Lero Gold Corporation

Lero Gold Corporation

April 22, 2008 12:12 ET

Lero Gold Corp. Announces 43-101 Compliant Resource Estimate for Karchiga VMS Project, Kazakhstan

LONDON, UNITED KINGDOM--(Marketwire - April 22, 2008) - Lero Gold Corp. ("Lero", or the "Company") (TSX VENTURE:LER) is pleased to report a National Instrument 43-101 compliant resource estimate for its Karchiga VMS deposit northeast Kazakhstan.

The resource incorporates the 1,879m of confirmation diamond drilling completed by Lero in Q4 2007 and 86 historical Soviet diamond drillholes and trenches totalling 10,330m. At a 0.50% copper cut-off, the Indicated resource is 4.75Mt @ 2.46% Cu while the Inferred resources total 2.81Mt @ 1.81% Cu.

Table 1: Karchiga Copper Project, Resource estimate April 2008;

Indicated Sulphide Inferred Oxide Inferred Sulphide
Cut-off Tonnes Cu Copper Tonnes Cu Copper Tonnes Cu Copper
(%) Cu (Mt) (%) (Mlb) (Mt) (%) (Mlb) (Mt) (%) (Mlb)
0.3 5.10 2.32 261 0.86 1.30 26.9 2.21 1.77 86.5
0.5 4.75 2.46 258 0.71 1.49 26.3 2.10 1.85 86.3

Karchiga Central lodes contain 4.75Mt @ 2.46% Cu of the resource within sulphide (Indicated) and 0.71Mt @ 1.49% Cu within oxide (Inferred) material at a 0.50% Cu cut-off. The balance of the resource is contained within an Inferred sulphide resource at Karchiga northeast. The north eastern lodes, which are blind to surface, are located some 200m across strike and lie 150m stratigraphically above the Karchiga Central mineralised zone.

The mineralisation is located within a series of stacked shallow-dipping massive and disseminated sulphide bodies, primarily consisting of chalcopyrite-pyrrhotite and pyrite mineralisation. The lodes have a strike of in excess of 1km and are intersected at depths reaching 200m. The majority of the high grade sulphide mineralisation is concentrated within 100m from surface. Indication of the presence of easterly-plunging higher grade copper shoots is evident from the modelling completed to date and follow-up drilling is planned to evaluate the down dip potential during the 2008 field season.

The resource was calculated using Ordinary Kriging on composite drillhole samples selected within a 0.5% Cu wireframe. All wireframe models were constructed from interpretation of geology and grade boundaries and used to assign block categories within the grade interpolation model. Material types and samples data was subsequently extracted and subset within discrete lodes and grade interpolation constrained to each individual lode separately. A total of seven separate wireframes were constructed to constrain drillhole data. Specific gravity measurements were carried out for the different material types collected from Karchiga diamond drill core and an in-situ bulk density value assigned to the block model.

CEO of Lero, Dr Alexander Yakubchuk commented:

"We are pleased to receive such positive results from our initial resource calculation, generally in line with the historical estimate and exceeding it in terms of tonnage. Not many current exploration projects worldwide return such high copper grades, amenable to potential open pit extraction. In addition, only 5% of the entire licence territory was explored by Lero to date and we still have a lot of further exploration potential based on geochemical and geophysical anomalies within the licence territory."

Chairman of Lero, Dr Sergey V. Kurzin commented:

"These results, indicating that Karchiga contains in excess of 258 million pounds (117,000 t) of high-grade copper metal, give us a solid foundation for undertaking prefeasibility and scoping studies in the immediate future, which, if prove positive, would allow Lero to fast track the project to construction and production within three years."

Notes to Editors:

1. Lero Gold Corporation (TSX VENTURE:LER) is a base and precious metal exploration company led by a senior management team with extensive expertise in mineral exploration and advanced project management. Lero Gold is currently seeking and evaluating advanced exploration stage gold and base metal projects in Kazakhstan and Kyrgyzstan. The Company is currently exploring advanced staged gold deposits in the Tien Shan gold belt in the Kyrgyz Republic and Rudny Altai belt in the Republic of Kazakhstan.

2. All work carried out on the resource estimate was compiled by Matthew Boyes (Senior Geologist and a Qualified Person under National Instrument 43-101). Resource estimation methodology has been reviewed by Wardell Armstrong International. Assays are conducted at the internationally certified Alex Stewart Lab in Bishkek, Kyrgyzstan. Lero Gold Corporation operates a stringent QA/QC policy that includes external certified standard samples and blanks in each individual batch sent for analysis.

The TSX Venture Exchange does not accept responsibility for adequacy or accuracy of this release.

Contact Information

  • Lero Gold Corporation
    Alexander Yakubchuk
    +44 (0) 20 7514 0590
    Lero Gold Corporation
    Gavin Dallas
    Investor Relations
    +44 (0) 20 7514 0590
    Email: info@lerogold.com
    Website: www.lerogold.com
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    Keith Schaefer
    (604) 608-0824
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    +44 (0) 20 7367 8888