10 June 2008
MEDUSA MINING LIMITED
(AIM: MML)
LINGIG PORPHYRY DRILLING TO COMMENCE
Medusa Mining Limited ("Medusa" or the "Company"), the Australian
based company operating and developing gold mines in the Philippines,
advises that permits have now been received and the Company has begun
preparations for drilling at the Lingig Porphyry Copper discovery.
The rig that will be used has a capacity for 1,200 metres vertical
depth. Drilling is expected to commence at the end of June.
The first new drill hole will repeat and drill past the 1974 bottom
of the discovery hole intersection of 150 metres of 0.4% copper,
which had increasing grades at depth.
Outcropping, oxidised, intensely quartz and sulphide veined porphyry
has recently been located approximately 500 metres to the north of
the discovery hole.
Detailed information from the compilation of historical drilling and
mapping data is provided in the Company's announcement of 13 November
2007, the key points of which were:
* a 150 metre intersection of 0.4% copper ended in high grade
mineralisation;
* higher grade mineralisation of 0.65% copper encountered in the
bottom 52 metres of the hole; and
* a 98 metre wide halo of 0.27% copper mineralisation in the
overlying volcanic rocks suggests an intense mineralising
system.
Geoff Davis, Managing Director of Medusa, commented:
"This 1974 discovery has encouraging mineralisation characteristics
and the drill programme is designed to confirm and extend the earlier
results laterally and at depth.
"We believe that the Lingig porphyry copper project has the potential
to be a significant discovery."
Please see the link at the end of this announcement for images
detailing the Lingig Copper Porphyry discovery: Figure 1 shows the
location of the discovery; Figure 2 shows the current geology of the
area as well as copper soil geochemistry and contoured resistivity
and frequency effect results of the Induced Polarisation survery;
and Figure 3 shows the graphic log of discovery drill hole DDH 1.
For further information, please contact:
Medusa Mining Limited +61 8 9367 0601
Geoffrey Davis, Managing Director
Roy Daniel, Finance Director
Fairfax I.S. PLC +44 (0)20 7598 5368
Nominated Adviser / Joint Broker
Ewan Leggat
Mirabaud Securities Limited +44 (0)20 7321 2508
Joint Broker
Peter Krens
Bankside Consultants +44 (0)20 7367 8888
Michael Padley / Louise Davis
Discovery Drill Hole DDH 1
After passing through 100 metres of propylitically and argillically
altered doleritic and basaltic rocks with erratic copper
mineralisation, drill hole DDH1 intersected disseminated and stringer
style pyrite and chalcopyrite (copper sulphide) mineralisation for 98
metres in increasingly argillically altered basaltic and doleritic
rocks before entering higher grade mineralisation in phylitically
altered quartz diorite porphyry. The graphic log of the drill hole
is shown in Figure 3 (please see the link at the end of this
announcement).
Table I: Summary of intersections in drill hole DDH 1
Depth (metres) Intersection Host rocks, alteration &
mineralisation
0 to 100 Erratic values to Propylitically (chlorite and
0.89% Cu epidote) and argillically altered
dolerite and basalt with
disseminated and stringer pyrite,
rare chalcopyrite.
100 to 198 98 metres @ 0.27% Propylitically and argillically
Cu (clay) altered dolerite and basalt
with a moderate increase of
disseminated and stringer pyrite
and chalcopyrite.
198 to 250 52 metres @ 0.65% Phylitically altered
Cu (silica-sericite) quartz diorite
porphyry with disseminated and
stringer pyrite and chalcopyrite
increasing with depth.
Incl. 248 to 2 metres @ 4.93%
250 Cu,
[End of Hole] 0.4g/t Au,10g/t Ag
TOTAL: 100 to 150 metres @ 0.40%
250 Cu
A further four holes were drilled to the south of DDH 1 and
intersected minor copper mineralisation. DDH 5 intersected
increasing amounts of copper, including 18.80 meters at 0.34% copper,
and several two to four metre intersections of 0.34 to 0.69% copper.
Discussion
Discovery drill hole DDH 1 has intersected and stopped in the top of
a mineralised copper-gold-silver quartz diorite porphyry.
Of particular note is the 98 metre disseminated copper halo above the
quartz diorite, suggestive of an intense mineralising system, as well
as the erratic copper values in the propylitic alteration envelope
above this disseminated zone. This has similarities to the Lutopan
orebody of the Atlas Toledo Mine where ore grade replacement
mineralisation is hosted in volcanics for a width of 120 metres along
a strike length of 900 metres (Mines & Geosciences Bureau, 1982).
References:
Mines and Geosciences Bureau, 1982: Geology and Mineral Resources of
the Philippines.
Information in this report relating to Exploration Results is based
on information compiled by Mr Geoff Davis, who is a member of The
Australian Institute of Geoscientists. Mr Davis is the Managing
Director of Medusa Mining Limited and has sufficient experience which
is relevant to the style of mineralisation and type of deposits under
consideration and to the activity which he is undertaking to qualify
as a Competent Person as defined in the 2004 Edition of the
"Australian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves". Mr Davis consents to the inclusion in
the report of the matters based on his information in the form and
context in which it appears.
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