10th Jan 2007 07:00
Medusa Mining Limited10 January 2007 MEDUSA MINING LIMITED Co-O MINE UPDATE Medusa Mining Limited ("Medusa" or "The Company"), the Australian based companyoperating and developing gold mines in the Philippines, announces that drillinghas commenced on the Co-O Mine deeps, with rigs drilling on each side of theOriental Fault. Drilling will be undertaken systematically westwards andeastwards away from the Oriental Fault and, subject to topographic and otherconstraints, will aim to intersect the vein system at approximately the 2950metres level, which is 100 metres below the current bottom of the mine or 200metres below adit level. It is anticipated that the first results from thedrilling will be available in late February. The Company also advises that torrential monsoonal rain over the last two weeksat the Co-O Minesite caused a landslide on Monday night in the vicinity of themain Co-O adit, resulting in approximately 60,000-70,000 tonnes of materialslipping from approximately 70 metres above the adit. Some of the material hastemporarily blocked the adit entrance, cut power lines and other services to themine. No personnel were affected by the slide as all were evacuated through theTinago Shaft at the western end of the mine. It is anticipated that, with three front end loaders working around the clock,the adit will be re-opened by the end of the week and services restored soonafter. Slope stabilisation works have commenced. Continuing rain at the sitedelayed a full assessment of the situation until Tuesday afternoon as the mineaccess road was temporarily cut. The Directors consider that the delay should not materially impact on theCompany's production targets. At this stage, stockpiles which ran down over theChristmas period should keep the mill running until late this week. Geoffrey Davis, Managing Director of Medusa, commented: "The landslide is a minor setback for us which we expect to rectify fully, withall services restored within the next two weeks. The positive news is that theadditional drilling on the Co-O Mine deeps will assist us in defining thevertical extent of the vein system, thus giving us a more accurate idea of themine's depth potential." 10th January 2007 For further information, please contact: Medusa Mining Limited +61 8 9367 0601Geoffrey Davis, Managing DirectorRoy Daniel, Finance Director Ambrian Partners +44 (0)20 7776 6417Richard Brown / Richard Greenfield Bankside Consultants +44 (0)20 7367 8888Michael Padley / Daniela Hale This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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