Lero Gold Corporation

Lero Gold Corporation

May 20, 2008 12:41 ET

Lero Gold Corp. Reports Significant Intersections at its Taldybulak-Talas Copper-Gold Project, Kyrgyzstan

Lero intersects 332.2m @ 0.69g/t Au and 0.14% Cu including 246.4m @ 0.89g/t Au and 0.14% Cu at its Taldybulak-Talas Cu-Au Porphyry Prospect, Kyrgyzstan

LONDON, UNITED KINGDOM--(Marketwire - May 20, 2008) - Lero Gold Corp. ("Lero", or the "Company") (TSX VENTURE:LER) is pleased to announce an update of ongoing work at the Taldybulak-Talas Cu-Au porphyry project, northwest Kyrgyzstan.

Following the 2007 drill programme, Lero completed an additional diamond drill hole located 200m to the west of TBDD07-07 to test the extension of the previously delineated high grade core in the Taldybulak Central zone.

TBDD07-24 was drilled in a north eastern direction to a depth of 405m and intersected strongly potassic-altered stockworked porphyry from 70m below surface to the end of hole. The start of alteration is consistent with that previously intersected in TBDD07-07 and indicates that the high grade mineralisation is plunging to the west, as modelled from previously interpreted geophysics and the recently completed resource estimate.

The 2007 drill programme has now been completed and all assays received. The design of infill, step-out and exploration drilling programmes for Taldybulak Central has commenced with drilling forecast to begin in Q2 2008.

Significant intersections include:
Hole-ID From (m) To (m) Length Au (g/t) Cu(%) Area
TBDD07-24 72.8 405.0 332.2 0.69 0.14 Central West
TBDD07-24 158.6 405.0 246.4 0.89 0.14
(i) Au Values un-cut

A continuous zone of significant copper-gold mineralisation hosted in a quartz dacite porphyry with dimensions of 1,000m (strike) by up to 350m (width) and 500m (depth) has now been delineated at Taldybulak Central. The higher grade intercepts in TBDD07-24 coincide with an extensive zone of potassic-hematite altered porphyry, as previously intercepted in TBDD07-07. This result enlarges a higher grade core in the western part of Taldybulak Central. Mineralisation at Taldybulak Central remains open at depth and along strike to the west.

The Taldybulak-Talas Cu-Au porphyry prospect is located within the prolific Tien-Shan Gold Belt which is host to some of the world's largest copper-gold porphyries including a 93Moz porphyry cluster at Almalyk in Uzbekistan.

CEO of Lero, Dr Alexander Yakubchuk commented:

"In addition to the Taldybulak resource calculation announced in April 2008, these positive results have extended the known mineralisation at Taldybulak Central. TBDD07-24 was the second best hole of the 2007 programme and was drilled outside the recently reported resource envelope. The results demonstrate that the porphyry remains mineralised for an additional 200m along strike to the west, giving Lero significant impetus to expand the reported resource at Taldybulak Central."

Notes to Editors:

1. Lero Gold Corp. (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. In July, 2006 Oriel Resources Plc completed its previously announced transfer and sale of its gold related assets into Lero Gold Corp. ('Lero') (formerly ELE Capital Corporation - 'ELE'). Lero resumed trading on TSX Venture Exchange (TSX-V) on Thursday July 27, 2006 under the trading symbol "LER". Lero Gold is currently seeking and evaluating advanced exploration stage gold and base metal projects in Kazakhstan, Kyrgyzstan and Russia. The Company is currently exploring advanced staged gold deposits in the Tien Shan gold belt in the Kyrgyz Republic and Rudny Altai polymetallic belt in Kazakhstan.

2. All work carried out on site was reviewed by Matthew Boyes (Senior Geologist and a Qualified Person under National Instrument 43-101). Assays were conducted at the internationally certified Alex Stewart Assayers Lab in Kara-Balta, Kyrgyzstan. Lero Gold Corporation operates a stringent QA/QC policy that includes external certified standard samples and duplicates in each individual batch sent for analysis.

3. For avoidance of confusion;

a. The Taldybulak-Talas copper gold porphyry is a separate deposit from the Taldybulak Levoberezhny gold deposit previously owned by Central Asia Gold Limited, and

b. The Talas Copper Gold Limited Liability Company, the holder of the Lero owned Taldybulak licence, is a separate company from Talas Gold Mining Company which was the owner of the Jerooy Gold project.

4. In November 2006, Lero granted Gold Fields Exploration B.V. an option to enter into a joint venture agreement with the Company under which Gold Fields Exploration B.V. has the right to;

a. earn up to a 60% interest in exploration licences on the Kentash, Taldybulak and Korgontash tenements in the Talas Region by funding exploration expenditures of up to CAD$10 million, and

b. increase its interest in the project by a further 10% (to a total of 70%) by funding the expenditure of up to a further CAD$10 million on a feasibility study. Thereafter, Gold Fields Exploration B.V. and Lero will contribute to the project requirements on a pro-rata basis through to development, if appropriate.

5. Gold Fields Exploration B.V. is an indirect wholly owned subsidiary of Gold Fields Limited (NYSE:GFI)(JSE:GFI)(DIFX:GFI)

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

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

Contact Information

  • Lero Gold Corporation
    Dr Alexander Yakubchuk
    +44 (0) 20 7514 0590
    Lero Gold Corporation
    Gavin Dallas
    Marketing and PR
    +44 (0) 20 7514 0590
    Website: www.lerogold.com
    Vanguard Shareholder Solutions
    Keith Schaefer
    (604) 608-0824
    Bankside Consultants
    Michael Padley / Michael Spriggs
    +44 (0) 20 7367 8888