ORM.L Regulatory News (ORM)

8 Nov 2007 07:01

Ormonde Mining PLC08 November 2007 08 November 2007 Ormonde Mining plc Ormonde reports thick zinc intersections from drilling of Lower Massive Sulphide Zone at La Zarza DUBLIN & LONDON: 08 November 2007 - Ormonde Mining plc ("Ormonde" or "theCompany") is pleased to report the final results of drilling of a zinc-richmassive sulphide zone ("Lower MS Zone") as part of the feasibility study at its100% owned La Zarza Copper-Gold-Zinc Project in southwest Spain. Main Points • Drilling has intersected thick intervals of zinc-rich mineralisation including 20 metres grading 4.7% zinc (within 70m grading 3.3% zinc) and 14 metres grading 4.5% zinc (within 74m grading 3.3% zinc), with significant levels of copper, gold and silver; • Holes drilled within the current resource area meet expectations; this will result in conversion to Indicated Resources in a final resource statement due with the feasibility study; • Holes drilled outside the current resource area intersected thick zinc and low grade copper intervals (including 118 metres grading 1.0% copper) showing that mineralised massive sulphides are open to the west; the entire Lower MS Zone is open at depth; • The Bankable Feasibility Study is on schedule for completion in late December and following a review by the Company results will be reported in early January. Kerr Anderson, Managing Director, said today, "The thick intervals of good grade zinc intersected in this drilling have firmedup our interpretation of the Lower MS Zone and in the areas where drilling ismore closely spaced allow for the conversion of Inferred Resources to IndicatedResources. The new results also give a solid indication of the potential toincrease zinc resources at depth and to the west, outside of the feasibilitystudy resource area." Drilling Results Four holes (ORM-56, 58, 59 and 61) were completed in the area of the Lower MSZone for a total of 2,010 metres of drilling. Holes ORM-56 and 58 were drilledwithin the feasibility study resource area. ORM-59 and 61 were drilled to thewest of the currently defined zinc resources. Results are summarized asfollows: Hole Section From (m) Width (m) Cu % Pb % Zn % Ag g/t Au g/t ORM-56 1925E 390.0 70.0 0.6 0.6 3.3 26.7 1.4 including 422.0 20.0 1.0 0.9 4.7 42.8 2.6 ORM-58 2025E 413.0 66.0 0.6 0.7 3.1 34.2 1.0 including 449.0 16.0 0.3 0.7 4.4 34.8 0.6 ORM-59 1875E 396.2 118.0 1.0 0.2 1.0 13.7 0.9 including 396.2 5.8 2.3 0.1 0.5 19.0 0.4 ORM-61 1825E 368.0 74.0 0.8 0.8 3.3 33.2 1.5 including 368.0 14.0 0.7 0.9 4.5 31.8 1.4 and 388.0 26.4 1.2 0.8 3.6 38.3 2.0 The zinc mineralisation encountered in these holes remains open at depth on allsections; diagrams are included in the PDF version of this announcement atwww.ormondemining.com/doc/press/pr071108.pdf. Kerr Anderson PhD EurGeol PGeo, Managing Director of Ormonde Mining plc, and aqualified person as defined in the Guidance Note for Mining, Oil and GasCompanies, March 2006, of the London Stock Exchange, has reviewed and approvedthe technical information contained in this announcement. A glossary explaining technical terms contained in this announcement can befound at www.ormondemining.com/projects/glossary.html. Enquiries to: Ormonde Mining plc Kerr Anderson, Managing Director, Fraser Gardiner, Director Tel: +353 (0)46 9073623 Bankside Consultants Simon Rothschild / Louise Mason Tel: +44 (0)20 7367 8871 Mob: +44 (0)7703167065 Davy (Nominated Adviser to Ormonde) Fergal Meegan Tel: + 353 1 6796363 ENDS About La Zarza The La Zarza Project comprises a group of Mining Concessions covering a totalarea of 12.8 square kilometres in the Iberian Pyrite Belt mining district insouthwest Spain, some 50 kilometres north of Huelva and 90 kilometres northwestof Seville. Ormonde has a 100% interest in the Project. Operating mines andother advanced projects in the Pyrite Belt include Neves Corvo (Lundin Mining),Las Cruces (Inmet Mining) and Aguas Tenidas (Iberian Minerals). Ormonde's objective at La Zarza is to establish an underground mining operationproducing copper, gold, zinc and silver in concentrates. A pre-feasibilitystudy in September 2006, focused on the copper and gold resources, demonstratedpositive economics for the Project and a Bankable Feasibility Study is currentlybeing carried out by leading international engineering firms. La Zarza was historically mined for pyrite from a large massive sulphide body(over 110 million tonnes) by both open pit and underground mining. The Projectbenefits from existing road, rail, power and water infrastructure in theimmediate proximity, a local skilled workforce and available contractors in thishistoric mining area, and appropriate regulatory and investment regimes. About Ormonde Ormonde Mining plc is quoted on the AIM in London and the IEX in Dublin.Ormonde is a mineral development and exploration company focused on Spain, withthe objective of developing mining projects and taking them into production. In addition to the La Zarza Project, Ormonde is investigating the Barruecopardohigh-grade tungsten deposit in the Salamanca area where a continuous programmeof in-fill and step-out drilling is now underway with a view to fast-trackingthe evaluation of this project. The Company's other current activities includesuccessful gold exploration at the Pino de Oro Prospect (Zamora) and SierroProspect (Salamanca). For more information please visit www.ormondemining.com. This information is provided by RNS The company news service from the London Stock Exchange