Mariana Resources impresses with 3m oz estimate from Turkish gold project

18th Aug 2015 09:12

(ShareCast News) - Mariana Resources impressed investors with an initial 3m ounce estimate of gold resources at its gold-copper Hot Maden Project in eastern Turkey.The earlier than expected JORC 2012-compliant maiden resource from the Hot Maden project, in which joint venture partner Lidya is earning a 70% interest, showed an indicated resource of 4.71m tonnes (Mt) at 10 gramme per tone (g/t) of gold and 2.2% copper.The inferred resource was said to be 3.65Mt at 5.5g/t and 1.8% copper, with a total resource estimate of 3m oz of gold equivalent AuEq) at 11.2g/t, of which 0.9m oz would be attributable to Mariana according to its 30% basis.Chief executive Glen Parsons said: "This significant three million oz gold equivalent resource is truly a defining moment and milestone for Mariana, with just six months passing between the discovery of the Hot Maden mineralisation and the reporting of this maiden mineral resource."He explained that the close-spaced drilling and continuity in the mineralised system allowed for approximately two thirds of the resource to be categorised as 'Indicated', which was a significant upgrade.Analyst Yuen Low at Shore Capital calculated that adjusting for spot prices - of $1,119/oz gold and $5,107/t copper - "only very slightly" reduced AuEq content to 2.93m oz and grade 10.9g/t AuEq.He said: "Importantly, in our view, two-thirds of the resource is in the Indicated category, where there is good continuity and predictability.He noted that bulk of both Indicated and Inferred resources were from the High Grade (HG) and Ultra High Grade (UHG) zones."We believe there to be potential to extend the resource along strike to the south and at depth. These characteristics, combined with the deposit's thickness, suggest to us potential for a very attractive project in terms of size and economics."Shares in Mariana were up 21.4% to 2.7p at 0933 BST on Tuesday.