Highland Gold buys rights for new mine in Mnogovershinnoye

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.

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).

The new license area includes the Chaynoye zone which the company believes has good potential to deliver new resources at Mnogovershinnoye.

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

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

Here’s why you really should own at least some bitcoin
Bitcoin

Here’s why you really should own at least some bitcoin

While bitcoin is having a quiet year – at least in relative terms – its potential to become the default cash system for the internet is undiminished, …
16 Sep 2020
Will a second wave of Covid lead to another stockmarket crash?
Stockmarkets

Will a second wave of Covid lead to another stockmarket crash?

Can we expect to see another lockdown like in March, and what will that mean for your money? John Stepek explains.
18 Sep 2020
Central banks want politicians to take charge – but what will they do?
US Economy

Central banks want politicians to take charge – but what will they do?

The US Federal Reserve has come to the end of the road in terms of what it can do to accelerate any recovery, says John Stepek. It's over to the polit…
17 Sep 2020