29th Apr 2008 12:49
Centamin Egypt Limited29 April 2008 Centamin Egypt Limited ("Centamin" or "the Company") Quarterly Report for the Quarter Ended 31 March 2008 Highlights * Sukari mineral resource upgraded to 8.12 million ounces of gold Measured and Indicated, plus 3.5 million ounces of gold Inferred at 0.5 g/t cut off grade * Measured and Indicated resources account for 70% of the total resource * An increase of 660,000oz Measured and Indicated ounces above the mineral resource announced in December 2007 * Amun Deeps discovery continues to add significant high grade ounces * 22,430m of drilling completed during the quarter * Follow up regional exploration drilling at Kurdeman returned significant assay results * Appointment of Underground Mine Manager * Process plant site civil works complete using owner mining fleet * Process plant refurbishment commences on site * Initial concrete poured in process plant site area * Sea water pipeline commenced * Tailings storage facility (TSF) earth works commence * Drilling continues with 8 rigs on site * Employees and contractors exceed 600 * Significant intersections received for the quarter include: Amun Deeps (9900N - 10700N) - D1280 - 35m @ 164.09g/t Au (including 1m @ 5,420g/t Au) - D1328 - 19m @ 8.03g/t Au and 72m @ 2.36g/t Au - D1308 - 11m @ 12.90g/t Au - D1307 - 19m @ 5.31g/t Au - D1298 - 19m @ 3.73g/t Au - D1295 - 16m @ 3.44g/t Au - D1301 - 51m @ 2.04g/t Au - D1306 - 86m @ 1.91g/t Au Kurdeman Prospect - KRC007 - 17m @ 3.81g/t Au - KRC011 - 8m @ 7.76g/t Au - KRC014 - 2m @ 26.59g/t Au - KRC015 - 2m @ 34.69g/t Au RESOURCE ESTIMATION AND DRILLING PROGRAMME In the March quarter, the Sukari Mineral Resource was upgraded to 8.12 MozMeasured and Indicated, plus 3.5 Moz Inferred at a 0.5g/t cut off grade. TheMeasured and Indicated Mineral Resource has increased by 660,000 oz,approximately 9% to 8.12 Moz from 7.46 Moz (19 December 2007) showing theeffectiveness of the infill drilling programme (Table 1). Measured and Indicatedresources account for 70% of total resource. Resource growth at Sukari occurredwithin the Amun Deeps from 9900N to 10700N, testing the Hapi Zone and deeper,sub-parallel mineralized structures. Table 1 - March 2008 Resource Calculation Measured Indicated Total Inferred (Measured + Indicated) Cut-off Tonnes Grade Tonnes Grade Tonnes Grade Gold Tonnes Grade Gold g/t Au (Mt) (g/t Au) (Mt) (g/t Au) (Mt) (g/t Au) (Moz) (Mt) (g/t Au) (Moz) 0.50 63.85 1.43 107.84 1.50 171.69 1.47 8.12 63.2 1.7 3.5 0.70 46.12 1.75 78.99 1.82 125.11 1.80 7.23 46.7 2.1 3.2 1.00 29.94 2.24 52.19 2.33 82.13 2.30 6.07 31.8 2.7 2.8 Note to Table: Figures in table may not add correctly due to rounding Figure 1 - Resource growth at Sukari from April 1997 to March 2008 http://www.rns-pdf.londonstockexchange.com/rns/3452t_1-2008-4-29.pdf The resources are estimates of recoverable tonnes and grades using MultipleIndicator Kriging ("MIK") with block support correction. Typically, measuredresources lie in areas where drilling is available at a nominal 25 x 25 metrespacing, indicated resources occur in areas drilled at approximately 25 x 50metre spacing and inferred resources exist in areas of broader spaced drilling.The resource model extends from 9700mN to 12200mN and to an approximate depth of350mRL (approximately a maximum depth of 950 metres below the crest of theSukari hill) and is based on all assay data available at 30 March 2008. Thesampling from an additional 21,000 metres of drilling (primarily diamond drillcore) has been added to the resource sampling data set used in the new mineralresource estimate. DRILLING PROGRAMME The drilling programme during the quarter was concentrated in the Amun Deepsarea, testing down dip extensions of the Hapi and deeper, sub-parallelmineralisation zones at depth. This resulted in added resource ounces down dipof the current geological data, infilling resource block and geological datagaps at and beneath the pit margins and increased the understanding of themineralization trends. Planned drilling will continue to infill and step-out to test the extension ofthe Hapi Zone and related structures in the Amun Deeps Zone to 11200N. Drillingwill re-commence in the Ra/Gazelle and Pharaoh Zones north of 11200N wheremineralization is open and requires infill to fully define the Hapi Zone andrelated high grade structures. Amun Deeps (9900 - 10700N) The Amun Deeps system has been intersected over 700m along strike from 9950N,drilling continues to define the extent of the mineralization. Several holesreturned strong assays over significant widths (Table 2); most have visible goldin the high grade Hapi Zone quartz veins, strongly disrupted geological contactsand areas of higher intensity arsenopyrite and pyrite mineralisation. Figure 2 - Long section of Sukari showing the high grade mineralized structures (Main and Hapi Zone) and highlighting the drill intercepts through the Amun Deeps. http://www.rns-pdf.londonstockexchange.com/rns/3452t_2-2008-4-29.pdf High grade gold intersections returned included hole D1280 at 10550N whichintersected spectacular visible gold and galena in a massive quartz vein(558-559m) within highly mineralised porphyry returning 35m @ 164.09g/t Au from550m (including 1m @ 5,420g/t Au from 558m) (figure 3), This deeper structuresits below the existing Hapi zone and correlates to 6m @ 15.21g/t Au in holeRCD521 from 542m and 22m @ 21.83g/t Au from 549m in hole RCD1221 25m to thesouth (announced 6 February 2008 and 21 November 2007 respectively). Figure 3 - Geological Section 10550N and hole D1280 http://www.rns-pdf.londonstockexchange.com/rns/3452t_3-2008-4-29.pdf Infill hole D1328 on section 10125N, intersected a thick unit of moderate tostrongly mineralised porphyry beneath the high grade hanging wall contact shearzone, with very high grades associated with semi massive patches of arsenopyriteand pyrite sulphide (19m @ 8.03g/t Au from 292m; including 7m @ 20.58g/t Au from296m*). The Hapi Zone was characterised by a core high grade zone of 4m @ 9.25g/t Au from 335m, within a larger mineralised zone of 72m @ 2.36g/t Au* from317m. Mineralisation was weaker down hole, until a consistent zone of averagegrade gold near the footwall contact of 24m @ 1.44g/t Au from 461m, in a moresericite altered, fractured and sulphide veined zone of porphyry. The holedefined the steep western contact of the Amun Deeps zone of porphyry beneath thepreviously known footwall to the main porphyry, highlighting the blocky, faultednature of the Amun Deeps porphyry unit. Hole D1301 on section 10375N intersected, including 31m @ 2.84g/t Au* from 306min the Hapi Zone near the hanging wall contact, also strong mineralisation atthe footwall zone intersected 51m @ 2.04g/t Au* from 404m. D1307 on 10400N, 25metres to the north returned 19m @ 5.31g/t Au* from 422m through the down dipextension of the Hapi Zone. At the southern end of the Amun Deeps Zone, on section 9950N hole D1308intersected a thick continuous zone of porphyry with strong mineralisation atthe footwall zone returning 11m @ 12.90g/t Au* from 419m. On section 10025N holeD1306 returned 86m @ 1.91g/t Au * from 390m (incl. 2m @ 18.55g/t Au from 401m). Notes: * Denotes assay intersections previously announced on 08 April 2008. Ra - Gazelle Zone - 10700N - 11200N Drilling recommenced in early April, no drilling activity was undertaken in theRa - Gazelle Zone during the quarter. REGIONAL EXPLORATION Regional and near mine exploration continued, drilling at Kurdeman and SukariNorth intersected high grade and anomalous gold mineralization resultsrespectively. Follow up drilling, detailed mapping and sampling continued atSukari North and Kurdeman (Figure 4) and it is planned to continue the regionalscale mapping and sampling geochem program in the belt from Sukari North toKurdeman in the coming quarter. Figure 4 - Regional map of prospects and the current 160km2 licence area. http://www.rns-pdf.londonstockexchange.com/rns/3452t_4-2008-4-29.pdf Kurdeman Follow up RC drilling (2,420 metres) from the successful initial 5 hole drillprogram, detailed mapping and rock chip sampling (750 samples) was completed atthe Kurdeman prospect. Drilling targeted the quartz vein - shear zone, which wasworked by ancient and colonial miners. Sixteen drill holes (not all resultsreceived) were drilled to follow up previous strong assays, trace the southernextensions of the quartz vein - shear zone in fine grained felsic volcanic rockssome 300m to the south and targeted the high grade mineralised structures in theold underground mine workings. Several significant assay results were returned,including hole KRC007 - 17m @ 3.81g/t Au from 111m, hole KRC011 - 8m @ 7.76g/tAu from 77m, KRC014 - 2m @ 26.59g/t Au from 89m and KRC015 - 2m @ 34.69g/t Aufrom 116m. See Table 2 for other significant assays received to date. Gold mineralisation in the drilling was predominantly within the fine grained,cherty felsic volcanic unit, associated with the smoky grey, recrystallisedquartz vein, fine grained pyrite dusting, carbonate-silica weak sericitealteration halo and moderate shearing. Hole KRC007 confirmed the near verticalextent of the high grade zone intersected in KRC002, indicating at least 100m ofvertical extent, for a 5 - 10m wide quartz vein-shear zone. Sukari North Assay results have been returned for the RC drilling campaign (1,530 metres) atSukari North, aimed at testing the main felsic intrusive unit in the area of theworkings and gold anomalous rock chip samples, the main mineralised structuraltrends (East to SE dipping), the rock itself, and the geological contacts withsurrounding rocks. Several zones of weak to moderate gold anomalism weredetected, associated mainly with zones of strong ankeritic alteration and quartzveining in the felsic intrusive unit, and at contacts to the surroundingsediments and mafic volcanic rocks. The drilling suggests the felsic unit isnarrow and surrounded by black shaley sediment, felsic flows, mafic andultramafic rock units and cut by several felsic and mafic dykes. Furtherregional mapping and sampling through the area is planned. Sami South No significant activity. GRADE CONTROL The new Atlas Copco L8 RC grade control drill rig was delivered andcommissioned, and training commenced. Grade control drilling continued onavailable tracks on Sukari Hill within the mine footprint, 3,196m were drilled.Gold mineralisation estimated from grade control modelling corresponds well toexpected mineralisation in the resource model; assay results highlight shalloweasterly and westerly dipping structures. UNDERGROUND MINE PLANNING During the quarter the company successfully filled the position of UndergroundMine Manager. Work has now begun on several fronts including the followingreviews: - Geology of the high grade Amun Deeps - Geotechnical - Mining method - Contract mining v Owner Operator - Capital expenditure estimates - Infrastructure preparation. It is the intention to target an initial underground mining rate of 500,000t perannum and the Company will be able to provide further guidance on the progressof the underground mining operation by mid 2008. SUKARI GOLD PROJECT (CONSTRUCTION UPDATE) The project schedule has been updated to 31 March 2008, covering all phases ofthe project. Key completion dates are listed below: Project Go-Ahead Decision Feb 2007 (Completed) Kori Kollo Plant Arrives Egypt Q4 2007 (Completed) 28MW Power Station Arrives Q4 2007 (Completed) Project Finance Q4 2007 (Completed) Project Engineering & Design Q2 2008 (Commenced) Site Civil Works Q2 2008 (Commenced) Seawater Pipeline Q3 2008 (Commenced) Tailings Storage Facility Q4 2008 (Commenced) Mining Pre-strip Q3 2008 Commissioning and Production Q1 2009 Progress pictures can be viewed on the Company's website - www.centamin.com. Kori Kollo Process Plant /28MW Isparta Power Station On 24 October 2007, the Company announced that both the Kori Kollo processingplant and the Isparta power plant had arrived safely at the Egyptian seaport ofAlexandria and their cargoes had been discharged. The dismantling of the KoriKollo processing facility in Bolivia and the Isparta 28MW power plant in Turkeywere completed in September and both sites were closed and signed off. All stafffrom Bolivia and Turkey have now relocated to Egypt to continue with thereassembly of the plants at Sukari. The Isparta power plant consisted of 24pieces of break bulk and 56 containers holding more than 900 individualpackages. The Kori Kollo processing plant comprised 270 pieces of break bulk and55 containers. Trucking of freight to the Sukari site was completed during quarter four of2007. The refurbishment program for the Kori Kollo processing plant is underway withsand blasting and undercoating of equipment progressing under the supervision ofthe Plant Maintenance Manager. Temporary workshops have been erected toaccommodate the refurbishment program. Project Engineering and Design MetPlant Engineering Services Pty Ltd, an Australian-based company havecontinued with the engineering and design work for the Process Plant. Site Works Activities completed and commenced to the end of the quarter are as follows: • Upgrading of the 10km access road to the Sukari site (completed) • Establishment of container and mine lay down and security hut complex facilities (completed) • Temporary maintenance, warehousing and fuelling facilities (completed) • Bulk earthworks for the plant site (completed) • Crushed ore stockpile reclaim tunnel (commenced) • Excavation of crusher and power plant foundations (commenced) A significant amount of rocky outcrops overlaying the plant site area have beenremoved through the utilisation of the new mining equipment which hasfacilitated in the training of owner personnel. The concrete batch plant is schedule for arrival on site during April 2008(arrived at date of writing) permitting concrete foundation for crusher, CILtanks, power plant, stockpile reclaim tunnel etc. to progress at an acceleratedpace. Due to the late arrival of the batch plant insufficient concrete waspoured during Q1 2008 which has led to the process plant commissioning dateslipping to Q1 2009. Tailings Storage Facility Knight Piesold Pty Ltd has been appointed to carry out the design andconstruction supervision of the Tailings Storage Facility. Design work iscomplete and construction of the dam commenced in quarter one 2008 with the bulkearthworks part of the program involving excavation of the embankment anddeliveries of gypsum sand to the site which will be the bedding material for theliner. Completion of the tailings dam is scheduled for quarter four 2008. Seawater Supply System Construction of the seawater pipeline commenced during the quarter with rockbreaking and road works of the pipeline schedule for completion in quarter two.Installation and welding of the HDPE pipe has commenced and is progressing wellwith just over half the pipe already installed. Pressure testing will commencein April 2008 with the overall program scheduled for completion in Q3 2008. Work on the seawater wells is due to commence in Q2 2008. The Seawater Supply System will draw in and transport raw seawater, via a stagedpumped pipeline, to the Sukari site where it will be processed through adesalination plant for end use as process plant water, mine site dustsuppression water and, after secondary processing and treatment for constructioncamp drinking water. Mining Fleet Caterpillar, through their Egyptian authorised dealer Mantrac, was selectedthrough a competitive tender as the supplier of haulage trucks, articulated dumptrucks, excavators, graders and dozers for the project. The initial mining fleetsufficient to commence mining pre-strip work will largely comprise: CAT 785C Rear Dump Trucks (5) CAT 785C Water Truck (1) O&K RH120E Excavator (1) CAT D10T Dozers (2) CAT 14H Grader (1) CAT 16M Grader (1) CAT 365 BLME Excavator (1) CAT 988G Wheel Dozers (2) H180D Rock Breaker (1) Atlas Copco has been selected to supply grade control and blast hole drillingequipment. Initial fleet selection comprises: ROC F9 Pioneer Drill (1) L8 MKII Production Drill (1) L8 MKII RC Rig (1) The majority of the initial fleet is on site and already in use for plant siteand TSF civil work. Mining pre-strip activity is scheduled to commence inquarter three of 2008. Project Finance On 23 November 2007, the Company announced that it had sold on a private basisan aggregate of 112,000,000 special warrants at a price of C$1.20 per specialwarrant for aggregate gross proceeds of C$134,400,000, which includes theexercise in full by the Underwriters of the Underwriters' option. The net proceeds of this equity financing are to be applied to fund thecontinued development of the Sukari Gold Project, underground development, otherexploration and general corporate purposes. The Sukari Gold Project is 100% fully funded through to gold productioncurrently forecast to be the first quarter of 2009. As a result the Company nolonger needs to pursue debt financing, has no debt, no hedging and at 31 March2008, had a cash balance of US$200M. SUKARI GOLD PROJECT (BACKGROUND) Centamin is a mineral exploration and development company that has been activelyexploring in Egypt since 1995. The principal asset of Centamin is its interestin the Sukari Gold Project, located in the Eastern Desert of Egypt. The SukariGold Project is at an advanced stage of development, with construction havingcommenced in quarter two of 2007 and first gold production expected during thefirst quarter of 2009. A definitive feasibility study (the "DFS") for the development to commercialproduction of the Sukari Gold Project was completed in February 2007. A summary of the findings of the DFS were: • the DFS concluded that a 4mpta plant producing on average 200,000 ounces per annum, over 15 years of mining, is economically robust; and • total Capital Construction costs are estimated at US$216m with average cash operating costs of US$290/oz (inclusive of 3% royalty) over the 15 year mining period. The Sukari Gold Project will be the first large-scale modern gold mine to bedeveloped in Egypt. Centamin's operating experience in Egypt gives it asignificant first-mover advantage in acquiring and developing other goldprojects in the prospective Arabian-Nubian Shield. The Sukari Gold Project is hosted by a large, sheeted vein-type andbrittle-ductile shear zone hosted gold deposit developed in a granitoidintrusive complex. Gold mineralization is hosted exclusively by a granitoid bodyof granodiorite - tonalite composition referred to as the Sukari Porphyry. TheCompany has entered into a Concession Agreement with the Egyptian Governmentthat provides for exploration and exploitation rights at the Sukari Gold Projectand whereby the Operating Company, owned 50% by the Company's wholly ownedsubsidiary, Pharaoh Gold Mines NL ("PGM") and 50% by Egyptian Mineral ResourceAuthority ("EMRA"), has been established. Centamin is entitled to recover all ofits exploration, operating and capital costs from operating surpluses of theoperating company. The Sukari Mining Licence covers an area of 160 km2 and is for a period of 30years, with an option for a further 30 years. The Sukari Gold Project has been scheduled for open pit mining over an initial15-year period. During that time 78 Mt ore @ 1.5 g/t Au is expected to be mined,producing 3.7 Moz gold. A further 374 Mt of waste material is also expected tobe mined resulting in a waste to ore strip ratio of 4.8:1. Ore and waste will be mined using conventional open pit mining methods. Theoperation is planned to utilize selective mining techniques to separate ore andwaste. Provision has been made for drilling and blasting all primary and oxidematerials. Ore will be hauled to the run of mine pad next to the ProcessingPlant and either direct tipped to the crusher or stockpiled for future reclaimat the 4 Mtpa Process Plant throughput rate. Mining will be progressed at an increased rate compared to processing;approximately 5 Mt of ore is expected to be mined and 4 Mt of ore will beprocessed annually. Operating at an increased mining rate allows the cut offgrade for feed to the Plant (referred to as "cutover" grade) to be increased inthe early years of the schedule. This in turn increases the metal output andproject revenue in these early years, thus increasing the discounted operatingsurplus cashflow. According to current schedules, the low-grade stockpileproduced as a result of applying a cutover grade, will be processed after mininghas ceased, extending the current operating life of the project for a furthersix years. As a result, the average milled grade during the mining period isforecast to be 1.87 g/t Au, compared to 0.66 g/t Au for the low-grade stockpile. Centamin will own and operate its mining fleet. The production fleet will bebased on 380 t class excavators and 150 t class rigid body trucks. At fullproduction, three production fleets, each comprising a single excavator andsharing a maximum of 21 trucks, will be required. The capital cost of theinitial mining fleet has been estimated by AMC at US$48.8 million. The proposed process route entails: • crushing; • stockpiling crushed ore; • grinding; • flotation of a (bulk sulphide) concentrate containing the precious metals; • thickening of the concentrate; • fine milling of the concentrate; • leaching the precious metals from the concentrate in a dilute cyanide solution; • adsorbing the precious metals onto activated carbon; • stripping the precious metals from the carbon; • recovering the precious metals as gold dore; and • placing the concentrate tailing in the tailings storage facility. Tailings from the treatment of weathered oxide ore early in the mining schedulecontain too much gold to discard. Hence, the bulk flotation tail is furthertreated by: • thickening; • leaching the precious metals into a dilute cyanide solution; • adsorbing the precious metals onto activated carbon; • stripping the precious metals from the carbon; • recovering the precious metals as gold dore; and • placing these tailings in the tailings storage facility. Process water will be drawn from the Red Sea. The seawater will be pumpedapproximately 25 km to the mine site to satisfy all Process Plant and miningrequirements. Most of the seawater will be pumped into a raw water pond locatednear the Processing Plant, whilst around 500m(3)/day will be pumped to a WaterTreatment Plant for potable and fresh water supplies. Power will be generated on site by a 28 MW power station, operated on heavy fueloil. A temporary construction camp facility will be required to cater forapproximately 500 construction employees and 20 senior staff. This is beingconstructed at the Sukari Gold Project site. On behalf of Centamin Egypt Limited Josef El-Raghy Managing Director/CEO 29th April 2008 For more information please contact: Centamin Egypt Limited Pelham Public Relations Ambrian Partners Limited + 61 (8) 9316 2640 Te l : + 44 (0) 207 743 6376 + 44 (0) 207 776 6400 Josef El-Raghy Mobile : + 44 (0) 7894 462 114 Richard Brown Candice Sgroi Information in this report which relates to exploration, geology, sampling anddrilling is based on information compiled by geologist Mr R Osman who is a fulltime employee of the Company, and is a member of the Australasian Institute ofMining and Metallurgy with more than five years experience in the fields ofactivity being reported on, and is a 'Competent Person' for this purpose and isa "Qualified Person" as defined in "National Instrument 43-101 of the CanadianSecurities Administrators". His written consent has been received by the Companyfor this information to be included in this report in the form and context whichit appears. The assay samples were analysed by Ultra Trace Pty Ltd, CanningVale, Western Australia. The information in this report that relates to mineral resources is based onwork completed by Mr Nicolas Johnson, who is a Member of the AustralianInstitute of Geoscientists. Mr Johnson is a full time employee of Hellman andSchofield Pty Ltd and has sufficient experience which is relevant to the styleof mineralisation and type of deposit under consideration and to the activitywhich he is undertaking to qualify as a "Competent Person" as defined in the2004 edition of the "Australasian Code for Reporting of Exploration Results,Mineral Resources and Ore Reserves" and is a "Qualified Person" as defined in "National Instrument 43-101 of the Canadian Securities Administrators". MrJohnson consents to the inclusion in the report of the matters based on hisinformation in the form and context in which it appears. Refer to the Technical Report which was filed in March 2007 for furtherdiscussion of the extent to which the estimate of mineral resources/reserves maybe materially affected by any known environmental, permitting, legal, title,taxation, socio-political, marketing or other relevant issue. Table 2 - Significant Intersections March 2008 Quarter HOLE NORTH EAST DIP AZI EOH FROM TO INTERVAL Gold (g/t) Sukari Resource Drilling *D1280 10550 10842.63 -82 270 726.7 430 454 24 0.93 469 517 46 2.21 incl. 471 473 2 6.47 incl. 477 478 1 5.71 incl. 500 501 1 11.30 incl. 513 516 3 5.74 550 585 35 164.09 incl. 558 559 1 5,420.00 incl. 576 578 2 49.65 D1282 10075 10646.28 -88 270 560.3 368 438 70 1.47 incl. 379 380 1 35.30 D1284 10350 10753 -85 270 587.0 363 374 11 2.98 incl. 365 366 1 6.71 incl. 368 369 1 6.72 387 392 5 1.90 427 462 35 1.58 incl. 429 430 1 6.55 incl. 435 436 1 9.09 468 494 26 1.13 incl. 480 481 1 5.03 incl. 493 494 1 8.58 D1287 10375 10525 -70 270 310.6 49 58 9 1.23 63 70 7 2.12 118 149 31 1.40 incl. 137 139 2 6.26 incl. 143 144 1 7.63 171 173 2 5.21 238 265 27 1.47 incl. 262 263 1 5.75 D1289 10150N 10725 -84 270 599.5 400 404 4 1.62 410 423 13 2.17 incl. 412 413 1 8.00 430 438 8 1.31 D1294 10225 10715 -83 270 655.5 212 214 2 1.37 355 412 57 1.72* incl. 362 363 1 9.05 incl. 365 366 1 5.15 incl. 388 389 1 6.40 427 447 20 2.04* incl. 444 446 2 6.42 489 490 1 12.20 D1295 10475 10515 -83 270 342.8 82 91 9 1.87 126 135 9 2.01 incl. 132 133 1 6.01 159 175 16 3.44* incl. 162 163 1 9.34 incl. 168 169 1 6.02 incl. 170 171 1 23.90 214 287 73 1.12 incl. 252 253 1 5.94 D1297 10412 10565 -72 255 295.5 110 114 4 1.06 153 174 21 2.02 incl. 159 161 2 9.76 incl. 171 172 1 5.67 183 190 7 1.56 196 213 17 1.47 223 235 12 2.21 incl. 225 226 1 13.70 245 265 20 3.20 incl. 246 247 1 7.51 incl. 264 265 1 35.20 D1298 10325 10700 -74 270 501.7 299 305 6 1.59 315 330 15 1.65 incl. 324 325 1 6.87 343 348 5 4.09 incl. 345 346 1 16.20 359 372 13 2.45 incl. 368 369 1 6.64 incl. 371 372 1 14.50 421 440 19 3.73* incl. 426 427 1 9.27 incl. 439 440 1 44.40 D1301 10375 10700 -78 270 636.9 280 286 6 1.83 298 300 2 1.79 306 337 31 2.84* incl. 309 311 2 9.35 incl. 323 326 3 7.49 incl. 333 334 1 14.00 370 385 15 1.06 404 455 51 2.04* incl. 419 420 1 30.60 incl. 453 455 2 11.76 D1303 10525 10547 -75 270 390.0 104 233 129 1.80 incl. 127 128 1 7.82 incl. 146 147 1 5.51 incl. 163 168 5 7.65 incl. 183 184 1 5.75 incl. 195 198 3 8.02 incl. 213 215 2 7.29 238 241 3 1.21 245 285 40 1.43 incl. 280 281 1 13.80 291 317 26 1.98 incl. 301 302 1 5.79 incl. 306 307 1 5.29 incl. 314 315 1 6.40 D1304 10300N 10831 -80 270 656.0 437 452 15 2.88 incl. 450 451 1 25.00 457 469 12 1.74 incl. 468 469 1 7.82 D1306 10025N 10612 -87 270 555.6 344 366 22 1.07 390 476 86 1.91* incl. 401 403 2 18.55 incl. 417 420 3 5.19 incl. 468 469 1 8.91 D1307 10400 10845 -80 270 469.2 391 393 2 3.03 403 410 7 1.43 422 441 19 5.31* incl. 422 424 2 9.27 incl. 429 430 1 63.50* D1308 9950N 10645 -80 270 535.4 377 379 2 6.24 398 414 16 2.29 incl. 399 400 1 5.64 419 430 11 12.90* incl. 420 421 1 119.00* D1313 10050N 10665 -88 270 606.2 408 453 45 1.07 incl. 449 450 1 9.74 D1320 10500N 10875 -82 270 710.3 459 461 2 2.44 505 507 2 11.24 553 554 1 4.08 D1321 9975N 10965 -82 270 584.8 390 393 3 1.11 413 418 5 1.07 RCD1322 10600N 10875 -82 270 708.0 454 487 33 1.63 incl. 477 478 1 9.01 incl. 481 483 2 7.13 538 539 1 5.91 569 570 1 3.40 D1328 10125N 10660 -76 270 654.4 292 311 19 8.03* incl. 296 303 7 20.58* 317 389 72 2.36* incl. 335 339 4 9.25 incl. 351 352 1 5.06 incl. 381 382 1 5.29 439 455 16 1.36 incl. 453 454 1 5.12 461 485 24 1.44 Kurdeman Prospect KRC007 2752145 671212 -60 270 150.0 111 128 17 3.81 incl. 111 112 1 9.72 incl. 118 120 2 22.39 KRC011 2751685 671180 -60 270 150.0 77 85 8 7.76 incl. 78 83 5 11.44 KRC012 2751638 671166 -60 270 150.0 58 60 2 1.43 KRC013 2752341 671102 -60 40 150.0 54 55 1 2.50 KRC014 2752307 671116 -60 40 150.0 89 91 2 26.59 KRC015 2752267 671139 -60 40 150.0 116 118 2 34.69 KRC018 2752175 671197 -60 270 150.0 52 56 4 3.25 incl. 52 53 1 8.13 Sukari North Prospect SNRC007 2765261 676731 -60 290 30.0 2 5 3 1.18 SNRC007A 2765227 676740 -60 290 150.0 11 15 4 1.18 85 86 1 3.35 SNRC008 2765259 676771 -60 290 150.0 21 27 6 0.56 incl. 25 26 1 1.34 33 38 5 0.23 Notes: (1) Intervals shown in the table are down hole intercepts, drilled at high angles relative to the internal mineralized structures and the Sukari Porphyry; true widths do not apply or are not used in drilling the stockwork style mineralization at Sukari; (2) * Denotes assay intersections previously announced on 06 February 2008 and 08 April 2008. Rule 5.3 Appendix 5B Mining exploration entity quarterly report Introduced 1/7/96. Origin : Appendix 8. Amended 1/7/98, 30/9/2001. Name of Entity Centamin Egypt Limited ABN Quarter ended ("current quarter") 86 007 700 352 31 March 2008 Consolidated statement of cash flows Centamin Egypt Limited Pharaoh Gold Mines NL (100%) Viking Resources Ltd (100%) North African Resources (100%) Centamin Limited (100%) Current Quarter Year to date Cash flows related to operating activities (9 months) $US'000 $US'0001.1 Receipts from product sales and related debtors - -1.2 Payments for (a) exploration and evaluation (3,105) (8,224) (b) development (19,271) (63,929) (c) production - - (d) administration (849) (2,727)1.3 Dividends received - -1.4 Interest and other items of a similar nature received 2,611 5,9021.5 Interest and other costs of finance paid - -1.6 Income taxes paid - -1.7 Other (provide details if material) - - Net Operating Cash Flows (20,614) (68,977) Cash flows related to investing activities 1.8 Payment for purchases of (a) prospects - - (b) equity - -investments (c) other fixed - -assets1.9 Proceeds from sale of (a) prospects - - (b) equity - -investments (c) other fixed - -assets1.10 Loans to other entities - -1.11 Loans repaid by other entities - -1.12 Other (provide details if material) - - Net investing cash flows - -1.13 Total operating and investing cash flows (carried forward) (20,614) (68,977) (20,614) (68,977) 1.13 Total operating and investment cash flows (brought forward) Cash flows related to financing activities 1.14 Proceeds from issues of shares, options, etc. 841 133,8701.15 Proceeds from sale of forfeited shares - -1.16 Proceeds from borrowings - -1.17 Repayment of borrowings - -1.18 Dividends paid - -1.19 Other (bank and financing charges) (67) (1,614) Net financing cash flows 773 132,256 Net increase (decrease) in cash held (19,841) 63,279 1.20 Cash at beginning of quarter/year to date 226,117 136,5011.21 Exchange rate adjustments to item 1.20 (6,017) 4801.22 Cash at end of quarter 200,259 200,259 Payments to directors of the entity and associates of the directors Current quarter Payments to related entities of the entity and associates of the related entities $US'000 1.23 Aggregate amount of payments to the parties included in item 1.2 297 1.24 Aggregate amount of loans to the parties included in item 1.10 - 1.25 Explanation necessary for an understanding of the transactions - Salaries, superannuation contributions, consulting and Directors fees paid to Directors during the three monthsended March 31, 2008 amounted to A$257,175 (March 31, 2007: A$253,432). - Mr S El-Raghy and Mr J El-Raghy are Directors and shareholders of El-Raghy Kriewaldt Pty Ltd ("ELK"), whichprovides office premises to the Company in Australia. All dealings with ELK are in the ordinary course of business andon normal terms and conditions. Rent paid to ELK during the three months ended March 31, 2008 amounted to A$15,601(March 31, 2007: A$13,923). - Mr S El-Raghy provides office premises to the Company in Alexandria, Egypt. All dealings are in the ordinary courseof business and on normal terms and conditions. Rent paid during the three months ended March 31, 2008 amounted to GBP1,950 (March 31, 2007: GBP 1,950). - Mr C Cowden, a non-executive director, is also a director and shareholder of Cowden Limited, which providesinsurance broking services to the Company. All dealings with Cowden Limited are in the ordinary course of business andon normal terms and conditions. Insurance premiums paid to Cowden Limited during the three months ended March 31, 2008amounted to A$34,362 (March 31, 2007: A$14,363). - Brian Speechly, a non-executive director, is also a director and shareholder of Speechly Mining Pty Ltd, a miningconsultancy company. Invoices received for payment during the three months ended March 31, 2008 amounted to A$0 (March31, 2007: A$0) Non-cash financing and investing activities 2.1 Details of financing and investing transactions which have had a materialeffect on consolidated assets and liabilities but did not involve cash flows- 2.2 Details of outlays made by other entities to establish or increase theirshare in projects in which the reporting entity has an interest- Financing facilities available Add notes as necessary fro an understanding of the position. Amount available Amount used $US'000 $US'000 3.1 Loan facilities - - 3.2 Credit standby arrangements - - Estimated cash outflows for next quarter $US'000 4.1 Exploration and evaluation 3,164 4.2 Development 45,180 Total 48,344 Reconciliation of Cash Reconciliation of cash at the end of the quarter (as shown in the Current quarter Previous quarterconsolidated statement of cash flows) to the related items in theaccounts is as follows. $US'000 $US'000 5.1 Cash on hand and at bank 2,100 1,105 5.2 Deposits at call - - 5.3 Bank overdraft - - 5.4 Term deposits 198,159 225,012 Total: cash at end of quarter (item 1.22) 200,259 226,117 Changes in interests in mining tenements Tenement reference Nature of Interest at Interest at end interest beginning of of quarter quarter (note (2))6.1 Interest in mining tenements relinquished, reduced or lapsed6.2 Interests in mining tenements acquired or increased Issued and quoted securities at end of current quarter Description includes rate of interest and any redemption or conversion rightstogether with prices and dates. Total number Number quoted Issue price per Amount paid up security per security (see note 3) (see note 3)7.1 Preference +securities (description)7.2 Changes during quarter (a) increases through issues (b) decreases through returns of capital, buy-backs, redemptions7.3 +Ordinary securities 876,804,163 876,804,1637.4 Changes during quarter (a) increases through issues/ 1,645,000 1,645,000 (see 7.9 below) (see 7.9 below) options exercise (b) decreases through returns of capital, buy-backs7.5 +Convertible debt securities (description)7.6 Changes during quarter (a) increases through issues (b) decreases through securities matured, converted7.7 Options Employee Option Exercise Price Expiry Date Plan 2002 (description and conversion 1,500,000 factor) Nil A$0.4355 08 Dec 08 250,000 Nil A$0.6566 30 Aug 09 Employee Option Plan 2006 3,085,000 2,165,000 Nil A$0.7106 31 Jan 10 1,500,000 Nil A$1.0500 24 May 10 250,000 Nil A$1.1636 25 Jun 10 Other Options Nil A$1.4034 15 Oct 10 1,670,000 Broker Warrants Nil A$0.3500 31 Oct 10 3,393,678 613,582 Nil C$0.8600 11 Apr 09 5,600,000 Nil C$0.8600 20 Apr 09 Nil C$1.2000 23 Nov 097.8 Issued during quarter Broker Warrants Number Quoted Cost per Warrant Expiry Date 5,600,000 Nil C$1.2000 23 Nov 097.9 Exercised during quarter Employee Option Number Quoted Exercise Price Expiry Date Plan 2002 300,000 300,000 A$0.2804 04 Feb 08 100,000 100,000 A$0.2804 17 Feb 08 Employee Option Plan 2006 1,080,000 165,000 1,080,000 A$0.7106 31 Jan 10 165,000 A$1.0500 24 May 107.10 Expired/lapsed during quarter Employee Option Number Quoted Exercise Price Expiry Date Plan 2006 37,500 Nil A$0.7106 31 Jan 107.11 Debentures (totals only)7.12 Unsecured notes(totals only) Compliance statement 1. This statement has been prepared under accounting policies whichcomply with accounting standards as defined in the Corporations Act or otherstandards acceptable to ASX (see note 4). 2. This statement does give a true and fair view of the mattersdisclosed. Sign here: Date: 29 April 2008 Print name: Heidi Brown Company Secretary Notes 1. The quarterly report provides a basis for informing the market howthe entity's activities have been financed for the past quarter and the effecton its cash position. An entity wanting to disclose additional information isencouraged to do so, in a note or notes attached to this report. 2. The "Nature of interest" (items 6.1 and 6.2) includes options inrespect of interests in mining tenements acquired, exercised or lapsed duringthe reporting period. If the entity is involved in a joint venture agreementand there are conditions precedent which will change its percentage interest ina mining tenement, it should disclose the change of percentage interest andconditions precedent in the list required for items 6.1 and 6.2. 3. Issued and quoted securities: The issue price and amount paid up isnot required in items 7.1 and 7.3 for fully paid securities. 4. The definitions in, and provisions of, AASB 1022: Accounting forExtractive Industries and AASB 1026: Statement of Cash Flows apply to thisreport. 5. Accounting Standards ASX will accept, for example, the use ofInternational Accounting Standards for foreign entities. If the standards useddo not address a topic, the Australian standard on that topic (if any) must becomplied with. == == == == == This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Centamin PLC