Jinshan Announces New Drill Program for its CSH 217 Gold Mine, China
Friday, June 18th, 2010
Jinshan Gold Mines Inc. (TSX: JIN) is pleased to announce that it has initiated a new drill program at its CSH 217 gold mine in Inner Mongolia, China. The company has engaged a third party (Sinorex Drilling (Beijing) Co., Ltd) as its drill contractor. The new exploration program consists of 4,500 meters of diamond drilling and 2,000 cubic meters of surface trenching with a budget at 4.86 million RMB Yuan (USD$712,000). The program is focused on two targets: one is to test the mineralization at depth in both the NE deposit and SW deposit and the other is to test a possible new zone of mineralization to the north of the SW deposit.
Based on all previous drilling, the gold mineralization at the CSH mine is fully open at depth and in places the gold grade tends to increase down dip. Significant potential exists for down-dip extensions to the mineralization. The other target is located about 300 meters north of the SW zone, and has been designated the NW Zone. This zone is outside the current Mining Permit, but still within the company’s existing Exploration Permit. No drilling has been done in the NW Zone, but some trenching was done by the company’s Chinese JV partner in 2000.The current work program including surface trenching and diamond drilling will confirm the existence and extent of the NW zone gold mineralization.
“With this new round of drilling started, we are looking to further expand the resources at the CSH mine both down depth and in a new zone. There is significant potential for growth on the CSH project,” said Jinshan’s CEO, Dr. Xin Song.
The new drill program started in early June and is scheduled for completion by the end of October, 2010. Initial results from the program are expected by the end of the year.