | 4.50 | 3.60 | 2.18 |
2120 | CCH13M24140 | 103.50 | 108.50 | 5.00 | 4.00 | 2.19 |
2160 | CCH13M24138 | 28.50 | 36.35 | 7.85 | 7.00 | 4.82 |
2440 | CCH13M24151 | 30.00 | 48.00 | 18.00 | 14.40 | 2.83 |
2440 | incl | 30.00 | 34.50 | 4.50 | 3.60 | 4.41 |
2440 | incl | 40.50 | 43.50 | 3.00 | 2.40 | 4.38 |
2480 | CCH13M24137bis | 15.00 | 21.00 | 6.00 | 5.22 | 1.90 |
2480 | CCH13M24137bis | 54.00 | 58.50 | 4.50 | 3.92 | 3.86 |
2480 | CCH13M24141 | 30.00 | 46.50 | 16.50 | 14.36 | 3.15 |
2480 | CCH13M24141 | 58.50 | 63.50 | 5.00 | 4.35 | 4.16 |
2480 | incl | 61.50 | 63.00 | 1.50 | 1.20 | 7.12 |
2480 | CCH13M24141 | 69.00 | 73.50 | 4.50 | 3.92 | 8.05 |
2520 | CCH13M24146 | 2.50 | 13.00 | 10.50 | 9.14 | 1.97 |
2520 | incl | 2.50 | 7.00 | 4.50 | 3.60 | 2.59 |
2520 | CCH13M24146 | 25.00 | 26.50 | 1.50 | 1.31 | 6.40 |
2520 | CCH13M24146 | 42.00 | 52.50 | 10.50 | 8.40 | 3.70 |
2520 | incl | 42.00 | 46.50 | 4.50 | 3.60 | 4.65 |
2520 | CCH13M24147 | 1.50 | 13.00 | 11.50 | 9.20 | 2.10 |
2520 | incl | 1.50 | 4.00 | 2.50 | 2.00 | 3.71 |
2560 | CCH13M24135 | 70.00 | 79.50 | 9.50 | 8.27 | 7.80 |
2560 | incl | 72.00 | 79.50 | 7.50 | 6.53 | 9.27 |
2560 | incl | 76.50 | 79.50 | 3.00 | 2.61 | 13.98 |
2560 | CCH13M24136 | 46.00 | 49.00 | 3.00 | 2.61 | 2.76 |
2560 | CCH13M24149 | 40.00 | 56.50 | 16.50 | 13.20 | 5.02 |
2560 | incl | 43.00 | 50.50 | 7.50 | 6.00 | 10.14 |
2600 | CCH13M24143 | 24.00 | 34.50 | 10.50 | 9.14 | 1.96 |
2600 | CCH13M24143 | 37.00 | 39.50 | 2.50 | 2.18 | 4.27 |
2640 | CCH13M24142 | 26.00 | 30.50 | 4.50 | 3.92 | 3.07 |
2840 | CCH13M30118 | 34.00 | 41.50 | 7.50 | 6.00 | 2.54 |
2840 | CCH13M30118 | 34.00 | 37.00 | 3.00 | 2.64 | 3.89 |
2840 | CCH13M30118 | 79.00 | 82.00 | 3.00 | 2.40 | 4.05 |
2920 | CCH13M30111 | 108.00 | 125.00 | 17.00 | 13.60 | 3.12 |
2920 | incl | 120.50 | 125.00 | 4.50 | 3.60 | 5.96 |
2920 | CCH13M30111 | 130.00 | 137.50 | 7.50 | 6.00 | 4.47 |
2920 | incl | 130.00 | 133.00 | 3.00 | 2.40 | 7.08 |
2960 | CCH13M30112 | 15.00 | 30.00 | 15.00 | 12.00 | 2.21 |
2960 | incl | 15.00 | 18.00 | 3.00 | 2.40 | 5.83 |
2960 | CCH13M30112 | 34.50 | 37.50 | 3.00 | 2.40 | 2.13 |
2960 | CCH13M30112 | 48.00 | 54.00 | 6.00 | 4.80 | 3.79 |
2960 | CCH13M30113 | 23.00 | 26.00 | 3.00 | 2.40 | 3.51 |
2960 | CCH13M30113 | 95.50 | 98.60 | 3.10 | 2.48 | 2.74 |
3000 | CCH13M30115 | 4.50 | 9.00 | 4.50 | 3.60 | 2.56 |
3000 | CCH13M30115 | 22.50 | 28.50 | 6.00 | 4.80 | 5.77 |
3000 | CCH13M30115 | 128.50 | 132.50 | 4.00 | 3.20 | 4.02 |
3000 | CCH13M30115 | 150.50 | 155.00 | 4.50 | 3.60 | 2.00 |
3000 | CCH13M30115 | 156.50 | 165.50 | 9.00 | 7.20 | 4.17 |
3040 | CCH13M30117 | 62.50 | 88.00 | 25.50 | 20.40 | 5.57 |
3040 | incl | 76.00 | 88.00 | 12.00 | 9.60 | 7.39 |
3160 | CCH13M30116 | 146.50 | 206.50 | 60.00 | 42.00 | 4.11 |
3160 | incl | 146.50 | 187.00 | 40.50 | 28.35 | 4.93 |
3160 | incl | 155.50 | 164.50 | 9.00 | 6.30 | 6.88 |
3160 | incl | 167.50 | 172.00 | 4.50 | 3.60 | 5.41 |
3160 | incl | 176.50 | 187.50 | 11.00 | 7.70 | 6.64 |
3160 | CCH13M30120bis | 40.00 | 46.00 | 6.00 | 4.80 | 2.30 |
3160 | CCH13M30120bis | 104.00 | 114.50 | 10.50 | 8.40 | 3.47 |
3160 | incl | 110.00 | 114.50 | 4.50 | 3.60 | 5.48 |
4000 | CCH13M34001 | 61.50 | 71.50 | 10.00 | 8.00 | 5.12 |
4000 | incl | 61.50 | 67.00 | 5.50 | 4.40 | 8.03 |
4000 | CCH13M34001 | 134.50 | 137.50 | 3.00 | 2.40 | 2.33 |
4000 | CCH13M34001 | 155.50 | 164.50 | 9.00 | 7.20 | 4.33 |
QA/QC Procedures: Sampling Methodology and Quality Control
All samples are sent to a laboratory in the Kyrgyz Republic, Alex Stewart, accredited by the UK Accreditation Service, for sample preparation and assays. Genalysis, Australia, a NATA ISO/IEC 17025 accredited laboratory for analysis is being used for QA/QC check of the analyses of Alex Stewart. 20% check samples in form of 2 Standards, 1 Blank and 1 Duplicate in a batch of 20 samples are being used for quality checks of the Alex Stewart assays.
Competent Person
The Competent Person with overall responsibility for this press release, and who has reviewed the information contained herein, is Sunit Patel, M.Sc. (Geology), FGS, GSSA, who is an employee of Chaarat. Sunit is an exploration geologist with more than 24 years of experience in the resource industry who has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves' and he was supervisor to the work which is the subject of this release. Mr Patel consents to the inclusion in the report of the matters based on this information in the form and context in which it appears.
NOTES TO EDITORS:
About Chaarat Gold
Chaarat Gold is an exploration and development company operating in the Kyrgyz Republic. Situated in the highly prospective Tien Shan gold belt, a JORC compliant resource of 5.76Moz at a grade of 4.03g/t has been delineated at the Chaarat Gold Project. The Company's key objective is to become a low cost gold producer targeting annual production of 200,000 ounces from the development of the Chaarat Gold Project.
Chaarat has several other promising prospects also located within the Kyrgyz Republic. An exploration programme is underway at the Company's Chontash project, located in the Akshirak range of mountains. A mining licence has been obtained for the Mironovskoye asset.
Follow the stocks
