London, England — MININGREVIEW.COM — 04 June 2010 – Cluff Gold plc “’ an AIM and Toronto Stock Exchange-listed company focused on the identification, acquisition, development and operation of gold deposits in West Africa “’ has found 27% more gold at its Baomahum project in Sierra Leone after more exploration drilling, sending its shares higher today.
“This mineral resource increase endorses the prospectivity of Baomahun, and we believe that this deposit has the potential to be considerably larger,” said analyst Louise Collinge at Evolution Securities here.
A statement issued here by the company said the total measured and indicated resources had risen by 27% to 1.4 million ounces of gold at Baomahun, and inferred resources now stood at 1.03 million ounces. Drilling would continue on areas identified by a so-called VTEM survey, in which a helicopter sends electromagnetic signals into the ground.
“The increase in the mineral resource and the preliminary results from the VTEM survey, re-confirm that our Baomahun project continues to exceed our expectations,” Cluff technical director Douglas Chikohora said. “We aim to continue our drilling programme for the foreseeable future, and we remain optimistic about the future economic viability of Baomahun.”
The Baomahun project is located 180km east of Freetown and covers about 137sq km.
The company is expected to produce about 100 000 ounces of gold this year from its mines in Ivory Coast and Burkina Faso.