Positive drilling news for Chaarat

3rd Mar 2011 10:40

AIM-quoted Chaarat Gold Holdings has reported the first results of drilling on the Contact project for 2011 and it says that they extend the resource. The Contact project is in the Contact zone of the Kiziltash project situated within the Middle Tien Shan Mountains of Kyrgyzstan. Chaarat hopes to be producing 200,000 ounces of gold a year by early 2014. A pre-feasibility study is being compiled.The strike length is 1,160 metres and there is a vertical extension to a maximum depth of 900 metres from the surface.The Contact project had a JORC compliant resource of 2.001Moz at 4.20 g/t gold at the end of drilling in 2010. The latest drilling will add to this and it has also identified higher grade trends that will enable more efficient production.