Cloudified Holdings Limited Regulatory News (CHL)

15 Jun 2006 07:00

Churchill Mining plc15 June 2006 15 June 2006 CHURCHILL MINING PLC ("Churchill" or "the Company") South Woodie Woodie Project, Australia - Update The directors of Churchill Mining Plc (AIM: CHL) are pleased to announce thatthe Company has decided to further the exploration work at its South WoodieWoodie manganese project in Western Australia. As a result of the recenttransaction and capital raising for the Sendawar Coal Project in Indonesia, thedirectors are of the view that the Company can afford the effort and cost ofadditional exploration work, so that further value may be added to the SWWProject, which would enhance potential Joint Venture returns above thosepreviously anticipated. Highlights: • Large airborne geophysics program completed • Drilling of Enacheddong Creek to start in early July Airborne Geophysics Results from various reconnaissance sampling and mapping programs carried out byChurchill's consulting geologists Ravensgate in 2005 identified a number ofhighly prospective areas for manganese at South Woodie Woodie. These areas sit within a geological corridor of favourable structures andlithology that extends for more than 15km long and 5km wide in the northernportion of the South Woodie Woodie project. It is estimated that at least 40-50%of the corridor lies under a thin veneer of cover, which makes the detection ofmineralisation inconclusive using conventional surface sampling techniques. Consequently Churchill commissioned and completed a 6600 line kilometre airbornesurvey of the area which will be invaluable for both refining current targets aswell as locating potential new areas under cover and at depth. Interpretation ofthis airborne data has started and is expected to be finalised in approximatelythree weeks. Enacheddong Creek Drilling Churchill will begin drilling its first prospect at South Woodie Woodie calledEnacheddong Creek in early July. The program follows-up soil and rock chip sampling work conducted in 2005.Enacheddong Creek was originally discovered in 1977 but has never been drilled.Work by Churchill has extended the strike length of the project to 1.5km. The planned drill program of 10 holes will test mineralisation depth along thelength of the discovery area as well as down-dip extensions under cover to thewest. ENDS Enquiries: Churchill Mining Plc Corporate Synergy Parkgreen Communications Paul Mazak/ James Hamilton Olly Cairns Brendan McNamara +61 (0)8 9388 0377 +44 (0) 20 7448 4400 +44 (0) 20 7493 3713 paul.mazak@churchillmining.com james.hamilton@churchillmining.com Notes to editors South Woodie Woodie The South Woodie Woodie project covers approximately 490 square kilometres inthe East Pilbara region of Western Australia. Owned via Churchill Mining'swholly-owned subsidiary, Planet Mining Pty Ltd, the project sits approximately400km southeast of Port Hedland in the highly prospective Pilbara manganeseprovince. Churchill owns the project 100%. Sendawar Coal Project Indonesia Churchill Mining is also exploring for coal in Indonesia at its Sendawar projectin Kalimantan. The project covers more than 1,000 square kilometres ofprospective ground and lies in close proximity to two operating open-cut mines:Thai miner Banpu's newly commissioned Trubaindo operation, which will be shortlyproducing at a rate of approximately 6 million tones per annum (tpa); and theprivately-owned Gunung Bayan mine which has been operating since 1998 andproduces approximately 3.4 million tpa. Coal from these mines is transported viabarge via the Mahakam River to the port of Samarinda. The Sendawar project islocated approximately 50km from the Mahakam River. This information is provided by RNS The company news service from the London Stock Exchange