17th Jul 2008 09:14
|
AIM: CLF |
Cluff Gold plc
(''Cluff Gold'' or the ''Company'')
Grant of Mining Lease, Baomahun Gold Project ''Baomahun'', Sierra Leone
Cluff Gold Plc, the West African focused gold mining company, announces the grant of a twenty five year mining lease for Baomahun and continued encouraging drilling results.
Highlights:
Baomahun: (60% effective ownership)
Twenty five year Mining Lease granted to Baomahun Gold Limited a (60%) subsidiary of Cluff Gold.
The Company is finalising the acquisition of 40% of the Baomahun Project and remaining exploration licences as previously announced on 27th February 2008.
Diamond drilling results include:
DDH208 intersected 10 metres grading 12.28 g/t Au from 117 metres
DDH 214 intersected 25 metres grading 4.29 g/t Au from 152 metres
DDH 228A intersected 20 metres grading 2.95 g/t Au from 257 metres and 48 metres grading 5.52 g/t Au from 422 metres (including 29 metres of 8.04 g/t Au from 422 metresThe deepest hole drilled to date at Baomahun, DDH 228A at a vertical depth of about 300 metres below surface, demonstrates the significant potential for underground mining at Baomahun
More assays results at greater depths are expected before the next resource update is undertaken
Douglas Chikohora, Technical Director of Cluff Gold commented "We are very pleased to have been granted a 25 year Mining Lease at Baomahun.. This marks a significant milestone for the Company in the development of the Baomahun Project where a pre-feasibility study is currently underway and a bankable feasibility study is planned by the end of 2009. Our deepest hole to date indicates that the gold mineralisation continues strongly at depth in terms of grade and thickness with excellent potential for future underground development at Baomahun"
Baomahun Gold Project, Sierra Leone:
The application for a mining lease for Baomahun Gold Limited has been granted by the government. The Lease is valid for twenty five years. In addition assay results continue to confirm expectations with strong mineralization being intersected at depths below three hundred and fifty metres. The continued high grade mineralization at depth gives possible underground development options at the Baomahun Project.
Another resource update for the project will be prepared in September 2008 incorporating the assay results from 55 holes which are outside the current resource as announced by the Company on 25th June 2008. Below is a table with some of the drill intersections which have not been previously announced by the Company.
|
Hole ID |
Dip(0) |
Azimuth (0) |
Intercept (g/t Au) |
From (m) |
Zone |
Comments |
|
DDH198 |
45 |
252 |
2m @ 1.14g/t |
81 |
Fold Area |
|
|
DDH198 |
|
|
2m @ 2.88g/t |
106 |
|
|
|
DDH199 |
45 |
72 |
5m @ 1.27g/t |
57 |
Fold Area |
|
|
DDH202 |
45 |
252 |
10m @ 1.76g/t |
237 |
Fold Area |
includes 3m @4.29g/t from 237m |
|
DDH203 |
46 |
72 |
5m @ 2.16g/t |
290 |
Western Zone |
|
|
|
|
|
3m @ 1.50g/t |
298 |
|
|
|
|
|
|
2m @ 1.34g/t |
313 |
|
|
|
|
|
|
6m @ 1.64/t |
318 |
|
|
|
|
|
|
2m @ 2.84/t |
417 |
|
|
|
DDH206A |
60 |
252 |
3m @ 3.17g/t |
176 |
Fold Area |
|
|
DDH207 |
45 |
252 |
2m @ 1.22g/t |
40 |
Western Zone |
|
|
DDH208 |
45 |
252 |
7m @ 2.19g/t |
51 |
Central Zone |
|
|
|
|
|
10m @ 12.28g/t |
117 |
|
includes 4m @ 17.88g/t from 122m |
|
DDH211 |
45 |
72 |
10m @ 5.06 |
105 |
Parallel to Central Zone |
|
|
DDH213 |
45 |
72 |
4m @6.09g/t |
60 |
Central Zone |
|
|
|
|
|
13m @2.74g/t |
60 |
|
|
|
|
|
|
2m @2.05g/t |
67 |
|
|
|
|
|
|
2m @2.76g/t |
71 |
|
|
|
DDH214 |
45 |
72 |
9m @ 1.61g/t |
62 |
Central Zone |
includes 2m @5.04g/t from 62m |
|
|
|
|
25m @ 4.29g/t |
79 |
|
includes 17m @5.23g/t from 80m |
|
DDH215 |
45 |
72 |
3m @ 1.67g/t |
27 |
Central Zone |
|
|
DDH216 |
45 |
252 |
2m @ 2.22g/t |
36 |
Central Zone |
|
|
|
|
|
13m @ 1.06g/t |
75 |
|
|
|
|
|
|
2m @ 4.31g/t |
131 |
|
includes 1m @7.80g/t |
|
|
|
|
13m @ 4.49g/t |
152 |
|
includes 2m @13.03g/t |
|
DDH217 |
45 |
252 |
2m @ 2.36g/t |
138 |
Central Zone |
|
|
|
|
|
2m @ 1.43g/t |
177 |
|
|
|
|
|
|
2m @ 1.02g/t |
198 |
|
|
|
DDH218 |
45 |
252 |
4m @4.03g/t |
209 |
Central Zone |
includes 2m @7.28g/t |
|
DDH219 |
58 |
207 |
2m @ 2.36g/t |
138 |
Central Zone |
|
|
DDH224 |
45 |
252 |
4m @ 1.07g/t |
0 |
Central Zone |
|
|
|
|
|
7m @ 1.06g/t |
6 |
|
|
|
|
|
|
6m @ 6.54g/t |
76 |
|
includes 3m @10.25g/t from 77m |
|
|
|
|
6m @ 1.21g/t |
105 |
|
|
|
DDH226 |
45 |
252 |
10m @1.54g/t |
43 |
|
|
|
DDH226 |
|
|
5m @5.22g/t |
138 |
|
|
|
DDH226 |
|
|
9m @2.60g/t |
165 |
|
|
|
DDH227 |
58 |
247 |
3m @ 1.02g/t |
188 |
Central Zone |
|
|
DDH228A |
72 |
207 |
20m @ 2.95g/t |
357 |
Eastern Zone |
|
|
|
|
|
48m @ 5.52g/t |
422 |
|
includes 29m @ 8.04g/t from 422 |
|
|
|
|
|
455 |
|
|
|
DDH229 |
60 |
252 |
4m @ 1.05g/t |
52 |
Central Zone |
|
|
|
|
|
5m @ 1.67g/t |
87 |
|
|
|
DDH231 |
60 |
240 |
3m @ 1.24g/t |
39 |
Western Zone |
|
|
|
|
|
11m @ 1.72g/t |
76 |
|
|
|
|
|
|
11m @ 1.68g/t |
80 |
|
|
|
|
|
|
20m @ 3.21g/t |
125 |
|
includes 5m @ 6.53 from 132m |
|
DDH233 |
60 |
252 |
4m @ 2.13g/t |
13 |
Western Zone |
includes 1m @ 4.99 from 16m |
|
|
|
|
3m @ 1.06g/t |
34 |
|
|
|
|
|
|
5m @ 1.12g/t |
56 |
|
|
|
|
|
|
10m @ 1.47g/t |
66 |
|
|
|
|
|
|
4m @ 3.11g/t |
96 |
|
|
|
DDH235 |
60 |
252 |
3m @ 1.02g/t |
38 |
Western Zone |
|
|
DDH236 |
45 |
207 |
10m @ 2.00g/t |
59 |
Central Zone |
includes 3m @ 4.58 from 60m |
|
|
|
|
6m @ 1.01g/t |
130 |
|
|
|
|
|
|
2m @ 1.07g/t |
155 |
|
|
|
|
|
|
2m @ 1.07g/t |
198 |
|
|
|
|
|
|
10m @ 2.49g/t |
206 |
|
|
|
|
|
|
5m @ 5.41g/t |
222 |
|
|
|
DDH237 |
60 |
252 |
7m @ 1.49g/t |
72 |
|
|
|
DDH240* |
45 |
72 |
7m @ 2.21g/t |
3 |
Fold Area |
|
|
|
|
|
2m @ 1.72g/t |
14 |
|
|
|
|
|
|
2m @ 1.39g/t |
134 |
|
|
|
DDH241* |
45 |
162 |
10m @ 2.71g/t |
128 |
Western Zone |
|
|
DDH242* |
45 |
162 |
3m @ 1.35g/t |
99 |
Fold Area |
|
|
|
|
|
4m @ 6.61g/t |
155 |
|
|
|
|
|
|
11m @ 2.72g/t |
193 |
|
includes 3m @ 7.97 from 198m |
|
DDH246* |
45 |
72 |
6m @ 1.95g/t |
18 |
Western Zone |
|
|
|
|
|
2m @ 1.92g/t |
177 |
|
|
|
|
|
|
6m @ 1.05g/t |
185 |
|
|
|
DDH247* |
45 |
72 |
2m @ 1.07g/t |
14 |
Western Zone |
|
|
|
|
|
3m @ 6.8g/t |
212 |
|
|
|
|
|
|
5m @ 1.17g/t |
218 |
|
|
* Part of the 55 holes currently outside the resource update announced on 25th June 2008.
Douglas D Chikohora has reviewed and approved the information contained in this announcement. Douglas D Chikohora, Msc, MIMMM, CEng, is Technical Director of the Company.
For further information, please contact:
|
Cluff Gold plc J.G. Cluff / Douglas Chikohora Chairman / Technical Director Tel: +44 (0) 20 7340 9790 |
WH Ireland Limited David Youngman Tel: +44 161 832 2174 |
Farm Street Communications
Simon Robinson
Tel: +44 (0) 7887985671
Notes to Editors:
About Cluff Gold
Cluff Gold plc is focused on the identification, acquisition and development of gold deposits in West Africa that are amenable to open-pit mining and low cost production techniques.
The Company has made significant progress since its admission to AIM in December 2004, increasing gold resources across its projects, expanding the project portfolio and broadening the investor base to an increasingly international audience.
Mt. Yaoure, Cote d'Ivoire
The Mt. Yaoure permit is located 40km northwest of Yamoussoukro, the political capital of Cote d'Ivoire, and covers a surface area of 417km(2) including a 50 km2 mining permit. The licence area includes the Angovia gold mine which operated between 1998 and 2003. The mine reportedly produced over 180,000 ounces of gold during this period by heap leaching some 2 million tonnes of oxide material. The infrastructure in the area is good and includes a hydroelectric dam six kilometres from the Angovia mine site. A measured and indicated JORC resource of 451 000 ounces of gold and an inferred JORC resource of 44 000 ounces of gold has so far been delineated.
Recently, the company announced the commencement of gold production at Angovia at an annualized rate of 40 000 ounces of gold.
Kalsaka, Burkina Faso
Kalsaka is located approximately 150km north west of Ouagadougou, the capital of Burkina Faso. A measured and indicated JORC resource of 634 000 ounces of gold and inferred JORC resource of 157 000 ounces of gold has been delineated so far. The resource has been demonstrated, by a feasibility study, to be technically amenable to open-pit mining and processing via heap leaching. Water, environmental and mining permits for the project have been granted. The mining permit is valid for twenty years.
Construction has commenced at Kalsaka and commissioning is expected to commence in Q3, 2008 with production estimated to reach 60 000 ounces on an annualized rate.
Baomahun, Sierra Leone.
The Baomahun Gold Project covers an area of about 137 km2 and is located about 180 kilometres east of Freetown, in the Southern Province of Sierra Leone. The geological setting is similar to the Lake Victoria goldfields in Tanzania.
Cluff Gold has recently entered into a conditional agreement, with the owner of Baomahun, Winston Mines Limited, to acquire from Mr. Winston the 40 per cent interest in the project which it does not own. The consideration for the acquisition will be US$21.8 million which will be satisfied by the issue of approximately 12.4 million shares in the Company. The acquisition is conditional, inter alia, on the approval of the recent application for a Mining Lease at Baomahun. An indicated and measured JORC resource of 867 000 ounces and inferred JORC resource of 486 000 ounces has so far been delineated at Baomahun, though more than 70% of the defined mineralised zone is yet to be drilled.
A Full Technical Glossary can be found on the company website at:
http://www.cluffgold.com/pages/projects_glossary.asp
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