3 Jun 2009 07:00
03 June 2009 Kryso Resources plc (`Kryso' or `the Company') Pakrut Project Update
- Mineralization from a virtually unexplored ore zone known as Ore Zone 6 intersected over approximately 30m by drilling at Pakrut
- Current drilling programme expected to enable an increased resource for the Pakrut deposit to be estimated later in the year
- Pakrut bankable feasibility study based on a mining operation producing in excess of 100,000oz Au per annum targeted for completion before the end of 2009
- Two diamond drill rigs currently working at Pakrut; additional diamond rig and RC rig expected to be operational within the next four weeks
Kryso Resources plc, the mineral exploration and development company with gold and nickel-copper projects in Tajikistan, is pleased to provide an update on activities at its Pakrut gold project.
Drilling now underway at Pakrut is focused on defining further resources at depth within Ore Zone 1 of the deposit. Mineralization from an identified but essentially unexplored ore zone known as Ore Zone 6 has also been intersected over approximately 30m by the first two holes drilled at Pakrut. No drilling has previously been carried out on Ore Zone 6, and it has not been incorporated into either the JORC or Russian resource estimates for the Pakrut deposit. Additional drilling to take place later in the year will target Ore Zone 6, as well as areas to the east and north of the Pakrut deposit.
It is expected that the incorporation of the results of the ongoing programme of drilling into the Pakrut resource model will allow an increased JORC Code-compliant resource to be estimated for the deposit later in the year.
Drilling is taking place at Pakrut using two diamond drill rigs; an additional diamond rig plus an RC (reverse circulation) rig will become operational within the next four weeks, once supplies that have been despatched from Australia, Indonesia and the UK reach the project site.
Assays from the drilling currently taking place at Pakrut as well as from drilling carried out at the project during the second half of 2008 will be reported as soon as they become available from the SGS Lakefield assay laboratory in South Africa.
About the Pakrut Gold Project
JORC Code-compliant resources at the Pakrut project currently total 21,383,902t at an average grade of 2.53g/t for 1,739,029oz Au, assuming a cut-off grade of 0.5g/t. Some 67 per cent of these ounces fall into the JORC Measured and Indicated categories. Estimated total reserves and resources at Pakrut under the Russian classification system stand at 2,055,047oz Au.
A bankable feasibility study for the Pakrut project based on a mining operation producing in excess of 100,000oz Au per annum is currently in progress. An internal pre-feasibility study was completed in early 2008, with highly positive results. Estimated cash costs under the internal pre-feasibility study were US$291/oz Au.
Trevor Davenport, Non-Executive Chairman and acting Managing Director of Kryso Resources plc, comments:
"Kryso is very pleased to have intersected mineralization from Ore Zone 6, which has had very limited previous exploration. This provides further evidence that the potential of the Pakrut deposit has yet to be fully demonstrated.
We expect that the current drilling programme will allow an increase in the Pakrut project's estimated resources to be achieved later in the year."
All exploration results have been approved for release by Dr. Trevor Davenport B.Sc, M.Sc, Ph.D, MIMM, C.Eng, Non-Executive Chairman and acting Managing Director of Kryso Resources plc. Dr. Davenport has more than 35 years experience in the mining industry and has consented to the inclusion of the material in the form and context in which it appears.
For further information please contact:
Dr. Trevor Davenport/Craig Brown, Kryso Resources plc. Tel: 020 7371 0600
Roxane Marffy, Ruegg & Co Ltd.Tel: 020 7584 3663Christian Dennis, Orbis Equity Partners Ltd.Tel: 020 3178 3977Jason Bahnsen, Fox-Davies Capital Ltd.Tel: 020 7936 5200
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