Ilovitza inferred resource estimate 303 million tonnes containing 1.6 billion pounds of copper plus 2.9 million ounces of gold
Thu Jun 26, 10:03 AMVANCOUVER, June 26 /CNW/ - EurOmax Resources Limited (TSX-V: EOX.V) is pleased to announce is it has received the results of an independent Mineral Resource estimate by Broad Oak Associates of Toronto, Ontario ("Broad Oak") on the Ilovitza copper-gold-molybdenum project in Macedonia. The results conclude that the Ilovitza deposit contains an inferred resource of copper 303 million tonnes grading 0.023% copper, 0.31 grams per tonne gold and 0.005% molybdenum. This resource contains approximately 1.6 billion pounds of copper, 2.9 million ounces of gold and 3.5 million pounds of molybdenum. In copper equivalent terms this equals 3.5 billion pounds of copper.
John Menzies, Chairman & CEO commented, "This is an excellent first step for Ilovitza. It is arguably one of the largest undeveloped copper-gold resources in Europe. It is ideally located for development being close to rail, a port and two smelters including one of the most efficient in Europe. Our focus will now be to continue diamond drilling particularly to the NW of the resource where we have an untested high order magnetic anomaly with a gold and copper soil anomaly downslope. We believe this area has potential for significantly higher grades which is confirmed by a short hole drilled on the edge of the feature that contains the highest copper-gold grade at Ilovitza"
EurOmax will file on SEDAR within 45 days this NI 43-101 compliant report.
Highlights
Broad Oak's Mineral Resource Statement confirms:
- An inferred resource of 303 million tonnes grading 0.23% copper,
0.31 g/t gold and 0.005% molybdenum containing approximately
1.6 billion pounds of copper, 2.9 million ounces of gold and
34.6 million pounds of molybdenum, below the base of oxidation.
- An inferred resource of 41 million tonnes grading 0.26 grams per
tonnes containing 326,000 ounces of gold above the base of oxidation.
- The resource estimation process has also highlighted that while the
deposit is open in all directions particular attention should be paid
to drilling to the north and west.
The Mineral Resources below the base of oxidation is presented in the
table below:
Mineral Resources - Ilovitza Deposit, Macedonia
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Tonnes & Grade Contained Metal
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Ton-
Resource nage Copper Gold Moly Copper Copper Gold Moly Copper
Category (Mt) (%) (g/t) (%) Eq % (Mlb) (Moz) (Mlb) Eq Mlb
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Inferred 303 0.23 0.31 0.005 0.51 1,560 2.9 34.6 3,440
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Notes:
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1. Copper equivalent grade and Total Contained Metal estimated based on
100% recovery, US$550 per ounce gold, US$20 per pound molybdenum and
US$1.25 per pound of copper.
2. The above resource does not include silver which has not been
systematically evaluated but which is known to be present.
3. Totals may vary due to rounding.
4. No adjustment has been made for metallurgical recoveries and net
smelter returns both of which are assumed to be 100%
Broad Oak is a Toronto, Ontario based independent engineering consulting firm. EurOmax engaged Broad Oak to initially audit the Ilovitza project and prepare an independent NI 43-101 complaint report which was dated October 3, 2007. The scope of the work was expanded to include completion of an independent NI 43-101 compliant Mineral Resource Statement.
The mineral resource estimate was prepared by EurOmax staff and consulting personnel using a sectional method and a grade cutoff of 0.2% copper or 0.2 g/t gold. Volume was estimated to the base of drilling and not greater than 100 metres from any section. A density factor of 2.42 tonnes per cubic metre was used to convert volume into tonnage, based upon 60 specific gravity determinations conducted at Eurotest Control AD in Sofia, Bulgaria an ISO 9001 accredited laboratory.
Mineral resources do not have demonstrated economic viability and future in-fill drilling and scoping, pre-feasibility and feasibility studies will be needed to determine the viability of this resource. EurOmax is not aware of any environmental, permitting, legal, title, taxation, socio-political, marketing or other issues which may materially affect this estimate of mineral resources.
Future Developments
Recent incorporation of all Ilovitza exploration data into 3D modeling software and resource modeling has highlighted the area to the north and NW of the Ilovitza resource as having potential for higher average grades. A strong magnetic anomaly in this area remains untested. In addition much of the area to the south and east of the resource is beneath an extensive silica-alunite lithocap which has been tested with a single shallow drillhole. EurOmax plans to drill the magnetic anomaly when a rig is available and to conduct a 20 line-kilometre geophysical program to evaluate the entire intrusive complex including the silica-alunite lithocap.
About the Ilovitza Project
At Ilovitza, EurOmax is exploring a newly discovered copper-gold-molybdenum system more than 1.2 kilometres in diameter. Ilovitza is one of several porphyry systems of eastern Macedonia and northern Greece associated with exposed magmatic complexes. Typical of these deposits is the Skouries deposit in Greece which hosts reserves of 146 million tonnes at 0.54% copper and 0.83 grams per tonne gold for 4 million ounces of gold and 800,000 tonnes of copper.
The Ilovitza mineralisation is beneath and outcrops along the Anovie and Chukar ridges which rise nearly 600 metres above the surrounding terrain. Ilovitza is close to a paved road, 25 kilometres from rail, 75 kilometres from a major port and less than 400 kilometres to two smelters via rail.
Qualified Persons
The technical content in this release was prepared by Dimitar Dimitrov, Chief Geologist of EurOmax and Ivan Alexiev, principal of Lian Geoconsult OOD and was reviewed by John Menzies, Chairman and CEO of EurOmax and Geoff Carter, principal of Broad Oak Associates. Mr. Menzies and Mr. Carter are "qualified persons" as defined by NI 43-101.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
On Behalf of the Board of Directors
"John C. Menzies"
Chairman and CEO
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EurOmax Resources Limited is listed on TSX Venture Exchange Symbol: EOX
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Contacts www.euromaxresources.com Investor Relations: David Stothard
T: (347) 284-0062
d.stothart@euromaxresources.com
