Last checked at 31 May 2011 09:15
31 May 2011 Pan African Resources PLC ('Pan African' or the 'Company' or the 'Group')
Incorporated and registered in England and Wales under Companies Act 1985 with
the registered number: 3937466 on 25 February 2000 Share Code on AIM: PAF Share code on JSE: PAN ISIN: GB0004300496 Significant Reserve Upgrade at Barberton Mines (Pty) Ltd
Pan African Resources PLC ('Pan African'), the African focused precious metals producer, announces a significant increase in the resource and reserve for Barberton Mines (Pty) Ltd ('Barberton Mines').
Highlights:
Barberton Mines - Mineral Resource and Reserve upgrade:
- Total mineral resource increased by 7% to 2,55Moz of gold (9,47Mt at 8,35g/t in
situ)
- Measured and Indicated ('M&I') mineral resource increased by 4% to 1.9Moz of
gold (6,96Mt at 8,48g/t in situ)
- Significant increase in total resource grade by 33% to 8,35g/t in situ (2010:
6,29g/t in situ)
- Mineral reserve increased by 51% to 1Moz (3,83Mt at 8,12g/t in situ)
Jan Nelson, Chief Executive Officer of Pan African, commented: "These results confirm that the Barberton ore-body is able to sustain current production rates well into the future. The increase in the resource grade clearly demonstrates that there are still significant high grade zones of mineralisation within the mine boundary. In addition, the Company's ability to drive costs down has allowed us to convert a significant portion of the resource to reserve. Our attention is now focused on our prospecting permit where we have identified a geophysical anomaly close to surface that has a geographic footprint equal in size to the mining footprint at our Fairview Mine that has produced 4Moz."
Barberton Mines - Mineral Resource upgrade
Over the past three years an integrated Mineral Resource Management ('MRM') programme has been implemented at Barberton Mines. The objectives of this programme are to:
(a) increase the total resource;
(b) increase the reserve base to improve Life of Mine and mining flexibility; and
(c) grow the production profile.
This programme represents over 37,915m of drilling, 5494m of development and a capital investment of approximately GBP6 million over three years.
All three objectives have now been achieved and are supported year-on-year by the total resource increase by 7% to 2,55Moz (9,47Mt at 8,35g/t in situ), and the M&I resource increased by 4% to 1,9Moz (6,96Mt at 8,47g/t in situ). The reserve has been increased by 51% to 1Moz (3,83Mt @ 8,10g/t in situ).
Significant geophysical anomalies have been identified on the prospecting area and southern extent of the Fairview Mining Authorization boundary. The combined geographical extent of some of these anomalies are larger than the mining footprint at the Fairview Mine where over 4Moz of gold has been mined to date. The focus will now shift to drilling these targets and bringing them to account.
Barberton Mines Mineral Inventory - 30 March 2011 Barbeton Mines Mineral RESOURCE RESERVE Inventory CATEGORY MASS GRADE CONTAINED GOLD CATEGORY MASS GRADE CONTAINED GOLD - 30 March 2011 (kt) (g/t) (kg) (koz) (kt) (g/t) (kg) (koz) Measured 2 750 8,45 23 300 750 Proved 1 220 7,27 8 900 290 Indicated 4 210 8,49 35 700 1 150 Probable 2 610 8,48 22 200 710 Inferred 2 510 8,01 20 100 650 Total 9 470 8,35 79 100 2 550 Total Measured and Indicated (Proved and Probable) 6 960 8,48 59 000 1 900 Total 3 830 8,12 31 100 1 000
- Please note differences may occur due to rounding.
- The table above is only with respect to Barberton Mines.
The Company is currently updating the Groups resource and this will be
announced in due course.
- Frans Chadwick, a member of the South African Council for Professional and
Technical Surveyors (PLATO) and an employee of Barberton Mines, has signed off
on the above Mineral Inventory for Barberton Mines.
- The above resource is compliant with the South African Mineral Resources Code
('SAMREC'). Enquiries: South Africa UK Pan African RBC Capital Markets Jan Nelson, Chief Executive Officer Martin Eales +27 (0) 11 243 2900 +44 (0) 20 7029 7881 Pan African St James's Corporate Services Limited Nicole Spruijt, Public Relations Phil Dexter +27 (0) 11 243 2900 +44 (0) 20 7499 3916 MacquarieFirst South Advisers (Pty) Ltd Gable Communications Natalie Di-Sante/Melanie de Nysschen Justine James +27 (0) 11 583 2000 +44 (0)20 7193 7463
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