Aurum Mining PLC
16 November 2006
For immediate release 16 November 2006
AURUM MINING PLC
('Aurum' or 'the Company')
Extensive new Gold and Copper opportunity discovered
within the Andash exploration area
Aurum Mining plc, the company formed to acquire gold and other mineral
extraction projects in the Former Soviet Union, is pleased to announce an update
on the exploration programme at its Andash gold and copper project in the Kyrgyz
Republic.
During the summer a comprehensive programme of geophysical exploration,
including dipole-dipole IP and a magnetic survey, was undertaken at the
Company's Tokhtonysay exploration target, which lies within the Andash
exploration licence area. This programme was initiated as a result of
exploration work completed last year where trenching across an outcrop
intersected 33m of mineralisation at 1.4g/t gold and 1.6% copper.
Tokhtonysay, originally discovered during the Soviet era, contains seven
outcropping mineralised zones. Four of them (T1 - T4), on the western limb, are
situated within the Andash exploration licence area while the other three, on
the eastern limb, are within the adjacent Korgontash licence area, which is held
by Lero Gold Corporation (TSX: LER.V), a subsidiary of Oriel Resources plc (AIM:
ORI) and the subject of an encouraging announcement by Lero Gold on October 12
this year.
Results from the geophysical survey have determined the presence of a previously
unknown IP anomaly with dimensions of 600m x 300m. Its characteristics are
typical for porphyry systems and are similar, though extending over a larger
area, to Andash Zone 1, which has a JORC Measured and Indicated resource of more
than 17m tonnes, containing 624,000 ozs of gold and 72,000 tonnes of copper.
Furthermore, the central part of this body is characterised by a very strong
magnetic anomaly exceeding 1500 nTl. Taking into account that Zone 1 contains
significant amounts of magnetite in the orebody, this is a further indicator
that Tokhtonysay may have similar mineralisation to current resources in Andash
Zone 1.
1200m of trenching was completed to investigate the extent and grade of surface
mineralisation, along with 524m of bulldozer cuts and ten 5m deep pits. The work
was confined to area T2, the largest of the four mineralised areas. This area
runs in a brecciated zone of NW strike and so far has been delineated for 520m.
Gold grades reach as high as 12.8g/t and copper grades 7%, with the more
important intervals shown in the table below.
Length m Cu % Au g/t
Trench #8 21.4 1.40 3.30
Trench #32 20.6 0.97 0.76
Trench #33 30.0 1.70 2.00
Cut #1 6.0 1.29 0.90
Cut #2 19.2 1.28 1.32
Cut #3 2.5 0.75 0.59
Commenting on the latest exploration results, Mark Jones, Aurum's Chief
Executive, said: 'These new results are incredibly exciting and show that Aurum
has another great opportunity to expand its resource base. The close proximity
to the proposed mine at Zone 1 will allow future resource increases at
Tokhtonysay to extend mine life and production rates when mining begins,
expected in 2008.
'We will commence a drilling programme next year at Tokhtonysay to get a better
picture of this new opportunity and work with our consultants to establish a
resource base as quickly as possible.'
For further information:
Aurum Mining plc Tel: 020 7478 9050
Mark Jones, Chief Executive
Arbuthnot Securities Tel: 020 7012 2000
Graham Swindells
Buchanan Communications Tel: 020 7466 5000
Mark Court
Notes to editors
Aurum Mining joined the AIM market of the London Stock Exchange in May 2004 with
the strategy of seeking, evaluating and acquiring gold and other mineral
extraction projects in the Former Soviet Union (FSU). In January 2005 the
Company completed its first acquisition, giving the Company an exploration
licence over the Andash gold and copper project in the Kyrgyz Republic. Mining
consultant Wardell Armstrong International has confirmed a JORC resource
estimate of 1.49 million ozs of gold and gold equivalent in Andash Zone 1 in
Measured and Indicated categories. The feasibility study for Zone 1 is scheduled
for completion by the end of this year, as is the receipt of a mining licence,
allowing production to begin in 2008. The Andash project also includes the Zone
2 and Zone 3 along with Tokhtonysay and three other additional exploration
areas.
This information is provided by RNS
The company news service from the London Stock Exchange