Wide-High Grade Intersection at Co-O Mine

    Wide-High Grade Intersection at Co-O Mine
             



                                                MEDUSA MINING LIMITED
                                                  ABN: 60 099 377 849
                                            Unit 7, 11 Preston Street
                                                       Como  WA  6152
                                                           PO Box 860
                                             Canning Bridge  WA  6153
                                           Telephone:  [phone]
                                           Facsimile:  [phone]
                                    Email:  [e-mail]
                                    Internet: www.medusamining.com.au
 
 
 
 
7 May 2008
 
                        MEDUSA MINING LIMITED
                              (AIM:MML)
                                   
              WIDE-HIGH GRADE INTERSECTION AT Co-O MINE
 
Medusa Mining Limited ("Medusa" or the "Company"), the Australian
based company operating and developing gold mines in the Philippines,
advises that on-going diamond drilling at the Co-O Gold Mine has
encountered an exceptional intersection of 33.50 metres at 18.07g/t
gold including a massive grey quartz vein assaying 15.9 metres at
34.02 g/t gold.  The remainder of the 33.50 metre intersection
consists of lesser veins and quartz vein stockworks.
 
The intersection is located  approximately 70 metres along strike to
the west of and approximately 15 metres below the current development
heading on the Catto West Vein 1 on the 3100 metre level (and 50
metres below the adit level of 3150 metres). The 3100 metre level is
accessed by the 10W shaft and the wide zone is open to the west. It
is expected that the development drives will reach this area during
late May to early June allowing its true width and mining
significance to be determined.
 
Table I summarises the results to date from hole MD 72, which is
still in progress.  Figure 1 shows the location of the intersection
in relation to the current interpretation of the veins (please see
the link at the end of this announcement).  A more complete update of
drilling results will be provided towards the end of May.
 
The drill programme is continuing with four surface rigs and two
underground rigs.
 
Table I. Drill hole results > 3 g/t gold for hole MD 72 (still in
progress)
 

Hole  East    North   Dip  Azimuth   From      Width     Grade
                       (°)  (°)       (metres)  (metres)  (uncut)
                                                         (g/t gold)
MD 72 613,607 912,785 -54  347       56.50     1.45      18.77 (*)
                                     146.60    4.30      15.20 (*)
                                     169.50    3.00      20.06 (*)
                                     188.90    33.50     18.07 (*)
                           including 188.90    15.90     34.02 (*)
                           including 209.80    2.65      7.07 (*)
                           including 218.90    3.85      5.94 (*)

 
Notes:
(i)             (*) denotes Philsaga assays
(ii)            Grid coordinates based on the Philippine Reference
System 92
(iii)           Intersection lower cut-off grade is 3 g/t gold in
line with current resource estimation parameters
 
Geoff Davis, Managing Director commented:
 
"The 15.9 metre intersection is the best achieved to date at Co-O and
continues to extend the mineralisation further to the west but within
reach of our current development drives.  In addition, the three high
grade intersections higher in hole MD 72 and to the south of the wide
intersection significantly add to our confidence that new parallel
veins will be defined as drilling progresses."
 
 
For further information, please contact:
 

Medusa Mining Limited                           [phone]
Geoffrey Davis, Managing Director          
Roy Daniel, Finance Director               
                                           
Fairfax I.S. PLC                                [phone]
Nominated Adviser / Joint Broker           
Ewan Leggat                                
                                           
Mirabaud Securities Limited                     [phone]
Joint Broker                               
Peter Krens                                
                                           
Bankside Consultants                            [phone]
Michael Padley / Louise Davis              

 
Information in this report relating  to Exploration Results is  based
on information compiled  by Mr Geoff  Davis, who is  a member of  The
Australian Institute  of  Geoscientists.  Mr Davis  is  the  Managing
Director of Medusa Mining Limited and has sufficient experience which
is relevant to the style of mineralisation and type of deposits under
consideration and to the activity which he is undertaking to  qualify
as a  Competent  Person  as  defined  in  the  2004  Edition  of  the
"Australian  Code  for  Reporting  of  Exploration  Results,  Mineral
Resources and Ore Reserves".  Mr Davis consents  to the inclusion  in
the report of the  matters based on his  information in the form  and
context in which it appears.

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http://hugin.info/138050/R/1216639/254284.pdf