4th Mar 2008 09:25
Condor Resources PLC04 March 2008 4 March 2008 Condor Resources plc (''Condor'' or ''the Company'') High Grade Assays Returned from Sampling in Nicaragua Condor Resources Plc (AIM: CNR) announces a number of encouraging goldintersections from exploratory trench and historical mine adit sampling in thearea surrounding its Arras Prospect in Nicaragua, where a number of promisingnew prospects have been identified from the initial results. Highlights Significant assay results returned from trench and channel chip samplinginclude: €4 metres at 7.82g/t gold in an old adit from channel sample POTN001 €7 metres at 6.64g/t gold in an old adit channel sample POTN003 €1 metre at 5.13g/t gold in an old adit from channel sample POTN004 €1 metre at 7.95g/t gold in trench POTR006 €2 metres at 15.42g/t gold in trench POTR007 €0.85 metres (true thickness) at 7.99g/t gold in a road cutting channel sample POCT001A €8 metres at 3.43g/t gold in trench SATR036 (NB: true thickness approx. 2 metres) €1 metre at 3.02g/t gold and 1 metre at 6.00g/t gold separated by 2 metres of low-grade material in trench SATR038 Condor Chief Executive, Nigel Ferguson, commented "We are pleased with progressto date and hopeful of further significant discoveries within this wellmineralised project area. The project is considered by Condor as highlyprospective for multiple low tonnage, high grade mineralised structures. TheCompany has now completed 2,728 metres of trenching on the Arras area, alongwith 1,748 metres of drilling, and is about to embark on another 1,300 metres ofdrilling and 1,000 metres of trenching. Only a small proportion of the knowngold mineralised rock chip occurrences have been tested by trenching or mineadit sampling to date. The indication of high grade and already apparentsignificant strike continuity to gold mineralisation, suggests that continuationof the programme should result in several more high grade discoveries." Background Rock chip sampling of outcropping quartz veins and dumps at the entrances tohistorical mine adits and sample pits undertaken by the Company over the lasttwo years have identified over one hundred sites containing material gradingmore than 1g/t gold on the contiguous San Albino-Murra and Potrerillosconcessions. These gold occurrences are spread over several mineralised zonescovering a total area of approximately fifteen kilometres by two kilometres. A number of promising new prospects within a four kilometre radius of the ArrasProspect have been identified from the initial results of an ongoing trench andhistorical mine adit sampling programme. This programme is designed to test allthe high-grade rock chip gold occurrences for width and strike continuity. TheArras Prospect, which was discovered through rock chip sampling and follow-uptrenching, has already returned significant drilling intersections in the firstround of drilling (RNS "High Grade Results from Maiden Drilling at the SegoviaProject, Nicaragua" dated 18th December 2007). A second phase of reversecirculation drilling is planned to start in the first week of March which willtest gold mineralisation up to 100 metres down-dip and a resource estimation isplanned to follow in March 2008. Five separate prospects have been identified with significant mineralisation inthe initial trenches or in mine adit sampling (Tables 1 and 2). The mostadvanced of these prospects is El Tambo where channel sampling the walls of twohistorical adits has revealed mineralisation of up to 7 metres at 6.64g/t goldwith continuity in mineralisation over a strike length of 100 metres (Table 1).The gold mineralisation is open along strike in both directions and has asimilar structural trend to the Company's Arras Prospect, which is situatedapproximately one kilometre to the south. Table 1: Significant Phase 1 adit sampling results from San Albino Licence,within the Segovia Prospect area. Length Weighted Average Intercepts calculatedusing 0.5g/t gold lower cut and allowing 1 metre internal waste. No top cut. Theinclusion of internal waste in measurements has the effect of reducing the goldgrade per tonne and providing an indicative gold grade more applicable to bulktonnage recovery. Trench ID From (m) To (m) Width (m) Gold Grade (g/t) ProspectPOTN001 0 4 4 7.82 San AntonioPOTN003 0 7 7 6.64 El TamboPOTN004 46 47 1 5.13 El Tambo Table 2: Significant Phase 1 Trench Results from San Albino Licence, within theSegovia Prospect area. Length Weighted Average Intercepts calculated using 0.5g/t gold lower cut and allowing 1 metre internal waste. No top cut. The inclusionof internal waste in measurements has the effect of reducing the gold grade pertonne and providing an indicative gold grade more applicable to bulk tonnage recovery. Trench ID From (m) To (m) Width (m) Gold Grade (g/t) ProspectPOTR006 9 10 1 1.77 Piedras Negras 14 15 1 1.2 17 18 1 7.95POTR007 6 7 1 1.09 Piedras Negras 14 16 2 2.76 20 22 2 15.42POCT001A 2.1 2.95 0.85 7.99 PotrerillosPOTR009 20 21 1 1.10 PotrerillosSATR036 22 30 8 3.43 Las ConchitasSATR038 13 14 1 3.02 Las Conchitas 16 17 1 6.00 Gold mineralisation in the San Albino area occurs in sulphide-bearing quartzveins and veinlets in shallow to moderately dipping deformation zones within athick package of quartz-mica-graphite schist. Qualified Person's Declaration The information in this announcement that relates to Exploration Results isbased on information compiled by and reviewed by Nigel Ferguson, CEO, who is aMember of the Australian Institute of Mining and Metallurgy and a geologist withover 23 years of experience in the exploration and definition of precious andbase metal Mineral Resources and has sufficient experience that is relevant tothe style of mineralization and type of deposit under consideration and to thetype of activity which he is undertaking to qualify as a Qualified Person asdefined in the March 2006 Edition of the AIM Guidance Note for Mining, Oil andGas Companies. He consents to the inclusion in the report of the matters basedon his information in the form and context in which they appear and confirmsthat this information is accurate and not false or misleading. - Ends - Enquiries: Condor Resources Plc Mark Child, Chairman Nigel Ferguson, CEO +44 20 7408 1067 +44 20 7808 7222Nabarro Wells & Co. Limited Hugh Oram Robert Lo +44 20 7710 7400 +44 20 7710 7407Mirabaud Securities Limited Rory Scott +44 20 7878 3360Parkgreen Communications Simon Robinson Erica Nelson +44 20 7851 7480 +44 20 7851 7480 Chain of Custody Condor enforces a strict chain of custody, with all field samples beingcollected under the supervision of a qualified senior geologist. Samples aresealed in larger bags and kept under lock and key until being delivered to CASLaboratories, Honduras for completion of final assay determinations. A total of10% of samples returning significant assay results have their pulps forwarded toBSI Inspectorate Laboratories, in Sparks, Nevada, USA for repeat assaydeterminations as part of the Company's QAQC procedure. Resource Calculation Notes The reported tonnages and grades are in accordance with the guidelines andrecommendations of the JORC Code. Drill results are from both RC and diamonddrilling. Drill sample and trench sample assay determinations were carried outby BSI Inspectorate of Nevada, USA. Gold determinations were by Fire Assay 30gwith Atomic Absorption finish; silver determinations were by wet chemical methodwith an Atomic Absorption finish. Modelling was completed using Surpac Vision5.2D Mining Software. Domaining was performed based on geologicalinterpretations and gold grade (0.4g/t gold bottom cut-off). Only mineralizationthat showed continuity along strike of more than 2 sections was domained. Silverresults were analysed on the basis of the wireframes created to domain goldsamples. Ordinary Kriging was considered an appropriate method of estimation forthe dataset. Ordinary Kriging estimates were made for gold and silver, withvisual inspections of the grade estimate along with statistical analysis used tovalidate the block model. About Condor Resources Plc: Condor Resources Plc was admitted to AIM on 31st May 2006 raising £4.9m. Condoris a mineral exploration company focused on El Salvador and Nicaragua. TheCompany has 100% ownership of four licenses in two project areas in El Salvador.It withdrew from the El Potosi project in 2007. Condor also has four 100% ownedlicences and the option to earn an 80% interest in a further four licencescontained within four project areas in Nicaragua. An independent competent person's report prepared by Ravensgate and included inthe Company's Admission Document combined with a subsequent mineral resourcecalculation statement in December 2006 reported Inferred Mineral Resources, asdefined by the JORC Code standard of some 467,104 oz gold and 18.4Moz silverwithin two project areas in El Salvador. In January 2008 an independentcompetent person's report prepared by Geosure on a mineral resource calculationof 39,000 oz gold and 1.7 Moz silver at the El Gigante prospect raised thecombined global resource estimates to some 506,104 oz gold and 20.1 Moz silverwithin two project areas. In February 2008 an independent competent person'sreport prepared by Geosure on a mineral resource calculation of 312,800 oz goldand 275,900 oz silver at the La Calera prospect and 40,700 oz gold and 2.1 Mozsilver oxide material at the El Divisidero prospect, has raised the combinedglobal resource estimates as defined by JORC Code standards to some 747,000 ozgold and 22.3 Moz silver within two project areas. The Company's objective is to prove up significant gold and silver resources ofbetween 1 to 2 million ounces of gold and 30 to 50 million ounces of silver toJORC reportable standards by the 31st May 2008. The Company intends to continueto drill test targets within its Project areas as required by each prospect.Drilling is expected to commence in El Salvador upon granting of the necessaryEnvironmental Permits by the Ministry of Environment. Drilling currentlycontinues with two drill rigs on two projects areas in Nicaragua. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Condor Gold