Clontarf Regulatory News (CLON)

14 Sep 2007 07:00

Persian Gold PLC14 September 2007 Persian Gold plc. 14th September 2007 Interim Results for the Six Month Period to 30 June 2007 Persian Gold is making solid progress in Iran. The highlights of recentactivities are: - Two new projects acquired; Dalli, an advanced gold/porphyry project, and Dustbiglu, an early stage gold in clay silica alunite project, - Drilling commencing in Dalli in September, - Second phase drilling at our Chah-e-Zard discovery to follow Dalli drilling. Remember our background. Persian Gold was formed in 2003 to prospect for gold inIran, a large country significantly under explored in the last 30 years. Thefocus was on the large volcanic belt stretching from Turkey in the Northwest toPakistan in the Southeast - almost 2000kms. Significant gold discoveries havebeen made in this belt in Turkey and in Pakistan, including a world class golddeposit at Riko Diq on the border between Iran and Pakistan. We went into Iran using a new gold exploration model - gold in clay silicaalunite alteration environments. We have two projects concentrating on thismodel, Takestan and now, Dustbiglu. However, our presence in Iran and ourgrowing local experience, resulted in other projects, mainly gold, beingpresented to Persian Gold, including the most recent and very exciting Dalliprospect. Dalli is a significant copper gold porphyry deposit which has neverbeen drilled - until now. The world class geological opportunities in Iran are off-set to some extent bythe political situation. Political uncertainty has impacted many Westerncompanies operating there. Though this has not adversely affected ouroperations, Persian Gold's share price has suffered from the negative mediacoverage. We have experienced no significant or unusual challenges operating inany part of the country. We continue to be made welcome by the Iranianauthorities and people. Accordingly, Persian Gold has Early Mover Advantagegiving us access to projects not normally available to junior explorers. Dalli Located 200kms southwest of Tehran. Sampling has discovered strong gold andcopper mineralisation in two centres 1.7km apart. An initial explorationprogramme of 5 drill holes will start in September. Work in the area cancontinue year round. We have an option to acquire 70%. Dustbiglu Our second new project, the wholly owned Dustbiglu, lies 450km Northwest ofTehran. It is a gold in silica-clay-alunite resource. The area has similarcharacteristics to the silica-alunite gold mines in Peru and Chile. Previousprospecting work for copper discovered gold traces. Persian Gold has applied forexploration concessions over the area. It is hoped to sample the ground beforethe snows set in in December. Chah-e-Zard The first phase drilling programme in this volcanic hosted gold deposit,discovered gold in 13 of 16 drill holes including two very good results; 122m @ 1.95g/t gold in Hole 3, 40m @ 1.24g/t gold in Hole 1. The results have led to a second phase exploration programme consisting offurther trenches and 20 drill holes concentrated in the Southern zone. Thetarget is to define a near surface gold oxide heap leachable resource. Thetrenching programme is underway and the rig drilling Dalli will move toChah-e-Zard. Takestan As easier to explore later stage projects have become available, the Takestanproject has moved down the list of priorities. We still await permits to pit andtrench the Twin Hills area located near the city of Qazvin. The opportunities onthis block of 4 licences are good, but they must wait for environmentalclearance. Future There are many large gold opportunities in Iran. Persian Gold must notover-extend. The four projects underway, particularly the drilling at Dalli andChah-e-Zard, will provide the core of activities in the coming months. Firstdrill results can be expected at the end of October. John J TeelingChairman14th September 2007 Persian Gold PlcJohn Teeling +353 1 833 2833 College HillPaddy Blewer +44 (0) 20 7457 2020Nick Elwes +44 (0) 20 7457 2020 Blue Oar Securities PlcJohn Wakefield +44 (0) 117 933 0020 www.persiangoldplc.com Persian Gold plc Interim Results 2007 Financial Information (Unaudited) Six Months Ended 30 June 07 30 June 06 £'000 £'000Group Profit and LossOperating Loss (162) (67)Investment Income 6 13Loss before Taxation (156) (54)Taxation 0 0Loss for the period (156) (54)Loss per share (.28p) (.10p) Group Balance Sheet 30 June 07 30 June 06 £'000 £'000Fixed Assets 921 413 Current Assets 120 732Current Liabilities (265) (37) Current Assets less Current Liabilities (145) 695 776 1,108Share Capital and Reserves 776 1,108 Six Months Ended 30 June 07 30 June 06 £'000 £'000Group Cash FlowNet Cash Outflow from Operating Activities (99) (56) Returns on Investments and Servicing of Finance 6 13Capital Expenditure (101) (154)Decrease in Cash (194) (197) Notes: 1 The figure for the six months to 30 June 2007 and 30 June 2006 are unaudited.The financial information set out above does not constitute full statutoryaccounts within the meaning of section 240 of the Companies Act 1985. 2 Copies of this announcement will be sent to shareholders and will be availablefor inspection at the Company's registered office at 20-22 Bedford Row, London,WC1R 4JS Notes to Editors: Persian Gold was formed in 2003 and listed on the AIM in June 2005. It has 600shareholders, and is capitalised at £10m. The company was formed by JohnTeeling, an Irish mining entrepreneur, together with a group of European andIranian investors. It was established to explore for gold in a silica clay alunite alteration zonein the Takestan area of northwest Iran. Estimated reserves of alunite in thisarea are 1 billion tonnes. In recent years many of the largest gold discoveriesin the world have been made in silica alunite rocks in the Andes. The PersianGold strategy in Iran is to prospect for large South American style golddeposits in the Takestan silica alunite. The late stage Chah-e-Zard gold deposit, near Yazd, to the south of Tehran wasoptioned in 2005. Strong sampling results led to a drilling programme whichdiscovered gold in 13 of 16 holes including the southern zone containing holeswith commercial gold grades over significant lengths. This information is provided by RNS The company news service from the London Stock Exchange