| Tue 29 Jul 2008, 14:30 | | WGR - Wits Gold - Agreement with AngloGold Ashanti Limited |
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WGR
WGR
WGR - Wits Gold - Agreement with AngloGold Ashanti Limited
Witwatersrand Consolidated Gold Resources Limited
(Incorporated in the Republic of South Africa)
Registration Number 2002/031365/06
JSE Code: WGR
ISIN: ZAE000079703
TSX Code: WGR
CUSIP Number: S98297104
(`Wits Gold` or `the Company`)
WITS GOLD AGREEMENT WITH ANGLOGOLD ASHANTI TO ACQUIRE HISTORICAL EXPLORATION
DATA FOR THE BEISA NORTH AREA, SOUTHERN FREE STATE GOLDFIELD
Wits Gold is pleased to announce the conclusion of an agreement with AngloGold
Ashanti Limited to acquire historical exploration data from the Beisa North
area, where the Company currently holds prospecting rights. These data include
diamond drill core from seven boreholes with the related geological and assay
data, in addition to summary logs and assay data for a further 20 boreholes. The
transaction has also included a number of geological reports and sections
compiled over the period 1982-1991. The total purchase price to acquire this
information amounted to R680 640.
The Beisa North prospecting rights adjoin the old Beisa Uranium Mine currently
situated on Beatrix Gold Mine that is operated by Gold Fields Limited.
Geographically, Beisa North in the southern Free State can be divided into two
sectors by the westerly flowing Sand River. To the south of the Sand River, the
area was previously prospected by Anglo American Corp, where a total of 13
boreholes were completed. Two exploration targets were intersected, namely
overturned Ada May or Beisa Reef at depths of 640-1115 metres below surface and
the Kimberley 4 or Kalkoenkrans Reef at depths of 1650-2145 metres below
surface. At the time, non-SAMREC compliant resources were estimated by Anglo
American for these reefs as follows:
Mt Au (g/t) Au (Moz) U3O8 U3O8
(Kg/t) (Mlbs)
Beisa 14.2 2.3 1.05 1.01 31.6
Kalkoenkrans 7.86 2.9 0.73 0.04 0.7
In the area to the north of the Sand River, a further 14 boreholes were
completed by Gencor mainly during 1977-1979 as part of their regional
exploration programme for the Beisa Reef. Although some of these boreholes
intersected the Beisa Reef at depths in the range of 450-1500 metres below
surface, no resource estimate is available for this area.
Wits Gold will now integrate this information with the Company`s digital
database for review purposes. Depending on the results of this study, management
will develop an appropriate strategy to improve the geological understanding of
the Beisa North area. The objective will be to produce a SAMREC compliant
resource estimate for Beisa North.
Certain statements in this news release may constitute forward-looking
information within the meaning of securities laws. In some cases, forward-
looking information can be identified by use of terms such as "may", "will",
"should", "expect", "believe", "plan", "scheduled", "intend", "estimate",
"forecast", "predict", "potential", "continue", "anticipate" or other similar
expressions concerning matters that are not historical facts. Forward-looking
information may relate to management`s future outlook and anticipated events or
results, and may include statements or information regarding the future plans or
prospects of the Company.
Forward-looking information involves known and unknown risks, uncertainties and
other important factors that could cause the actual results, performance or
achievements of the Company to be materially different from the future results,
performance or achievements expressed or implied by such forward looking
information. Such risks, uncertainties and other important factors include among
others: economic, business and political conditions in South Africa; decreases
in the market price of gold and uranium; hazards associated with underground and
surface gold and uranium mining; the ability to attract and retain qualified
personnel; labour disruptions; changes in laws and government regulations,
particularly environmental regulations and mineral rights legislation including
risks relating to the acquisition of the necessary licences and permits; changes
in exchange rates; currency devaluations and inflation and other macro-economic
factors; risk of changes in capital and operating costs, financing,
capitalization and liquidity risks, including the risk that the financing
required to fund all currently planned exploration and related activities may
not be available on satisfactory terms, or at all; the ability to maximize the
value of any economic resources. These forward-looking statements speak only as
of the date of this document.
You should not place undue importance on forward-looking information and should
not rely upon this information as of any other date. The Company undertakes no
obligation to update publicly or release any revisions to these forward-looking
statements to reflect events or circumstances after the date of this document or
to reflect the occurrence of unanticipated events except where required by
applicable laws.
For further information please contact:
Dr. Marc Watchorn
Chief Executive Officer
Tel: +27 11 832 1749
Mr. Hethen Hira
Investor Relations
Tel: +27 11 832 1749
Johannesburg
29 July 2008
Sponsor
PricewaterhouseCoopers Corporate Finance (Pty) Ltd
Date: 29/07/2008 14:30:01 Produced by the JSE SENS Department.
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