TasGold Ltd (ASX:TGD) advises that drilling has commenced at the...

TasGold Ltd (ASX:TGD) advises that drilling has commenced at the Mt Ramsay Project in northwestern Tasmania
and the first results from the drilling should be available by mid August.
The drilling program will consist of two diamond drill holes, each approximately 400m in length, testing geophysical
anomalies (EM conductors) identified by analysis of data from a regional airborne survey conducted by the
Tasmanian Government in 2002 and confirmed on the ground in 2004. The geophysical anomalies have been
interpreted as possibly reflecting tin-bearing massive sulphide bodies like those that characterise the nearby Renison
Bell and Mt Bischoff tin mines.
The Mt Ramsay project is being explored under a joint venture in which TasGold, jointly with Malachite Resources
NL (“Malachite”), is farming-in to a tenement held by BHP Billiton Minerals Pty. Limited (“BHP Billiton”).
Pursuant to the joint venture agreement, once TasGold and Malachite, on a joint 50/50 basis, have spent a total of at
least $500,000 on exploration at Mt Ramsay, including completion of 2,000m of drilling, BHP Billiton must either
participate in the joint venture, or withdraw. If BHP Billiton participates, it will (unless it later withdraws) fund all
future expenditure to completion of bankable feasibility (with expenditure beyond $10 million on a recoupable basis)
and Malachite and TasGold will each hold a 15% interest in the joint venture. If BHP Billiton elects not to participate,
it will withdraw and transfer its 100% interest in the Mt Ramsay project equally to Malachite and TasGold. Malachite
is the Manager of the Mt Ramsay Joint Venture during the farm-in stage.