Kefi Gold & Copper Regulatory News (KEFI)

4 Sep 2007 07:00

Kefi Minerals plc04 September 2007 AIM: KEFI 4TH September 2007 KEFI Minerals Plc ("KEFI Minerals" or the "Company") DRILLING INTERCEPTS GOLD MINERALISATION AT DERININ TEPE PROSPECT KEFI Minerals is pleased to announce encouraging results from the initialdrilling programme at the Company's 100%-owned Derinin Tepe Prospect inBalikesir province, western Turkey. Highlights • Gold-silver mineralisation intercepted in six of nine holes drilled.• Drillhole KDTD04 intercepted 3.6m at 3.35 g/t gold and 90 g/t silver from 38m downhole and 1m at 3.27 g/t Au and 327 g/t Ag from 44m down hole.• Drillholes KDTD 1 to 3 intersected backfill of ancient workings of up to 3-4m true widths. These workings were intersected at greater than expected depths, providing evidence of shoots of high-grade gold mineralisation in the epithermal quartz veins at Derinin Tepe.• Previous assays from channel-chip sampling and grab sampling undertaken by KEFI Minerals had returned up to 152g/t gold and 1,320g/t silver. Surface exploration undertaken by KEFI Minerals had identified gold-silvermineralisation in low-sulphidation epithermal quartz veins with cumulativestrike lengths of over 2km and widths of up to 8m at surface. Extensive ancientworkings were exposed in recent trenching, revealing 100-200m strike lengths ofunderground workings in the West, Central and East veins. Previous assays fromchannel-chip sampling and grab sampling undertaken by KEFI Minerals had returnedup to 152g/t gold and 1,320g/t silver from these outcropping veins. Assays havenow been received from a diamond drilling program comprising nine holestotalling 606m, which was designed to intersect the prospective quartz veins ata depth of 40m to 50m below surface. The first three drillholes (KDTD01-03) allintersected significant widths of 3-4m of mineralised backfill associated withancient workings at the expected position of the epithermal quartz veins atdepth. It is interpreted that the ancient miners backfilled the stopes to creategreater stability for deeper underground mining. Some of the backfill iscomprised of lower grade waste material as was intersected in KDTD01 where abackfilled zone contains 3.1m at 2.1g/t gold and 118g/t silver. Given that the ancient mining techniques required high gold grades in quartzveins for economic extraction, the significant lateral and vertical extent ofthe ancient workings attests to the potential of the epithermal quartz veins atDerinin Tepe to host shoots of high-grade gold mineralisation. The remaining drillholes all intersected epithermal quartz veins and associatedquartz-vein stockwork zones. Drillhole KDTD04 returned the best intercept of theprogram with 3.6m at 3.35g/t gold and 90g/t silver from 38m downhole and 1m at3.27 g/t gold and 327 g/t silver. Other intercepts included 1.7m at 2.0g/t goldand 72g/t silver in KDTD05. KEFI Minerals' Managing Director, Jeffery Rayner,commented: "While Derinin Tepe was mined near surface in antiquity, this is the first timethe area has been tested by modern drilling and exploration techniques. Theassociation of gold and silver with epithermal quartz veins over significantdistances provides encouragement that further exploration of Derinin Tepe iswarranted. "It appears that the ancient miners were able to follow high-gradeshoots to greater depths than we anticipated which provides encouragement thatfurther drilling may find other high-grade shoots along strike or at depth.Another drilling program that will include deeper holes is now being planned." References in this announcement to exploration results and potential have beenapproved for release by Mr Jeff Rayner, B.Sc. (Honours). Mr Rayner is ageologist and has more than 20 years' relevant experience in the field ofactivity concerned. He is a member of The Australian Institute of Mining andMetallurgy (AUSIMM) and has consented to the inclusion of the material in theform and context in which it appears. EnquiriesKEFI Minerals WH Ireland Bishopsgate CommunicationsJeffrey Rayner Laurie Beevers Maxine Barnes Katy Mitchell Nick Rome+905 36963 0111 +44 161 832 2174 +44 20 7562 3350www.kefi-minerals.com Technical SummaryThe table below summarises the assay results from this initial drilling programme at Derinin Tepe.Hole Number From To Down Hole Interval (m) Gold Silver (m) (m) (g/t) (g/t)KDTD01 44.50 45.50 1.00 2.47 229 45.50 46.60 1.10 0.23