VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 6, 2011)
- (all figures in United States dollars unless
otherwise noted) -
Paul N. Wright, President and Chief Executive Officer of Eldorado
Gold Corporation, (News
- Market
indicators)(NYSE:EGO)(ASX:EAU) ("Eldorado" the "Company" or "we") is
pleased to provide an update on the Company's 2011 exploration programs in
Turkey, China, and Brazil. The $54M exploration budget includes
programs totaling up to 125,000 metres of core drilling and 15,000 metres
of RC drilling. Highlights of our 2011 exploration programs to date
include:
- At the White Mountain mine in NE China two new drillholes have
confirmed and expanded a deep mineralized lens first discovered in
late 2010 (news release dated Dec. 07, 2010). New intercepts here
include 10.0 metres at 10.9 g/t Au, and 6.0 metres at 6.6 g/t Au.
- At the Efemcukuru mine in western Turkey, systematic drilling
along strike to the northwest of the North Ore Shoot has defined a
new zone of gold mineralization, referred to as the Kestane Beleni
Northwest Extension, with intercepts including 1.75 metres at 20.1
g/t Au, and 0.5 metres at 67.3 g/t Au.
- At the Agua Branca project in the Tapajos gold district in Para
State, Brazil, Diamond drillhole AB-46, targeting strong auger
drilling results at the Camarao Zone, intersected 154.2 metres
grading 1.06 g/t Au. Based on encouraging exploration results,
Eldorado has made the final payment on this project under the
option agreement with Talon Metals Corp., thereby gaining
100% ownership.
Turkey Exploration
Programs
Efemcukuru
The Efemcukuru mine, which began commissioning in June 2011, is
situated in a high grade, intermediate sulfidation vein system with
peripheral stockwork zones. The existing mineral reserves are
restricted to a single vein (the Kestane Beleni vein), and comprise three
ore bodies referred to as the South, Middle, and North ore
shoots. Mineralization in the Kestane Beleni vein is open at depth
and along strike. Our 2011 surface exploration program at Efemcukuru
includes over 11,000 metres of planned drilling focusing on two main
areas: the northwest along-strike extension of the Kestani Beleni vein,
and the parallel Kokarpinar vein, located 400 to 500 metres to the east of
the Kestani Beleni vein (Figure 1).
Kestane Beleni Northwest Extension
The Kestane Beleni northwest extension represents the strongest Au + Ag
soil anomaly on the property outside of the South Ore Shoot. Prior to
2011 this anomaly had only been tested by two shallow drillholes. The
current phase of drilling is testing shallow portions of the vein over a
500 metre strike length (Figure 2). This drilling
has identified a northwest-plunging mineralized zone which is open below
the tested depth of approximately 200 metres. 2011 drillhole
intersections are listed below in Table 1.
Kokarpinar
The Kokarpinar vein has been traced on surface for a strike length of
over 2,500 metres. The Kokarpinar vein has mineralogical and textural
characteristics similar to the Kestane Beleni vein, but has received
significantly less exploration. Previous drilling included shallow
reverse circulation holes in the northwestern vein segment, and several
fences of Diamond drillholes completed in 2009 which produced ore-grade
intercepts (news release June 17, 2010). In addition, surface samples
of the Kokarpinar vein have produced numerous multi-gram assay
results. The 2011 drilling program is testing the northwest vein
segment beneath the previous RC drillholes, as well as following up on
results from the 2009 drilling in the southeast vein segment. All of
the 2011 drillholes at Kokarpinar have intersected mineralized veins at
projected levels, and assay results received from the first three are
positive (Table 1).
Table 1: Summary of drillhole intercepts containing above 2.0
g/t Au for the Kestane Beleni northwest extension and Kokarpinar veins -
Efemcukuru project. Other drillholes intersected the targeted veins,
but at below 2.0 g/t cut-off grade. True thicknesses vary from 75% to 100%
of reported lengths.
| Kestane Beleni Vein |
| Hole
# |
From
(m) |
To
(m) |
Length
(m) |
Au
(g/t) |
Ag
(g/t) |
Comment |
| KV-367 |
73.25 |
74.80 |
1.55 |
7.57 |
16.19 |
|
| 81.50 |
82.00 |
0.50 |
67.30 |
100.00 |
|
| KV-368 |
96.15 |
97.90 |
1.75 |
20.10 |
70.58 |
|
| KV-369 |
79.00 |
83.20 |
4.20 |
2.77 |
12.23 |
|
| KV-370 |
96.20 |
97.20 |
1.00 |
2.84 |
41.00 |
|
| 104.70 |
106.45 |
1.75 |
4.90 |
24.16 |
|
| KV-371 |
86.90 |
89.55 |
2.65 |
2.35 |
23.67 |
|
| KV-373 |
96.45 |
97.35 |
0.90 |
10.00 |
13.70 |
|
| 108.00 |
109.00 |
1.00 |
3.65 |
19.60 |
|
| 117.00 |
118.00 |
1.00 |
2.83 |
4.70 |
|
| KV-376 |
48.75 |
49.50 |
0.75 |
11.75 |
22.10 |
|
| 59.20 |
60.80 |
1.60 |
2.45 |
2.73 |
|
| KV-377 |
117.97 |
120.15 |
2.18 |
5.53 |
49.05 |
|
| KV-380 |
7.20 |
8.20 |
1.00 |
14.10 |
0.50 |
|
| 68.70 |
69.40 |
0.70 |
1.75 |
260.00 |
Also contains 16.35% Pb, 13.2 % Zn |
| KV-383 |
149.15 |
150.51 |
1.36 |
5.79 |
0.90 |
|
| KV-386 |
176.75 |
177.05 |
0.3 |
2.69 |
28 |
|
| KV-387 |
58.03 |
64.30 |
6.27 |
16.62 |
39.57 |
North Ore Shoot |
| KV-390 |
41.40 |
46.50 |
5.10 |
4.24 |
49.46 |
North Ore Shoot |
| Kokarpinar Vein |
| Hole
# |
From
(m) |
To
(m) |
Length
(m) |
Au
(g/t) |
Ag
(g/t) |
Comment |
| KV-384 |
79.50 |
80.80 |
1.30 |
4.87 |
6.80 |
|
| 107.90 |
108.30 |
0.40 |
5.39 |
31.10 |
Also contains 2.08% Pb, 9.3 % Zn |
| KV-388 |
218.90 |
219.90 |
1.00 |
2.90 |
54.30 |
|
| KV-391 |
289.5 |
300.00 |
1.50 |
5.18 |
7.40 |
|
Kisladag
Following our highly successful 2009 and 2010 resource drilling
programs, the 2011 exploration program has shifted to new target
generation peripheral to the main porphyry system, focusing on possible
satellite deposits concealed beneath volcanic cover. We are currently
conducting soil sampling and a 3-dimensional IP survey covering
approximately 40 km2 surrounding the deposit to identify new
targets.
Our 2011 drilling to date at Kisladag totals 12 Diamond drillholes
testing fault-controlled hydrothermal conduits emanating southward from
the deposit area, and investigating areas reserved for infrastructure
expansion. No significant mineralized intersections have been
obtained.
Reconnaissance Drilling Programs
Konya - Sizma
The Konya-Sizma gold prospect in south-central Turkey targets anomalous
gold values within a sequence of mixed limestone and phyllite, and lies
within an area of mercury prospects and former mines. Preliminary
shallow reverse circulation drilling in 2010 intersected low gold grades
over tens of metres, with isolated multi-gram intercepts. Our 2011 Diamond
drilling program, currently in progress, is testing the down-dip
projection of these zones. To date nine drillholes have been completed,
although in two holes core recovery was inadequate for geochemical
analysis. Results from the first holes and summarized in table 2
below.
Table 2: Summary of 2011 drillhole intercepts for the Konya-Sizma
prospect. True thicknesses of mineralized zones uncertain
| Hole
ID |
From
(m) |
To
(m) |
Length
(m) |
Average
grade
(Au
g/t) |
Comments |
| SDD-25 |
44.00 |
58.20 |
14.20 |
1.26 |
68% core recovery in interval |
| SDD-26 |
8.00 |
32.00 |
24.00 |
1.03 |
|
| including |
28.00 |
32.00 |
4.00 |
2.44 |
|
| SDD-28 |
43.05 |
47.15 |
4.10 |
2.33 |
|
| SDD-28 |
94.05 |
98.15 |
4.10 |
1.32 |
|
| SDD-29 |
28.80 |
42.80 |
14.00 |
1.24 |
|
| SDD-29 |
75.60 |
87.80 |
12.20 |
1.73 |
68% core recovery in interval |
| including |
86.50 |
87.80 |
1.30 |
8.15 |
|
China Exploration
Programs
White Mountain
District
At the White Mountain Mine, we are conducting stepout and infill
drilling of the main deposit from underground stations, and deep drilling
from surface to follow up on the discovery of a new, deeper zone of high
grade gold mineralization announced in late 2010. The surface
drillholes have confirmed and extended the 2010 intercept of 24.7 metres
grading 8.7 g/t Au previously reported from drillhole 337 (Table
3). Intercepts in this area outline a new mineralized zone, open both
along strike to the north and down dip (Figure 3). While
the widths of these new intercepts are consistent with the upper portion
of the orebody, the grades are significantly higher than the current
reserve grade.
At the Xiaoshiren project located 20 km SE of the White Mountain mine,
we have completed 14 Diamond drillholes testing three distinct zones of
gold mineralization outlined by soil geochemical anomalies, trench
exposures of high-grade breccias, and boulder trains of high-grade
breccia. Best results are from two of the four drillholes at Zone 4,
where elevated gold values are associated with zones of brecciation and
silicification.
Elsewhere in the White Mountain district, three drillholes have been
completed at the Zhenzhumen project located southwest of the White
Mountain Mine (results pending), and soil sampling and mapping has been
completed at the Dongdapo project in preparation for drilling in 2012.
Table 3: Summary of drillhole intercepts for White Mountain and
Xiaoshiren surface drilling. True thicknesses for White Mountain
intercepts are approximately 80% of reported lengths.
| White Mountain, Surface Exploration |
| Drillhole |
From
(m) |
To
(m) |
Length
(m) |
Au
(g/t) |
| 342 |
651.0 |
657.0 |
6.0 |
6.6 |
| 344 |
719.0 |
729.0 |
10.0 |
10.9 |
| 345,
346 |
No significant results |
| Xiaoshiren Zone 4 |
| Drillhole |
From
(m) |
To
(m) |
Length
(m) |
Au
(g/t) |
| HDDS-14b |
93.0 |
96.2 |
3.2 |
8.0 |
| HDDS-015 |
41.5 |
43.7 |
2.2 |
3.5 |
| HDDS-012,
017 |
No significant results |
Jinfeng
District
At the Jinfeng Mine, we commenced a 22,000 metre underground
exploration drilling program in August, and expect to complete the first
12,000 metres by year end. Objectives of this program are to infill
areas of low drillhole density, to confirm a new structural model for the
deposit, and to test new exploration targets that are based on this
structural model. Initial results confirm the revised structural
model, and we will begin drilling step-out holes and testing new
exploration targets in the fourth quarter.
Elsewhere in the Jinfeng District, we are currently drill-testing
early-stage targets at several exploration licenses held within our Jindu
and Jinluo joint venture projects.
Tanjianshan
Minesite
At the Tanjianshan project in Qinghai Province, our 2011 exploration
activities include infill drilling of the 323 deposit to support
application for a mining license, and mapping/sampling programs aimed at
generating new drilling targets on the four surrounding exploration
licenses. Approximately 7,000 metres of drilling has been completed
to date at the 323 deposit, and initial results confirm continuity of
geological features and grade distribution predicted by the preliminary
model.
Brazil Exploration
Programs
Tocantinzinho
Project
In 2011, we have completed 44 Diamond drillholes (>13,000 metres)
testing geochemical and geophysical targets peripheral to the
Tocantinzinho Deposit and along the Tocantinzinho mineralized
trend. Assays results have been received from half of these holes,
and include anomalous to high-grade gold values, generally over narrow
widths, associated with altered and veined granitoids, fault zones, and
andesite dykes. Drilling for the remainder of 2011 will focus on
untested targets along the Tocantinzinho trend to the northwest of the
deposit, where strong Au geochemical anomalies are present.
Agua Branca
project
At the Agua Branca project, previously held under an option agreement
with Talon Metals Ltd., we have completed eight Diamond drillholes on the
Camarao and Carlinho targets, targeted using soil geochemistry and grid
auger drilling. Assay results have been received from the first three
drillholes (AB-44, 45, 46), with only AB-46 producing significant gold
grades. This drillhole intersected 154.2 metres averaging 1.06 g/t
Au, starting at a depth of 145.8 metres, hosted by silicified granodiorite
with quartz mozonite intercalations.
Based on the 2010 and 2011 exploration results at Agua Branca, Eldorado
has completed the final option payment of US$1.87M to Talon Metals Corp.,
thereby assuming 100% ownership of the project.
Kopy Goldfields Agreement
Eldorado has recently entered into a share purchase agreement with Kopy
Goldfields AB ("Kopy"), a company listed on the NASDAQ OMX First North
exchange in Stockholm, whereby the Company has the right to acquire up to
2,700,000 common shares of Kopy.
Kopy holds seven exploration licenses totaling 255 km2
located in the prolific Lena Goldfields north of Bodaibo in the Irkutsk
Region of Russia. This district has produced over 30 million ounces of
gold from alluvial operations since the mid 1800s and is host to world
class bedrock gold deposits such as Sukhoy Log, Vysochaishy and
Verninskoye.
The first tranche of this deal has now been completed whereby the
Company has acquired 1,700,000 common shares of Kopy at a purchase price
of 10 SEK. Pending approval by Kopy shareholders in an upcoming
Extraordinary General Meeting (EGM), Eldorado has the right to acquire an
additional 1,000,000 common shares at a purchase price of 12 SEK. Upon the
closing of the second transaction, Eldorado will control approximately 28%
of the share capital of Kopy. As per the terms of the agreement, a
technical committee composed of personnel from both Eldorado and Kopy will
be formed to oversee the planning and implementation Kopy's exploration
programs in the Lena Goldfields.
Dr. Peter Lewis, P.Geo., V.P. Exploration for Eldorado, is the
qualified person for the technical disclosure in this press release. Assay
results reported in this release for the White Mountain district were
Diamond drill core samples prepared at Eldorado's sample preparation
facility at White Mountain and assayed at the ALS laboratory in Guangzhou,
China. Assay results for the Efemcukuru and Sizma projects were Diamond
drill core samples prepared at Eldorado's sample preparation facility at
Cannakale and assayed at the ALS laboratory in Vancouver,
Canada. Assay results for the Agua Branca projects were Diamond drill
core samples prepared at Acme Analytical Laboratories' facility in
Itaituba, Brazil and assayed at ACME's laboratory in Santiago, Chile. For
all projects, analysis for gold is done on sawn half core samples using
fire assay methods. Standard reference materials, field duplicate samples,
and blank samples were regularly inserted prior to shipment from the
preparation site at White Mountain or Cannakale and the project site at
Agua Branca to monitor and control the quality of the assayed data.
Eldorado is a gold producing, exploration and development company
actively growing businesses in Turkey, China, Greece and Brazil. With our
international expertise in mining, finance and project development,
together with highly skilled and dedicated staff, we believe that our
company is well positioned to grow in value as we create and pursue new
opportunities.
ON BEHALF OF ELDORADO GOLD CORPORATION
Paul N. Wright, President and Chief Executive
Officer
