Orogen Gold Plc
('Orogen' or 'the Company')
Orogen Gold Plc (AIM:ORE), the AIM listed mineral exploration company focussed on Gold exploration and development in Europe, gives a further progress update at its Deli Jovan project in eastern Serbia.
· All main underground levels at historic Gindusa and Rusman gold mines accessed
· Underground mapping and channel sampling 80% complete at both mines
· Extensive underground mine workings uncovered at Gindusa
· Mineralised quartz lenses at Gindusa traced from surface remain open below 60m depth
· Drill target zones identified at Rusman
· Access to mine sites re-established after temporary cut-off due to extreme weather
Since the last update in early December the Company has succeeded, through water pumping and rehabilitation of the old workings, in gaining access to all the remaining underground levels at the two historic gold mines located on the Deli Jovan project area. A total of more than two kilometres of shafts and adits have been cleared and made safe.
Underground mapping has revealed that gold-bearing quartz veins at Gindusa were much more extensively mined than at Rusman. Mining at Gindusa has taken place from surface to greater than 60 metres depth along a 200 metre strike length and the mineralised zones remain open below this depth, with no drill testing of potential depth and strike extensions. We believe that this offers substantial opportunities for the Company.
At the Rusman historic mine, development focussed on two ore shoots at either end of the main structure. These do not appear to have been investigated much below the first mine-level at 30m depth and represent potential shallow drill targets for Orogen.
Surface soil geochemical anomalies along the six kilometre strike between the two mines and to the west of Gindusa also represent priority targets for trench and drill testing.
Detailed structural bedrock mapping and chip/channel sampling, as well as underground surveying, was about 80% complete and on schedule by late January. Extreme winter weather conditions in Serbia towards the end of January, the worst seen in over thirty years, led to the declaration of a state of emergency in the country. Access to the Gindusa and Rusman mine sites was temporarily cut-off and has only recently been re-established.
The impact on the overall timing for the completion of the underground programme and consequent receipt of rock sample assay results will be reviewed but every effort will be made to minimise disruption to the work schedule. It is expected that the initial diamond drilling programme from surface at Deli Jovan will commence in early in Q2 of 2012 as planned.
Chief Executive of Orogen Gold Plc, Ed Slowey, commented:
"We are greatly encouraged by the style and vertical continuity of the mineralised zones seen at both levels in the Gindusa mine. We will complete the underground mapping and sampling programme once the snows have melted and we can regain access. The results will generate priority targets for the diamond drilling programme planned for Spring 2012. Work at the Rusman mine has already identified two compelling drill targets related to specific mineralised shoots and several other drill targets are also being developed along the Deli Jovan shear belt."
"The exceptionally severe winter weather conditions in Serbia have slightly impacted on the timing of completion of the underground work at Gindusa, but every effort will be made to minimise this and to commence the drilling programme on schedule early in Q2 2012."
"We will continue to update shareholders as work progresses and when we receive assay results from the underground sampling programme shortly."
Orogen Gold Plc
Ed Slowey, CEO
Alan Mooney, FD
+353 1662 8395
Zeus Capital Limited
Nominated Adviser and Joint Broker
Ross Andrews/Tom Rowley
+44 (0)161 831 1512
XCAP Securities Plc
+44 (0) 207 101 7070
+44 (0) 207 653 9842
Notes to Editors
CEO Ed Slowey, PGeo, EuroGeol is a Competent Person as defined by various international instruments and takes responsibility for the release of this information.
The Deli Jovan gold project is in eastern Serbia, the site comprising two shallow underground gold mines at Rusman and Gindusa, about 6 kilometres apart along a major shear zone, that were last in production over seventy years ago.