EurOmax Reports 2.1 Million Ounces Gold Initial Resource Estimate for Logo Prospect, Trun Project, Bulgaria
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 02/08/11 -- EurOmax Resources Limited (TSX VENTURE: EOX) ('EurOmax' or the 'Company') is pleased to announce an initial National Instrument 43-101 compliant resource estimate for the Logo Gold Prospect at its 100% controlled Trun Project, Bulgaria. The estimate is based on data generated to the end of the 2010 field season. The deposit remains open for expansion to the north, east and west and additional drilling is being planned for these areas.
Highlights of the 0.3 g/t gold cut-off Resource Estimate:
-- At the base case 0.3g/t gold cut-off grade, the Logo Prospect contains
an inferred resource of 91.2 million tonnes at a grade of 0.70g/t Au for
2.1 million ounces of contained gold.
-- This resource lies within a gently dipping, sheet-like body at, or close
to surface and remains open for expansion to the north, east and west.
Grades and thicknesses of mineralization are improving to the north and
northeast.
-- Gold mineralization is hosted by hornfels immediately overlying the Big
Hill granite and shares similarities to the Dublin Gulch and Fort Knox
'tombstone' type gold deposits of the Tintina belt in North America.
-- Mineralization occurs in stockwork quartz carbonate veins with sulphide
contents generally less than 3%. Significant scheelite accompanies gold
in places.
Dr. Roger Moss, technical advisor to the Company stated 'This initial resource is a major milestone for the Trun Property and for EurOmax, as the Company works to unlock the value we believe to be contained in our property portfolio.'
Inferred resources were also estimated at cut-off grades of 0.15g/t Au and 0.4g/t Au and are summarized in the table below. A drill hole location plan and cross sections can be seen in the technical report on the Company's website.
Logo initial mineral resource estimate
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Material Category Cut-off Tonnes (Mt) Gold (g/t) Gold (Moz)
Grade
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Sulphide Inferred 0.15 131.8 0.59 2.5
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Sulphide Inferred 0.3 91.2 0.70 2.1
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Sulphide Inferred 0.4 39.6 0.98 1.2
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This is the first NI 43-101 compliant mineral resource estimate completed for the Logo deposit. Mr. Geoffrey S. Carter, P.Eng., Broad Oak Associates, is the 'qualified person' responsible for the resource estimate. The mineral resource estimates were prepared under Canadian Institute of Mining Metallurgy and Petroleum (CIM) definition Standards (2005) and CIM Best Practice Guidelines for preparing mineral resources and mineral reserves. Mr. Carter is 'independent' of EurOmax as the term is defined in NI 43-101.
Although all mineral resources in the estimate were classified as inferred resources due to the relatively sparse drilling information (20 drill holes) and uncertainty in the geological model and grade estimation, the long section and cross sections of the Logo deposit show that the presence of the mineralization is extensive and demonstrates reasonable continuity.
Broad Oak Associates has finalized the NI-43-101 technical report on which the resource estimate is based. This report is available on the Company's website and has been filed on SEDAR.
2011 Exploration Plans
Grades and thicknesses of mineralization appear to be improving to the north and northeast at Logo, and it is believed that this initial resource can be expanded and improved with further drilling. EurOmax is planning on drilling additional holes in these areas as well as on additional targets at Trun beginning the summer of 2011. Of particular note, it is believed that the granite- and syenite-hosted K2 prospect could potentially add significant ounces of gold resource to the Trun project with additional drill holes. The Trun project encompasses approximately 7,500 hectares and hosts at least five additional gold targets besides Logo and K2 that are defined by broad ( 500 m diameter) gold in soil anomalies. These targets are also being evaluated for initial drill testing.
Quality Control and Quality Assurance
Drilling was conducted using Diamond drill rigs. Core samples were split in half by electric saw, sampled and bagged at a sample preparation facility in Bulgaria by EurOmax personnel. Samples were securely stored prior to transport to SGS Chelopech or EuroTest Control laboratories in Bulgaria. Both laboratories are certified to international standards. Quality control samples including duplicates, blanks and standards were submitted with each sample batch and represented approximately 12% of all samples submitted. Gold was assayed by a 50 gram fire assay fusion with an Atomic Absorption Spectrometry (AA) finish.
Roger Moss, Ph.D., P.Geo., a member of the EurOmax Technical Advisory Board and a 'qualified person' as defined by NI-43-101, supervised the preparation of the technical information contained in this news release.
About EurOmax Resources Limited
EurOmax is a Canadian company focused on precious and base metal projects in Southeastern Europe. Our strength is the local staff, knowledge and technical expertise in Bulgaria, Serbia and Macedonia.
This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, resource estimates, metallurgical testing, geophysical and geochemical surveys, drilling, geological interpretations, receipt of mining concessions and property titles, potential mineral recovery processes and potential partners. Forward looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements, and readers are encouraged to review all Company documents filed with the securities authorities in Canada, including the Management Discussion and Analysis in respect of the Company's recent financial statements under the heading 'Operational and Other Business Risks'. These documents describe the material factors and assumptions that were applied in drawing the conclusions and making the forecasts and projections as reflected in the forward-looking statements and information, and the material factors that could cause our actual results, performance or achievements to differ materially. We undertake no obligation to update or revise any forward-looking statements or information made in this news release.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
San Diego Torrey Hills Capital
(858) 456-7300
www.torreyhillscapital.com
EurOmax Resources Limited
Mark Gustafson
President & CEO
(604) 454-8677
markg@euromaxresources.com
www.EurOmaxresources.com