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17TH AUGUST 2016
NEW TALISMAN GOLD MINES LIMITED (NZX: NTL ASX:NTL)
FOR IMMEDIATE RELEASE
Talisman Deeps Project analysis initiated
o Preliminary analysis indicates likely depth extensions of the Talisman and
Bonanza shoots
NTL today advises it has completed a preliminary analysis of assay and
geological data from the deeper parts of the Talisman mine, (Talisman Deeps
project) to identify areas where extensions to the current indicated and
inferred resources can be targeted. The Talisman Deeps project area lies
immediately along strike of the workings planned in the Five Year production
plan in the Dubbo and could be readily accessed by extending the planned ramp
system northward at a very small incremental capital cost.
The results have been sufficiently robust to motivate development of a
standalone scoping study focussed on quantifying the mineral resource
potential, likely production volumes and associated financial metrics of
expanding operations into this area of the mine. This study can be carried
out at very low cost utilising information from the Pre-Feasibility Study and
Bulk Sampling project. In particular the project focusses on the areas
immediately north of the Dubbo, (145,000 oz gold at an average grade of 10.1
g/t Au), where data suggests sizeable blocks of unmined ground remain between
10 and 16 Levels, within the portions of the Maria Vein referred to
historically as the Bonanza and Talisman Shoots.
A long section plan of the Talisman mine, compiled circa 1919, shows the
results and location of approximately 1482 channel samples that were taken up
rises and winzes within the abovementioned areas. The grade of these samples
is presented as the cash value of bullion (combined gold and silver)
contained in a ton of ore based on a gold price of ?4.25 per troy ounce.
Preliminary results show that the 1482 samples from the Bonanza and Talisman
zones have an average grade of 29.41g/t Au (equiv), ranging from 0.00 to
219.55 g/t Au. Sample widths range from 0.15 m to 19.35 m and average 1.2 m.
It must be noted that these are not weighted averages due to the early stage
of the work.
If a 3 g/t Au lower cut-off is used for comparative purposes to the cut-off
used in the prefeasibility study there are 1065 samples that average 40.48
g/t Au.
The Company is in the process of verifying the data, digitising and building
a robust geological model which can be used as the basis for evaluating the
potential to expand the gold:silver resources in this section of the mine and
will take into account, vein widths, unmined and mined areas.
Matthew Hill NTL''s CEO says, "The preliminary results confirm our view that
there is an excellent opportunity here to expand the current JORC resource
and extend the life of mine with an increased production rate beyond the
currently identified measured, indicated and inferred resources".
The quality control and assurance procedures in place at the time that the
samples were taken cannot be verified at this stage and therefore the data
cannot currently be used to generate mineral resource or reserve estimates
that will comply with the requirements of the JORC code 2012 but do
constitute an Exploration Target as defined in the 2012 JORC Code. The
potential quantity and grade is conceptual in nature and there has been
insufficient exploration to estimate a Mineral Resource. It is uncertain if
further exploration will result in the estimation of a Mineral Resource.
Long section of Talisman mine showing Dubbo resource in red and colour coded
gold grade from historic sampling in Talisman and Bonanza shoots.
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About New Talisman Gold Mines Ltd
New Talisman Gold is a dual listed (NZSX & ASX: NTL) with over 1900
shareholders who are mainly from Australia and New Zealand. It is a leading
New Zealand minerals development and exploration company with a mining permit
encompassing the Talisman mine, one of New Zealand''s historically most
productive gold mines. Its gold properties near Paeroa in the Hauraki
District of New Zealand are a granted mining permit, including a JORC
compliant mineral resource a JORC compliant reserve statement within the
original Talisman underground mine, and a binding Agreement for Newcrest to
spend up to 5M on an adjacent exploration permit along strike from the mine,
Rahu. The company is now advancing its plans to develop the mine, and advance
the exploration project.
More about New Talisman Gold at www.newtalisman.co.nz
End CA:00287377 For:NTL Type:MINE Time:2016-08-17 14:25:30