LONDON (Alliance News) - Ariana Resources PLC said Tuesday it saw positive drilling results from its joint-venture project Kiziltepe in Turkey, confirming its understanding that the project contains the potential to host a "significant mineral system."
The Kiziltepe project is part of the company's Red Rabbit joint venture with Proccea Construction Co and will be 50% owned by Ariana once mine construction is completed in the second half of 2016.
The company said that deep drilling had yielded several positive intercepts, including one hole with 11 meters at 4.07 grams per tonne of gold equivalent.
These results, combined with further drilling, will be used to support a revision of the mineral resource at Kiziltepe.
"This confirms our understanding that the Kiziltepe Sector contains the potential to host a significant mineral system that has only been partially tested, particularly at depth within the Arzu vein structure," said Managing Director Kerim Sener in a statement.
"The results of this drilling programme provide further confidence in our resource model and ensures that we will have access to high-grade ore even at the very end of our projected mine life at Arzu South. The intercepts reported are in line with our expectations for the lowermost parts of the current orebody and it is exceptionally encouraging to obtain such wide intercepts with good grades right at the bottom of the current pit design," Sener added.
Shares in Ariana were untraded Tuesday morning. It last closed at 0.800 pence.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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Ariana (AAU)