Centamin Egypt Limited
TSX : CEE
ASX : CNT
LSE : CEY

Centamin Egypt Limited

December 10, 2009 08:16 ET

Centamin Egypt Limited: Sukari Gold Project Resource Upgrade

TORONTO, ONTARIO--(Marketwire – Dec. 10, 2009) - Centamin Egypt Limited ("Centamin" or "the Company") (TSX:CEE)(ASX:CNT)(LSE:CEY) the gold mining group with operations in Egypt, is pleased to announce the following upgrade to its resources:

  • The Sukari mineral resource upgraded to 10.29Moz Measured and Indicated, plus 3.45Moz Inferred
  • Total Global Resource increased by 374,000 oz Au Measured and Indicated, and 175,000 oz Inferred
  • Measured and Indicated resources = 75% of global resources
  • South of 11312.5N (ie southern half of the Sukari hill outcrop), the Measured and Indicated resource is estimated at 8.94Moz, equal to approximately 87% of the total Measured and Indicated resource
  • The resource increase is based on additional assay results from approximately 23,274 metres of drilling
  • The resource dataset comprises of 173,283 two metre down hole composites and surface rock chip samples; compared to 161,646 composites (ie an additional 11,637 composites) in July 2009
  • High grade intersections included in the resource estimate include 19m @ 13.70g/t Au, 16m @ 8.16g/t Au, 32m @ 5.65g/t Au and 19m @ 4.88g/t Au
  • Resource drilling continues with 8 rigs on site

RESOURCE MODELLING

Table 1 - Total Resource (November 2009)

  Measured Indicated Total Inferred
Measured + Indicated
Cut-off Tonnes Grade Tonnes Grade Tonnes Grade Gold Tonnes Grade Gold
g/t Au (Mt) (g/t Au) (Mt) (g/t Au) (Mt) (g/t Au) (Moz) (Mt) (g/t Au) (Moz)
0.5 78.26 1.48 131.93 1.55 210.19 1.52 10.29 66.3 1.6 3.4
0.7 56.25 1.82 95.75 1.91 152.00 1.88 9.18 47.2 2.0 3.1
1 36.65 2.35 63.59 2.45 100.24 2.42 7.78 31.2 2.6 2.7

Note to Table: Figures in table may not add correctly due to rounding

To view Figure 1 – Sukari resource growth graph from April 1997 to December 2009, please click on the following link:

http://media3.marketwire.com/docs/cee1.pdf

The drilling effort has been successful in both conversion of Inferred resources to Measured and Indicated and global growth in the Pharaoh and Amun Zones targeting the Hapi Zone. Measured and Indicated resources grew by approximately 4% to 10.29Moz. Measured and Indicated resources account for 75% of the global resource (i.e. all categories). Inferred resources grew by approximately 5% to 3.4Moz.

High grade intersections in the estimate are related to the Hapi Zone and deeper zones of mineralization which include from the Ra Zone; 19m @ 13.70g/t Au from 804m in hole RCD1471 on section 10900N and 16m @ 8.16g/t Au from 547m in hole RCD1479 on section 10700N. In the Pharaoh Zone; 32m @ 5.65g/t Au from 691m in hole RCD1454* (11375N) and 19m @ 4.88g/t Au from 583m in hole D1466* (11700N). Details on these and other significant intersections are in the table below.

The drilling shows the high grade Hapi and related zones extend from the far south Amun Zone north to the area of current drilling in the Ra and Pharaoh zones. These zones, along the entire strike length of the Sukari Hill (2.5km), are the target of current infill and extension drilling with eight diamond coring rigs. 

Table 2 - Significant high grade samples included in December 2009 Resource

HOLE NORTH EAST DIP AZI EOH (m) FROM (m) INTERVAL (m) GOLD (g/t) ZONE
D1454* 11375 10777 -87 270 776 691 32 5.65 Pharaoh Zone
D1455* 10700 10827 -73 270 707 423 42 2.79 Ra Zone
D1466* 11700 10908 -78 270 632 583 19 4.88 Pharaoh Zone
D1468* 10800 10930 -69 270 644 441 16 4.29 Ra Zone
D1470 11300 10948 -84 270 585 310 20 3.61 Pharaoh Zone
D1471 10900 10943 -66 270 991 804 19 13.70 Ra Zone
D1479 10700 10827 -68 270 778 547 16 8.16 Ra Zone
D1482 11750 10866 -64 270 654 593 21 4.19 Pharaoh Zone

Note to Table: Intervals shown in the table are down hole intercepts,
drilled at high angles relative to the internal mineralized structures and the Sukari Porphyry. 

Commenting on the resource upgrade, Josef El-Raghy, Chief Executive Officer and Managing Director of Centamin, said:

"The consistency and quality of the Sukari orebody continues as we make further inroads into the northern half of the Sukari Hill. With construction of Stage 2 of the Sukari plant approaching completion and with the Stage 1 plant design throughput remaining on track to be achieved before the end of 2009, we look forward to the next stage of the Company's evolution from a developer into a substantial gold producer."

For Centamin Egypt Limited

Josef El-Raghy, Managing Director/CEO

10 December 2009

*Previously announced 30 October 2009

Information in this report which relates to exploration, geology, sampling and drilling is based on information compiled by geologist Mr Richard Osman who is a full time employee of the Company, and is a member of the Australasian Institute of Mining and Metallurgy with more than five years experience in the fields of activity being reported on, and is a 'Competent Person' for this purpose and is a "Qualified Person" as defined in "National Instrument 43-101 of the Canadian Securities Administrators". His written consent has been received by the Company for this information to be included in this report in the form and context which it appears.

The assay samples were analysed by Ultra Trace Pty Ltd, Canning Vale, Western Australia.

The information in this report that relates to mineral resources is based on work completed by Mr Nicolas Johnson, who is a Member of the Australian Institute of Geoscientists. Mr Johnson is a full time employee of Hellman and Schofield Pty Ltd and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a "Competent Person" as defined in the 2004 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" and is a "Qualified Person" as defined in "National Instrument 43-101 of the Canadian Securities Administrators". Mr Johnson consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Refer to the Technical Report which was filed in May 2009 for further discussion of the extent to which the estimate of mineral resources/reserves may be materially affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issue.

ABN 86 007 700 352

Contact Information

  • Centamin Egypt Limited
    Josef El-Raghy
    + 61 (8) 9316 2640
    www.centamin.com
    or
    Buchanan Communications Limited
    Bobby Morse
    + 44 (0) 207 7466 5000
    or
    Buchanan Communications Limited
    Ben Willey
    + 44 (0) 207 7466 5000