14th Mar 2007 12:18
Frontier Mining Ltd14 March 2007 Frontier Mining Ltd Drilling Update from Koskuduk Prospect - Kazakhstan Frontier Mining Ltd ("Frontier" or "the Company") is pleased to announce thatthe first set of precious and base metal assay results have now been receivedfrom the drilling programme carried out during 2006, at the wholly ownedKoskuduk Prospect ("Koskuduk") in Kazakhstan. Initial assays focused on the identification of gold and silver and confirmedthe presence of near surface oxide mineralisation of potentially economic gradeand width. The assays also indicate that Koskuduk has a polymetallicgold-silver-zinc-lead signature at depth. In this respect Koskuduk is similar toFrontier's producing Naimanjal gold mine where zinc-lead dominant gold-silvervein mineralisation has been intercepted below the oxide zone. SignificantKoskuduk assay results are detailed in Table 1 below: Drill Hole From To Interval (m) Au Ag Zn Pb (m) (m) (g/t) (g/t) (%) (%)KK-001 15.0 61.5 46.5 1.03 Incl. 29.6 38.5 8.9 2.30KK-003 50.2 66.7 16.5 2.34 Incl. 51.2 58.5 7.3 4.83 and 52.5 53.5 1.0 3.13 36.0 5.67 1.26* and 56.5 57.5 1.0 19.20 40.9 7.58 0.13*KK-004 28.8 38.0 9.2 1.73 4.87 0.62 0.11*KK-006 152.5 163.5 11 8.95 1.6 Incl. 152.1 153.9 1.8 55.50 4.9KK-007 111.0 130.0 19.0 1.27 18.2 Incl. 115.5 121.5 6.0 3.25 48.0KK-009 1.20 6.8 5.6 3.28 0.9KKR-10 121.0 130.0 9.0 0.53 < 1.0 1.90 0.09KKR-11 87.0 121.5 34.5 0.48 < 1.0 1.33 0.02KKR-12 129.5 152.0 22.5 0.68 3.8 2.48 0.02 Incl. 144.5 152.0 7.5 1.02 < 1.0 6.77 0.00KKR-13 97.5 118.4 20.9 0.41 < 1.0 0.96 0.01 Incl. 97.2 105.0 7.8 0.47 < 1.0 1.80 0.00KKR-14 113.5 138.0 24.5 0.36 < 1.0 0.86 0.05KK-022 36.0 56.0 20.0 2.02 17.7 0.23 0.08KK-023 12.5 26.0 13.5 1.73 37.6 0.11 0.16 Incl. 12.5 20.0 7.5 2.31 62.1 0.12 0.27 Table 1: Significant diamond drill core intercepts for FMLK holes. Holes KK-001to KK-009 were drilled in 2005. Holes KKR-10 -KKR14 and KK-022 to KK-023 weredrilled in 2006. All holes are angled holes and reported intervals are drillhole lengths. A robust QA/QC programme comprising blanks, standards andduplicates formed part of the assay protocol. *Assay results received frommetallurgical testwork programme, March 2006. Drilling completed by Frontier's wholly owned subsidiary, FML Kazakhstan LLP ("FMLK"), in 2005 defined a state approved C2 and P1 oxide resource of 268,000ounces of gold and a P1 sulphide resource of 125,000 ounces of gold. Frontier'sdrilling programme in 2006 was designed to test the shallow strike extensions ofknown mineralisation and areas of anomalous soil geochemistry. This successfullyidentified several new areas of oxide gold mineralisation, and further infilldrilling is required. The base metal potential of Koskuduk was only realisedduring this latest drill programme. The potential for Koskuduk to be a polymetallic target has also been confirmedby the re-interpretation of a historic data set comprising approximately 159diamond holes (approximately 37,387 metres) and approximately 4,930 reversecirculation holes (approximately 147,153 metres) which were drilled from 1991 to1994 by a joint venture between the Semipalatinsk Exploration Party and SemgeoJSC. This data was only made available to Frontier in late 2006. This historic data has contributed significantly to the Company's understandingof Koskuduk but must be viewed in context. The data has been reinterpreted byFrontier geologists, and indicates that almost all reverse circulation ("RC")holes were drilled as reconnaissance holes to test very shallow bedrockgeochemistry in areas lacking obvious surface geochemical or geophysicalanomalies. Of the RC and diamond holes that were drilled proximal to potentialmineralisation, a significant number were drilled in the footwall, or at anorientation and/or to a depth that was ineffectual at testing steeply dippingveins. Only a small number of diamond holes effectively tested mineralisation.Significant diamond core assay results are detailed in Table 2 below: Drill Hole From To Interval (m) Au Ag Zn Pb (m) (m) (g/t) (g/t) (%) (%)C-501 300.0 302.7 2.7 3.65 40.2 3.24 0.44C-502 438.0 439.5 1.5 6.13 212.8 4.95 1.52C-504 153.0 164.0 11.0 2.49 3.5 1.07 0.02C-506 42.0 58.5 16.5 1.92 22.1 1.14 0.20 Incl. 42.0 46.0 4.0 3.75 48.5 0.89 0.18C-509 205.0 210.0 5.0 0.60 4.8 1.56 0.09C-562 67.5 88.5 21.0 2.17 18.6 2.20 0.16C-567 5.0 13.0 8.0 1.53 21.3 0.14 < 0.02C-575 26.5 35.5 9.0 2.22 15.2 0.02 0.05C-579 58.0 103.0 45.0 3.03 33.4 1.82 0.36 Incl. 85.0 97.5 12.5 7.82 64.0 3.63 0.86C-618 14.0 88.0 74.0 1.17 15.8 1.31 0.37 Incl. 24.0 34.5 10.5 1.69 13.1 2.31 0.83 and 63.0 77.0 14.0 1.48 13.7 2.82 0.55 Table 2: Significant diamond drill core intercepts from holes drilled in1991-1994 by Semipalatinsk Exploration Party and Semgeo JSC expedition.Reported intervals are drill hole lengths. The data has not been verified byFrontier and should be used as a guide to exploration only. Frontier has notbeen able to view original core and cannot comment on quality assurance /quality control ("QA/QC"). The data from the Semipalatinsk Exploration Party and Semgeo JSC expedition hasnot been verified and will be used as a guide to exploration potential only.However, the results of holes C-501 and C-502 are highly significant in thatthey demonstrate that robust gold-silver-zinc and lesser lead mineralisationextends to depths greater than 300 metres. This confirms that Koskuduk is apotentially large system and the depth extension is consistent with the knownstrike length of over 3 kilometres. The Company's initial understanding of the Koskuduk Prospect, based on surfacemapping, logging of drill holes and the grade/thickness intercepts of thehistoric data, suggest that at least three styles of mineralisation are present: • Gold-dominant oxide mineralisation occurs from surface to depths ofapproximately 50 metres. Minor zinc and lead may be present. Positive silvergrades are closely associated with presence of lead. • High grade gold-silver-zinc and lesser lead mineralisation is associatedwith discrete veins and feeder zones. These zones are generally narrow (10 metres) lower grade gold-silver-zinc and lesser leadmineralisation occurs as disseminated stratigraphically-controlled bodiesassociated with some tuff horizons. All styles of mineralisation are attractive. However, Frontier's main focus in2007 will be the near surface oxide gold resource. Delineation of thismineralisation will assist in the targeting of high grade polymetallicstructural zones and further drilling is planned for late 2007. Frontier iscurrently planning a programme designed to: i) convert the existing C2 and P1 resource into a JORC compliant indicated resource; ii) infill drill the new areas of gold mineralisation identified in 2006; and iii)test the down-dip extension of the polymetallic mineralisation. An extensive trench programme is also planned in areas of known mineralisationto quantify very near surface oxide gold potential. Brian Savage, CEO of Frontier commented, "We are very encouraged by theseinitial results, which indicate that Koskuduk has the potential to hostsignificant polymetallic vein mineralisation over a strike length in excess of 3kilometres. We are also pleased that this is showing characteristics similar toour Naimanjal mine, which is already in production, as this will facilitate ourunderstanding and development of this project." Dr Chris Wilson who is a Technical Advisor to Frontier Mining has read andapproved the technical disclosure in this regulatory announcement. Dr Wilson isa Chartered Fellow of the Australian Institute of Mining and Metallurgy and aFellow of the Society of Economic Geologists and meets the criteria of aqualified person under the AIM rule guidance for mining, oil and gas companies. Qualified Persons and QA/QC: Frontier Mining Ltd employs a robust QA/QC protocol which was designed by SRKExploration Services. The quality control programme is independent of the assaylaboratories internal QA/QC and involves the insertion of certified referencestandards, quality control blanks and staged duplicates into each batch ofsamples. SRK Exploration Services have reviewed the assay results for thecertified reference standards, quality control blanks and staged duplicatesinserted during the 2006 exploration programme and confirm that samplepreparation and assaying has been of a very high standard. Diamond drill core is cut into equal halves using a diamond drill saw at theCompany's core handling facility in Kurchatov. Samples are crushed andpulverized by Geochem Exploration LLP in Almaty and are assayed by Alex StewartAssayers at Kara Balta in Kyrgyzstan. Alex Stewart Assayers Kara Balta operatean ISO accredited laboratory, participate in the biannual Geostats Pty Ltd roundrobin surveys of laboratory quality and are an international subsidiary of theAlex Stewart Group. SRK Exploration Services conducted an unannounced audit of Alex StewartsAssayers laboratory at Kara Balta prior to the commencement of the Company's2006 field programme and subsequent check visits. Alex Stewart Assayersperformed very well during these audits and demonstrated appropriate accuracy,precision and overall QA/QC. Enquiries: Frontier Mining Ltd Brian Savage +44 (0) 20 7898 9019Parkgreen Communications Cathy Malins / Annabel Leather +44 (0) 20 7851 7480 About Frontier Mining Ltd: Frontier Mining Ltd. is a mineral exploration and development company that wasincorporated in the state of Delaware, USA, on 5 August 1998 for the purpose ofexploring and developing gold and copper deposits in the Republic of Kazakhstan.Through its subsidiaries and affiliates, Frontier locates, evaluates,acquires, explores and develops mineral properties. Frontier has two licenses owned by its wholly owned subsidiaries in Kazakhstan.They are the Naimanjal exploration and mining licence, held by FML Kazakhstan,and the Baltemir exploration licence, held by Baltemir LLP. Frontier has oneproducing gold mine, Naimanjal, where further exploration of satellite depositsis underway in order to increase reserves; one pre-feasibility stage goldproject, Koskuduk which is showing similar mineralisation to that at Naimanjal;and one exploration stage gold prospect, Baltemir. Frontier also has one potential copper porphyry deposit with associated gold andmolybdenum, Baitimir; and several copper/gold prospects along a 25-km trendincluding both VMS and porphyry types. Metallurgical tests on its Beschoku andYubileiny copper projects confirm the oxide copper ore is amenable to extractionusing low cost SX-EW technology. Frontier shares are traded on the AIM market of the London Stock Exchange.Frontier has 132,979,597 ordinary shares issued and 6,057,091 outstandingoptions and warrants, giving 139,026,688 fully diluted ordinary shares. Further company information may be accessed at the Frontier Mining Ltd. websiteat: www.frontiermining.com This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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