Noricum Gold strikes it lucky in Georgia

The AIM-traded European-focused base and precious metals resource development company said the results highlighted the potential for early stage, low-cost gold productionn at Bolnisi.

Kvemo Bolnisi was one of two outcropping miseralised priority targets at the Bolsini Project, the company said, which had both been identified as having the potential to be fast tracked into production.

Noricum Gold said the drill campaign focused on generating a resource from outcropping shallow secondary quartzite high grade gold mineralisation for mine planning.

It would continue drilling over the coming weeks, and would be followed by pit design and mine planning with first production now targeted for the second half of 2016.

"These excellent initial results from our ongoing drill programme at Kvemo Bolnisi continue to highlight the potential for early stage, low-cost production at the first of our starter pit targets", said CEO Greg Kuenzel.

He said that, with little or no stripping, the mineralisation presented a unique opportunity to leverage off the existing infrastructure and heap leach operation owned by the local partner.

"With work now well underway, we will be focusing on completing the drilling over the coming weeks followed by in-house modelling of the resource and mine planning", he Kuenzel added.

Kvemo Bolnisi was located less than seven kilometres from the currently-operating Madneuli mine and processing plant, owned by the Noricum's local partner.