| Fri 23 Nov 2007, 15:24 | | WGR - Wits Gold - Independent Review Reveals A Sub |
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WGR
WGR
WGR - Wits Gold - Independent Review Reveals A Substantial Increase In The
Indicated Gold Resource To Almost 20Moz.
Witwatersrand Consolidated Gold Resources Limited
(Incorporated in the Republic of South Africa)
Registration Number 2002/031365/06
JSE Code: WGR
ISIN: ZAE000079703
("Wits Gold" or "the Company")
Independent Review Reveals A Substantial Increase In The Indicated Gold Resource
To Almost 20Moz.
Wits Gold (JSE: WGR; ADR: WIWTY.PK) wishes to announce the results of an
independent review of the Company`s gold and uranium resources by Snowden Mining
Industry Consultants. These revised estimates are compliant with the Canadian
National Instrument 43-101.
In summary, the Snowden review reveals the following estimates:
- Total indicated gold resource of 19.4Moz (compared to 3.9Moz in a previous
Snowden estimate)
- In addition, an inferred gold resource of 130.4Moz (compared to 155.8Moz in
a previous Snowden estimate)
- Total inferred uranium resource of 54.3Mlbs (compared to 136.3Mlbs in a
previous Snowden estimate)
"This resource update is the most significant development for the Company since
its floatation on the JSE in April 2006" commented CEO, Dr Marc Watchorn. "The
fivefold increase in our indicated gold resource confirms that the Company has
the capability to build a serious mining operation in the southern Free State.
Specifically, the Bloemhoek-De Bron project has the potential to develop into a
world class ore body, ranking by size in the top ten of the world`s undeveloped
gold projects. The total gold resource is slightly down, but still leaves Wits
Gold with the sixth largest gold resource in the world. Despite the fall in the
inferred uranium resource estimate, we would remind investors that this figure
is likely to remain fluid due to the substantial prospecting rights in the Free
State, Potchefstroom and Klerksdorp areas that are currently under application
with the Department of Minerals & Energy."
The new resource estimate follows the completion of five additional diamond
drillholes in the southern Free State that support the establishment of an
improved geological model. Consequently, it is now apparent that the main target
of gold mineralisation in this area is a laterally continuous zone of
conglomerates represented by a composite of the Beatrix and Kalkoenkrans Reefs.
Similar geological conditions have been identified on the adjoining Beatrix and
Joel Gold Mines where these reefs have been mined extensively. Supplementary
mineralisation is also hosted by the regionally recognised Leader and B Reefs as
well as a number of other reefs that have been exploited elsewhere in the Free
State Goldfield. Revised resource estimates for the Hakkies, Bloemhoek, De Bron
and Robijn Projects in the southern Free State are as follows:
Hakkies Project Mt Au(g/t) U3O8(kg/t)*
Indicated Resources
Beatrix 8.8 4.8 0.108
Leader 9.9 4.8 0.179
Inferred Resources
Beatrix 2.0 4.8 0.108
Kalkoenkrans 0.1 3.0 0.046
B Reef 10.5 5.3 0.075
Upper Leader 15.7 3.9 0.142
Leader 10.7 4.8 0.178
Intermediate 9.7 7.5 0.095
Bloemhoek Project Mt Au(g/t) U3O8(kg/t)*
Indicated Resources
Beatrix 27.0 5.7 0.125
Kalkoenkrans 18.7 8.9 0.139
Leader 6.7 4.7 0.176
Inferred Resources
Beatrix 6.8 5.1 0.114
Kalkoenkrans 4.0 10.3 0.160
B Reef 0.5 6.4 0.082
Upper Leader 0.8 4.5 0.167
Leader 3.9 4.9 0.181
De Bron Project Mt Au(g/t) U3O8(kg/t)*
Indicated Resources
Beatrix 10.8 5.3 0.118
Kalkoenkrans 1.5 7.1 0.110
Leader 3.8 4.5 0.171
Inferred Resources
Beatrix 5.7 5.4 0.121
Kalkoenkrans 0.7 7.1 0.111
B Reef 3.3 6.5 0.083
Upper Leader 0.1 3.6 0.140
Leader 2.2 4.4 0.168
Robijn Project Mt Au(g/t) U3O8(kg/t)*
Indicated Resources
Beatrix 13.6 5.8 0.129
Inferred Resources
Beatrix 9.0 5.7 0.127
SOFS Total Mt Au (g/t) Moz(Au) U3O8(kg/t)* U3O8(Mlbs)
Indicated Resources 100.7 6.0 19.4 0.136 30.2
Inferred Resources 85.8 5.5 15.1 0.127 24.1
* Note: The U3O8 resource estimates in the southern Free State are classified as
inferred only due to the estimation method applied. As uranium is considered a
secondary product, uranium was only reported from blocks where the gold
accumulation exceeded the reporting cut-off of 300cm.g/t Au.
In the Potchefstroom and Klerksdorp Goldfields the resource estimates are
unchanged relative to those contained in the Wits Gold prospectus issued in
April 2006. It should be noted that variation applications to include uranium in
Company`s prospecting rights in the Potchefstroom and Klerksdorp Goldfields are
currently under consideration by the Department of Minerals & Energy. Estimated
resources in these areas are as follows:
Potchefstroom Goldfield
Kleinfontein Project Mt Au(g/t) U3O8(kg/t)
Inferred Resources
Vaal 0.04 2.1 -
Cobble 0.3 4.3 -
Middelvlei 23.2 5.2 -
Carbon Leader 19.6 7.3 -
North Leader 4.1 5.2 -
Kleinfontein Deeps Mt Au(g/t) U3O8(kg/t)
Inferred Resources
Vaal 0.2 2.4 -
Cobble 8.9 4.5 -
Middelvlei 5.8 4.7 -
Carbon Leader 9.4 6.0 -
North Leader 16.8 4.7 -
Potch Deeps Project Mt Au(g/t) U3O8(kg/t)
Inferred Resources
Vaal 18.9 9.8 -
Cobble 142.5 4.7 -
Middelvlei 3.9 5.5 -
Carbon Leader 16.8 16.2 -
North Leader 12.1 9.4 -
Deelkraal Project Mt Au(g/t) U3O8(kg/t)
Inferred Resources
VCR 20.5 14.6 -
Boskop Project Mt Au(g/t) U3O8(kg/t)
Inferred Resources
Middelvlei 6.7 5.2 -
Carbon Leader 13.3 15.8 -
North Leader 10.8 5.8 -
Potchefstroom Total Mt Au(g/t) Moz(Au) U3O8(kg/t) U3O8(Mlbs)
Inferred Resources 333.6 7.1 75.8 - -
Klerksdorp Goldfield
Kromdraai Project Mt Au(g/t) U3O8(kg/t)
Inferred Resources
Vaal 57.5 16.2 -
Cyfervlei Project Mt Au(g/t) U3O8(kg/t)
Inferred Resources
Vaal 19.2 10.3 -
Groenfontein Project Mt Au(g/t) U3O8(kg/t)
Inferred Resources
Vaal 8.2 11.9 -
Klerksdorp Total Mt Au(g/t) Moz(Au) U3O8(kg/t) U3O8(Mlbs)
Inferred Resources 85.1 14.5 39.5 - -
For further information please contact:
Marc Watchorn
Chief Executive Officer
Tel: +27 11 832 1749
Hethen Hira
Investor Relations
Tel: +27 11 832 1749
Johannesburg
23 November 2007
Date: 23/11/2007 15:24:19 Produced by the JSE SENS Department.
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