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Soil Sampling Results & Deli Jovan Project Update

3 Oct 2011 07:00

RNS Number : 3495P
Orogen Gold PLC
03 October 2011
 



3 October 2011

 

 

Orogen Gold Plc ('Orogen' or 'the Company')

 

 Results of Soil Sampling Programme and Deli Jovan Project Update

 

Orogen Gold Plc (AIM:ORE) the AIM listed mineral exploration company, focussed on gold exploration and development in eastern Europe, announces the results of the recent soil sampling programme and an operational update on progress in the re-opening of access to the Deli Jovan gold mines in eastern Serbia which were last in operation more than 70 years ago.

 

 

Highlights

 

Soil sampling 

 

·; Nearly 3,000 soil samples taken in previously unexplored area between the historic Rusman and Gindusa mines

 

·; Several gold anomalies including one which traces the potential for a 500 metre extension to the northwest of the Rusman mine

 

·; Two additional separate 300 metre long gold anomalies at the centre of sample grid

 

·; A substantial one kilometre long linear gold anomaly southeast of Gindusa requiring further appraisal due to its' proximity to the old mine workings

 

Re-opening of access to mines

 

·; Re-opening of access to Deli Jovan gold mines progressing well and to schedule. This is being achieved through a shaft refurbishment at the two historic gold mines.

 

·; Access secured to first 30 metre working level at Rusman mine; detailed mapping and sampling set to commence. Dewatering continues to expose deeper production levels for further exploration.

 

·; Re-opening of Gindusa mine shaft also progressing well, with clearing and refurbishment currently more than half way towards the first 30 metre mining level.

 

 

Soil Sampling

 

Orogen has undertaken a programme of detailed soil sampling totalling almost 3,000 samples on a 100 metre x 20 metre grid spacing covering a five kilometre strike length of the Deli Jovan shear structure, between the Rusman and Gindusa mines. The aim of the programme was to identify previously unknown or unworked gold veins in the district, hidden beneath overburden cover. While some trial gold and copper diggings are recorded in the area there are no previous records of any production from this belt, most of which has never been explored in modern times. Orogen is pleased to announce that the results of analyses for gold and multi-elements show several potentially significant features of interest for follow-up.

 

 

The results include a zone of gold soil anomalies, with partly coincident copper and arsenic anomalism, along a strike length of approximately 500 metres to the northwest of the Rusman mine. Copper and low-level arsenic often accompany gold in the vein systems at Deli Jovan and can be useful accessory minerals for confirming the presence of mineralised structures. Several small workings are known in this area, including the Seliste copper-gold prospect, where previous grab samples from dump material have ranged from 0.2 to 41g/t Au and trace to 4.72% Cu1. The coincident zone of workings and anomalous soils may represent a continuation of the Rusman mineralised structure.

 

Towards the centre of the sample grid, two additional separate gold anomalies covering strike lengths of approximately 300 metres each are supported by anomalous copper and arsenic values. These are not associated with previously known gold workings and may represent hidden mineralised structures.

 

As expected, sampling over the vicinity of the Gindusa gold mine shows a substantial gold anomaly. Much of the anomalism could be attributable to contamination from the historic mine operations, alternatively this could point to extensions to the southeast beyond the mined area. A further one kilometre long linear gold anomaly extends to the south-southeast of the mine, aligned with a local access road, but extending beyond the road. This needs to be investigated to establish whether it is related to the former mining operations or represents a previously unrecorded structure.

 

All soil anomalies will be checked in the field and follow up programmes will be undertaken, leading to subsequent diamond drill testing of confirmed targets.

_____________________ 

1 Grab sampling by Reservoir Capital Corporation, 2006

 

Sampling, assaying, and QA/QC

 

Orogen's soil sampling programme conforms to industry-wide good practice, with chain of custody being observed for all samples. Gold and multi-element analysis is undertaken by ALS Chemex at its laboratories in Romania and Vancouver and the Company maintains QA/QC on all analytical work via the use of certified reference materials, field duplicates, and blank samples in addition to monitoring of internal laboratory check-analyses.

 

CEO Ed Slowey, PGeo, EuroGeol is a Competent Person as defined by various international instruments and takes responsibility for the release of this information.

 

 

Ed Slowey, CEO, commented:

 

"The Company's main focus is on the re-opening of access to the previously worked mines to facilitate detailed structural mapping and sampling. We are very pleased with the operational progress to date and the good condition of the underground workings which will facilitate our exploration programme."

 

"We undertook the soil sampling programme to assess the untested potential for additional mineral occurrences between the two mines; we are delighted with the results we've received to date. Whilst there is yet no guarantee that anomalies discovered will lead to a direct increase in our asset base, we could well have uncovered significant extensions to the historically worked deposits as well as previously unknown gold-bearing structures at Deli Jovan. "

 

"We look forward to further updating shareholders with news on all fronts, as and when we are in a position to announce."

 

 

Deli Jovan Update and Reopening of Access

 

 

The Company continues to make substantial progress on its exploration programme over the Deli Jovan gold mining district in eastern Serbia. Reopening of access to the two main historic mines at Rusman and Gindusa is being carried out by a Serbian mining contractor.

 

At Rusman, the larger of the two mines, the shaft which is reported to have been sunk to 90 metres depth has now been cleared and drained to 62 metres below surface. The shaft has proven to be larger than anticipated, suggesting that this was the main production shaft at the mine during operations that spanned the turn of the 20th Century and the pre-World War II period. The contractor has completed the re-lining of the shaft and the installation of services to the first operating level at 30 metres depth, allowing access for detailed mapping and sampling of the mineralised quartz vein shear system to commence along more than 250 metres of strike extent. This work will be carried out over the coming weeks and will continue to the lower mine levels as these are dewatered and made safe.

 

At the Gindusa mine, re-opening and lining of the main shaft is now at 16 metres depth, with the first working level here also expected at 30 metres. At the present rate of progress, breakthrough to the 30 metre level is expected shortly. When accessed, a similar programme of detailed mapping and sampling is proposed as at Rusman. Both mine shafts have now been prepared for winter conditions which will allow year-round access.

 

 

 

Joint venture

 

 

Under an Earn-in Agreement with TSX-V listed Reservoir Capital Corporation, Orogen Gold has the right to an initial interest of 55 per cent in the Deli Jovan Gold Project by committing C$1.5 million on exploration expenditure by 23 June 2012 and a further 20 per cent interest can be earned through an additional C$2.0 million commitment by 23 December 2013, giving Orogen Gold a potential aggregate interest in 75 per cent of the Deli Jovan Gold Project.

 

 

Orogen Gold Plc

Ed Slowey, CEO

Alan Mooney, FD

 

+353 1662 8395

 

 

Zeus Capital Limited

Nominated Adviser and Joint Broker

Ross Andrews/Tom Rowley

 

 

+44 (0)161 831 1512

XCAP Securities Plc

Joint Broker

John Grant/Karen Kelly

 

 

 

+44 (0) 207 101 7070

Hansard

Financial PR

Guy McDougall/ Nicholas Nelson

 

 

 

+44 (0) 207 245 1100

 

 

Notes to Editors

 

The Deli Jovan gold project is in eastern Serbia, the site comprising two shallow underground gold mines at Rusman and Gindusa, about 6 kilometres apart along a major shear zone, that were last in production over seventy years ago.

 

This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
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