11th Oct 2006 07:01
Avocet Mining PLC11 October 2006 Avocet Mining PLC 11 October 2006 SIGNIFICANT DRILL INTERCEPTS AT PENJOM, MALAYSIA Avocet Mining PLC ("Avocet" or "the Company") is pleased to announce continuedsignificant drilling results from its wholly owned Penjom gold mine in Malaysia.These indicate that the current resource and life of mine plan at Penjom may beincreased from the last reported numbers at 31 March 2006, which were 937,100ounces and 558,250 ounces respectively. Avocet is currently incorporating the geological and grade information from thisyear's drilling programme (details of which are outlined below) into an annualresource model update. This revised model will be completed shortly. It willform the basis of a revised mine plan that will be developed in the comingweeks. The new resource and life of mine plan will be available before December2006. Information on drill intercepts Since announcing a large increase in reserves and resources on 16 November 2005,Avocet has completed 28,065 metres of reverse circulation drilling. This is partof an ongoing programme to continue to expand the reserve base and extend themine life at Penjom. This year's programme has focused on the Manik-Janik area,south of the main Kalampong open pit, where the Company believes the merging ofthe Kalampong and Manik pits will add significantly to the reserve base. Avocethas also explored the deeper portions of the Kalampong pit. Following a reviewof these results, the Company has escalated its waste stripping programme asthis part of the pit affords relatively straight forward conversion of resourcesto reserves. Table 1 summarises the significant drill intercepts at Manik-Janik. These areoutside the current mine plan. Significant intercepts include 11m @ 19.7 g/t Aufrom 117 metres depth, 2m @ 70.3 g/t Au from 115m, 5m @ 20.8 g/t Au from 107m,10m @ 9.60 g/t Au from 60m and 7m @ 9.49 g/t Au from 37m. The dominant controlon these intercepts is the folded contact between tonalite intrusions and thesedimentary wall rock. These results and an improved understanding of thegeology will support an expansion of the resource in the southern part of thePenjom deposit. Table 2 summarises the significant intercepts that lie up to 100 metres belowthe current pit design in the Kalampong pit. These include 5m @ 27.4 g/t Au from66m, 1m @ 82.2 g/t Au from 100m, 2m @ 35.9 g/t Au from 79m and 5m @ 11.5 g/t Aufrom 61m. These results occur with a steeply-dipping NS-striking structuralcorridor. They confirm and will expand the 2005 resource model, particularly inareas of previously unsupported high-grade that were excluded from the reserve. Table 3 summarises the better drilling intercepts within the current pit design.The better results include 8m @ 48.3 g/t Au from 23 metres depth, 11m @ 28.0 g/tAu from surface, 8m @ 30.7 g/t Au from 22m and 6m @ 31.9 g/t Au from 24m.Significant widths of high-grade mineralisation such as these confirm andupgrade the model within the current mine plan; and provide confidence that thePenjom reserve will, yet again, grow above the rate of depletion. The majority of the drillholes in the current programme have been drilled at a60-70degrees angle across the structural grain of mineralisation. This hasprovided valuable geological information and ensured that the grade datacollected is an accurate reflection of the gold distribution in the ore body. Avocet is currently incorporating the geological and grade information from thisyear's drilling programme into an annual resource model update. This revisedmodel will be completed shortly. It will form the basis of a revised mine planthat will be developed over the next month. Avocet anticipates announcing thenew resource and reserve before December 2006. Jonathan Henry, Chief Executive Officer, commented: "These drilling results from Penjom provide encouragement that the trend ofexcellent resource and reserve growth achieved in the past three years willcontinue. We anticipate a significant expansion to the resource and open pitreserves at Penjom." All references to resources and exploration results have been approved forrelease by Mr Peter Flindell, BSc (Hons) MAusIMM, Chief Geologist for Avocet,who has more than 20 years experience in the field of activity concerned and isa Competent Person as defined by the JORC Code (2004). He has consented to theinclusion of the material in the form and context in which it appears. A full version of this announcement including maps is available on the Company'swebsite www.avocet.co.uk________________________________________________________________________________For further information please contact: Avocet Mining PLC Buchanan CommunicationsJonathan Henry (Chief Executive) Bobby Morse, Director020 7907 9000 Ben Willey, Associate Directorwww.avocet.co.uk Tel: 020 7466 5000 www.buchanan.uk.com Notes to Editors Avocet is a mining company listed on the AIM market of the London Stock Exchange(Ticker: AVM). The Company's principal activities are gold mining andexploration in Malaysia (as 100% owner of the Penjom mine, the country's largestgold producer), Tajikistan (as 75% owner and operator of ZGC, Tajikistan'sprincipal gold mine), and Indonesia (as 80% owner of the North Lanut gold minein North Sulawesi). The Company has a number of advanced mining and explorationprojects in Asia and owns 26% of Dynasty Gold Corporation, a Canadian listedexploration company active in Western China. Table 1: Significant drillhole intersections outside the currently designed pit at Manik-Janik, Penjom Hole East North RL Azimuth Dip Depth From To Interval Grade CommentsID (m) (m) (m) (deg) (deg) (m) (m) (m) (m) (g/t Au)JNP004 29249 49202 967 270 -65 149 102.0 108.0 6.0 4.26 incl. 1m @ 13.5 g/t Au from 103mJNP008 29409 49126 985 270 -60 143 37.0 44.0 7.0 9.49 incl. 1m @ 41.7 g/t Au from 38m; and 1m @ 17.1 g/t Au from 41m 69.0 71.0 2.0 13.8 73.0 77.0 4.0 5.75 incl. 1m @ 11.5 g/t Au from 76m 78.0 83.0 5.0 10.3 incl. 1m @ 35.4 g/t Au from 79m 96.0 102.0 6.0 7.21 incl. 1m @ 38.2 g/t Au from 97m 131.0 133.0 2.0 5.95JNP016 29327 49148 970 270 -60 200 16.0 17.0 1.0 15.2JNP018 29423 49217 966 270 -70 194 58.0 59.0 1.0 35.4JNP021 29327 49148 970 0 -90 102 25.0 26.0 1.0 10.9JNP022 29580 49388 961 270 -60 200 50.0 54.0 4.0 8.62 incl. 1m @ 22.9 g/t Au from 51m 60.0 70.0 10.0 9.60 incl. 2m @ 14.4 g/t Au from 62m; and 1m @ 38.2 g/t Au from 66mJNP025 29596 49397 961 270 -60 120 100.0 106.0 6.0 6.09 incl. 1m @ 30.0 g/t Au from 104m 107.0 112.0 5.0 20.8 incl. 3m @ 33.1 g/t Au from 108mJNP026 29598 49451 963 270 -60 200 11.0 14.0 3.0 6.10JNP029 29642 49383 961 270 -60 170 137.0 146.0 9.0 7.97 incl. 2m @ 21.0 g/t Au from 139mJNP030 29636 49352 962 270 -60 150 78.0 84.0 6.0 2.64MNP032 29647 49139 975 270 -60 137 73.0 80.0 7.0 4.88 incl. 1m @ 14.5 g/t Au from 74mMNP033 29637 49157 970 270 -70 150 57.0 64.0 7.0 9.25 incl. 2m @ 16.9 g/t Au from 57m; and 1m @ 11.1 g/t Au from 62mMNP039 29448 48784 993 270 -70 87 39.0 41.0 2.0 8.09MNP047 29346 48907 1005 270 -60 120 42.0 43.0 1.0 24.5MNP062 29697 49130 974 270 -60 180 117.0 128.0 11.0 19.7 incl. 4m @ 56.3 g/t Au from 118mMNP070 29619 49369 960 270 -60 150 76.0 82.0 6.0 3.46MNP074 29613 49462 963 270 -60 200 134.0 136.0 2.0 10.1MNP080 29665 49248 962 270 -60 160 88.0 90.0 2.0 9.97MNP084 29673 49141 978 270 -60 108 97.0 98.0 1.0 34.7 104.0 106.0 2.0 8.61 107.0 108.0 1.0 11.8MNP085 29664 49154 976 270 -60 114 87.0 89.0 2.0 21.3 incl. 1m @ 41.6 g/t Au from 88mMNP085 29664 49154 976 270 -60 114 93.0 96.0 3.0 12.1 incl. 2m @ 17.4 g/t Au from 94mMNP089 29716 49167 963 270 -60 150 105.0 108.0 3.0 11.1 incl. 1m @ 13.0 g/t Au from 105m 150 115.0 117.0 2.0 70.3MNP100 29611 49178 964 0 -90 150 36.0 38.0 2.0 16.6 incl. 1m @ 31.2 g/t Au from 36mMNP102 29665 49134 978 270 -60 156 88.0 92.0 4.0 6.39 incl. 1m @ 11.1 g/t Au from 90mMNP104 29697 49103 975 270 -65 156 118.0 122.0 4.0 14.8 incl. 1m @ 45.2 g/t Au from 120m Note: All holes are drilled from surface using conventional reverse circulation drilling techniques. Individual gold assays have a top cut of 100 g/t Au for intercept calculations. Intercepts are reported above a lower cut-off of 0.8 g/t Au and include a maximum of 0.5m of internal waste Table 2: Significant drillhole intersections beneath the currently designed pit at Kalampong, Penjom Hole East North RL Azimuth Dip Depth From To Interval Grade CommentsID (m) (m) (m) (deg) (deg) (m) (m) (m) (m) (g/t Au) KEP440 29245 50077 835 90 -70 152 93.0 96.0 3.0 4.03KEP441 29256 50060 834 90 -70 150 125.0 131.0 6.0 5.31 incl. 1m @ 19.9 g/t Au from 125mKEP444 29445 49719 901 270 -70 176 69.0 72.0 3.0 4.94KEP491 28871 50278 972 270 -70 204 88.0 89.0 1.0 15.1KEP515 29182 50082 833 90 -60 130 93.0 94.0 1.0 25.3KEP521 29525 49425 962 270 -70 150 47.0 50.0 3.0 3.47 55.0 61.0 6.0 2.35KEP523 29564 49430 963 270 -70 140 66.0 71.0 5.0 27.4 incl. 2m @ 66.4 g/t Au from 66mKEP524 29566 49430 963 225 -70 150 89.0 90.0 1.0 17.9KEP525 29541 49418 963 225 -70 150 44.0 49.0 5.0 3.36 55.0 62.0 7.0 2.80 88.0 90.0 2.0 5.26KEP530 29497 49523 944 270 -70 130 119.0 122.0 3.0 3.94KEP541 29274 49674 862 270 -70 130 61.0 66.0 5.0 11.5 incl. 2m @ 17.2 g/t Au from 64m 99.0 103.0 4.0 12.1 incl. 1m @ 43.1 g/t Au from 99mKEP542 29289 49659 860 270 -70 140 15.0 18.0 3.0 3.75 103.0 106.0 3.0 16.4 incl. 1m @ 47.0 g/t Au from 105m 110.0 112.0 2.0 5.05KEP549 29281 49739 842 270 -60 100 0.0 4.0 4.0 5.38 incl. 1m @ 11.4 g/t Au from surface 56.0 59.0 3.0 5.76KEP550 29269 49793 837 270 -60 100 51.0 53.0 2.0 7.20KEP557 29170 50143 816 360 -90 132 80.0 84.0 4.0 4.81KEP569 29134 50499 900 270 -70 120 66.0 68.0 2.0 17.9 incl. 1m @ 34.5 g/t Au from 66mKEP571 29162 50616 944 270 -60 100 53.0 56.0 3.0 11.4KEP575 29146 50643 943 0 -90 150 52.0 54.0 2.0 22.2 incl. 1m @ 39.3 g/t Au from 52mKEP577 29127 50678 942 0 -90 120 21.0 25.0 4.0 9.58 incl. 1m @ 19.5 g/t Au from 23m 79.0 81.0 2.0 35.9 incl. 1m @ 70.14 g/t Au from 79mKEP581 29105 50725 937 90 -70 140 33.0 39.0 6.0 7.26 incl. 1m @ 13.3 g/t Au from 33mKEP582 29077 50704 924 90 -70 132 48.0 52.0 4.0 4.56KEP602 29452 49570 913 270 -75 120 67.0 69.0 2.0 8.14KEP603 29467 49650 906 270 -80 174 87.0 89.0 2.0 8.53 145.0 146.0 1.0 12.6KEP604 29441 49567 913 270 -70 100 50.0 55.0 5.0 5.03 incl. 1m @ 16.8 g/t Au from 50mKEP605 29450 49621 908 270 -70 144 63.0 65.0 2.0 7.92 incl. 1m @ 13.1 g/t Au from 63mKEP607 29389 49676 870 270 -75 120 100.0 101.0 1.0 82.2 incl. 1m @ 82.2 g/t Au from 100m Note: All holes are drilled from surface using conventional reverse circulation drilling techniques. Individual gold assays have a top cut of 100 g/t Au for intercept calculations. Intercepts are reported above a lower cut-off of 0.8 g/t Au and include a maximum of 0.5m of internal waste Table 3: Significant drillhole intersections within the currently designed pit at Kalampong, Penjom Hole East North RL Azimuth Dip Depth From To Interval Grade CommentsID (m) (m) (m) (deg) (deg) (m) (m) (m) (m) (g/t Au) KEP439 29192 50186 847 90 -60 158 23.0 31.0 8.0 48.3 incl. 3m @ 37.2 g/t Au from 23m; and 3m @ 88.8 g/t Au from 27mKEP442 29274 50115 870 35 -90 160 15.0 23.0 8.0 8.03 incl. 2m @ 24.4 g/t Au from 16m 118.0 120.0 2.0 50.5 incl. 1m @ 153 g/t Au from 118mKEP443 29261 50128 871 270 -80 158 22.0 27.0 5.0 10.2 incl. 2m @ 22.5 g/t Au from 22m 103.0 110.0 7.0 5.52 incl. 1m @ 13.7 g/t Au from 108m 112.0 117.0 5.0 7.27 incl. 1m @ 24.0 g/t Au from 113m 121.0 123.0 2.0 5.94KEP496 28918 50165 971 270 -80 200 5.0 7.0 2.0 21.0 incl. 1m @ 41.0 g/t Au from 5m 22.0 25.0 3.0 8.78KEP497 29163 50092 840 90 -70 150 42.0 45.0 3.0 24.7 incl. 1m @ 65.7 g/t Au from 43mKEP498 29225 50112 838 90 -60 130 66.0 70.0 4.0 21.4 incl. 3m @ 27.5 g/t Au from 66mKEP499 29162 50115 839 90 -70 138 24.0 30.0 6.0 31.9 incl. 1m @ 118 g/t Au from 25m; and 1m @ 27.5 g/t Au from 29mKEP510 29082 50215 870 90 -70 180 5.0 9.0 4.0 2.59 153.0 158.0 5.0 17.4 incl. 5m @ 17.4 g/t Au from 153mKEP514 29276 49939 822 0 -90 150 14.0 19.0 5.0 20.8KEP515 29182 50082 833 90 -60 130 22.0 30.0 8.0 30.7 incl. 3m @ 74.0 g/t Au from 22m 32.0 35.0 3.0 16.4 incl. 1m @ 31.5 g/t Au from 34m 52.0 55.0 3.0 12.4 incl. 1m @ 24.3 g/t Au from 52mKEP517 29300 49956 822 270 -70 150 20.0 23.0 3.0 17.3 incl. 1m @ 43.2 g/t Au from 20m 62.0 63.0 1.0 15.3KEP546 29173 50146 817 90 -70 138 52.0 54.0 2.0 25.1 incl. 1m @ 32.6 g/t Au from 52m 57.0 60.0 3.0 17.9 incl. 1m @ 40.5 g/t Au from 57m 64.0 66.0 2.0 22.5 incl. 1m @ 40.9 g/t Au from 64mKEP547 29203 50096 816 90 -60 130 63.0 67.0 4.0 10.9 incl. 1m @ 27.1 g/t Au from 63m 71.0 75.0 4.0 4.72KEP548 29217 50056 816 0 -90 90 0.0 9.0 9.0 3.41 incl. 1m @ 10.1 g/t Au from 6m 15.0 16.0 1.0 28.5 24.0 27.0 3.0 3.75KEP552 29222 49881 834 180 -60 72 15.0 17.0 2.0 6.93KEP553 29229 49863 835 180 -60 100 7.0 10.0 3.0 9.34 incl. 1m @ 16.1 g/t Au from 8mKEP554 29230 49915 827 180 -60 71 3.0 4.0 1.0 25.3 30.0 32.0 2.0 6.53KEP555 29180 50127 816 90 -70 180 0.0 6.0 6.0 10.6 incl. 1m @ 15.5 g/t Au from 3m 9.0 13.0 4.0 4.47 65.0 68.0 3.0 3.63 79.0 81.0 2.0 7.25KEP556 29172 50121 816 360 -90 150 0.0 11.0 11.0 28.0 incl. 2m @ 40.0 g/t Au from surface; and 4m @ 55.6 g/t Au from 4m 15.0 19.0 4.0 7.59 incl. 1m @ 22.8 g/t Au from 16m 20.0 24.0 4.0 2.97KEP558 29246 49923 813 270 -60 100 0.0 2.0 2.0 12.2 incl. 1m @ 21.0 g/t Au from surfaceKEP559 29192 50111 816 180 -60 162 0.0 3.0 3.0 5.64 incl. 1m @ 10.1 g/t Au from surface 67.0 69.0 2.0 11.2KEP608 29404 49738 870 270 -75 156 25.0 26.0 1.0 12.6 Note: All holes are drilled from surface using conventional reverse circulation drilling techniques. Individual gold assays have a top cut of 100 g/t Au for intercept calculations. Intercepts are reported above a lower cut-off of 0.8 g/t Au and include a maximum of 0.5m of internal waste This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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