27th Mar 2007 09:55
Cluff Gold PLC27 March 2007 Cluff Gold plc ("Cluff Gold" or the "Company") Update at Baomahun Gold Project, Sierra Leone Highlights • Further drill results intersect high grade at Baomahun Gold Project • New zone identified linking Central and Eastern Zones • Encouraging metallurgical test work results received • Cluff currently evaluating a suitable consultancy to undertake pre-feasibility study - study due for completion by end of 2007 Cluff Gold today announces further encouraging drilling results from theBaomahun Gold Project ("Baomahun") in Sierra Leone, where nearly a quarter ofthe planned 30,000 metres of core drilling has been completed. The objectives of the 2007 drilling programme are: • to infill drill 15,000 metres of the known mineralised zones in order to upgrade the resources to indicated and measured categories; • to drill 15,000 metres of exploration along strike and down dip to further increase the resource base; and • to investigate new prospects outlined by geochemistry and trenching. The infill drilling has been designed to produce a 25 metre spaced grid on theEastern, Central and Western Zones. To date, the focus has been on the southernarea of the Central Zone and an area around the eastern limits of theinterpreted fold between the Central and Eastern Zones. Other drilling hasin-filled between the existing inferred resource drilling on the Central Zone. The exploration drilling is focussed on the identification of possibleextensions to the Western Zone and on the fold area between the Central andEastern Zones. DDH 093 is the first of several holes drilled in the fold area,which links the Eastern Zone with the Central Zone. The fold area is currentlynot included in the resource model. Table 1 is a summary of intersections recorded so far this year. Hole_ID Dip Azimuth Intercept From (m) To(m) Zone Comment DDH069 45 72 2m @ 1.25g/t 127 129 Central Zone 4m @ 1.46g/t 132 136 Central Zone 2m @ 1.45g/t 145 147 Central Zone DDH070 45 72 10m @ 1.22g/t 68 78 Central Zone 14m @ 4.91g/t 82 96 Central Zone Includes 6m @ 7.56g/t 2m @2..48g/t 117 119 Central Zone 4m @ 1.25g/t 163 167 Central Zone 5m @ 1.14g/t 181 186 Central Zone 2m @ 2.56g/t 202 204 Central Zone 2m @ 2.21g/t 209 211 Central Zone DDH071 45 72 5m @ 2.52g/t 81 86 Central Zone 3m @ 3.04g/t 132 135 Central Zone DDH072 45 72 2m @ 1.62g/t 54 56 Central Zone DDH079 48 252 2m @ 2.78 75 77 Central Zone 2m @ 4.40g/t 127 129 Central Zone DDH080 45 252 5m @ 2.14g/t 34 39 Central Zone 4m @ 2.02.g/t 90 94 Central Zone 11m @ 2.34g/t 104 115 Central Zone DDH081 45 252 9m @ 1.23g/t 77 86 Central Zone 6m @ 5.01g/t 111 117 Central Zone 3m @ 1.56g/t 144 147 Central Zone 3m @ 1.41g/t 150 153 Central Zone DDH082 45 252 13m @ 2.13g/t 129 142 Central Zone DDH093 45 342 2m @ 3.88g/t 135 137 Fold Area 10m @ 3.13g/t 170 180 Fold Area Includes 7m @ 4.30g/t As indicated in the previous announcement dated 11 January 2007, preliminarymetallurgical results have now been received from SGS Lakefield Research,Johannesburg, South Africa. The results confirm that the ore is amenable tocyanidation after conventional grinding, with gold recoveries of approximately90% being achieved. These results also show the Baomahun ore to be moderatelyhard with Bond Work Index values of between 15.2 - 19.7 KWh/t. Detailed testwork is currently under way on a composite sample from Baomahun. The Company has requested bids from various consultants to undertake apre-feasibility study on Baomahun. The study will look at the various minedevelopment options and issues raised in the study would be addressed in full ina feasibility study planned for 2008. The pre-feasibility study is planned to becompleted in the 4th quarter of 2007. The second drill rig has now arrived inthe country and will be deployed to Baomahun after customs clearance. Mr. Douglas Chikohora, Technical Director of Cluff Gold comments, "We arepleased with the latest assay and metallurgical results from Baomahun, which webelieve indicates that the Baomahun project has real potential as a substantialgold resource. We are delighted to report that the metallurgical resultssuggest that conventional low-cost gold recovery processes would be suitable atBaomahun and we look forward to commencing the pre-feasibility study later thisyear." Qualified Person: Douglas D Chikohora has reviewed the information contained in this announcement.Douglas D Chikohora, Msc, MIMMM, CEng, is the 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 (0)161 832 2174 Parkgreen Communications Cathy Malins / Annabel Leather Tel: +44 (0)20 7851 7480 Notes to Editors Baomahun is located about 180 kilometres east of the capital, Freetown, in theSouthern Province of Sierra Leone and the geological setting is similar to theLake Victoria goldfields in Tanzania. Cluff Gold has an agreement with theowner of Baomahun, Winston Mines Limited, giving the Company the right to own upto a 60 per cent. interest by funding the project to the completion of abankable feasibility study or to a maximum of US$5 million. Baomahun covers anarea of about 137 km2. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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