good announcement now out

Further excellent gold-silver drill results from the
Ban Houayxai deposit, Laos
Pan Australian Resources Limited (ASX Stock Code: “PNA”) is pleased to announce
further encouraging assay results from the remaining four drill holes of the initial six-hole
drilling program to evaluate the primary mineralisation potential at the Ban Houayxai
deposit (Figure 1) late in 2006. These latest results confirm that the gold and silver
mineralised system extends to over 200 vertical metres below surface and remains open at
depth (Sections 1 and 2).
Drilling intersected broad zones of primary gold and silver stockwork mineralisation with
significant high-grade intervals. All grades are also presented in gold equivalent terms,
based on a gold to silver price ratio of 50 to 1. Results for all six holes are presented in
Table 1, with the best results being:
Hole HDD009;
• 250 metres at a gold equivalent grade of 1.5g/t (1.0g/t gold and 29.2g/t silver)
from surface to the end-of-hole, including
− 82 metres at a gold equivalent grade of 3.2g/t (2.5g/t gold and 37.0g/t silver)
from a depth of 66 metres
Hole HDD011;
• 42 metres at a gold equivalent grade of 1.8g/t (1.0g/t gold and 42.3g/t silver)
from a depth of 24 metres, including
- 22 metres at a gold equivalent grade of 3.0g/t (1.5g/t gold and 75.8g/t silver)
from a depth of 24 metres
• 21 metres at a gold equivalent grade of 1.6g/t (1.2g/t gold and 18.5g/t silver)
from a depth of 81 metres
The purpose of the drilling program is to evaluate the resource potential of the primary
gold-silver mineralisation that underlies the shallow oxide and transitional gold
mineralisation at Ban Houayxai. This mineralisation was drill-defined over a 1,200 metre
2
strike length to an average depth of 60 metres during 2006. A resource estimate will be
completed during the March quarter for the oxide and transitional mineralisation.