Eurasia Mining plc
("Eurasia" or the "Company")
Monchetundra Operations Restarted
Eurasia Mining plc, the Russia focused PGM exploration and development company, is pleased to announce the restarting and acceleration of development studies at the Company's Monchetundra PGM licence area.
Ground operations at Monchetundra are focused on the West Nittis area, where near-surface high-grade platinum and palladium mineralization was discovered by Eurasia in a 2010 drilling campaign (as announced 29 March 2011), followed up by confirmatory drilling in 2013 (as announced 2 September 2013).
The significance of these results is that they confirmed the discovery of "Hanging Wall" Copper-Platinum Group Metal, (copper-PGM) type ore - see details below. This style of mineralization resembles similar ore previously mined in the region, albeit with high-grade base metals rather than PGMs.
In line with the approach undertaken at its other project at West Kytlim in the Urals, the Company is intending to submit a feasibility study to the government agency Rosnedra in order to seek the award of a Discovery Certificate. It is expected that the submission will happen late this year or early in 2016.
The planned work includes a drilling programme to allow the calculation of resources and sufficient core samples for metallurgical testwork. Additional drilling for hydrogeological tests will be carried out, as well as for base-line environmental sampling.
Receipt of a Discovery Certificate should increase the inherent value of the project and enables the company to apply to partially extend the licence area into open unlicensed ground where it is believed the mineralization extends.
Christian Schaffalitzky Managing Director of Eurasia Mining said: "We have received a significant amount of interest in the Monchetundra asset from third parties and detailed discussions are continuing.
Should the Company crystallise substantial value from our Monchetundra interests it would be a highly significant achievement, however whilst discussions continue it is important to progress the asset on the ground. By securing a Discovery Certificate for the licence and by pursuing various exploration and development steps, we believe we can add significant value to our interests and increase the degree of commercial interest, for any parties wishing to engage with the project.
We will provide regular updates on our work and any corporate matters related to our projects. We also look forward to releasing further information in respect of West Kytlim, Monchetundra and in respect of additional opportunities, in the near future."
Background:
Following receipt of final approvals in respect of the West Kytlim production licence, Eurasia is progressing the administrative tasks to secure the production licence paperwork that will allow Platinum production to commence at West Kytlim within the next year. The securing of approvals and the impending licence issue are major steps forward in the inherent value of the Company and we are working hard to finalise and implement our production plans at West Kytlim.
With the approvals process at West Kytlim now complete, we are now able to focus more time on Monchetundra and specifically to determine how best to move our commercial discussions forward whilst still achieving progress operationally on the ground.
Further updates will be provided to market at the earliest opportunity, either in respect of corporate activities or ground operations.
With specific regard to West Nittis at Monchetundra, the drilling data and related discussion is detailed below as previously reported in releases and annual reports:
The highlights of the drilling work was the outlining of a new zone, broadly stratabound and dipping at 10-30° degrees to the east, consisting of sulphide mineralization which contains base metals with PGM, in an initial target area of approximately 1100m long and 700m wide. This zone, named West Nittis, is in addition to the mineralized zones already drilled further south in the Monchetundra licence area. The company was targeting near surface, open-pittable mineralization but in addition to this, a further discovery of high-grade mineralization was made.
This discovery of high grade PGM (low base metal) zone at a depth of 37.3 meters is located in the hanging wall of stratabound mineralization. This zone appears to be related to a vertical structure associated with a later dyke intrusion. The table below summarises the PGM values obtained, with significant copper and gold also being present (as announced on 29 March 2011 and 2 September 2013).
Hole No. |
Interval |
Length |
Au |
Pt |
Pd |
Cu |
Ni |
(meters) |
(meters) |
g/t |
g/t |
g/t |
% |
% |
Mt-079 |
17.3-19.0 |
1.7 |
2.37 |
0.14 |
2.5 |
0.95 |
0.15 |
Mt-079 |
37.3-43.2 |
5.9 |
0.26 |
2.66 |
8.2 |
0.06 |
0.07 |
Mt-086 |
26.0-29.3 |
3.3 |
0.14 |
0.75 |
4.96 |
0.67 |
0.15 |
Mt-086 |
49.0-50.1 |
1.1 |
12.28 |
6.52 |
98.8 |
2.13 |
0.15 |
Mt-087 |
8.7-19.05 |
18.4 |
0.22 |
0.23 |
1.57 |
0.18 |
0.08 |
Mt- 088 |
71.7-73.4 |
1.7 |
0.07 |
0.21 |
1.53 |
0.04 |
0.23 |
Mt-089 |
47.45-49.2 |
1.75 |
0.11 |
0.74 |
3.66 |
0.02 |
0.04 |
Mt-090 |
26.5-27.5 |
1.0 |
0.21 |
1.5 |
16.7 |
3.84 |
0.08 |
Including |
27.0-27.5 |
0.5 |
0.37 |
3.01 |
32 |
7.64 |
0.08 |
Mt-091 |
9.0-10.0 |
1.0 |
0.07 |
0.38 |
2.14 |
0.03 |
0.05 |
Mt-092 |
92.4-93.0 |
0.6 |
0.017 |
0.095 |
1.34 |
0.1 |
0.16 |
Mt-095 |
6.0-6.8 |
0.8 |
0.05 |
0.26 |
2.4 |
0.15 |
0.07 |
Mt-096 |
3.7-6.0 |
2.3 |
0.59 |
1.62 |
3.3 |
0.27 |
0.08 |
This "Hanging Wall" type mineralization in the Monchetundra Licence area adds value to the stratabound zone. This Cu-PGM mineralization occurs as a linear stockwork represented by a series of chalcopyrite-rich veins and veinlets in tectonized pyroxenites. Some of these grades obtained are among the highest ever seen in the Monchetundra area and confirm that a very exciting target remains to be followed up, as the zone is interpreted to be open along strike and down dip.
Consent for release
EurGeol Christian Schaffalitzky, FIMMM, PGeo, CEng, is a director of the Company. He has reviewed the update and consents to the inclusion of the exploration information in the form and context in which it appears here. He is a Competent Person for the reporting of these results.
Enquiries:
Eurasia Mining Plc
Christian Schaffalitzky/Michael de Villiers
+44 (0)207 932 0418
WH Ireland Limited
Katy Mitchell/Liam Gribben
+44 (0)161 832 2174
Beaufort Securities
Elliot Hance
+44 (0)207 382 8300
Loeb Aron
John Beresford-Peirse
+44 (0)207 628 1128
