Luiri Gold Drilling Confirms Extended Gold Mineralization at the Luiri Hills Project, Zambia
Tuesday May 29, 8:30 am ET
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Analytical results from the 4,159m drilling program has confirmed a high grade depth extension at the Matala gold deposit over a 1km strike length, and the continuation of the mineralized zone at the Dunrobin gold deposit at the Luiri Hills Project in Zambia.
TORONTO, CANADA--(CCNMatthews - May 29, 2007) - Luiri Gold Limited (TSX VENTURE:LGL - News) has received the final analytical results from the 4,159m combined RC and diamond core drilling programme at the Dunrobin and Matala gold deposits.
"The results of the drilling programme have been very positive both at the Dunrobin deposit and especially at the Matala deposit," commented Mike Sperinck, President and CEO of Luiri Gold. "The drilling will also help us refine our understanding of the mineralization and allow us to plan an aggressive follow up drilling programme at both deposits. We look forward to the results of the resource updates for both deposits".
At the Matala deposit (Figure 1), four drill holes that were planned to intersect extensions to the deposit at 150m below surface all intersected gold mineralization in the breccia structure over a 1km strike length below the current resource model. All four drill holes have returned positive gold grade intersections including: a 4.3m intersection of 10.8g/t (within 12.2m of 4.8g/t) from 244m down hole depth in MTL50; 2m of 10.2g/t (within 9m of 3.6g/t) and a 1m intersection of 12.7g/t (within 10m of 3.9g/t) from 180m down hole depth in MTL52; a 1.3m intersection of 10g/t (within 14.8m of 2.2g/t) from 182m down hole depth in MTL53; and a 2m intersection of 7.1g/t (within 5m of 4.3g/t) from 221m down hole depth in MTL54.
At the Dunrobin deposit (Figure 2), where a number of the key drill holes were reported in the previous press release of the 22nd March, the final results have confirmed the continuation of the mineralization at depths below 100m over a 150m strikelength. The results show that there is also the potential for a thin high grade zone within the broader mineralization zone below the area where historical underground operations mined a single high grade vein deposit.
RSG Global, Luiri Gold's exploration managers, are currently updating the geological models, and completing the QA/QC study for the drilling. Once these are completed, new updated resource estimates for both the Matala and Dunrobin deposits will be undertaken and are expected to be completed by the end of June. Previously, an estimated resource of 108,000 ounces of gold in the indicated and 173,000 ounces in the inferred category according to JORC classification (1.6 million tonnes at 2.1g/t and 1.3 million tonnes at 4.1g/t respectively) was calculated for the Matala and Dunrobin deposits.
A full table showing all the mineralized intersections is included in Table 1 at the end. Note that at the Dunrobin deposit the lengths are down hole and the drill holes are inclined at about 65 degrees which is approximately perpendicular to the dip of the Dunrobin deposit (30 degrees). Therefore the reported intervals should be within 5% of true width. At the Matala deposit, the drill holes are inclined at between 40 degrees to 50 degrees and the average dip of the deposit is at about 65 degrees. Therefore the reported intervals should be within 10% of true width.
Recent Drilling Results
A total of 4,159m was drilled in 33 drill holes of which 15 were at the Dunrobin deposit, 11 at the Matala deposit, and 7 along the Matala West structure. The drill hole assay results and their approximate intersection position with the mineralized zones positions are shown in Table 1 and in Figures 1 and 2.
At the Matala deposit, in addition to the four deeper drill holes, two twin drill holes were also drilled to test both the intersection with the shallow, low grade area in the west (MTL56) and the higher grade zone below (MTL57). The results from MTL56 confirmed the lack of gold mineralization near surface, while MTL57 returned very good grades including a 1m intersection of 35.9g/t at a down hole depth of 73m, and a second zone of mineralization with a 1m intersection of 43.7g/t (within 9m of 7.1g/t) at a down hole depth of 93m.
Another encouraging drill hole was MTL58 drilled in the east which returned a 1m intersection of 6.8g/t (within 3m of 3.1g/t) at a down hole depth of 35m. This shows that the structure is still mineralized in the east and requires further investigation both at surface and at depth. The assay results at MTL60 and MTL61 indicated that the western boundary of the high grade shoot may be plunging to the west. However, RSG Global is still interpreting the data from these areas.
Note 1: To view Figure 1: Matala deposit - Drilling Results, please visit the following link:
ccnmatthews.com
At the Dunrobin deposit, which is a flatter dipping thick tabular deposit, the drilling has confirmed that the mineralization is open at depth, and potentially may be increasing in strikelength. It is also possible that the deeper drilling is now intersecting some of the higher grade thin veins that were previously mined by underground techniques up to a depth of 90m below surface. The resource calculation was based on the remaining hangingwall and footwall mineralization that was not mined.
Note 2: To view Figure 2: Dunrobin deposit - Drilling Results, please visit the following link:
ccnmatthews.com
Exploration Drilling Results
Several early stage shallow (50m) exploratory drill holes drilled underneath three trenches along the Matala Extension (MTL62 - MTL68) intersected thin fairly low grade gold mineralization. These drill hole results will be compared to the similar lower grade shallow intersections found above the main Matala deposit. This will then be used to updated mineralization model for the area and allow targeting of deeper intersections of the main structure. The recent drilling did not extend to the promising far west Matala Extension where trenching is in progress.
Qualified Person
The Luiri Gold exploration programs and resource calculations are carried out under the supervision of Mr. Michael Sperinck, AUSMIM. Mr. Sperinck is a qualified person, as defined by National Instrument 43-101, with more than 25 years of experience in the mining industry.
About Luiri Gold
Luiri Gold is a gold focused African resource company with a strategy of creating shareholder value through expanding into a geographically diversified gold resource company with assets potentially ranging from producing mines and near term production to exploration properties in Africa. Luiri Gold's wholly-owned Zambian subsidiary, Luiri Gold Mines Limited, holds mineral tenements within southern-central Zambia covering approximately 2,400km2 of highly prospective exploration ground focused on the historic Dunrobin and Matala gold mines. The Luiri Hill Project is situated approximately 120km west-northwest of the Zambian capital of Lusaka in Zambia's Central Province. Access to the Project area is by a newly-upgraded paved road from Lusaka.
The Luiri Hills Project area is adjacent to ground held by BHP Billiton in Joint Venture with other parties. This consortium has been actively exploring for iron oxide gold-copper ("IOCG") mineral occurrences. Furthermore, independent research has drawn similarities between the Dunrobin gold deposit and the Kansanshi copper-gold project of First Quantum 350km to the north of Luiri Hills project area.
Luiri Gold's mineral tenements and the resource estimate are the subject matter of a Technical Report dated February 6, 2006 prepared pursuant to National Instrument 43-101 by Snowden Mining Industry Consultants Pty. Ltd. and entitled "Independent Technical Report on the Mineral Assets of Luiri Gold Mines Ltd.", available for review under the Company's profile at www.sedar.com.
ON BEHALF OF THE BOARD OF DIRECTORS OF LUIRI GOLD LIMITED
Michael Sperinck, President and CEO
Ted Grobicki, Chairman
This press release contains forward-looking information which involves risks and uncertainties. Forward looking information represents management's current views and these may change significantly as new information comes to hand.
Table 1: Mineralized drill hole intercepts for Dunrobin and Matala
deposits, and the Matala Extensions
AREA Hole ID From To Interval Gold Reported Method
(m) (m) (m) g/t
Dunrobin
deposit
DUN085 Stopped RC
DUN086 111 112 1 3.1 RC
DUN087 97 122 25 2.2 Mar-07 RC
including 97 99 2 12.6 RC
DUN088 No significant intersections
DUN089 156 163 7 5.8 Mar-07 RC
including 160 161 1 25.5 RC
DUN090 78 81 3 5.3 RC
131 132 1 5.9 DD
148.6 150 1.4 5.1 DD
158.6 160.4 1.8 2.3 DD
DUN091 No significant intersections
DUN092 37 40 3 1.4 RC
42 44 2 4.1 RC
DUN093 No significant intersections
DUN094 75 77 2 1.2 RC
85 86 1 4.8 RC
98 99 1 1.1 RC
112 113 1 3.7 DD
121 123 2 5.6 DD
DUN095 150 152.5 2.5 0.9 Mar-07
DUN097 Stopped
DUN101 121 139 18 2.2 Mar-07 DD
including 121 126 5 5.0 DD
DUN102 121 138 17 3.4 Mar-07 DD
including 125 129 4 9.8 DD
Matala
deposit
MTL050 240.3 252.5 12.2 4.8 DD
including 244 248.3 4.3 10.8 DD
MTL051 Stopped
MTL052 174 183 9 3.6 DD
including 180 182 2 10.2 DD
192 202 10 3.9 DD
including 194 195 1 12.0 DD
and 201 202 1 12.7 DD
MTL053 182.6 197.4 14.8 2.2 DD
including 185.2 186.5 1.3 10.0 DD
MTL054 221 226 5 4.3 DD
including 222 224 2 7.1 DD
MTL055 30 31 1 3.3 RC
MTL056 No significant intersections
MTL057 73 74 1 35.9 DD
86 95 9 7.1 DD
including 93 94 1 43.7 DD
MTL058 34 37 3 3.1 RC
including 35 36 1 6.8 RC
MTL060 142 143 1 2.4 RC
MTL061 No significant intersections RC
Matala West
Structure
MTL062 No significant intersections RC
MTL063 6 7 1 3.6 RC
11 12 1 1.6 RC
MTL064 No significant intersections RC
MTL065 No significant intersections RC
MTL066 2 3 1 1.0 RC
MTL067 No significant intersections RC
MTL068 27 31 4 1.0 RC
37 38 1 1.4 RC
Note:
- DUN092, DUN096, DUN097 - DUN100 and MTL059 were not drilled.
- At the Dunrobin deposit the lengths are down hole and the drill
holes are inclined at about 65degrees approximately perpendicular
to the dip of the Dunrobin deposit (30degrees). Therefore the
reported intervals should be within 5% of true width.
- At the Matala deposit the lengths are down hole and the drill holes
are inclined at between 40degrees to 50degrees and the average dip
of the deposit is at about 65degrees. Therefore the reported
intervals should be within 10% of true width.
- Of these drill holes, 2 at Dunrobin and 1 at Matala had to be
stopped after the RC drilling rig could not achieve the expected
depths, and the increase in the cost of diamond drilling at the
project made it necessary to reduce the total meters being drilled.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Contact:
Michael Sperinck
Luiri Gold Limited
President
+61-401-694-322
Website: www.luirigold.com
Source: Luiri Gold Limited |
