Lappland Goldminers AB can now present a grade verification report for the Fäboliden deposit
Lycksele December 20, 2006 - Lappland Goldminers AB (LGM) has, together with SRK Consulting Limited (SRK), an international consulting group, carried out a comprehensive grade verification program to investigate the possibility of higher grades in the Fäboliden deposit. This was done at the request of LGM due to higher than expected grades derived from the deposit determined during test mining in the spring of 2005.
SRK concludes that the results of the test mining are valid and the results obtained indicate higher grades in the test mining area than predicted from the nearest diamond drilling. SRK and LGM designed a grade verification program to investigate close range variability, grade differences, metallurgical properties etc.
SRK concluded that the work undertaken by LGM was appropriately designed and carried out in a thorough and proper manner. The program has demonstrated higher grades than anticipated based on core drilling but the work to date has not been able to find a satisfactory geological justifiable explanation for the elevated grades near surface.
SRK also concluded that although the program obtained some very useful information from a resource estimation and mining point of view it has not provided a satisfactory answer. The increase in grade obtained during the trial mining warrants further investigation, some new theories have been proposed to explain this and SRK and LGM are in the process of agreeing on a programme to properly investigate these possibilities, with an aim to finalize the program during the first half of 2007.
– Grade verification is a very complicated matter since most gold properties has highly varying grades throughout the mineralization. An area with high grade might not constitute a deviation but rather a natural variation. There are however still a number of factors that could affect the grades in the mineralization that need to be investigated further and the company will carry out these investigations as an integrated activity in developing the knowledge of the mineralization ” states Lappland Goldminers’ Managing Director, Karl-Åke Johansson.
Fäboliden, the ”flagship” of the Company and it’s largest deposit, is situated in Lycksele municipality on the Gold Line. The Company plans to establish a central processing facility at Fäboliden for the extraction of gold and silver, with an annual capacity of 5 million tonnes of ore. The plant will be built for the treatment of ores from the Gold Line and the final product will be doré gold bars for delivery.
The gold mineralisation at Fäboliden is associated with arsenopyrite and quartz in tectonic zones. The host rock is composed mainly of metasedimentary and metavolcanic rocks deposited on the sea floor about 2 billion years ago. The target area is wholly located within the exploitation concession held by the Company.
About the company
Lappland Goldminers AB is an exploration company with the goal of becoming a producing mining company. The shares of Lappland Goldminers listed on the First North stock exchange, under the symbol GOLD. The company has secured a number of gold deposits along the Gold Line in Västerbotten. The company’s strategy is to develop a profitable, producing gold company, with a centrally located concentrator at Fäboliden, to be supplied with ore from one or several mines. Lappland Goldminers is a member of SveMin, the trade association for mines, minerals and metal producers in Sweden (formerly called the Swedish Mining Association) and follows SveMin’s reporting rules for public mining and exploration companies. This press release has been reviewed by the independent consultant Dr. M Armitage, Managing Director of SRK (UK) Limited.
- Contact Information
- Karl-Åke Johansson
- Lappland Goldminers AB
- Contact via E-mail
This news content was configured by WebWire editorial staff. Linking is permitted.
News Release Distribution and Press Release Distribution Services Provided by WebWire.