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Press release from CNW Group

Perseus Mining Limited - West African Exploration Update

Wednesday, August 31, 2011

Perseus Mining Limited - West African Exploration Update07:03 EDT Wednesday, August 31, 2011NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATESPERTH, Western Australia, Aug. 31, 2011 /CNW/ - Perseus Mining Limited (ASX/TSX: PRU) is pleased to provide an exploration update on its West African gold projects. Exploration is continuing to define and expand zones of mineralisation at both the Central Ashanti Gold Project ("CAGP") in Ghana and at Sissingue on the Tengrela Gold Project ("TGP") in Côte d'Ivoire.HighlightsDrilling at Sissingue on the TGP returned significant results, including:  SD154 - 78m at 4.7g/t Au from 73m, including 1m at 85g/t from 84m, 6m at 16.4g/t from 120m, and 4m at 12g/t Au from 136m.   SD153 - 22m at 5.3g/t from 83m, including 10m at 8.1g/t from 92m, and 1m at 22.4g/t Au from 104m.  SD155 - 59m at 2.4g/t from 100m, 6m at 2.1g/t from 164m, 2m at 7.5g/t from 174m and 5m at 4.4g/t Au from 245m.  SD165 - 11.2m at 6.8g/t Au from 105.2m.  Drilling at Fetish and Esuajah North on the CAGP returned significant results, including:  EFRDD015 - 20m at 1.2g/t from 288m, 24m at 1.4g/t from 365m, 15m at 1.0g/t from 410m, 20m at 2.2g/t from 432m and 19m at 2.0g/t Au from 462m.  EFRDD022 - 14m at 7.1g/t from 354m, 12m at 2.5g/t from 382m and 12m at 2.3g/t Au from 419m.  ENDD013 - 3m at 20.6g/t from 12m, 5m at 2.3g/t from 101m, 9m at 1.1g/t from 127m and 17m at 3.3g/t Au from 165m.  ENDD020 - 17m at 1.3g/t from 231m, 10m at 1.0g/t from 254m, and 31m at 2.4g/t Au from 286m. Exploration drilling at Chirawewa on the CAGP returned significant results, including:  CHRDD003 - 12m at 3.0g/t from 14m, 31m at 2.4g/t from 42m, and 10m at 3.3g/t Au from 115m. Perseus Managing Director, Mark Calderwood's Comments"Drilling at the CAGP is predominantly focused on growing our gold reserves, which will open the possibility of further increasing production rates.""It's also good to see the commencement of assay flow from Sissingue and the calibre of grades from deeper infill drilling which will assist in upgrading Inferred resources within and below the existing pit design."GhanaPerseus is continuing active and systematic exploration programs across its 650sq km Ghana tenement area, including the under-explored Nkotumso, Nsuaem and Dunkwa licences. Apart from ongoing drilling of identified targets, the Company is preparing to undertake 400 line km of gradient induced polarization and 300 line km of infill soil sampling, which are expected to identify further drill targets. At the same time, the Company is continuing to drill known deposits, including a number which currently do not have any reserves, to convert a significant amount of existing resources to reserves during the next 12 to 18 months.Côte d'IvoireRecent activity on the TGP has largely been focussed on sterilisation drilling at Sissingue, but limited deeper infill and extensional resource drilling has returned encouraging results highlighting the potential to extend and upgrade the deeper Inferred resources within and below the existing pit design at Sissingue. Limited exploration drilling has been undertaken, but the bulk of these results are still pending.Mark CalderwoodManaging DirectorAbout Perseus Mining LimitedPerseus Mining Limited (ASX/TSX: PRU) has forged a reputation as one of West Africa's most successful gold explorers focused on under-explored gold belts in West Africa. Perseus recently became a producer at its Central Ashanti Gold Project (CAGP) in Ghana. The Company plans to produce at the initial rate of about 220,000 ounces of gold in the next 12 months and to increase this to about 280,000 ounces per annum in year 2. Details of the project and mine plan are set out in the technical report entitled "Technical Report - Central Ashanti Gold Project, Ghana" dated May 30, 2011.Perseus is now also planning the development of its Tengrela Gold Project in Côte d'Ivoire, with production targeted for 2013. Tengrela has the potential to become a significant contributor to the Company's goal to develop into a 400,000 ounce per annum gold producer during 2013. Details of the project are set out within "Technical Report - Tengrela Gold Project, Ivory Coast" dated September 02, 2010."Perseus will continue its strategy of rapidly increasing its resource and reserve base during the development of the CAGP and Tengrela.Table 1: CAGP, Ghana, Recent Infill and Extensional Drilling                     Hole  Deposit  East(m) North(m) Depth(m) Azm.(°) Incl.(°) From(m) To(m) Width(m) Aug/tABDD199 Abnabna 26600 14030 383.58 180 -65 185 204 19 2.8              297 298 1 25.2ABRDD434 AF Gap 26140 13911 522 180 -70 416 421 5 7.1            incl. 416 418 2 16.3              489 497 8 1.9ABRDD437 AF Gap 26200 13918 475.8 180 -70 327 339 12 1.0              365 378 13 1.1              390 428 38 1.3            incl. 406 407 1 14.6            and 418 419 1 12.8ABRDD438 AF Gap 26280 13901 426 180 -67 249 254 5 4.0              315 316 1 24.8              326 335 9 1.6              402 422 20 1.2AFRDD093 Fobinso 27540 14140 330 180 -68 245 261 16 2.2              282 291 9 2.1EFDD098 Fetish 3440 5480 283 270 -55 227 253 26 2.5            incl. 231 232 1 10.5EFRDD015 Fetish 3126 5180 491 90 -64 288 308 20 1.2              365 389 24 1.4              410 425 15 1.0              432 452 20 2.2            incl. 432 435 3 10.4              462 481 19 2.0EFRDD017 Fetish 3132 5199 327 90 -61 106 161.7# 55.7 6.8            incl. 110 114# 4 39.8            and 126 130# 4 39.5              255 292 37 2.1            incl. 273 274 1 22.7            and 285 286 1 14.7EFRDD018 Fetish 3600 5280 543.5 270 -63 417 435 18 1.4              446 519 73 1.0            incl. 484 485 1 13.8EFRDD022 Fetish 3560 5360 435.4 270 -59 354 368 14 7.1            incl. 355 356 1 24.3            and 367 368 1 10.9              382 394 12 2.5            incl. 383 384 1 12.5              419 431 12 2.3ENDD013 Esuajah N 2300 7340 192 90 -55 12 15 3 20.6              101 106 5 2.3              127 136 9 1.1              165 182 17 3.3            incl. 167 168 1 45.0ENDD014 Esuajah N 2305 7100 250 90 -55 87 113 26 1.4              159 190 31 2.1            incl. 168 169 1 42.7ENDD016 Esuajah N 2231 7180 326 90 -55 209 239# 30 1.9            incl. 215 216# 1 11.3              256 266# 10 1.4              288 304 16 1.0ENDD017 Esuajah N 2220 7340 278 90 -55 117 141# 24 6.4            incl. 132 141# 9 16.0              152 158# 6 5.6            incl. 154 157# 3 9.9              196 207 11 1.1ENDD019 Esuajah N 2141 7340 354 90 -55 283 310 27 1.5            incl. 283 284 1 15.4              317 347 30 1.0ENDD020 Esuajah N 2145 7260 359 90 -55 231 248 17 1.3              254 264 10 1.0              286 317 31 2.4            incl. 297 298 1 23.1            and 316 317 1 12.6EFDD085 Fetish 3546 5240 377 270 -60 289 309 20 1.5              348 358 10 1.6ENDD023 Esuajah N 2265 7060 300 90 -55 217 239 22 1.2              246 262 16 1.0              270 285 15 1.3ENDD024 Esuajah N 2305 7060 251 90 -55 86 102 16 2.0            incl. 92 93 1 14.2              155 174 19 1.0              227 233 6 2.7            incl. 230 231 1 12.1              240 247 7 1.5Notes 1)     Most holes were core drilled through the mineralised zone.2)     Core holes sampled at 1m intervals.3)     Oxide samples or low sulphur fresh rock samples analysed using 50grm fire assays by independent laboratory, Intertek Minerals Limited in Ghana.4)     High sulphide content samples analysed using 25gram fire assays by Intertek Minerals Limited in Ghana.5)     RC precollar through hanging wall was sampled at 1m intervals and composited to 4m and analysed by 50gm fire assay by ALS Ghana Limited in Ghana.6)   Only holes with combined intercepts of greater than 40 gram metres included.7)  The type of analytical or testing procedures utilized and sample size and the quality assurance program and quality control measuresare consistent with those described in the technical report entitled "Technical Report - Central Ashanti Gold Project, Ghana" dated May 30, 2011.8) The true width of intercepts from recent drilling at Fobinso, Abnabna and AF-Gap ranges from 70-80% of the intercept width.9)   The true width of intercepts from recent drilling at Fetish ranges from 45-75% of the intercept width.10)  The true width of intercepts from recent drilling at Esuajah North ranges from 60-75% of the intercept width.11)   # denotes intervals previously released.Table 2: Recent Anomalous Exploration Intercepts, CAGP, Ghana                     Hole  Deposit  East(m) North(m) Depth(m) Azm.(°) Incl.(°) From(m) To(m) Width(m) Aug/tFNS151 Besem E 4160 7321 80 90 -60 64 72 8 3.4            incl. 64 68 4 5.9FNS158 Besem E 3701 7160 80 90 -60 8 16 8 2.1HPRC017 Leach pads 1420 5793 26 0 -90 12 26 14 1.0HPRC018 Leach pads 1408 5909 35 0 -90 0 35 35 0.7HPRC019 Leach pads 1326 5844 28 0 -90 0 28 28 0.8HPRC022 Leach pads 1137 5956 32 0 -90 12 26 14 0.8HPRC025 Leach pads 1128 6061 27 0 -90 0 16 16 0.9HPRC027 Leach pads 1396 6020 20 0 -90 0 20 20 1.1CHRDD003 Chirawewa 3991 4440 192 90 -50 14 26 12 3.0              42 70 28 2.7              115 125 10 3.3CHDD026 Chirawewa 3840 4080 160.78 270 -55 135 137 2 7.9BKRDD032 Bokitsi S. 2844 4040 132 270 -65 48 64 16 2.4BKRDD033 Bokitsi S. 2790 4080 115 270 -55 66 70 4 4.9Notes1)     All FNS and HPRC are RC holes.2)     All BKRDD, CHDD holes are core holes.3)     RC holes were sampled at 1m intervals and composited to 2m or 4m intervals.4)     Core holes were sampled at 1m intervals.5)     Oxide samples or low sulphur fresh rock samples were analysed using 50grm fire assays by Intertek Minerals Limited in Ghana.6)     High sulphide content samples were analysed using 25gram fire assays by Intertek Minerals Limited in Ghana.7)     RC samples were analysed by 50gm fire assay by ALS Ghana limited in Ghana.8)     Only holes with combined intercepts of greater than 10 gram metres are included.9)     The true width of intercepts from recent drilling at the new Besem East is currently unknown.  The true width of intercepts along the Bokitsi zone is about 80-95% of the intercept width.  The intercepts from the Leach pads are true width.10)     The type of analytical or testing procedures utilized and sample size and the quality assurance program and quality control measuresare consistent with those described in the technical report entitled "Technical Report - Central Ashanti Gold Project, Ghana" dated May 30, 2011.Table 3: Sissingue, Côte d'Ivoire, Recent Infill and Extensional Drilling                     Hole  Deposit  East(m) North(m) Depth(m) Azm.(°) Incl.(°) From(m) To(m) Width(m) Aug/tSD151 Sissingué 806540 1154420 191.1 90 -51 130 131 1 9.3              154 155 1 61.0SD152 Sissingué 806475 1154100 281.37 90 -50 147 156.55 9.55 2.6              170 192 22 1.8            incl. 170 177 7 3.1              238 241 3 10.9SD153 Sissingué 806595 1154100 168.09 90 -50 83 105 22 5.3            incl. 92 102 10 8.1            and 104 105 1 22.4SD154 Sissingué 806554 1154120 206.7 90 -50 73 151 78 4.7            incl. 84 85 1 85.0            and 120 126 6 16.4            and 136 140 4 12.0              160 168 8 1.7SD155 Sissingue 806520 1154180 255.09 90 -50 100 159 59 2.4            incl. 153 155.9 2.9 11.5              164 170 6 2.1              174 176 2 7.5              245 250 5 4.4            incl. 249 250 1 14.7SD157 Sissingue 806480 1154180 278.7 90 -50 132 140 8 1.7              171 177 6 2.1              250 253 3 4.9            incl. 250.5 251 0.5 21.2SD158 Sissingué 806440 1154180 305.7 90 -50 166.7 177 10.3 1.2              195 203 8 1.3              238 242 4 3.7              288 294 6 11.1            incl. 293 294 1 61.9SD165 Sissingue 806500 1154380 204.7 90 -50 105.2 116.4 11.2 6.8            incl. 105.2 106 0.8 45.5            and 115 116 1 19.8SD166 Sissingue 806500 1154360 221.7 90 -50 114 123.3 9.3 4.7            incl. 121 122.4 1.4 16.4              188 195 7 2.6              212 218 6 2.2Notes1)     SD holes are core drill holes.2)     The type of analytical or testing procedures utilized and sample size and the quality assurance program and quality control measuresare consistent with those described in the technical report entitled "Technical Report - Tengrela Gold Project, Ivory Coast" dated September 02, 2010.3)     Drill samples were assayed by 50g fire assays by ALS Mali SARL, (a division of ALS Minerals), in Bamako, Mali.4)     True width of intercepts from the current program at the Sissingue deposit is about 55-77% of the intercept width.5)     * denotes open ended intercept.6)     Only holes from Sissingue with combined intercepts of greater than 40 gram metres are included.The information in this report that relates to exploration results, mineral resources or ore reserves is based on information compiled by Mr Mark Calderwood, who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Calderwood is a Director and full-time employee of the Company. Mr Calderwood has sufficient experience, which is relevant to the style of mineralisation and type of deposit  under consideration and to the activity which he is undertaking, to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'") and to qualify as a "Qualified Person" under National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101"). Mr Calderwood consents to the inclusion in this report of the matters based on his information in the form and context in which it appears. For a description of Perseus's data verification process, quality assurance and quality control measures, the effective date of the mineral resource and mineral reserve estimates contained herein, details of the key assumptions, parameters and methods used to estimate the mineral resources and reserves set out in this report and the extent to which the estimate of mineral resources or mineral reserves set out herein may be materially affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues, readers are directed to the technical report entitled "Technical Report - Central Ashanti Gold Project, Ghana" dated May 30, 2011 and the technical report entitled "Technical Report - Tengrela Gold Project, Ivory Coast" dated December 22, 2010 in respect of the Central Ashanti Gold Project and the Tengrela Gold Project, respectively.Caution Regarding Forward Looking Information: This report contains forward-looking information which is based on assumptions and judgments of management regarding future events and results. Such forward-looking information, includes but is not limited to information with respect to future exploration and drilling, procurement of financing, procurement of necessary regulatory approvals, the development of a mine at the Central Ashanti Gold Project, and development of a mine at Tengrela .  Forward-looking information involves known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any anticipated future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, the actual market price of gold, the actual results of current exploration, the actual results of future exploration, changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's publicly filed documents. The Company believes that the assumptions and expectations reflected in the forward-looking information are reasonable. Assumptions have been made regarding, among other things, the Company's ability to carry on its exploration and development activities, the timely receipt of required approvals, the price of gold, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain financing as and when required and on reasonable terms. Readers should not place undue reliance on forward-looking information. Perseus does not undertake to update any forward-looking information, except in accordance with applicable securities laws. For further information: To discuss any aspect of this announcement, please contact: Mark Calderwood at telephone +61 8 9240 6344 or email calderwoodm@perseusmining.com Nathan Ryan at telephone +61 3 9622 2159 or email nathan.ryan@nwrcommunications.com.au (media) Rebecca Greco at telephone +1 416 822 6483 or email fighouse@yahoo.com (Toronto)