www.chaarat.com
Chaarat Gold is an exploration and development company operating in the Kyrgyz Republic. The Company’s main activity is the development of the Kiziltash and Tulkubash projects situated within the Middle Tien Shan Mountains of Kyrgyzstan, which form part of the Tien Shan gold belt. The Company has delineated a JORC compliant mineral resource of 4.406Moz at a grade of 4.20g/t gold across both projects. Chaarat's key objective is to become a low cost gold producer; with initial production from the Tulkubash project, targeting annual production of over 200,000 ounces per annum as the Kiziltash project comes on stream.
Chaarat Gold drill results open up potential for larger open pit mining resource
Kyrgyzstan operating gold miner Chaarat Gold Holdings (AIM: CHG) reported high grade sampling results from a surface drilling programme at one of the target areas of its flagship Chaarat project in Kyrgysztan, which the company said could have a significant impact on the economics of the project.
The drilling results are from five surface drill holes and an adit in the T0700 project area targeting the southern part of the Tulkubash zone, one of three parallel striking mineralisation trends at the project. Highlights included intersections of 24.6m (metres) at 4.88 g/t (grammes per tonne) Au (gold) and 18m at 4.60 g/t Au including 5.78m at 9.09 g/t Au.
The Tulkubash zone has been delineated by soil anomalies over a strike of 4 km (kilometres), of which only 500m in the T0700 area has been explored by drilling. The zone strikes parallel to the Contact and Main zones and extends to the north-east into the Karator and Ishakuldy areas.
The objective of the ongoing drilling programme is to evaluate the potential for this mineralisation to be included as a possible future open pit mining resource.
“Management believes that if this potential is identified and proves economic, it will have a significant impact on the economics of the project. The results reported herewith are yet another step in achieving this important goal,” said Chief Executive of Chaarat Derek Golan.
The company’s 100% owned Chaarat license area spans over 604.6 sq km (square kilometres), while extensive prospecting has only been conducted on high priority targets within an area of 48 sq km, referred to as the Prospect area. Advanced stage prospecting including the ongoing resource drilling programme on three of the seven priority targets within the area have so far delineated zones of gold mineralisation with a JORC compliant resource of 3.14Moz (million ounces) at 4.41 g/t with 2.2Moz in the inferred category and 0.9Moz in the indicated category.
The company expects to announce a new resource update in the first quarter of 2010.
