Georgian Min. Share Discussion Threads

[paleje] 11/8/2016 08:57

Ah well you have to read their words carefully, 4STA. A bit defensive and over complicated imo, deviating from original plan, pushing cash generation further away, in return for bigger *potential* prize.

True or not I don't know but they're back on watch for me. Detect a bit of uncertainty from you too, oilbuy.

[oilbuy] 11/8/2016 08:42

I will see where we settle over the next while and may add to my existing holding.

[sleveen] 11/8/2016 08:38

Laptop

There was also an expectation that production (and hence cash generation)would occur by end 2016, that will not now happen.


hence the share price fall on today's "good news"

[4sta] 11/8/2016 08:31

Why don't they mine the gold to pay for the drilling so we don't need to raise more funds?

[laptop15] 11/8/2016 08:29

They just had a placing sleveen, surely there won't be another one for at least 2-3 months.....meanwhile the share price should have risen by then.

[cpap man] 11/8/2016 08:05

Excellent RNS from NMG this morning!

[cpap man] 11/8/2016 08:04

Noricum Gold's Managing Director Greg Kuenzel said "It is our job to maximise the value of this exciting area and to ensure operating costs are kept as low as possible. With this in mind, we have decided not to proceed with the mining of the small gold bearing oxide mineralisation at this stage, a decision which has been reinforced by advice received from both our resource consultant as well as the Georgian Resource Committee. We need to ensure that we fully understand the area before commencing mining and ensure that we maximise margins and minimise costs associated with production.



"The strategy has not changed, only the potential size of the opportunity which has forced a change in focus. We remain focused on delivering revenues as demonstrated by the MoU signed with our local partner whereby, subject to final sign-off, RMG will use its own existing infrastructure to contract mine and process ores produced by the Company. The gold-bearing oxide ores will be developed, mined and toll treated, but it is critical that we first understand the relationship between the different ore types, as well as the extent, grade and tonnage before commercial mining commences. This will allow us to potentially develop a much larger resource than was originally envisaged, and in the process generate significantly more value for our shareholders."

[cpap man] 11/8/2016 08:02

Noricum Gold's Executive Director Martyn Churchouse said, "The recent drill results, when viewed in conjunction with historic drill work and our drilling of the gold bearing oxides (previously referred to as secondary quartzite mineralisation), highlight that the opportunity at Kvemo Bolnisi could be very significant indeed.



"Considering that the new discoveries have combined widths of up to 100 metres and have demonstrated the strong potential to be increased further, our copper-gold target has grown by a significant factor. This newly discovered gold and copper mineralisation appears to all be open-pittable and our initial assessment indicates that both the gold and copper can be processed and recovered together in the future."

[cpap man] 11/8/2016 08:00

Noricum Gold Limited / EPIC: NMG / Sector: Natural Resources

11 August 2016

Noricum Gold Limited ('Noricum Gold' or 'the Company')

Significant Increase in Size of Gold & Copper Target in Georgia and Agreement for Future Mining and Processing



Noricum Gold Limited, the European focused base and precious metals resource development company, is pleased to announce significant new copper and gold intersections from ongoing drilling at the Kvemo Bolnisi Gold & Copper Project, one of 17 targets that have been identified by the Company across the 861 km2 Bolnisi Project ('Bolnisi' or the 'Project') in the Republic of Georgia.



The Company is also pleased to announce that it has signed a Memorandum of Understanding ('MoU') with its local partner's production companies, JSC RMG Gold and JSC RMG Copper (together 'RMG'), outlining mining and processing arrangements for the future production of precious and base metal ores mined at Bolnisi.



Highlights:

Significant new copper and gold intersections at the Kvemo Bolnisi East Project

· Strong evidence of four distinct mineralisation/resource types that could prove viable for development as part of a combined exploitation programme:

o Outcropping and near surface oxide gold mineralisation

o High-grade copper mineralisation close to surface; that may be possible to process via leaching at low cost subject to metallurgical test work

o Significant structurally controlled chalcocite and high grade copper mineralisation to depths of over 100m

o Laterally and vertically broad sections of copper ('Cu') sulphide mineralisation that may represent bulk tonnage target with simple metallurgy

· Recent drilling results highlight the high grade Cu potential including:

o KED001: 33.00m at 1.04% Cu from surface

o KED001: 23.25m at 2.82% Cu from 89.75m

o KBRC042D 29.65m at 1.54% Cu from 23.00m

o KBRC074D 15.00m at 0.72 g/t gold ('Au') from 5.00m

o KBRC074D 28.00m at 0.53% Cu and 0.56 g/t Au from 43m

o KBRC075D 13.00m at 0.46% Cu from 88m

o KED002 14.00m at 0.28 g/t Au from surface

o KED002: 35.00m at 0.37% Cu from 32m

(Copper rich intervals calculated using 0.1% Cu Cut off with 3m internal dilution for copper and gold rich intervals calculated using 0.1ppm Au cut off. Link to full summary of intervals at end of section).

· The significant discovery has resulted in the Company refocusing its efforts on expanding the resource development programme to incorporate new styles of mineralisation with a view to developing a much larger deposit with potential to far exceed previous estimates

· Noricum has set the initial exploration target at between 50 and 70mt @ grades between 0.30% Cu and 1.00% Cu and 0.1 to 1 g/t Au for copper sulphide mineralisation and 0.5 to 5 g/t Au for oxide gold resources given the proximity to the Madnueli Deposit and the similarities in the geology observed there and at the Kvemo Bolnisi Project

· Up until this recent discovery, the Company was focused on bringing a small gold-bearing oxide target to production; however in light of the new discovery a staged production of gold and copper has been assessed as being much more value accretive, much more cost effective and will avoid compromising the now larger target

· The Company will therefore continue to drill and explore Kvemo Bolnisi East and surrounding area to further enhance its value

Production and Processing

· MoU signed with RMG, whereby RMG will mine and or process ore generated by Noricum Gold, subject to certain conditions, via existing processing infrastructure owned and operated by RMG

· Subject to final agreement with RMG, the targeted cost for contract mining and processing is less than $600 per ounce assuming an average grade of 1 g/t Au for heap leachable gold-bearing ores

· These costs will reduce if the average grade increases above 1 g/t Au

· Low costs, along with access to existing processing facilities and equipment, significantly reduces capital expenditure needs and timeframes and make it possible to evaluate a range of resource types with different combinations of grade and tonnage that might otherwise be considered either too small or sub-economic



Noricum Gold's Executive Director Martyn Churchouse said, "The recent drill results, when viewed in conjunction with historic drill work and our drilling of the gold bearing oxides (previously referred to as secondary quartzite mineralisation), highlight that the opportunity at Kvemo Bolnisi could be very significant indeed.



"Considering that the new discoveries have combined widths of up to 100 metres and have demonstrated the strong potential to be increased further, our copper-gold target has grown by a significant factor. This newly discovered gold and copper mineralisation appears to all be open-pittable and our initial assessment indicates that both the gold and copper can be processed and recovered together in the future."



Noricum Gold's Managing Director Greg Kuenzel said "It is our job to maximise the value of this exciting area and to ensure operating costs are kept as low as possible. With this in mind, we have decided not to proceed with the mining of the small gold bearing oxide mineralisation at this stage, a decision which has been reinforced by advice received from both our resource consultant as well as the Georgian Resource Committee. We need to ensure that we fully understand the area before commencing mining and ensure that we maximise margins and minimise costs associated with production.



"The strategy has not changed, only the potential size of the opportunity which has forced a change in focus. We remain focused on delivering revenues as demonstrated by the MoU signed with our local partner whereby, subject to final sign-off, RMG will use its own existing infrastructure to contract mine and process ores produced by the Company. The gold-bearing oxide ores will be developed, mined and toll treated, but it is critical that we first understand the relationship between the different ore types, as well as the extent, grade and tonnage before commercial mining commences. This will allow us to potentially develop a much larger resource than was originally envisaged, and in the process generate significantly more value for our shareholders."

[someuwin] 11/8/2016 07:58

Very good news.

[sleveen] 11/8/2016 07:35

Whilst an increased resource is welcome the most important texts is:

The significant discovery has resulted in the Company refocusing its efforts on expanding the resource development programme to incorporate new styles of mineralisation with a view to developing a much larger deposit with potential to far exceed previous estimates

-- The Company will therefore continue to drill and explore Kvemo Bolnisi East and surrounding area to further enhance its value

Greg Kuenzel said ... we have decided not to proceed with the mining of the small gold bearing oxide mineralisation at this stage...


Placing ahoy to fund all that drilling.

[sleveen] 11/8/2016 07:35

Whilst an increased resource is welcome the most important texts is:

The significant discovery has resulted in the Company refocusing its efforts on expanding the resource development programme to incorporate new styles of mineralisation with a view to developing a much larger deposit with potential to far exceed previous estimates

-- The Company will therefore continue to drill and explore Kvemo Bolnisi East and surrounding area to further enhance its value

Greg Kuenzel said ... we have decided not to proceed with the mining of the small gold bearing oxide mineralisation at this stage...

[sleveen] 11/8/2016 07:34

Placing ahoy.

[sleveen] 11/8/2016 07:33

Whilst an increased resource is welcome the most important text is:

The significant discovery has resulted in the Company refocusing its efforts on expanding the resource development programme to incorporate new styles of mineralisation with a view to developing a much larger deposit with potential to far exceed previous estimates

-- The Company will therefore continue to drill and explore Kvemo Bolnisi East and surrounding area to further enhance its value

Greg Kuenzel said ... we have decided not to proceed with the mining of the small gold bearing oxide mineralisation at this stage...

[yorgi] 11/8/2016 07:32

Very good 😊

[5baggersrus] 11/8/2016 07:27

Nice.......!

[laptop15] 11/8/2016 07:18

Very good RNS we should rise on this!!

[iloveit] 10/8/2016 16:07

So price has not shifted into orbit I see.It's surprising that no news has come in recently as to how production is going.Investors getting no clues so buying has been very lack lustre.Can this really crack on with no positive results?If you get in at this level it could be some gain if news coming is sweet.

[yorgi] 09/8/2016 12:41

Volume not up with yesterday yet but steadily building and it appears to be the right way.

[laptop15] 08/8/2016 13:18

Fingers crossed oilbuy :))

[oilbuy] 08/8/2016 12:14

Nice buying this morning. Production close ! Aiming for .5/.6p here !