JV Gold Project Update
4 July 2012
Ormonde Mining plc
("Ormonde" or "the Company")
Positive Results from Second Permit Area Drilled by Gold Joint Venture
The Board of Ormonde is pleased to report the assay results from all three holes drilled to date on the Peralonso Permit in the Salamanca Province of western Spain, which is in joint venture with Aurum Mining PLC ("Aurum"). This is the second permit area to be drilled by the Joint Venture following the recent successful results at El Facho in the Zamora Province.
Three short holes were drilled with the intention of testing the shallow depth extent of gold mineralisation which had been identified by previous trenches located within the area of a large gold-in-soil geochemical anomaly. Results have been received, with two of the three holes drilled in this new area intersecting significant gold mineralisation.
Highlights
· Drill hole PERDD001 has returned three separate intervals of:
o 18 metres grading 1.10 grams per tonne ("g/t") gold (from surface)
o 10.1 metres grading 3.39g/t gold(from 46.9m) including 1.1 metres grading 22.7g/t gold
o 14.95 metres grading 2.33g/t gold (from 109.1m) including 1.4 metres grading 21.5g/t gold.
· Hole PERDD002 located some 180 metres southwest of drill hole PERDD001, returned 5.3m grading 1.12g/t gold (from 8.9m).
· These results suggest the presence of multiple zones or bands of gold mineralisation within the area defined by an extensive (400m x 400m) soil geochemical anomaly.
· Further drilling planned to follow up these results.
· Several other untested gold-in-soil anomalies are present on the permit area.
Kerr Anderson, Ormonde's Managing Director, said:
"The first holes to be drilled in this new area have confirmed the presence of multiple zones of gold mineralisation at shallow depths, including some very high grade intervals. This is an extremely positive start to the drilling campaign and further holes are now being planned by the Joint Venture."
Detail
Ormonde considers the Salamanca-Zamora area to be one of the most prospective gold terrains in Spain and is exploring for gold mineralization associated with granites intruded into a variable sequence of meta-sediments.
Three holes for a total of 276.4 metres of drilling were completed with the intention of testing the shallow depth extent of gold mineralisation encountered in previous trenching within the area of an extensive gold-in-soil geochemical anomaly (400 x 400m) on the Peralonso Permit. Trenching had shown gold mineralisation to be best developed within steeply-dipping quartz-rich breccia zones hosted within altered granites. The holes intersected predominantly granites with some intervals of meta-sediment, with alteration and quartz-rich breccias within the granite hosting the gold mineralisation.
Results from PERDD001-003 are reported below:
|
Hole |
Length (m) |
Dip/Azimuth |
From (m) |
Thickness (m) |
Gold (g/t) |
|
PERDD001 |
126.1 |
-50o/288o |
0 |
18.0 |
1.10 |
|
and |
|
|
46.9 |
10.1 |
3.39 |
|
incl |
|
|
46.9 |
1.1 |
22.7 |
|
and |
|
|
109.1 |
14.95 |
2.33 |
|
incl |
|
|
110.7 |
1.4 |
21.5 |
|
PERDD002 |
75.1 |
-50o/290o |
8.9 |
5.3 |
1.12 |
|
PERDD003 |
75.2 |
-50o/288o |
No significant mineralisation |
||
True thicknesses have not yet been established.
The results from the final hole (ORMP-21) at the El Facho Prospect on the Zamora Gold Project have also been received and reported below:
|
Hole |
Length (m) |
Dip/Azimuth |
From (m) |
Thickness (m) |
Gold (g/t) |
|
ORMP-21 |
282.1 |
-55o/330o |
165 |
1 |
6.11 |
Background
In March 2011, Ormonde entered into a joint venture with Aurum whereby Aurum can earn a 60% interest in two permits in the Zamora Province and a 54% interest in a further two permits in the Salamanca Province (with the total permit area being 106 square kilometres) by spending €500,000 on exploration activities over an 18 month period. Aurum has advanced funds of €500,000 required for expenditure on exploration activities to earn its majority interest in the permits which are the subject of the Joint Venture Agreement.
Notes:
Sampling, Assaying and Quality Control Measures
All drill core has been routinely logged by an experienced geologist. Relevant core intervals were split in half by diamond saw, with half being sent for assay and the other half being retained in the core boxes for reference. Sampling is mainly carried out over one metre intervals.
Sample preparation and analyses were performed at ALS Chemex (Spain). Assays are reported using the fire assay (FA) method with an atomic absorption (AA) finish. Reference samples (blanks, duplicates and certified standards) are routinely included in each sample batch as quality control measures.
Kerr Anderson PhD EurGeolPGeo, Managing Director of Ormonde Mining plc, and a qualified person as defined in the Guidance Note for Mining, Oil and Gas Companies, June 2009, of the London Stock Exchange, has reviewed and approved the technical information contained in this announcement.
A glossary explaining technical terms contained in this announcement can be found at www.ormondemining.com/en/investors/technical_glossary.
For more information please visit www.ormondemining.com or follow Ormonde on Twitter https://twitter.com/ormondemining or Linkedin http://www.linkedin.com/company/ormonde-mining-plc
Enquiries to:
Ormonde Mining plc
Kerr Anderson, Managing Director Tel: +353 (0)1 8253570
Bankside Consultants
Simon Rothschild Tel: +44 (0)20 7367 8888 Mob: +44 (0)7703 167065
Murray Consultants
Ed Micheau Tel: +353 (0)1 4980300 Mob: +353 (0)86 803 7155
Davy (Nomad / ESM Adviser)
Eugenée Mulhern / Roland French Tel: +353 (0)1 6796363
Fairfax I.S. PLC (Joint Broker)
Ewan Leggat / Katy Birkin Tel: +44 (0)207 598 5368
ENDS
About Ormonde
Ormonde Mining Plc is admitted to trading on the AIM market in London & the ESM market in Dublin. Ormonde is a mineral development and exploration company focused on Spain (Ticker: ORM).
Ormonde's key activities include:
The Barruecopardo Tungsten Project - Ormonde is developing a low cost mining operation at Barruecopardo to become a major, secure European supply of tungsten.
The La Zarza Copper Project- a large "massive sulphide" deposit; exploration for an enlargement to the current copper resources is being funded through a joint venture Antofagasta Minerals.
Gold Explorationin several highly prospective areas of western Spain.
This information is provided by RNS
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