POL.L Regulatory News (POL)

25 Oct 2007 10:12

Polo Resources Limited25 October 2007 For immediate release: POLO RESOURCES LIMITED ("Polo Resources" or "the Company") Mongolian Coal Exploration License Polo Resources Limited (AIM:PRL), the natural resources investment and miningcompany, today announces that its wholly owned subsidiary, Polo Resources LLC,has signed a binding agreement to acquire a 100% interest in a large coalexploration license in the South Gobi Coal Basin. The total considerationpayable is US$350,000. The exploration project, with excellent logistics and situated 73 km from theChinese border in the South Gobi Desert, covers 550 km2 of Permian Sedimentsknown to host some of the regions better coal deposits. The project is situatedbetween the Nariin Sukhuit Coal Mine (1.6Mt per annum production) located 60 kmto the east and the Tavun Tolgoi Coal Mine (4Mt per annum production) located100 km to the west. The site covers the prospective anticlinal fold hinge zoneof the coal bearing sediments where thicker coal seams are often located. Twoknown coal occurrences, one of which has 20m width coal have been recorded inoutcrop in this zone. The license area has no known drilling on the property.Polo Resources intends to commence field exploration activities, includingdrilling, on the coal license by year-end. Exploration expenditures for theinitial 18 months are budgeted at approximately US$1 million. Polo Resources is continuing its ongoing evaluation of a number of coalexploration and development projects in the Northern Asia Region. The resource information contained in this announcement has been reviewed byPaul Ingram, Consulting Geologist. He is the Qualified Person who advised PoloResources on this coal license acquisition in Mongolia. Mr. Ingram hassufficient experience relevant to the style of mineralisation and type ofdeposit under consideration and to the activity which he is undertaking, toqualify as a Qualified Person for the purposes of this announcement. - end - For further information, please contact: Polo Resources Limited Guy Elliot (Non-Executive Chairman) Tel +1 941 284 5954 Harald Van Hoeken (CEO) Tel +44 (0) 7771 913717 Beaumont Cornish Limited Roland Cornish/Rosalind Hill Abrahams Tel +44 (0) 20 7628 3396 GTH Communications Limited Toby Hall/Jade Mamarbachi Tel+44 (0)20 7153 8039/8035 This information is provided by RNS The company news service from the London Stock Exchange