AIM-listed mining company Highland Gold Mining has acquired a license for exploration and mining rights for the Western Flank, a property located adjacent to the company's existing Mnogovershinnoye mine operations in Russia.
The acquisition resulted from an open auction held on December 6th in the regional capital of Khabarovsk for a bid price of 8,690m roubles (approximately $280,322).
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The Chaynoye prospect is approximately 1,000 metres in length and varies from 40 to 150 metres in width. It is situated near the intersection of two major faults immediately northwest and adjacent to the current Mnogovershinnoye license area.
Chaynoye was partially explored in the past and has a historical reported prognostic resource of 3.5 tonnes (112,500 oz) of gold. Gold mineralisation is hosted within zones of quartz and quartz-carbonate veins and veinlets as well as within areas of quartz-sericite altered and silicified volcanic rock. Explored vein widths range between 0.3 to 3.0 metres for up to 115 metres along strike and reported historic gold grades as high as 207 g/t.
An aggressive trenching and drilling programme is being designed for 2013 in order to upgrade the resource potential of Chaynoye for future exploitation via the Company's operations at Mnogovershinnoye.
Highland Gold Mining was incorporated in Jersey in May 2002 for the purpose of acquiring, consolidating and developing a portfolio of gold mining projects in the Russian Federation and Central Asia. The company has a market capitalisation of £273.17m
MF
-
LVMH is set to prosper as the wealthy start shopping againAfter two years of uncertainty, the outlook for LVMH is starting to improve. Is now a good time to add the luxury-goods purveyor to your portfolio?
-
Japan is still rising to new highs – here's how to investOpinion Political ructions in Japan are no obstacle to gains, and the return of inflation may even benefit stocks, says Max King. What is Japan doing right?
