Central China Goldfields plc
("GGG" or "the Company")
Commencement of field work at Cikoleang
LONDON - 27 January 2010
Central China Goldfields plc (AIM-GGG) is pleased to announce the commencement
of field work at the 7,981 hectare (19,721 acres) Cikoleang gold project in
Indonesia.
The initial work programme will concentrate on detailed geological mapping with
the aim of extending the existing area of mineralisation ahead of more detailed
analysis which is likely to include drilling later in the year.
The detailed geological mapping will focus on both surface and underground
exposures of known gold vein areas and will include grid-based soil geochemical
surveys. The aim is to extend known gold rich veins as well as identify further
enrichment zones and new areas of mineralisation outside of the known veins.
Jeff Malaihollo, Managing Director comments:
"We are looking to aggressively explore the Cikoleang gold property with the
aim of developing a strategy to add to the known gold mineralised veins and
this work is the first step towards moving this project forward with the
eventual aim of early development.
Separately we continue to actively review a number of attractive opportunities
in SE Asia and Australasia which match our key core skills."
Technical Details
Exploration work is being supervised by Mr Iswan Kadir, GGG's Senior Geologist
with over 20 years of experience working mainly on epithermal gold deposits in
Indonesia for various major western companies including Barrick and Newcrest.
He was instrumental in the discovery of the Cikidang gold deposit in West Java,
the Gosowong gold deposit in Halmahera and the Aloe Eumpak and Aloe Rek gold
deposits in Aceh. GGG's Technical Director, Jun Angeles, recently visited
Jakarta and several of the exploration areas to oversee the start of the
exploration programme.
Geologically, Cikoleang consists of intermediate sulphidation epithermal gold
mineralisation occurring as multiple quartz ± carbonate-base metal veins and
vein breccias hosted in Late Eocene to Pliocene volcanic and sedimentary rocks,
similar to the neighbouring Cikotok and Cirotan mines. At least ten (10) veins
have been recognised with trends ranging from NE to N-S to NW. From west to
east, they are Cimapag, Cikoleang, Cinyukcruk, Pasir Gudang, Sibokor-Cisaat,
Cadas Gantung, Mura Cikadas-Lamping Timur, Cikeper, Ciuluran and Ciurug Beber.
Their widths are up to 1.5m wide with strike lengths up to 300m long. It is
possible that some of the veins are continuous.
Twenty-two (22) rock samples of outcrops and material from artisanal workings
were collected during the initial evaluation conducted by GGG in November 2009.
Seven (7) samples returned >1 to 22.2 grams per tonne (g/t) gold while fifteen
(15) samples returned >5 to 398 g/t silver. At Cadas Gantung, a 1-2m wide
zinc-silver vein returned up to 35% zinc. In 2007 a Hongkong-based company
drilled 7 shallow core holes totalling 759 meters at the Cimapag and Cikoleang
areas. Although that company did not provide the data including assays to the
KP owner PT Fino Bersaudara, reliable reports indicated that the apparent
widths of the vein zones are <2 to 17 meters. This is very promising but
requires confirmation.
Technical information in the Company news releases has been reviewed and
approved by Ciceron "Jun" Angeles (MSc. FAusIMM, CPGeo) the Company's Technical
Director. He is qualified as a Competent Person under the Code for the
Reporting Mineral Exploration Results, Mineral Resources and Mineral Reserves,
2004 ("The Reporting Code") prepared by the Australasian Institute of Mining
and Metallurgy and the Australian Institute of Geoscientists.
For further information, please contact:
Central China Goldfields plc Westhouse Securities Limited
Dr. Jeffrey Malaihollo Tim Metcalfe / Martin Davison
Tel: 020 7621 0200 Tel: 020 7601 6100
Email: info@ccgoldfields.com
www.ccgoldfields.com Alexander David Securities
Limited
Nick Bealer / David Scott
Tel: 020 7448 9820
END