spectacular juno diamond drilling results, page-20

Proactive Investor News Tuesday, November 17, 2009

Excalibur Mining reports significant diamond drilling results at Juno deposit in Tennant Creek

Excalibur Mining (ASX: EXM) has unveiled the results for the first two diamond drill holes at Juno at Tennant Creek in the Northern Territory.

The drilling represents a new discovery of a high grade gold mineralised pod geologically similar to Juno, Nobles Nob, M10 and other deposits in the Tennant Creek region.

A follow up RC drilling programme is planned to test the extent of this new discovery.

Significantly, the main intersection of the second hole is 80 meters outside the current resource base in the up-dip area of Juno, and there is no other drilling currently in this area. The gold and copper mineralisation intersected in hole EJD004 remains open up dip and along strike.

The news saw shares in Excalibur rise 10% to 2.2c, with Excalibur managing director Tim Lagdon saying the results were highly encouraging as the area had received limited drilling in the past

He said further reverse circulation and diamond drilling was planned to better test the area.

The highlights include 13m @ 42.84g/t Au from 160m, including 5m @ 102.38g/t Au and 14m @ 1.24% Cu from 236m

The two holes were drilled in opposite directions to gather rock mass and geotechnical data from within the proposed open pit.

Mr Lagdon said the results showed the potential for an addition to copper mineralisation immediately up dip of Juno.

"Limited drilling has been undertaken in this area by the previous owner and original developer of Juno, Peko, as it is above the Juno ore-body and was not previously contemplated to be minable from underground," Mr Lagdon said.

"The two diamond holes were designed to test the first of a series of open zones around the current Juno resource as well as providing geological, geotechnical and metallurgical information as part of the ongoing economic assessment of Juno as a potential open pit mine."

The drilling of the up dip area above Juno is part of Excalibur's announced programme to test a series of target with the aim of closing out Juno and the surrounding area prior to commencing engineering and feasibility studies early next year.

Another diamond hole, EJD005 is in process. This hole is designed to test the down dip portion of the mineralisation in the stope intersected in EJD004. Results from this hole are anticipated in early December.

A further fourth diamond hole is planned to test the eastern extension of Juno adjacent to the current resource.

Mr Lagdon said the results continued to support Excalibur's geological model that Juno was not alone.

“In addition to Juno and M10, other potential pods have been identified by previous drilling within 250 meters east and west of Juno," he said.

Juno is one of the highest grade gold mines ever operated in Australia, having previously produced 815,000 ounces of gold between 1966 and 1977 from 452,000 tonnes with an average recovered grade of 56.1g/t Au.

Excalibur has completed extensive exploration drilling on many of the areas around Tennant Creek since 2007, resulting in a resource upgrade from 532,244oz to 1,177,637oz.


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