Highland Gold announces significant drilling results at the Belaya Gora Prospect
Monday, July 30th, 2007
Highland Gold Mining Limited is pleased to report significant results from the 2006/2007 diamond drilling programme at the Belaya Gora (â€œWhite Mountainâ€) exploration property in the Khabarovsk region ( 66 km to the south of MNV operation) where two targets, â€œPologayaâ€ and â€œStockworkâ€ are currently being drilled out.
Results of the Programme, which to date includes 9,300 metres of drilling and 1,513 metres of trenching, confirmed previous exploration results and corroborated the geological models for two types of mineralisation: flat lying metasomatic tabular deposit with oxidized ore at Pologaya and steeply dipping vein-veinlet systems at Stockwork.
At Pologaya drill-holes have identified gold-bearing tuffs averaging a thickness of 30-40m over an area of 400 x 150m. Most drill-holes returned significant gold intersects with the upper boundary at 0-15m level from the surface. Drilling results returned gold grade ranges from 1.5 to 9.3g/t at thickness of 3.0-28.0m.
At Stockwork drill-holes identified an oxidation zone down to the depth of 50-100m. Drill-hole DH-504 yielded a continuous interval of ca. 131m with an average gold grade of 2.1g/t.
Drilling, sampling and assay programmes are currently going on and include testing of two metallurgical samples.
Commenting on todayâ€™s announcement, Henry Horne, Managing Director said:â€œThese are very exciting results. Due to the prospectivity of this exploration property, we have increased our investment exploration programme for 2007 to almost $4.5 million from just over $1 million in 2006. We expect to benefit considerably from the various operating synergies with our main producing asset MNV, located just 66 kilometres away, including purchasing, logistics, processing and G&A costs. Opportunities for heap leaching on site and trucking the higher grade ore to MNV from this open pit deposit promise to make Belaya Gora a relatively low cost operation. The ongoing 2007 drilling programme including 12,000 metres of drilling is on schedule and currently we are making good progress in delineating more resources in the target areas.â€
For further information visit: www.highlandgold.com