3rd Jul 2007 09:15
Norseman Gold PLC03 July 2007 Norseman Gold plc / Epic: NGL / Index: AIM / Sector: Mining & Exploration 3rd July 2007 Norseman Gold plc ("Norseman Gold" or the "Company") Publishes JORC Compliant Ore Reserve Statement for Norseman Project Norseman Gold plc, the AIM listed Australian gold production company, is pleasedto announce an updated Ore Reserve statement for its Norseman Project in WesternAustralia, which defines 1.2 million tonnes of ore at 8.0g/t gold for 333,000contained ounces gold. This Ore Reserve represents approximately 18% of theestimated Total Mineral Resource, which currently stands at 14.9 million tonnesat 4.0g/t gold for 1.9 million ounces gold. Based on current production, the resource update confirms a three year mine lifeand provides a strong base for future growth of the operation. This is againanticipated to be lengthened as further reserves are delineated. The Ore Reserve update is based on historic data available at March 2007.Significantly, no exploration drilling had been completed at the NorsemanProject since October 2006 during the process of administration. The Company hasrecommenced exploration diamond drilling and anticipates future building of theOre Reserve position as drilling continues. The Norseman Project currently operates the Bullen and Harlequin undergrounddeclines which mine high-grade quartz reef hosted gold mineralisation. Fromthese, the Company currently expects to produce approximately 24,000 ounces ofgold per quarter (circa 90,000-100,000 ounces of gold per annum) during thefinancial year ending 30 June 2008. Exploration is focused on the delineation ofadditional reserves from the current mines as well as the exploration of theextensive landholding surrounding the mining areas to initially establish athird mine. This landholding covers a total area of 687 sq km and is consideredto have excellent exploration potential. Norseman Executive Director David Steinepreis said, "This is the first stage inthe building of a significant gold resource at the Norseman Mine, which hasproduced in excess of 5.5 million ounces of gold since 1937. This is a long termoperation with targeted production of 150,000 ounces of gold per annum by 2010.By drilling out the existing mines and targeting prospective areas that havealready yielded strong results, we can increase the life of mine and theproduction potential going forward." Norseman Project Ore Reserve Update - June 2007 Minesite Proved Probable Total Tonnes Grade Contained Tonnes Grade Contained Tonnes Grade Contained g/t Ounces g/t Ounces g/t Ounces Bullen Decline 168,609 8.50 46,092 517,979 10.10 168,160 686,589 9.70 214,252Harlequin Decline 40,463 11.30 14,695 174,975 10.71 60,242 215,438 10.82 74,937Scotia Prospect 79,791 8.76 22,472 79,791 8.76 22,472Open Pit and Stockpiles 53,321 1.99 3,404 256,399 2.23 18,388 309,720 2.19 21,792 TOTAL 262,393 7.61 64,190 1,029,144 8.14 269,261 1,291,537 8.03 333,452 Aspects of this statement that relate to Mineral Resources or Ore Reserves arebased on information compiled by Bernard Aylward and Barry Cahill, who areMembers of The Australian Institute of Mining and Metallurgy or the AustralianInstitute of Geoscientists and are full time employees of the Company. They havesufficient experience which is relevant to the style of mineralisation and typeof deposits under consideration and qualify as Competent Persons as defined inthe 2004 Edition of the "Australasian Code for Reporting of Mineral Resourcesand Ore Reserves" and have reviewed this announcement. * * ENDS * * For further information visit www.norsemangoldplc.com or contact: David Steinepreis Norseman Gold Plc 07913 402727 Romil Patel Blue Oar Securities Plc 020 7448 4412 Guy Wilkes Ocean Equities Ltd 020 7786 4370 Hugo de Salis St Brides Media & Finance Ltd 020 7242 4477 Note to editors: Norseman Gold plc is an AIM listed Australian gold production company whichrecently acquired the Norseman Gold Project; Australia's longest continuallyrunning gold operation. The Norseman Gold Project is located in the EasternGoldfields of Western Australia in the highly prospective Norseman-Wilunagreenstone belt - 725km east of Perth and 186km from Kalgoorlie. Gold was first found on the Norseman field in 1894 and over the last 65 years ithas produced over 5.5 million ounces of gold. The mine is producing at a rateof around 100,000 ounces per annum, sourced from two high-grade narrow-veinunderground mines - the Bullen and the Harlequin. Currently, it has a TotalResource inventory of 1.9 million ounces of gold at a grade of 4.1 g/t. The tenements cover a 687 sq km area centred on the Norseman Township. Thelandholding comprises 146 contiguous tenements consisting of 10 ExplorationLicences, 102 Mining Licences, 20 Prospecting Licences, 14 MiscellaneousLicences and 29 Mining Lease Applications. The Company's strategy is focused on extending the mine life through theconversion of resources into reserves and identifying additional resources. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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