Ariana Resources PLC Ariana Resources Plc : Positive Drilling Results From Arzu South
October 19 2016 - 2:01AM
UK Regulatory
TIDMAAU
19 October 2016
AIM: AAU
POSITIVE DRILLING RESULTS FROM ARZU SOUTH
Ariana Resources plc ("Ariana" or "the Company"), the gold exploration
and development company operating in Turkey, is pleased to announce
further results for its Phase One drilling programme of 2016, completed
during early September at the Kiziltepe Project. The results reported
here relate to drilling at the SE end of the Arzu South vein at
Kiziltepe. Kiziltepe is part of the Red Rabbit Joint Venture with
Proccea Construction Co. and will be 50% owned by Ariana once mine
construction is completed in Q416.
Highlights:
-- 645 meters of Reverse Circulation ("RC") drilling for 7 holes was
completed on the SE end of Arzu South, to drill-test the southern end of
the Arzu South vein to within 15m of surface and targeting the southern
extents of the recently discovered Arzu South Parallel vein trend
("ASP").
-- Best intercepts from the southern end of Arzu South include, 5m @ 6.9g/t
gold + 138.5g/t silver, 7m @ 4.0g/t gold + 23.9g/t silver and 2m @ 4.1g/t
gold + 35.4g/t silver.
-- Intercepts testing the ASP vein returned with anomalous grades including,
1m @ 3.7g/t gold + 9.7g/t silver, 1m @ 1.7g/t gold + 85.1g/t silver and
1m @ 0.5g/t gold + 30.5g/t silver.
Dr. Kerim Sener, Managing Director, commented:
"Although the drilling at the southern end of Arzu South comprised only
seven holes, we are especially encouraged to have determined the
continuity of high-grade and near-surface mineralisation at the very end
of the Arzu South vein. The current in-pit resource does not encompass
this mineralisation, suggesting that the pit will capture additional
ounces which have the potential to form part of the final reserve.
In addition, this drilling has confirmed the continuity of the ASP vein
trend right through to the southern end of Arzu South. It appears that
the southern end of the ASP trend disperses in to wider zones of
sub-economic stockwork mineralisation than at the northern end of Arzu
South. Despite this, new work at the far southern end of Arzu South,
demonstrates that the main vein structure jogs to the east and continues
for perhaps a further 200m - this section of the vein system, referred
to as Arzu Far South, remains completely untested by drilling and will
now form part of the Phase Two programme."
Drilling Programme
On 14 September 2016, Ariana announced the completion of Phase One of
its 2016 drilling programme. That announcement outlined the primary
objectives for the Phase One programme, which included drilling at the
southern end of Arzu South.
Seven RC drill holes totalling 645 meters were drilled to primarily test
the southern extensions of Arzu South and of the Arzu South Parallel
("ASP") vein, which was identified during 1:1,000 scale geological and
alteration mapping within the limits of pre-stripping undertaken
recently by the mining team (Figure 1).
The Arzu South vein was specifically targeted in three shallow holes
which were drilled to test the structure within 15 vertical metres from
surface at the southernmost limits of the currently designed Arzu South
pit. Results from these holes include, 5m @ 6.9g/t Au + 138.5g/t Ag, 7m
@ 4g/t Au + 23.9g/t Ag and 2m @ 4.1g/t Au + 35.4g/t Ag (Table 1). These
intercepts reinforce the potential for high-grade ore to be accessed
within the early stages of mining in this area. In particular, the
southernmost two holes at the end of Arzu South intercepted
mineralisation which lies outside of the current resource model but
inside the Whittle pit shell. This will have the effect of increasing
in pit reserves.
In addition, two hundred meters of ASP vein strike was tested on three
drill fences (100m fence spacing), testing the structure to a maximum
vertical depth of 85 meters below surface and, in two places,
intercepting the Arzu South vein on each fence. Results from the ASP
trend returned with intercepts including, 1m @ 3.7g/t Au + 9.7g/t Ag, 1m
@ 1.7g/t Au + 85.1g/t Ag and 1m @ 0.5g/t Au + 30.5g/t Ag (Table 1).
Compared to the drilling results in the northwest of Arzu South, ASP
appears to decrease in width, from a maximum thickness of 4m to an
approximate minimum thickness of 1m in the southeast. However, grades
remain consistently anomalous along strike and depth, except to the far
southeast, where the structure appears to disperse in to wider zones of
low grade stockwork mineralisation. As an additional vein and stockwork
zone sitting within the Whittle pit shell of Arzu South, ASP will
potentially contribute to the resource, in addition to reducing
waste-rock excavated from the footwall of the Arzu South vein.
Reporting of significant results for the Phase One drilling programme is
now complete. Plans for Phase Two of the 2016 programme are being
finalised and drilling is currently scheduled to start on 24 October
2016 for a total of 3,500m. This represents a significant expansion to
our original drilling plans for 2016 and is considered especially
warranted given the exploration success of the earlier phase of the
programme.
Table 1: Significant RC drilling results from the 2016 programme,
arranged in order of the gram x metre intercepts (down-hole gold
equivalent grade multiplied by intercept thickness). The intercepts
reported in this table are the down-hole lengths. Intercept grades have
been calculated using a 0.5 g/t Au minimum cut-off with up to 2m
internal waste allowed. The location of intercepts relative to the
Whittle optimised pit shell is also identified, demonstrating that
considerable additional mineralisation has been discovered within or
just to the margins of the Whittle pit. Where ASP was intercepted these
are identified, otherwise the intercepts relate to the main Arzu South
vein trend.
Grade Grade Au
From To Interval Au Ag Equivalent Inside/Outside
Hole ID (m) (m) (m) (g/t) (g/t) (g/t) Pit
KTP-RC15-16 13 18 5 6.9 138.5 9.2 Inside
KTP-RC18-16 19 26 7 4.0 23.9 4.4 Inside
KTP-RC16-16 18 20 2 4.1 35.4 4.7 Inside
KTP-RC12-16 28 29 1 3.7 9.7 3.9 Edge (ASP)
KTP-RC17-16 13 15 2 1.6 2.8 1.6 Inside
KTP-RC13-16 101 102 1 1.7 85.1 3.1 Outside (ASP)
KTP-RC13-16 3 4 1 1.2 11.8 1.4 Inside
KTP-RC14-16 77 78 1 0.5 30.5 1.0 Outside (ASP)
Figure 1
FIGURE 1 is a map of the SE end of the Arzu South pit, showing the
limits of the feasibility designed pit and the recent Whittle
optimisation. The positions of all new and historic drill collars are
shown, with drill traces and intercept locations identified for all
recent holes. The ASP vein trend (with associated low-grade stockwork
zones) is apparent even at the southern end of Arzu South and these
initial holes demonstrate the continuity of mineralisation along this
trend, though to a lesser degree than the NW end of Arzu South. The
Arzu Far South target area is also shown, which will be drill-tested for
the first time as part of the Phase Two programme.
Sampling and Assaying Procedures
178 samples were selected based on geological logging of RC chips during
drilling and sent for assay. All samples from the drilling programme
undertaken by Ariana Resources plc, were prepared and assayed by 30g
fire assay, and ICP-MS multi-element analysis, at the ALS Global
laboratory in Izmir. Routine re-assaying of all samples assaying
greater than 10 g/t of gold and 100 g/t of silver has also been
completed by ALS Global. Standard, blank and duplicate samples are
being used in the sample batches, which is in line with the Company's
quality control procedures. Laboratory sample preparation, assaying
procedures and chain of custody are appropriately controlled. The
Company maintains an archive of reference RC chip samples, in addition
to all sample pulps and splits.
This announcement contains inside information for the purposes of
Article 7 of EU Regulation 596/2014.
Contacts:
Ariana Resources plc Tel: +44 (0) 20 7407 3616
Michael de Villiers, Chairman
Kerim Sener, Managing Director
Beaumont Cornish Limited Tel: +44 (0) 20 7628 3396
Roland Cornish / Felicity Geidt
Beaufort Securities Limited Tel: +44 (0) 20 7382 8300
Jon Belliss
Panmure Gordon (UK) Limited Tel: +44 (0) 20 7886 2500
Adam James / Tom Salvesen
Editor's Notes:
Dr Kerim Sener, BSc (Hons), MSc, PhD, is the Managing Director of Ariana
Resources plc. A graduate of the University of Southampton in Geology,
he also holds a Master's degree from the Royal School of Mines (Imperial
College, London) in Mineral Exploration and a doctorate from the
University of Western Australia. He is a Fellow of The Geological
Society of London and has worked in geological research and mineral
consultancy in Africa, Australia and Europe. He has read and approved
the technical disclosure in this regulatory announcement.
About Ariana Resources:
Ariana is an exploration and development company focused on epithermal
gold-silver and porphyry copper-gold deposits in Turkey. The Company is
developing a portfolio of prospective licences selected on the basis of
its in-house geological and remote-sensing database, on its own in
western Turkey and in Joint Venture with Eldorado Gold Corporation in
north-eastern Turkey. Eldorado owns 51% of this joint venture and are
fully funding all exploration work on the JV properties, while Ariana
owns 49%. The total resource inventory within this JV is 1.09 million
ounces of gold.
The Company's flagship assets are its Kiziltepe and Tavsan gold projects
which form the Red Rabbit Gold Project. Both contain a series of
prospects, within two prolific mineralised districts in the Western
Anatolian Volcanic and Extensional (WAVE) Province in western Turkey.
This Province hosts the largest operating gold mines in Turkey and
remains highly prospective for new porphyry and epithermal deposits.
These core projects, which are separated by a distance of 75km, are
presently being assessed as to their economic merits and now form part
of a Joint Venture with Proccea Construction Co. The total resource
inventory at the Red Rabbit Project stands at c. 525,000 ounces of gold
equivalent.
Beaufort Securities Limited and Panmure Gordon (UK) Limited are joint
brokers to the Company and Beaumont Cornish Limited is the Company's
Nominated Adviser.
For further information on Ariana you are invited to visit the Company's
website at www.arianaresources.com.
Glossary of Technical Terms:
"Ag" Silver
"Au" Gold
"g/t" grams per tonne
"m" Metres
"oz" Ounces
Ends
FIGURE 1: http://hugin.info/138153/R/2049771/766588.pdf
This announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the information
contained therein.
Source: Ariana Resources plc via Globenewswire
http://www.arianaresources.com/s/Home.asp
(END) Dow Jones Newswires
October 19, 2016 02:01 ET (06:01 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
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