Persian Gold: Update on the Chah-e-Zard Gold Project in Yazd, Iran
Source: Persian Gold PLC, 25 July
* Very encouraging second stage sampling results.
* Drilling contract
* Drilling to commence in the coming weeks.
Gold plc. ("Persian Gold" or "the Company") is very pleased to announce the
results from the second stage sampling programme on the Chah-e-Zard Gold Project
in Yazd, Iran. Persian Gold holds an option to acquire 70% of the project with
the remainder held by a local Iranian company.
The first analyses from
the current geochemical sampling programme on the gold deposit in Chah-e-Zard,
near Yazd, have produced excellent results. 344 of 366 samples of the current
rock chip/channel and soil data base have returned gold values.
results have enabled the Board of Persian Gold to confirm a drilling contract
with a Turkish drilling company with a long history of gold exploration. The
Company intends to undertake a multi hole diamond drill programme to commence in
"These are good results and support
the earlier results achieved by Persian Gold and the data supplied by our local
partner. The size of the mineralised zone, at 750m x 1250m, is large and, if the
upcoming drilling programme confirms previous rock and soil sampling data, there
is a good possibility of advancing this project towards a new substantial gold
The project is attractive both geologically and logistically.
Suitable for low cost heap leaching and workable all year round, this could be a
very cost effective and profitable project"
detailed surface geochemical sampling programme underway is being conducted on a
precise 50 by 50 metres sampling grid to define the outline of the deposit and
to select drill targets. This programme is a follow up to the earlier
reconnaissance rock chip programme undertaken in Q1 2006 which defined a large
surface anomaly with gold values up to 21 g/t.
The rock chip and soil
sample results have confirmed that gold mineralization at Chah-e-Zard, including
a significant number of samples that grade better than 4.0g/t gold and
multi-gram silver, occur across outcrops within an area measuring in excess of
1250m x 750m. The mineralisation relates to a variety of acid sulphate altered
phreatic, phreatomagmatic and siliceous hydrothermal breccias.
current defined target covers an area of 700,000m2 within which the following
averaged rock chip/channel results are calculated using a 10.0g/t cut off for
the higher grading samples:
* 184 rock samples within this target
boundary average 0.94 g/t gold.
* 37% of rock samples grade better
than 0.5g/t Au and average 2.30g/t gold.
* 12% samples grade better
than 2.0g/t Au and average 4.9g/t gold.
* 7% samples grade better
4.0g/t and average 6.7g/t gold.
The forthcoming reconnaissance diamond
drill holes at Chah-e-Zard aim to test the significance of the grade at depth
and determine whether the gold grades hold up between outcrops. Soil results for
samples covering the target area on approximately 50 metre indicate that there
is a good probability that the gold mineralisation is continuous between
The Chah-e-Zard target, located 350 miles southeast of Tehran,
consists of a circular complex of multiple-stage breccias hosted in altered
volcanics. Rock alteration at Chah-e Zard covering an area in excess of 3 x 3
km, relates to a large elliptical shaped collapse feature. Located at the edge
of this feature, the Zard gold target is developed where the 'collapse feature'
cuts a pre-existing intrusive dome complex. The alteration which extends around
the remainder of the structure remains to be investigated in detail.
area which is easily accessible all year round exhibits potential for a large
gold resource. Initial indicators suggest that the deposit will be
amenable to low cost heap leaching. The terrain is also suited to this process.
The forthcoming drill program aims to test scope for a large scale bulk tonnage
and heap leach gold target in tandem with on going surface exploration which it
is hoped will better define limits to the mineralization.
announcement has been approved by S.J. Meldrum, Geologist, Consultant to the
Board, Calle Las Tres Marias 363-6, Monterrico, Surco, Lima, Peru.
... Payvand News - 7/26/06 ... --