♦ Bankability Feasibility Study for FNQ Gold Projects to commence ♦ Further Encouraging Tungsten Exploration in FNQ ♦ Highly successful visit from Malaysian investors ♦ Drilling completed at Tregoora ♦ Work on Mt Carbine progresses
The Board of Republic Gold (“Republic� or the “Company�) today announces that it has decided that the Company will commence a Bankable Feasibility Study on its Far North Queensland Gold Projects. With the recent rise in the Australian dollar denominated gold price to well over $900 per ounce it is considered that commencement of a feasibility study is warranted.
The directors also report that Company geologists are examining several tungsten anomalies in association with a series of old mine workings on a tenement held in joint venture with BHP- Billiton.
Commencement of Bankable Feasibility Study – Gold Projects in Far North Queensland
In earlier releases to the market the Company has announced that it would seek to drill up its Far North Queensland gold projects to the point that a total resource of 750,000 ounces of gold existed. Drilling has been completed at both Northcote and Tregoora in the past three months. Pending successful results from the recent drilling, the Company expects that it will need to do a further round of drilling at the Far North Prospect at Tregoora in order that a resource can be generated there.
The Company’s new Technical Director, Neb Zurkic, will assemble a small technical team in the New Year to work towards a bankable feasibility study. Technical work on the Company’s gold projects is already at an advanced stage. Mining leases have been applied for at both projects, a number of environmental studies have been completed, extensive metallurgical testwork has been done and 71% of the gold resources are classified in the higher quality measured and indicated categories.
Further Encouraging Tungsten Exploration in North Queensland
Recent exploration field work in the Hodgkinson Basin in Far North Queensland has encountered an area of significant old workings. Scheelite is visible in surface rock samples from the prospect area when they are illuminated under an ultra violet light.
The prospect appears to be greisen-related tin and tungsten mineralisation and therefore this prospect has considerable size potential. The occurrence of tourmaline alteration is very similar to that seen at Mt Carbine. Greisen is a near-surface variation of a granite where it has been intruded up towards the surface from a deeper granite intrusion.
The area being investigated is on one of the Company’s joint venture tenements with BHP-Billiton.
Malaysian Shareholder Visit
Over the past weekend the Company hosted a visit from the Malaysian shareholder who took part in the recent placement and other Malaysian investors. The view of the directors involved in this visit was that it was highly successful.
The visitors from China who were expected last week have been delayed because their visa applications have not been granted yet. This visit is expected to now take place in early December, subject to the eventual grant of the visas.
Drilling in Far North Queensland
Drilling was completed at the 100%-owned Tregoora Gold Project on the weekend. This completes the drilling programme as it was contemplated three months ago. Upon receipt of a complete set of analysis results, the Company will then design further drilling, particularly at Tregoora and West Whumbal.
Mt Carbine Option
The Company has an option on the Mt Carbine Tungsten Project until 1 December 2007. At the Company’s Board meeting held yesterday management was requested to progress purchase discussions with the owner.
BIG Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
