Solomon Gold Announces Resource Upgrade

PUBLISHED: 01 Dec 2011 @ 02:01 | Comments (0) |

Solomon Gold Plc (LSE:SOLG) announced on Wednesday a resource upgrade for their Rannes site in Central Queensland, Australia. The news drove the share price up over 40% by mid-afternoon trading.

The statement released by the company on 30 November informed investors that the Inferred Resource Estimate at the Rannes site has increased by 20% from 675,779 oz to 812,000 oz.

Further Information

This statement follows a similar release dated 29 September of this year that announced a 24% increase in Inferred Resource Estimate at the same site.

According to the statement, drilling continues at the Rannes Project at the Kauffmans, Crunchie, Shilo, Double Scoop, and Nicks prospects.

The inferred resource increase is associated with additional deep resources from a number of good intersections at depth at the Kauffmans-Homestead prospect.

Mineralisation remains open to the north and at a greater depth. Drilling has only reached 170m at the deepest hole.

CEO Comments on the News

Malcolm Norris, Chief Executive Officer of Solomon Gold, commented on the announcement:

“The Board is highly encouraged by today’s further resource estimate upgrade. Drilling continues at the Company’s Kauffmans, Crunchie, Shilo, Double Scoop and Nicks Prospects with shallow, percussion drilling and deeper diamond drilling. Exploration also continues at the 21 other nearby prospects, which have been identified in the Rannes Project area, with the aim of delivering the Company’s objective of defining two million ounces of gold equivalent.

The Board is also delighted that Nick Mather, who stepped across from his former role as CEO to Executive Director in October this year, remains fully involved with the day-to-day running of the Company. With Nick’s knowledge and support, the team look forward to driving towards the stated target of 2Moz Gold equivalent in Inferred resources at Rannes, and in contributing to the strategic direction of Solomon Gold and assessing growth opportunities for the Company.”

Company Spotlight

Solomon Gold Plc is an AIM traded mining company based out of Brisbane, Queensland, Australia. Their operational focus is on the Solomon Islands and Australia. The company portfolio includes higher risk, high return projects in the Solomon Islands and lower risk projects in Queensland, where operating costs are much lower. Solomon Gold’s projects include Guadalcanal and Fauro in the Solomon Islands and Rannes and Mt. Perry in Queensland. All projects are 100% owned except for operations in Guadalcanal, which are shared in a joint venture with Newmont.

References
↑ Solomon Gold News Release
↑ Solomon Gold Official Site

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