Operations Update

RNS Number : 3494Q

FinnAust Mining PLC

17 June 2015

 

FinnAust Mining plc / EPIC: FAM / Market: AIM / Sector: Mining

17 June 2015

FinnAust Mining plc ("FinnAust" or the "Company")

Operations Update

FinnAust Mining plc, the AIM listed exploration company with a multi-project copper, zinc and nickel portfolio in Finland and Austria, is pleased to announce an update on its exploration activities at its three primary Finnish projects, which are located in a proven mineralised region.  Finland is attractive from a discovery perspective and benefits from excellent infrastructure.

Since listing in December 2013, FinnAust has completed 15,000 metres of drilling across the Hammaslahti Copper Project (45 holes/ 10,366m), the Kelkka Nickel-Copper Project (21 holes/ 3,570m) and the Outokumpu Copper Project (4 holes/ 1,462m). As a result, FinnAust has refined its understanding of the mineralisation at each tenure.  New mineralised zones have been identified proximal to the previously producing mines located at both Hammaslahti and Kelkka. At Hammaslahti the Company has discovered new lodes and extensions to the previously mined zones. 

The Company is now ideally positioned to plan its future exploration programme for each of these projects.  Analysis of the drill results is ongoing, in conjunction with a geophysics programme across all three licence areas.  Additionally at Hammaslahti, the Company plans to sample mineralised outcrops on the Southern region of the Hammaslahti Belt in August 2015 to assist with its target generation initiatives.  This work is being conducted with the support of the Company's cornerstone investor, Western Areas, Australia's highest grade nickel producer, which has made significant resources, and expertise available to FinnAust.  They have provided extensive technical assistance throughout the exploration programme to date, significantly reducing exploration costs. 

FinnAust Chairman Dan Lougher said, "The 15,000 metres of drilling undertaken to date has proven the existence of undiscovered mineralised zones within two of our licence areas.  We are focused on translating these discoveries into development opportunities and with our understanding of the licence areas now refined, our near term priority is to concentrate on future drill targets. The Company will continue to benefit from Western Area's ongoing support, exploration experience and resources as we conduct this analysis and I look forward to updating shareholders on these developments in due course."

Best results from each project to date include:

·    Hammaslahti Copper Project: 5.6m @ 3.2% copper ('Cu'), 2.7% zinc ('Zn'), 0.7% lead ('Pb'), 71gpt silver ('Ag') and 0.76 gpt gold ('Au') from 196.80m and 20.45m @ 1.12 % Cu and 5.5gpt Ag from 166.55m

·    Kelkka Nickel-Copper Project: 1.5m @ 0.68% Ni, 0.31% Cu from 61.50m

are we still awaiting more results?

**ENDS**

For further information please visit www.finnaust.com or contact:

Greg Kuenzel	FinnAust Mining plc	+ 44(0) 20 3326 1729
Graham Marshall	FinnAust Mining plc
Ewan Leggat Katy Birkin	SP Angel Corporate Finance LLP SP Angel Corporate Finance LLP	[phone]
Elisabeth Cowell	St Brides Partners Ltd	[phone]
Charlotte Heap	St Brides Partners Ltd

Notes

FinnAust Mining plc is an AIM listed exploration company focused on copper and base metals in Finland and Austria.  Its proven management team, with its track record of exploring, discovering, financing, constructing and safely operating mines globally, has established a portfolio of highly prospective projects at various stages of development.  Finland is rated the number one mining destination worldwide in the Fraser Institute Global Mining Survey Results 2012/2013.

The Company's primary focus of exploration is a portfolio of assets in Finland.  Three high-priority target areas have already been identified, Hammaslahti, Outokumpu and Enonkoski, which are prospective for Volcanogenic Massive Sulphide ('VMS'), high-grade magmatic sulphide nickel-copper and Outokumpu type copper deposits.  The assets are located in one of the world's most prolific geological belts, which hosts multiple high grade mines including the world famous Outokumpu copper mine, which reportedly produced a total of approximately 34.4 million tonnes of ore at average grades of 3.6% copper, 1.2% zinc, 0.22% cobalt and 0.1% nickel between 1914 and 1988.

FinnAust also holds an 80% interest in the previously producing 33 km sq Mitterberg Copper Project in Austria, which the Company is currently evaluating in order to determine the best plan for future development. 

 

END

 

 

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