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Excellent results just out with Hugh Mc using very bullish words when he is normally quite cautious. Looks like a real cracker at Komana East. Well done to the Glencar geologists, again ! Giving priority to Komana East shows how significant Glencar believe this second main strike at Komana is.

 

Headlines and main body of text:--

 

Glencar Mining plc 15 April Drilling Update

 

Glencar intersects 56 metres at 3.72 grams/tonne in Komana East drilling programme

 

Highlights

 

- - Current drilling programme will impact very significantly on the next Komana resource update

- - Strike length of mineralisation drilled to date extended to 1,100 metres

- - Average grade of mineralisation intersected in the ore zone is in excess of 3.5 grams/tonne

- - Latest drilling results include 56m at 3.72 grams/tonne and 16 metres at 14.6 grams/tonne

- - Further stepout drilling results awaited and drilling is continuing

 

Glencar Mining plc , ('Glencar' or 'the Company'), the AIM and IEX listed company with gold exploration interests in Africa, is pleased to announce assay results from the ongoing drilling campaign at its Komana East target in southern Mali.

 

The assay results reported below confirm the belief that the Komana East deposit is one with considerable size potential. The consistently good widths and the high average grades encountered mean that resource gold ounces can be quickly developed. Glencar controls a total of 23 kilometres of strike length along the shear structure to the north and south of Komana East within the Komana licence and the mineralisation there is open along strike in both directions and at depth. An additional nine kilometres of strike length to the north is controlled by Glencar within the Sanioumale licence, one of the licences under joint venture with a subsidiary of Gold Fields Limited.

 

Since our last statement on 26 March 2008, Glencar has continued to drill the Komana East target with very exciting results. The programme to date comprises 34 holes, for 3,918 metres of RC drilling and 255 metres of diamond core drilling. Of the 34 holes drilled at

Komana East to date, assays have been received for 20 holes. The latest holes reported in this release were drilled both as 100 metre stepout fencelines to the north and south of the previously reported results, and deeper, cored drillholes within the previously drilled zone (Note 1). The results of the latest holes drilled through the ore zone are as follows:

 

KEDD344 16 metres at 14.6 grams/tonne (uncut) or 16 metres at 11.9 grams/tonne (cut) from 111 metres to 127 metres and the hole

bottomed in the ore zone (Note 2).

KERC361 56 metres at 3.72 grams/tonne from 21 metres to 77 metres and the hole bottomed in the ore zone due to rig breakdown.

KERC416 13 metres at 1.83 grams/tonne from 81 metres to 94 metres

 

 

Assay results are awaited from two further stepout fencelines to the south and from two stepout fencelines to the north. The northern

fencelines, in particular, each displayed very extensive, visual indications of good grade mineralization. If these boreholes in the northern stepout fencelines report ore grade assays as expected, the drilled strike length of the main ore zone will then be 1,300 metres with assays still awaited from two further 100 metre stepout fencelines to the south.

 

Other holes which were drilled outside of the projected ore zone returned the following assays:

 

KERC143 2 metres at 4.85 grams/tonne from 20 metres to 22 metres

KERC146 3 metres at 1.73 grams/tonne from 43 metres to 46 metres

 

Boreholes KERC139, KERC144 and KERC147, KERC360, KERC362 and KERC365, all drilled outside the projected ore zone, did not report significant grades above 0.5 grams/tonne.

 

Because of the importance of the results at Komana East, and in view of the delays being experienced in receiving assay results from the laboratory, we have requested the laboratory to prioritise the results from Komana East which means that the outstanding results from Komana West and Solona drilling will be received after those from Komana East.

 

The Komana East target is approximately seven kilometres east of Glencar's Komana West deposit and drilling by the previous licencee

Randgold in the area in the 1990s had already outlined a non - JORC compliant resource of 280,000 ounces of gold. The mineralization at

Komana East is contained within a brecciated, silicious metasediment. Details of the drillhole locations will be published shortly on the

Company's website at www.glencarmining.ie

 

We are very pleased to be able to report such exciting drilling results from the Komana East target. It is the culmination of a

carefully constructed exploration programme in a very prospective area, which has already shown its great potential in the discovery of

the Komana West deposit. The emerging Komana East deposit points to the likely development of a mining camp in the Komana region, comprising both Komana East and West deposits, with still excellent potential both for extensions to the existing deposits and the discovery of additional satellite deposits within this highly prospective Sankarani shear system. We anticipate that current drilling programme will impact very significantly on the next Komana resource update.

 

----------------

 

.

 

 

 

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From the latest drill results at Komana East:-

 

The assay results reported below confirm the belief that the Komana East deposit is one with considerable size potential. The consistently good widths and the high average grades encountered mean that resource gold ounces can be quickly developed. Glencar controls a total of 23 kilometres of strike length along the shear structure to the north and south of Komana East within the Komana licence and the mineralisation there is open along strike in both directions and at depth. An additional nine kilometres of strike length to the north is controlled by Glencar within the Sanioumale licence, one of the licences under joint venture with a subsidiary of Gold Fields Limited.

End Quote.

 

The known strike lengths from both Komana East and Komana West now stands at 3.5 km+ with both still open in both directions along strike and at depth. There is also the RAB drilled zone of significant mineralisation at Soloba 3.5 kms to the south along strike from KW and initial 5 hole RC drilled strike at Kama 9 kms South of KW to add in. The N-S series of strikes down the West side of Komana shows great potential for further strikes.

 

With the main shear zone running NNE-SSW through Komana and the statement Glencar controls a total of 23 kilometres of strike length along the shear structure to the north and south of Komana East within the Komana licence, the ultimate total confirmed strike lengths at Komana alone could be a multiple of 3.5 kms.

 

In a webcast a few weeks ago on t1ps.com Hugh McCullough made it pretty clear that Komana east was more exciting that K West. These results show he was correct.

 

Much more to come from Komana !!

 

 

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GIP ---- starting a move up with volume rising. The weekly RSI 14 ( not on chart ) has moved up strongly through 50 and now stands at 61.

The sp has moved up on recent strong drill results at Komana East with further results due in maybe 2-3 weeks.

 

GEX25-04.jpg

 

From the recent Komana East drill results:--

Assay results are awaited from two further stepout fencelines to the south and from two stepout fencelines to the north. The northern fencelines, in particular, each displayed very extensive, visual indications of good grade mineralization

 

------------------

 

Would be happy with say 10g/t over 40m along a decent strike distance but there may be comparisons with the Komana West bonanza grade zone which had results such as 38 metres grading 38.9 grams/tonne, 20 metres grading 55.19grams/tonne and 11 metres at 41.84 grams/tonne. If those kind of grades were found over a good strike length the resource ounces would catapult up. Have to wait for the results but Komana East looks to have greater potential than Komana West.

 

.

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Interesting and unexpected development today, adds another string to Glencar's bow.

 

Looks like a good deal with Grey Crown already producing gold at their Tira/Busitema mine on an adjacent license, gold at Glencar's licence area could be processed at Tira.

 

Glencar Mining plc

Glencar announces a farm-in on its exploration interests in southeast Uganda

 

7 May 2008

 

Glencar Mining plc , ('Glencar' or 'the Company'), the AIM and IEX listed company with gold exploration interests in Africa, is pleased to announce that it has signed a Letter of Intent with Grey Crown Resources Limited ('Grey Crown'), in respect of Glencar's Makina project in southeast Uganda. The Letter of Intent relates to a proposed Definitive Agreement ('Agreement') between the two companies relating to the further exploration of Glencar's exploration properties in southeastern Uganda.

 

The Letter of Intent provides for an all-share transaction under which, in consideration of the issue of Can$100,000 worth of shares in Grey Crown to Glencar, Grey Crown would secure an exclusive 30 month option to explore/develop Glencar's Makina gold project.

 

The Letter of Intent also provides that within the 30-month option period, Grey Crown would have a further option to acquire a 60% controlling interest in the Makina Property for an additional Can$400,000 worth of Grey Crown shares, issued at the then current price.

 

Glencar would then have the option to contribute its 40% share of further exploration costs or to sell its 40% interest to Grey Crown for Can$200,000 worth of Grey Crown shares plus a 2% NSR royalty on any production from the property.

 

The Makina property consists of some 115 sq km located in the Busia District of Southeast Uganda immediately to the west of Grey Crown's Busitema gold mine( known locally as the TIRA Mine), which has been in commercial production since 2002 and validates that commercial levels of gold are situated in the area. The properties are within the gold-prospective Greenstone Belt which hosts many sizeable gold deposits mined by majors such as Barrick and AngloGold Ashanti further to the south west in Tanzania. With this current Agreement, Grey Crown now controls 1,237 sq km of prospective gold lands in this Greeenstone Belt, and is planning an aggressive regional exploration project.

 

Grey Crown is a Canadian company which is proposing to list on the TSX Venture exchange in the next 12 months with a further funding target of Can$10,000,000. Its major shareholder is IBI Corporation ['IBI' - TSX Venture], a company engaged in the exploration and development of the vast and largely untapped high-value minerals wealth of Uganda and East Africa. IBI Corporation has established strong relationships with all the community and other stakeholders in Uganda, and especially with the Government of Uganda's mining infrastructure. The Government of Uganda recognized IBI Corporation as Investor of the Year in 2002. Starting in 2000, IBI developed the world-class Namekara vermiculite mine in the southeast of Uganda, and last year sold it to Rio Tinto for US$5 million, and has focused this cash on the sponsorship of Grey Crown as a specialty integrated gold company and the exploration and development of the IBI 1,931 sq km of prospective uranium lands in Uganda.

 

For further information please contact:

--------------------------------------------

 

It brings the license area into play whilst allowing Glencar to focus on Mali.

 

Grey Crown is producing gold at their Tira mine on an adjacent license which means that gold on Glencar's license can be processed at Tira. May be no processing plant required. That makes it more economic should small deposits be found which would not justify full production facilities in their own right.

 

Adds geographical diversity to Glencar.

 

No expense to Glencar for 30 months with Grey Crown to explore aggressively

 

Maybe Glencar's Ghana license with a known gold deposit will be next on the list for farm-in.

 

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Once again, great results out this morning from Glencar on their Solona license area which is adjacent to the Komana license:--

 

 

Glencar Mining plc

 

Solona Exploration Drilling Update

 

Glencar intersects 155 grams/tonne over 4 metres on its Solona exploration licence in southern Mali

 

9 May 2008

Highlights:

 

 

- - Significant gold mineralization intersected on three targets on the Company's Solona Licence

 

- - 4 metres at 155 grams/tonne intersected at Badogo Malikila target, additional assays awaited

 

- - 16 metres at 2.54 grams/tonne and 4 metres at 9.28 grams/tonne in separate holes at Niechilela target

 

- - 8 metres at 2.27 grams/tonne at Faliko target

 

 

Glencar Mining plc, ('Glencar' or 'the Company'), the AIM and IEX listed company with gold exploration interests in Africa, is pleased to announce partial assay results from the latest drilling programme on its Solona Licence in southern Mali. Further assays are still awaited from all three targets.

 

The Solona Licence is approximately 250 square kilometers in area and is held 95% by Glencar's Malian subsidiary company Glencar Mali s.a.r.l. The licence is underlain by Birimian metasediments, metavolcanics and intrusive, granitic rocks. Significant, northeast-southwest trending shear structures are evident from the aeromagnetic surveys.

 

Surface rock sampling and mapping suggest that the Faliko, Niechilela and Badigo Malikila targets are prospective and the recently completed RAB (Rotary Air Blast) drilling programme was a first pass programme designed to investigate such potential. A total of 176 holes were drilled to an average depth of 53 metres for a total of 9,407 drilled metres. Significant gold mineralisation was intersected at all three targets.

 

Hugh McCullough, Managing Director of Glencar says: 'We are delighted to have intersected further significant mineralization in Mali. Following last month's impressive results at our adjacent concession, Komana East, our portfolio of projects provides a range of exciting prospects.'

 

At Faliko, gold mineralization was found on each of three fencelines drilled and the mineralized zone extends over a strike length of 1,000 metres in an ENE-WSW trending direction. The best mineralization intersected was 8 metres at 2.3 grams/tonne in hole SARAB033 from 24-32 metres. Three fencelines were drilled at Faliko at an average spacing of 500 metres. Assays from 11 holes are awaited from this target.

 

At Niechilela, significant mineralization extends over a strike length of 1,200 metres with one hole, SARB096, intersecting 4 metres at 9.28 grams/tonne. Four fencelines were drilled at Niechilela with an average spacing of 400 metres. Assays from three holes are awaited from this target.

 

At Badigo Malikila, hole SARAB114 intersected 4 metres at 154.7 grams/tonne between 52 and 56 metres downhole depth. SARAB114 was drilled on a fenceline some 400 metres north of the previously drilled reverse circulation drillhole SARC009 which had intersected two mineralized horizons, 8 metres at 2.6 grams/tonne between 6 and 14 metres depth and 2 metres at 25.2 grams/tonne between 30 and 32 metres depth. Four fencelines were drilled at Badogo Malikila with an average spacing of 500 metres. Assays from 60 holes are awaited from this target.

 

All of the targets drilled to date within the Solona concession lie on structures identifiable in the recently completed aeromagnetics survey data. The preliminary RAB holes reported here will be followed up with reverse circulation ('RC') drilling during the next drilling season. The locations of the three targets will be shown on a map on the Company's website at www.glencarmining.ie. A drillhole location plan will be shown on the website when all remaining assays have been received.

 

________________________________

 

The recent aeromagnetics survey over all 5 licenses in Mali will help greatly with target identification and extent. At Solona, ' Significant, northeast-southwest trending shear structures are evident from the aeromagnetic surveys. '

 

 

Both the Komana and Solona licenses are now shown to have fantastic potential with Komana the more advanced.

 

The 3 license areas in a farm in with Gold Fields should be due an update soon.

 

:lol::lol::lol:

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Thought there might have been a drilling update on Komana East this week as it is nearly 6 weeks since the last results and priority has been given at analabs for Komana East assays. It could be Hugh Mc saving the results to release with the annual report which should be due next week. ( last year was 29th May )

 

Having looked at what assays are outstanding at KE, also checked what other assays were still to come and the total amount outstanding is very substantial.

 

From the Komana East drill results of 15th April there were results outstanding for 14 RC holes plus a small amount of assays from a few holes. Then there is all the drilling done at KE since then, hope they are going at a fair speed and have RC/Diamond drilled at least a further 3500-4000metres to date.

Those Northern fencelines outstanding sound like they will bring some tasty results.

From 15th April Komana East results, 'Assay results are awaited from two further stepout fencelines to the south and from two stepout fencelines to the north. The northern fencelines, in particular, each displayed very extensive, visual indications of good grade mineralization. '

 

At Komana West there are 22 RC/Diamond holes still awaited from December plus further drilling from Jan/Feb there and the update on the Soloba strike from the Jan 30th release stated 'This mineralization will be the subject of a series of RC holes to be drilled within the coming weeks.' Hope they managed to RC drill there.

 

At Solona there are 74 RAB holes outstanding from the 3 targets there with 60 of those from Badogo-Malikili.

 

There is also an update overdue from earn-in partner Gold Fields on the 3 license areas of the Sankarani project. It seems they have finished phase 2 of the earn in to now hold 51%.

 

Starved of news for whole 2 weeks --- but plenty more to come shortly I would think, particularly with annual results due in the coming week.

 

.

 

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Annual Results out today -- Extracts

 

Glencar Mining plc ('Glencar' or the 'Company') today announces its

results for the year ended 31 December 2007.

 

Highlights from the Chairman's statement:

 

* 2008 saw the emergence of the Komana East deposit which has the

potential to grow in size rapidly

* Results of drilling at Komana East show the mineralised zone to

extend over a strike length of at least 1,600 metres and the

deposit is open along strike in each direction and also at depth

* Significant increase in Komana resource anticipated

* Komana West drilling has been carried out to improve resource

estimate and results are awaited

* 4 metres at 155 grams/tonne intersected in drilling at Badogo

Malikila on Solona exploration licence

* Sankarani Joint Venture with Gold Fields subsidiary progressing

well.

* Audited results for the financial year ending December 2007 show

a reduced loss of US$579,992.

 

Assays have been received for fifteen further drillholes at Komana East, which are referred to in the 2007 Annual Report to be posted to shareholders today and which have not been previously reported.

 

in particular, we have advanced the Komana property to the point where we can clearly anticipate the development of a producing mine between Komana East and West deposits, with the possible addition of other nearby deposits in this highly prospective region of southern Mali.

 

Ghana

We have been in active discussions with a number of parties in relation to joint venturing our Asheba Project in Ghana. There is considerable interest in the project and we expect to agree a mutually attractive deal in the near future.

 

 

 

 

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Annual Report now out which adds recent drill results to Komana East with drilling ongoing.

 

Komana East --- Good grades all round, average grade over 3.5g/t, with many higher grades at 90-150 metres downhole depth.

 

Looking at all the results from Komana East the ore body seems to be much easier to define and more simple to follow than Komana West. Strike length stands at 1600m with latest results and looks to be good depth of maybe 80-100m+ and 40-50m width, give or take. The grades are also more consistent and much higher. I looked at the results from Randgold’s ( previous license holder ) drilling at KE some time ago and noted the higher grades in their drill programme were coming from around 100m downhole depth. The Randgold drilling lies in the central to southern zone of the strike.

 

Some of the deeper holes drilled by Glencar, mainly towards the Northern end of the current drilling, appear to confirm these stronger grades at depth. Some of Glencar’s results from deeper holes are:--

KEDD392 134-143m 9m at 5.2g/t

KEDD126 102-110m 8m at 3.9g/t

KEDD138 114-116m 22m at 2.8g/t

KEDD344 111-127m 16m at 14.6g/t ( hole bottomed in orezone )

KEDD345 75-95m 20m at 4.4g/t

 

It is worth noting that many assay results outstanding are from diamond drilled holes at downhole depths, that from the drill plan, look to be of 150 metres or more. These are KEDD 419, 427, 420, 411 and 412.

 

It looks like Glencar are going for infill drilling and extensions at depth, rather than extent, which should lead to a good initial JORC estimate at KE of maybe 1m ounces, possibly more depending on how much more drilling they can get in before the rainy season comes. The recent results seem to be based on assays received and drilling done to about 23rd May so that may just give another 3 weeks of drilling.

 

This statement from the Annual Report sounds excellent:--

‘There are also geologically, geophysically and structurally analogous targets present in five locations to the south of the Komana East deposit over a 10 kilometre strike length.’

 

Good to see that Soloba, an extension to the South of Komana West, has had 9 RC holes drilled for a total of 1,080m, best grade so far 4m at 2.55g/t from 22-26m, with most assay results still to come.

 

Over 3000 assays still outstanding at Komana and Solona, drill results from 12,000m RAB drilling awaited from the 3 license areas in a farm in with Gold Fields.

 

.

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Thanks for sharing all your research Walden. This looks like an interesting company. Do you know how much cash they have, what their burn rate is, and if they have any corporate or institutional investors?

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Thanks for sharing all your research Walden. This looks like an interesting company. Do you know how much cash they have, what their burn rate is, and if they have any corporate or institutional investors?

 

Glencar had $3.3m at year end with an article from minesite on 23rd Jan saying they had over $4m.

 

Would think they have enough cash to take them at least through to the first quarter of next year. Am not clear what their cash burn rate is at the moment but the AGM is on 27th June so will be looking for what their cash position is then.

 

The directors are aware of the following shareholdings of 3% or more of the issued share capital of the company at

23 May 2008-

CDC Group PLC 7.54 %

J.P. Morgan Asset Management (UK) Limited 6.09 %

Macquarie International Limited 3.68 %

 

.

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Looks like the weather will hold untill the end of the week then the drilling season in Mali will end due to the rainy season.

 

15 day forecast for Bamako, Mali:

http://www.accuweather.com/world-forecast-...KO&metric=1

 

This will have given one week more than the norm and a further 4 weeks of drilling at Komana East in addition to that previously announced.

That has given time for substantial infill and depth drilling at KE to produce a very strong initial JORC estimate.

 

 

On a further note the Kama target 9kms to the South of KW had 5 RC holes drilled late last year, 3 holes encountered significant mineralisation.

 

According to the annual report from a few weeks ago a further 10 RC holes have been drilled at Kama making a total of 15 holes for 1,959 metres.

 

Substantial amount of drill results outstanding from Komana now includes Komana East, Komana West , Soloba and Kama.

 

.

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Strong assay results announced from a further 13 holes at Komana East and yet another new strike at Gonka, 4.5kms to the South of KE.

 

Aeromagnetic survey over the Komana Licence, has shown the presence of a series of distinct exploration targets along strike to the north and south of the Komana East deposit, each of which has geophysical and structural similarity to the Komana East ore zone.

------- Note from annual report ----There are also geologically, geophysically and structurally analogous targets present in five locations to the south of the Komana East deposit over a 10 kilometre strike length.----------------- Looks like Gonka is one of those, minimum of 4 more targets to be drilled to the south of KE. Excellent potential along strike from KE which is still open to north and south and at depth.

 

Glencar raises £1m at 9p per share in equity placing with Macquarie Bank. ( Plus 1 for 2 warrants at 13.5p )

 

 

Komana Drill Results -- Extracts

 

Glencar Mining plc ---26 June 2008

 

Drilling Update

 

Glencar intersects 36 metres at 4.7 grams/tonne

plus 40 metres at 4.8 grams/tonne in best hole to date at Komana East

 

Glencar Mining plc , (“Glencar” or “the Company”), the AIM and IEX listed company with gold exploration interests in Africa, is pleased to announce assay results from the ongoing drilling campaign at its Komana East target in southern Mali. The Komana East assay results reported below relate to 13 additional holes for which assay results have now been received. Assays from a further 14 holes are awaited.

 

During this drilling campaign at Komana East, some 62 drillholes have now been completed for a total of 8,459 metres of reverse circulation and diamond drilling. In addition, a total of 2,970 metres of RAB drilling in 91 holes was completed on the Gonka target, some 4.5 kilometres along strike to the south of Komana East. While assays are awaited for all of the holes drilled on the Gonka target, good visual indications of gold mineralization were seen during the drilling programme there, indicating that the mineralised structure extends as far south as Gonka, at least. Drilling at Komana was suspended on June 21st for the rainy season and will recommence in October next. Results of the drilling carried out at the Komana West deposit and the Kama and Soloba targets to the south of Komana West, will be announced when all remaining assays have been received from the laboratory, expected during July. The results of the RAB drilling carried out on the Gonka target and on the Solona exploration concession to the east of the Komana concession will also be announced when all assays have been returned from the laboratory.

 

Komana East Assay Results

Table showing some significant assays recently received from Komana East:

Hole-From (m) To (m) Width(m) Au Grade(g/t)

KERC406 --5 ---9 ---4 @2.9

KEDD407-69--- 74-- 5@ 2.9

KEDD407 -81--- 84-- 3 @4.0

KEDD411 -25 ---61 --36 @4.7

KEDD411- 92 ---132-- 40 @4.8

KEDD412 -148-- 151 --3 @2.7

KEDD419- 137 --141-- 4@ 4.0

KEDD420 -127 --134 --7@ 3.7

KEDD420- 138 --141 --3@ 4.1

KEDD420- 147-- 149-- 2@ 1.2

KERC421 -71 ---72-- 1 @3.1

KERC421- 76--- 79-- 3 @2.2

KEDD422-102-- 107-- 5 @5.3

KEDD422- 127-- 132-- 5 @2.1

KEDD422- 136 --137 --1 @2.6

KEDD422- 140-- 144 --4 @1.2

KEDD422 -158 --166 --8 @2.0

KERC423- 76--- 83 --7 @1.5

KEDD427- 84--- 86 --2@ 5.9

 

Glencar controls a total of 23 kilometres of strike length along the major Sankarani Shear Zone to the north and south of Komana East within the Komana licence and the mineralisation there is open along strike in both directions. The Sankarani Shear Zone extends into the Sanioumale licence, which lies immediately to the north of the Komana licence, and is one of the licences held by Glencar as part of the joint venture with a subsidiary of Gold Fields Limited. The results of the aeromagnetic survey flown by Glencar over the Komana Licence, have shown the presence of a series of distinct exploration targets along strike to the north and south of the Komana East deposit, each of which has geophysical and structural similarity to the Komana East ore zone.

______________________________

 

http://www.glencarmining.ie/press/2008/0806_1.html

 

 

Placing for £1m - Extracts

 

Glencar Mining plc , (“Glencar” or “the Company”), the AIM and IEX listed company with gold exploration interests in Africa, is pleased to announce that it has completed a placing of new ordinary shares of nominal value €0.031 (“New Ordinary Shares”) with Macquarie Bank Limited (“Macquarie”), the Australian bank specialising in resource financing.

 

Approximately Stg£1 million (approximately €1.28 million) has been raised through the issue of 11,250,000 new ordinary shares at a price of 9 pence (c 11.35 cent) per share a premium to the current market price. Warrants have also been issued to Macquarie on the basis of one warrant to purchase a new ordinary share for every two New Ordinary Shares purchased under the placing, at an exercise price of 13.5 pence (c 17 cent) per ordinary share, valid for a period of two years from the date of issue of the warrants. The total number of Ordinary Shares in issue immediately following the placing will be 269,636,967.

 

Macquarie has notified Glencar that their holding following the placing of new ordinary shares is 20,750,000 ordinary shares, amounting to 7.7% of the enlarged issued share capital of Glencar,

 

The proceeds of the placing will be used to continue the drilling and evaluation of the Company’s exploration licences in Mali.

-----------------------------

Full Article:-- http://www.glencarmining.ie/press/2008/0806_2.html

 

Should now have enough to take them through another year to the end of the next drill season.

 

Glencar's AGM tomorrow.

 

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Notes on information coming from the AGM on Friday 27th June.

 

GEX has issued 270m shares which are held by 3,200 shareholders of which 67% are UK based. 40% of the Issued Share Capital is currently held by Institutions such as CDC with 7.2%, JP Morgan with 5.8% and Macquarie 7.7% (up from 3.5%).

 

Q. Taking account of the funds raised during the week does GEX have sufficient funds for the 2008/09 drilling programme?

 

The CEO responded that ‘the funds position is OK for most of next season. In 2009 GEX will have 4 rigs on Komana property while it had 2 there during 2008. While more funds will be required the additional funds raised at a premium to current SP this week give GEX flexibility’. This weeks fund raising represented a coup for GEX given the current instability in the financial markets. Glencar could have completed a far greater fund raising deal but wanted to avoid unnecessary dilution at current levels.

Note: There are also 13.5p warrants, total value £750k, that could come into play held by Macquarie Bank

 

Q. A shareholder enquired into developments in Ghana and Uganda.

 

The CEO responded that there are 2 bidders for a JV at Asheba which is technically a good target. The discussions are well advanced and GEX will do a deal. The terms of the deal for its Uganda property was good business for Glencar.

 

Q.What was GEX’s opinion on the assays reporting?

 

The CEO promptly responded “not satisfactory” and that GEX’s relationship with the lab currently undertaking this essential work will be reviewed for 2008/09 as ‘Assays are essential to informing drilling and its GEX’s primary job to sort this issue’. May be looking at putting assays to another lab.

 

Mali Areas.

 

A high resolution aeromagnetic aerial survey was undertaken mostly at 50metre spacings and from 50m altitude during Jan/Feb 2008. The survey which extended over the 5 license areas (some 100metre spacing were employed) provided results which are proving ‘particularly valuable’. ‘The aeromagnetic study indicates ore zones with high magnetic intensity with distinct mineralization evident’

 

The well defined Sankarani shear zone ‘the key to GEX’s future’ is 23km in length. It consists of granitic intrusions at depth is the engine for driving the fluids to surface, resulting in salica quartz and gold. These fluids came to rest in cross cutting structures (in broken rock) and so alter the magnetics of rock.

 

CEO explained the geophysical regime governing the formation of gold deposits sandwiched between metasediments within the Komana license area with KE containing a major shear zone in which GEX had drilled 8,500 metres of RC and diamond drilling. GEX had prolonged their attention to KE ‘much longer than anticipated’ and finished on 21st June 2008. The drilling revealed ‘persistent ore grade mineralization’ with one hole yielding 76metres @ 4.8grams per tonne. ( in two sections ) Komana East has a strike over 1.6km which is ‘not nearly at an end’ Potential for 1.5km Northern extension and to the South. Further drilling to further identify the extent of mineralised corridor is required. It is ‘probable that gold is continuous in a well defined ore zone’. Gonka, 4.5kms along strike to the South of KE, drilled at the Southern end of this zone ‘is very very prospective and the mineralised zone continues into areas not drilled yet’. The Komana license area contains ‘ plenty of targets’.

 

Drilling commenced during Dec 2005 at Komana West (KW) where 21,120metres of RC and diamond drilling has been completed. Ore grade mineralization over 1.5km leading to preliminary JORC of 520,000 ounces with there now being a reasonable expectation that KW resource could be doubled. . It is clear that while KW’s potential is with ‘very high grade shoots’ at depth GEX has requested the lab to prioritise drill results for Komana East (KE) given the now established greater promise of the area. KE is 7 km from KW.

 

CEO's presentation went onto the Solona license area where 9,400 metres of RAB drilling has been completed on 3 targets. ‘A lot more to play for there’. This was followed quickly by reference to the Sankarani Project JV with Goldfields who have to spend up to $4m to secure a 51% interest and an additional $8m to secure a 65%interest. Targets outlined in the aeromagnetic survey have been ‘done’. To date 12,573m of RC drilling and in excess of DC 12,000m drilling completed.

 

The Chairman, Sean Finlay, told a story about a man in a pitch black room who gradually comes to the realisation that he is not alone there but in the company of a sizeable animal. The first contact is with the animals trunk and he wonders to himself is this an ant eater and after feeling the animals ear and tail he's puzzled but eventually after much touching he realises the animal is an elephant.

 

“GEX has an elephant” and is “not sure what way it's facing. The modelling of the ore body undertaken by Kieran Harrington provides a sense of direction”.

 

“The larger players in the sector will become increasingly aware of the elephant and GEX will receive an approach”.

___________________________________________

 

Building to a major deposit ------- Possibly world class ??

 

.

 

 

 

 

 

 

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A post on another thread made me ask an interesting question on how many ounces do I have the rights to in Glencar. I was surprised when I worked out my 'entitlement' was 490oz per million. The amount of ounces GEX is likely to end up with is many millions.

 

There will be dilution through equity placements in the future etc and of course I am only entitled to future profits on the 490oz but the fact that juniors are a leveraged play in gold makes this all the more fascinating when you take into account predicted future moves in gold. The leverage is fantastic compared to physical if the price of gold increases.

 

Glencar has 270 million shares in issue with a current SP of just under 8.5p.

If you bought £1,000 at 8.5p ( plus cost/stamp duty on top ) you would have 11,760 shares which would give you the 'entitlement' to 43.5oz per million.

 

That may be something to consider to put at least a little leverage into play when looking at gold.

 

Has anyone come across this way of looking at the oz per million a shareholding may represent in a gold junior ?

 

Fascinating way of looking at a shareholding in a stock that is potentially building a world class deposit.

 

Could the oz per million be used in a predictive/analytical way, to compare value in different juniors for instance ??

 

.

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Found the ounces per million for a shareholding quite an interesting measure as mentioned on the previous post, so an example on Glencar.

 

Glencar has 270 million shares in issue with a current SP of just under 8.5p.

If you bought £1,000 at 8.5p ( plus cost/stamp duty on top ) you would have 11,760 shares which would give you the 'entitlement' to 43.5oz per million. Working on the JORC that Glencar has currently of just over 500,000 oz gives 21.75oz for the £1,000.

 

Glencar's JORC of just over 500k oz should move up in Oct to say 2m oz, with that likely to double at least to 4m oz by the same time next year. So however many ounces per million you 'own' now that would be increased eight fold by Oct 2009 from those figures, or 174oz between now and Oct '09 from the initial £1,000 for 21.75oz now.

 

The increases in ounces mentioned are quite realistic projections, possibly a little cautious on the 4m oz with Glencar upping the pace over the next drill season with 4 rigs on the go. ( 2 last season )

 

Certainly puts into perspective the vast potential of Glencar. Need to take into account other variables such as equity placements, market cap per ounce varying etc.

Would also expect gold to be $1,200+ by then ( $1,200 may be conservative. ).

 

Maybe it could be used to compare gold juniors. ie how many oz per million would £1,000 buy you in a stock now, and what is the future potential for increase in resource ounces.

 

.

 

 

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Drill results from Komana East and Gonka on the Komana license out this morning.

Further very strong results at Komana giving added weight to the potential for a world class deposit on this license area.

 

Extracts:--

 

Glencar Mining - 16 July - Drilling Update

 

Glencar intersects 79 metres at 2.5 grams/tonne in latest drilling at

Komana East

 

Highlights:

 

* Latest assays include 79 metres at 2.5 grams/tonne in KERC428 and 29 metres at 3.4 grams/tonne in KERC430

* Emphatic confirmation of ore zone along strike

* Independent resource estimation update for Komana about to commence

* Gonka target drilling 4.5 kms along strike to the south intersects 15 metres at 2.5 grams/tonne

* Intensive drilling to recommence in October next

 

Komana East Assay Results

 

Assay results have now been received for the final thirteen holes of the total of 62 holes completed at Komana East this drilling season.

 

Table showing some significant assays recently received from Komana East:

 

Hole From To Width Au Grade

---------------- (m) (m) --- (m) (g/t)

KERC428 ------ 53-132* --- 79* @ 2.5

incl KERC428 ---53 - 90 --- 37 @ 3.0

and KERC428 ---99-132* --- 33* @ 2.4

KERC429------ 29 - 43 --- 14 @ 2.1

KERC430------ 53- 82 --- 29 @ 3.4

KEDD431-----132 -146 --- 14 @ 3.1

KEDD432----- 122 -125 --- 3 @ 3.7

KERC434------- 8- 19 --- 11 @ 3.4

KERC434 ------52 -108 --- 56 @ 0.8

KERC435 ------15 - 29 --- 14 @ 2.9

KERC435 ------38- 41 --- 3 @ 3.0

KERC433 -----112 -125 ---13 @ 2.2

 

*Hole KERC428 ended in ore at 132 metres downhole depth

 

Boreholes KERC428, KERC429 and KERC430 were drilled through the projected ore zone as infill holes to reduce the spacing between drill fencelines in this area from 200 metres to 100 metres. These three holes intersected impressive ore grade intervals of 79 metres at 2.48 grams/tonne, 14 metres at 2.11 grams/tonne and 29 metres at 3.37 grams/tonne respectively. These holes emphatically confirm extensive ore grade mineralisation through this portion of the deposit.

 

Gonka Assay Results

 

The recently completed aeromagnetic survey, together with geological mapping and geochemical sampling has delineated several very prospective targets lying along the Sankarani Shear Zone to the south of, and along strike from, the Komana East deposit. The Gonka Target is the first of these targets to be tested, initially with RAB drilling. 91 holes were completed on the Gonka Target for a total of

2,970 metres of drilling. Three fencelines of holes were drilled at an average spacing of 400 metres across the projected mineralized structure over a strike length of 800 metres and significant mineralisation was intersected on each of the three fencelines

 

These results suggest that this initial RAB drilling programme has successfully determined the precise location of the Sankarani shear structure at Gonka and follow up reverse circulation drilling will fully test this part of the Sankarani shear early in the next field season.

 

Details of the drillhole locations will be published shortly on the

Company's website at www.glencarmining.ie

 

The latest results from Komana East give very good reason to be optimistic about the outcome of the next Komana resource estimate

update. There is very good confirmation of ore grade mineralisation along strike and the regularity of ore grade intersections over exciting widths intersected to date point to a very well developed mineralised system. The potential for continuity along strike both to the north and the south is very strong and, based on the results from the RAB drilling at Gonka, the further potential for up to 20 kilometres along strike to the south is very good indeed.

______________________________________________

 

There are a further 4 known targets within 10 kms to the south of Komana East and further targets as stated in the press release of 26th June.

'The results of the aeromagnetic survey flown by Glencar over the Komana Licence, have shown the presence of a series of distinct exploration targets along strike to the north and south of the Komana East deposit, each of which has geophysical and structural similarity to the Komana East ore zone.'

 

The 20 Km Komana East strike has vast potential. At the 4.5km between KE and Gonka it is probable that gold is continuous as stated at the agm. Initial JORC to come in a couple of months.

 

Full Release:--

http://www.londonstockexchange.com/LSECWS/...&source=RNS

 

Drill results outstanding from:--

Komana West, Soloba and Kama.

Three targets on the Solona license area.

Three licence areas in farm-in with Gold Fields.

 

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TWO STRINGS OF PEARLS AT KOMANA

 

Komana West was the first major strike at Komana, which is still open along strike to north and south and at depth,and helped with the understanding that the major Sankarani shear zone running through the Komana license had great potential.

 

The ’string of pearls’ potential or series of strikes along the shear zone is now borne out with strikes at Kama and Soloba , with the alignment being North - South from Komana West. RC drill results are outstanding, 9 holes from Soloba and 10 from Kama. There is a series of three strikes so far over 9kms on a N - S alignment with the potential for further strikes, with targeting and extent in that zone probably now being helped very much by the airborne survey results.

_ _ _ _ _ _ _ _ _

 

Komana East has now come up trumps with consistently strong grades over 1,600m and is open in both directions along strike and at depth and is in the 23kms of strike running down the East side of Komana..

 

The potential for the 23kms of strike along the Komana East zone is emphasised with comments from recent company releases, particularly when it is noted that Glencar generally employs a cautious tone in it’s releases.

 

From Annual Report - ‘There are also geologically, geophysically and structurally analogous targets present in five locations to the south of the Komana East deposit over a 10 kilometre strike length.’

 

From drill update - 26th June - ‘Glencar controls a total of 23 kilometres of strike length along the major Sankarani Shear Zone to the north and south of Komana East within the Komana licence and the mineralisation there is open along strike in both directions. The results of the aeromagnetic survey flown by Glencar over the Komana Licence, have shown the presence of a series of distinct exploration targets along strike to the north and south of the Komana East deposit, each of which has geophysical and structural similarity to the Komana East ore zone.

 

From drill update 16th July - Gonka. The recently completed aeromagnetic survey, together with geological mapping and geochemical sampling has delineated several very prospective targets lying along the Sankarani Shear Zone to the south of, and along strike from, the Komana East deposit. The Gonka Target is the first of these targets to be tested, initially with RAB drilling. 91 holes were completed on the Gonka Target for a total of 2,970 metres of drilling. Three fencelines of holes were drilled at an average spacing of 400 metres across the projected mineralized structure over a strike length of 800 metres and significant mineralisation was intersected on each of the three fencelines. - These results suggest that this initial RAB drilling programme has successfully determined the precise location of the Sankarani shear structure at Gonka and follow up reverse circulation drilling will fully test this part of the Sankarani shear early in the next field season.

 

The potential for continuity along strike both to the north and the south is very strong and, based on the results from the RAB drilling at Gonka, the further potential for up to 20 kilometres along strike to the south is very good indeed. ‘

_ _ _ _ _ _ _ _

 

The Komana West deposits in themselves are very good strikes but the results coming out from Komana East have higher and more consistent grades demonstrating an even more strongly developed orebody than Komana West. Komana East also looks to be more central in the main Sankarani shear zone with Komana West slightly offset. This is also backed up by the clarity of information from Glencar over several releases with a stated 23kms of strike to the North and South of KE, with 5 specific targets mentioned to the south, of which Gonka is one, with broad mention also made of targets to the north and south of the Komana East deposit, each of which has geophysical and structural similarity to the Komana East ore zone.

 

There probably will be more targets to drill along the Komana West zone but it is very clear that Komana East with higher grades, more consistency, a much greater strike length, with a higher number of well identified targets to drill is by far the greatest of the ‘strings of pearls’ at Komana. From the information coming out of the AGM it could also be that the orebody is almost continuous between some of these targeted ’pearls’ i.e. Komana East to Gonka

 

The two series of strikes through Komana East and West has the potential for a world class deposit for Glencar, that is if there is no takeover from a major first.

 

Oh ---- and that is just the Komana license area !!!!!!

 

.

 

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News from the Sankarani farm-in with Gold Fields on the Farasaba, Sanioumale and Bokoro licenses in Mali

 

From the latest Gold Fields quarterly report out today:--

 

At the Sankarani joint venture in south-western Mali, where Gold Fields is earning-in to an initial 51 per cent interest in a project currently operated by partner Glencar Mining plc (AIM: “GEX”), seventeen targets were prioritised for follow-up work following the completion of a high resolution airborne geophysical survey in March 2008.

 

A total of 18,486 metres of rotary air blast (RAB) drilling has been completed to date on five Priority 1 targets to test a cumulative prospective strike length of 55 kilometers. Assay results from drilling the Sindo target outlined gold-in-bedrock anomalism coinciding with a northeast-southwest shear-zone. Visible gold was reported in pan concentrates recovered from the Fingouana and Kabaya South RAB holes, with intercepts of up to 9 metres at 6.5 grams per ton Au.

 

The upcoming work programme will include trenching and 18,000 metres of RAB/RC and diamond drilling to further test the five priority targets. An additional 20,000 metres of RAB drilling is planned for target definition over the twelve other Priority 2 and 3 areas not yet tested. The above should be completed by the December quarter.

____________________

 

17 targets from Aeromagnetic survey.

 

55 kilometres strike length

 

North East - South West shear zone trend through the 3 Sankarani license areas and Glencar's own 2 licenses.

 

Sindo target sounds good ( South East corner of the Sanioumale license )

 

9m at 6.5g/t at Kabaya South/Fingouana ( Central on the Farasaba license ) Kabaya South already has a fairly substantial known orebody.

 

The airborne survey has certainly paid great dividends in successfully identifying targets.

 

Gold fields are now really getting a move on, have drilled 5 of 17 priority targets and will have drilled the remaining 12 by December ( drill season recommences in October ) Their need to replace depleting reserves may be pushing them on.

Strong and very positive progress. Should get further details when Glencar reports progress.

 

.

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9m at 6.5g/t at Kabaya South/Fingouana ( Central on the Farasaba license ) Kabaya South already has a fairly substantial known orebody.

.

 

Reads poorly, for clarity:--

 

Kabaya South ( Central on the Farasaba license ) already has a fairly substantial known orebody.

Fingouela is on the Sanioumale license area.

Grades up to 9m at 6.5g/t on these two targets.

 

.

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Emailed Glencar with a few questions on drill results/new targets on Thursday night and got a prompt reply on Friday from Hugh McCullough, as is usual with quality management. for info reply to my email follows:--

 

Thank you for your email which, as usual, is very well informed and interesting.

 

I do realize that we have not published a lot of detail about the Sankarani Project. This is in part due to the fact that it is a bit further back the exploration pipeline than, say, Komana, and therefore results are not as easily quotable. Targets are being generated and refined, and the phase we are moving into next drilling season will be more focused on specific targets. Nonetheless, I do intend to make a fuller statement on the project when the new budget and programme is approved, during the next few weeks.

 

I don’t intend making a specific announcement about the remaining holes in Komana West until we get the SRK report in September. That report will be the definitive comment on all the Komana West drilling so I feel it is best to wait until that report is complete.

 

I do expect to make a statement shortly on the remaining results from the Solona drilling campaign.

 

It is not practicable to give the results of the aeromagnetic survey, since here are no “results” as such. The survey has proved exceptionally useful in interpreting the results of our field mapping and drilling and this is its real value. I am hoping to upload onto the website next week the presentation I gave at the AGM, which includes a couple of slides showing some of the aeromagnetic results. The slide of Komana in particular, shows why we think that the Komana area along the Sankarani Shear Zone is such a fantastic target.

 

I will have a look at the website maps and plans and see where we can update them. I do recognise that such updates are probably due, I just have to find the time.

 

We have two licences in Uganda and both are intended to go into the Grey Crown farm-in.

 

Once again, thank you for your interest and support and I hope I have answered at least some of your questions satisfactorily!

 

With regards

 

Hugh

____________________________

 

Solona results shortly and hoping to upload AGM presentation next week to website which will show some Aeromag results, the Komana one in particular to draw interest. This caused a few oohs and ahhhs at the AGM apparently with the 23kms of strike running through Komana East with the probability of gold/orezone being continuous over very extensive strike lengths and multiple high grade targets, so will be looking forward to seeing this.

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Results out from drilling 3 targets on the Solona license area and incorporated into the statement from the interims announced this morning.

 

Solona Results:--

 

The area is just east of and contiguous with Glencar’s Komana Concession. The licence is underlain by Birimian metasediments, metavolcanics and intrusive, granitic rocks. Significant, northeast-southwest trending shear structures are evident from the aeromagnetic surveys. Surface rock sampling and mapping had suggested that the Faliko, Niechilela and Badigo Malikila targets are prospective and the recently completed RAB drilling programme was designed to investigate such potential. In all, 176 holes were drilled to an average depth of 54m for a total of 9,422 drilled metres. Significantly, ore-grade gold mineralisation was intersected at all three targets.

 

At Faliko, towards the north of the concession, disseminated gold mineralization has been located in an extensive alteration zone over a strike length of 1,000 metres. The gold mineralisation is open both along strike and at depth. Significant mineralisation has been encountered in four holes including the following intersections:

 

Hole ----- From(m)To(m)Width(m)Grade(g/t)

SARAB022 --- 4 -- 8 --- 4 @ 2.3

SARAB030 --- 24 -- 28 --- 4 @ 3.1

SARAB030 --- 36 -- 44 --- 8 @ 1.3

SARAB033* --- 24 -- 32 --- 8 @ 2.3

* Intersection previously reported

 

At Niechilela, towards the centre of the concession, significant mineralization extends over a strike length of 1,200 metres and is open along strike and at depth. Including the previously reported hole SARB096 which intersected 4 metres at 9.28 grams/tonne, significant mineralisation was encountered in fifteen holes including the following intersections:

 

Hole ----- From(m)To(m)Width(m)Grade(g/t)

SARAB083 --- 0 -- 4 --- 4 @ 3.3

SARAB088 --- 48 --- 52 --- 4 @ 2.2

SARAB096* --- 56 -- 60 --- 4 @ 9.3

SARAB097 --- 28 -- 32 --- 4 @ 2.0

SARAB105 --- 16 -- 20 --- 4 @ 3.6

SARAB112 --- 24 -- 36 --- 12 @ 3.2

* Intersection previously reported

 

At Badigo Malikila, where the previously reported hole SARAB114 intersected metres at 154.7 grams/tonne, significant mineralization was encountered in nine holes including the following intersections:

 

Hole ----- From(m)To(m)Width(m)Grade(g/t)

SARAB114* --- 52 -- 56 --- 4 @ 154.7

SARAB157 --- 44 -- 52 --- 8 @ 1.1

SARAB167 --- 12 -- 24 --- 12 @ 1.3

SARAB192 --- 48 -- 56 --- 8 @ 1.1

* Intersection previously reported

 

SARAB114 was drilled on a fenceline some 400m north of the previously drilled reverse circulation drillhole SARC009 which had intersected two mineralized horizons, 8m at 2.6 grams/tonne between 6 and 14 metres depth and 2m at 25.2 grams/tonne between 30 and 32 metres depth.

All of the targets drilled to date within the Solona concession lie on structures identifiable in the recently completed aeromagnetics survey data. RAB drilling is a first pass drilling technique used to identify broadly mineralized target zones which may then be followed up with reverse circulation (“RC”) drilling which we expect will be carried out during the next drilling season.

_________________________________

 

The confirmation of a further three strikes for Glencar on the Solona license demonstrate how valuable the Komana and Solona licenses are and add a further dimension to the ultimate total potential resource ounces in this area. Time for a new estimate of what resource ounces may be in these 2 licenses. Think it will come out that the gold in the ground is being valued at single figures in pounds sterling or US Dollars !!

 

The Gold Fields JV license areas have also made strong progress -- there will also be resource ounces coming from there.

 

Full statement / Interims

http://www.glencarmining.ie/press/2008/0808_1.html

 

.

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Glencar expects the updated JORC to come in September for Komana East and West and be a multiple of the initial 520,000oz at Komana West. With the drilling that has been done this season it should be reasonable to look for 2m oz. That will provide a good boost but does not yet come near to reflecting anywhere near full potential. The early exploration has been done and next drill season will be aggressive across all 5 license areas in Mali.

 

From the excitement of the initial strike at Komana West and then the additional two new strikes to the South at Kama and Soloba, that Western Komana ‘string of pearls’ looks to have very strong potential for over 2 million ounces, quite possibly substantially more with these strikes still being open along strike and at depth.

 

Then Glencar got the drill into the ground at Komana East with a small known deposit and the positive results started coming through - and kept coming, persistent good grades and width/depth - and is still open along strike and at depth. Now we also have another strike that looks very strong to the South at Gonka - plus at least a further 5 targets to the south and more to the north. With Komana East being in the main Sankarani shear zone with 23kms of strike running through it, the Eastern side of Komana looks to have far greater potential than the West side. 3 million ounces may be conservative for the Eastern side of Komana.

 

Solona has now had three strikes confirmed. Badogo-Malikili with both RC and RAB drilling. Niechilela RAB drilled and producing many sections over 3g/t over a strike of 1,200 metres, with significant mineralisation encountered in fifteen holes and open along strike and at depth. At Faliko disseminated gold mineralization has been located in an extensive alteration zone over a strike length of 1,000 metres. The gold mineralisation is open both along strike and at depth with significant mineralisation having been encountered in four holes. Like the look of Badogo-Malikili in particular and Niechilela. Looks like there will be a fair amount of resource ounces to come, but these targets will all be drilled in the coming season and will get a better idea then. Maybe a cautious total of 1 million ounces for Solona.

 

Then there is the JV with Gold Fields in the 3 Sankarani license areas. Seventeen targets were prioritised for follow-up work following the completion of a high resolution airborne geophysical survey in March 2008. Five Priority 1 targets have already been drilled to test a cumulative prospective strike length of 55 kilometers. Assay results from drilling the Sindo target outlined gold-in-bedrock anomalism coinciding with a northeast-southwest shear-zone. Visible gold was reported in pan concentrates recovered from the Fingouana and Kabaya South RAB holes, with intercepts of up to 9 metres at 6.5 grams per ton Au. Kabaya South has already had substantial drilling and is a known deposit along with the Sanioumale West A and B targets. With the known deposits at Kabaya South and Sanioumale West A and B it should be safe to attribute 1 million ounces to Glencar from this JV area. The Sindo and Fingouana targets together with at least a further 12 targets from the aeromagnetic survey should underpin that 1 million ounces quite easily. All 17 targets are to have further drilling completed by December in a very aggressive programme for the coming drill season.

 

With Glencar’s current market cap of £17.5m and looking to how the value per ounce might stack up, the above totals up to some 7m oz on the 5 Mali licenses, but the forthcoming JORC for just Komana East+West will be more in the region of 2m oz. Maybe a reasonable figure to work on would be 5m oz for all the licenses, ( although I’m pretty confident of that amount at just the Komana license ). Have not ascribed any value to the Ghana or Uganda projects even though Ghana does have a confirmed ore body.

 

The £17.5m mkt cap divided by 5m oz gives a value of £3.50 or $6.50 per ounce.

 

Whilst it is widely acknowledged how undervalued the juniors are, breaking it down in this way does highlight there is massive value to be realised. In many ways trying to get a reasonable estimate of the ounces in the ground is quite academic as there are still so many targets and deposits to be developed. What is important is that we can now see very major deposits developing in close proximity on the 5 Mali licence areas.

 

With the increased number of rigs and clearly stated intention for an aggressive programme on all 5 licences, the coming drill season will confirm that Glencar is sitting on a world class deposit.

 

.

 

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Drill season normally starts mid to late October but drilling has already started:--

 

 

Glencar Mining plc 9 October 2008

Drilling Report

 

Glencar Mining plc , (“Glencar” or “the Company”), the AIM and IEX listed company with gold

exploration interests in Africa, is pleased to announce that reverse circulation and diamond drilling

recommenced on the Komana East deposit in Mali on 8th October. The initial programme is designed to

extend the known resource which has already been established over a strike length of 1,600 metres.

Geological mapping and the recently flown, high resolution aeromagnetic survey have highlighted the

significant potential which exists to the north and south of the already drilled part of the deposit. The

results of this drilling will be announced when assays have been returned from the laboratory.

RAB/Aircore drilling on the Komana Licence will be commenced early next week. This programme will

test a series of additional, high priority targets on the Sankarani Shear Zone along strike from the

Komana East deposit.

 

The independent resource estimate for the Komana Project is currently being finalized by the

consultants SRK Consulting (UK) Limited and it is expected to be available for publication within the next

2/3 weeks.

________________________________

 

Looks like at least 2 rigs are on the go with them stating both RC and diamond drilling have started at Komana East.

 

Can look forward to an aggressive drill season and very strong increase in resource ounces.

 

.

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JORC report --- Extracts:--

 

23 October 2008

Glencar Mining plc

 

Independent Resource Estimate at Komana Project increased by 139% to 1.25 million ounces.

 

Highlights

• Combined Komana East and Komana West mineral resource now stands at 1,250,000 ounces of gold with a mean grade of 1.6 grammes/tonne, a 139% increase over the October 2007 figure of 520,000 ounces with a mean grade of 1.4 grammes/tonne.

• SRK studies show that the likely mined grade could be increased to 2 grammes/tonne gold through selective mining and with a loss of only some 10% of the contained metal.

• Komana East remains open in all directions and there is a good likelihood that the resource here will be increased following the completion of further drilling which is already underway.

• Further drilling at Komana West will be targeted at proving the down-dip and down- plunge extensions of high grade shoots.

• Drilling to recommence shortly on additional highly prospective targets along the main Sankarani Shear zone also within the Komana licence.

 

Glencar Mining plc (“Glencar” or “the Company”), the AIM and IEX listed company with gold exploration interests in Africa, is pleased to announce that the independent resource study of the Komana Project, carried out by SRK Consulting (UK) Ltd (“SRK”), has reported an Indicated and Inferred, JORC compliant, Mineral Resource of 1,250,000 ounces of gold, within 150 metres of surface based on a 0.5 grammes/tonne cutoff grade. This study was commissioned by Glencar to provide an initial estimate of the Komana East deposit, where drilling commenced earlier this year and also to update the original resource estimate for the Komana West deposit following some additional drilling carried out there this year. The Komana West and East deposits lie within 7 kilometres of each other. SRK’s Independent

 

Indicated and Inferred mineral resource at Komana Project

Total ------- mT -- Grade -- ounces

Indicated ---6.92 - 1.9 - 420,000

Inferred ----17.26 - 1.5 - 830,000

Total Indicated + Inferred 24.18 - 1.6 - 1,250,000

 

This first preliminary resource of 570,000 ounces at a grade of 1.6 grammes/tonne for Komana East is based on a 0.5 grammes/tonne cutoff grade and has been restricted to mineralization within 150 metres of surface. While this is already a very positive outcome on the Komana East resource estimate, given the limited drilling completed to date and the relatively limited area drilled to date, we believe that additional drilling, currently underway, is likely to lead to a significant increase in both the resource ounces and the resource grade when the next review of the Komana East deposit is carried out.

 

The new drilling carried out at the Komana West deposit has intersected additional mineralization, especially in the southeastern and southwestern areas of the deposit. This additional drilling has also given rise to a more accurate interpretation of the orebody geometry which, in turn, has led to an increase in confidence levels in orebody modeling. The Komana West resource at a 0.5 grammes/tonne cutoff now stands at approximately 680,000 ounces at a mean grade of 1.6 grammes/tonne. We are very encouraged by the increase in the Komana West resource and we believe strongly in the potential for deeper extensions to the high grade shoots, which, if confirmed, would present a strong case for underground mining from the floor of an open pit.

 

Drilling has already recommenced on the Komana concession and, initially the programme will focus on the prospect of extending the Komana East resource along strike to the north and the south as well as testing additional targets within close proximity to the main Komana East deposit. A second rig is due to arrive on the property before the end of October to test additional targets delineated by the aeromagnetic survey and geological mapping, which lie along the Sankarani Shear Zone within the Komana licence.

 

Further drilling is also planned at Komana West, especially to test the down- plunge extensions to the known high grade shoots within the deposit. Drilling will also be carried out to the north of the Komana West deposit to test for an extension to the main Komana West shear system which has been delineated from the new aeromagnetic survey carried out over the licence earlier this year.

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Hugh Mc said the new jorc would be a multiple of the old one but I think even he was looking for more, however he did strike a cautious note in a release a month or two ago. 1.25m needs improving on very strongly this season.

Not clear how many rigs are/will be in operation from the release -- it was reported they will be using 4 rigs in the current drill season, it does look like they have more than last season. Much more to come but need to get a move on to drive the Komana project forward.

 

 

 

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Hi Walden

Sorry to interupt your excellent thread here, have you got any books or resources that you would recommend that gives details on how to analyse junior miners?

Being somewhat burnt lately with a couple of junior minors but also feel that they will have their time in the sun in due course, it would be nice to quantify some of the results that are posted. C

 

 

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