Encouraging intercepts from drilling at Svartliden

A program of diamond core drilling targeting the depth extensions of Dragon...

  A program of diamond core drilling targeting the depth extensions of Dragon Mining’s Svartliden deposit in Sweden has returned a number of encouraging results.Intercept highlights include • 6.00m at 41.80 grams per tonne (g/t) gold from 90.00m;• 6.00m at 6.09g/t gold from 118.00m;• 6.00m at 5.55g/t gold from 132.00m.Drilling of the depth extensions at Svartliden remains at an early stage, with few holes drilled below the interpreted limits of open pit mining, including the most recent 10 drill hole campaign completed at the end of 2007. Peter Cordin, the company’s managing director, said that the majority of intercepts received to date from deeper drilling at Svartliden have been obtained from the Northern Lode, the better intersections located in the western portion of the deposit, approximately 100m vertically below the natural surface level. “They highlight the potential for high grade mineralisation below planned limits to open-pit mining, which potentially could be amenable to underground mining,” said Mr Cordin. Results are now being reviewed by company geoscientists with the view to planning additional depth extension drilling in the near future, which will further evaluate the merits of establishing an underground mining operation at Svartliden.