Caledon Resources Plc
| Chinese | ||
| CDN | ||
| www.caledonresources.com |
Company Statement
Statement by the Managing Director, Mr. George Salamis,
Caledon Resources Plc was founded in March 2003 and has since witnessed accelerated growth, given the acquisition of three advanced stage gold exploration projects in Q2-Q3, 2003. This accelerated growth of our gold project portfolio has resulted in a share holder return of well over 600% for the same period. What many of share holders do not know is that the actual "creative spark" for Caledon Resources had its roots in Southern China, over 7 years ago. Past work conducted by Caledon's current exploration group (Paul Ingram, Bruce Harris, George Salamis), which at the time was funded by a major mining company, recognized the vast Sediment Hosted Disseminated Gold (Carlin-style gold deposit) potential of Southern China. This potential was later recognized by the United States Geological Survey (USGS) in their various studies highlighting the distinct similarities between the Carlin gold deposits of Nevada (the world's 2nd largest gold producer) and China.
Our assessment of the newly acquired gold projects, and others to come in Southern China, further demonstrates that the geology, structural characteristics and gold potential of the associated districts rivals that found in any of the analogous multi-million ounce gold camps of Nevada, USA. With the recent opening of an office base in Nanning, Guangxi Province, the establishment of an excellent working relationship with our Chinese joint venture partners and mobilization of field crews managed by Paul Ingram, Caledon is now positioned to capitalize on the vast untested gold potential of Southern China.
In simplistic terms, the field programs that Caledon will be initiating in late 2003 and well into 2004, in China, will be focused on mine site exploration in and around existing, active gold mines where "open-ended" reserves and resources have already been identified by our Chinese partners. In our view, this exploration plan constitutes the best and lowest risk strategy to increase share holder value by paving the way to multi-million ounce gold discoveries. In addition, the Company is actively evaluating other advanced gold projects in China, with the view of further adding to the Company's portfolio of high potential gold projects.
Current Operations
Longtoushan Gold Mine JV (85/15) - the current operators are mining a series of hydrothermal breccia zones extending over a strike length of 1.2 kilometers, underground and limited surface mining, with several zones being mined over widths of up to 30 metres. Mined gold grades in selected areas of the underground working report grades of up to 20 g/t. Extensive areas of hydrothermal brecciation carrying lower grade gold values, peripheral to the currently mined areas clearly demonstrates that the mineralized system at Longtoushan has the potential to host additional major gold ore-bodies.
Gaolong Gold Mine JV (85/15) - Gold has actively been mined at Gaolong by Caledon's partners, Guangxi Tianlin Gaolong Gold Mine Ltd. Co. ("GTGGML"), for over 10 years. At Gaolong, surface and limited underground mining can be traced in a semi-continuous manner over a strike length in excess of three kilometers, with mining widths averaging 10 to 30 m, to a maximum of 60 m wide. The Gaolong mine itself is ranked in the top two gold producers in the province and has been cited by the United States Geological Survey (USGS) as having distinct similarities to the 15+ million ounce Betze ore body situated in Northern Nevada, USA.
Badu Gold Mine JV (85/15) - Small scale mining is in progress at the Badu Mine, situated 12 km NE of the Gaolong mine. The Badu mining and exploration tenements are included within the Gaolong master agreement. The GTGGML's open-pit mining operations at Badu can be traced in a semi-continuous manner for over four kilometers along strike, with mining widths averaging 20 to 40 m. Gold is recovered in the heap leaching of oxide ores, with average head grades of 1 to 2 g/t gold. Caledon is aware of only 1-2 shallow drill holes having being completed over the entire four kilometer strike length.
Guangxi Geological Survey JV (85/15) - Caledon signed a Letter of Intent with the Geological Survey of Guangxi (GSG) in June, 2003. Under the terms of the LOI, Blackwatch can earn an 85% equity position in several promising gold districts in the Province, through the expenditure of US$1 million over three years. This agreement is significant given the GSG's ownership of a wealth of granted exploration and mining tenements throughout the province. The GSG also has a highly qualified team of exploration and mining personnel who will be assisting with Caledon's data compilation and field exploration programs. Caledon geologists are currently evaluating selected areas in the overall package that has been offered by the GSG.
Jinyou Mining Company JV - On 9th September 2003 the Company announced that it had entered into a Memorandum of Understanding with Jinyou Geological Exploration Limited of the China National Gold Group Limited ("CNGGL") to evaluate more than thirty operating gold mines in China for the purpose of forming a joint venture to develop suitable gold mines which would have the potential to host multi-million ounce gold deposits.
Geographical Spread
Southern China, Guangxi Province
Board of Directors and Key Management
Robert Alford - Executive Chairman
Donal Douglas - Deputy Chairman
George Salamis - CEO
Paul Ingram - Executive Director
Graham Mascall - Non-executive Director
Robert Alford - Non-executive Director
Cathy Horton - Non-executive Director
Company Address
18 Upper Brook Street, London, W1K 7PU, United Kingdom
Telephone: +44 207 318 5780
Fax: +44 207 318 5781
E-mail: info@caledonresources.com
Website: www.caledonresources.com
| Nominated Brokers | Nominated Adviser |
| Williams de Broe Plc 6 Broadgate London EC2M 2RP |
Williams de Broe Plc 6 Broadgate London EC2M 2RP |
Latest Broker's report
The Wall St. Transcript -
http://www.caledonresources.com/upload_files/Wall_Street_Transcript.pdf
Major Shareholders
15.5%…………………………..HSBC Global Custody Nominees
14.9%…………………………..Willbro Nominees Limited
8.9%……………………………Mr. Paul Ingram
8.3%……………………………Mellon Nominees (HK) Limited
7.2%……………………………Dragon Equities Limited
5.3%……………………………Morstan Nominees Limited
4.7%……………………………Mr. Bruce Harris
4.1%……………………………Socgen Nominees (UK) Limited
The top 30 share holders comprise of over 90% of the total shares issued. The Company now has 475 share holders on record.
Capital
£20 million
| Listing Symbol | (Click in Symbol to get Live Share Price) |
| LSE (London Stock Exchange) | CDN |
| Year End | Annual General Meeting |
| July 31 |
Most Recent Statement
10/05/05 - Phase-2 Drill Programme at Mojiang - Partial Results Indicative of Excellent Continuity of Gold Mineralisation, Strike Length Extended
04/05/05 - Butler Exercises Option to buy Guangxi Properties
14/03/05 - Signing of a Letter of Intent - Potential Farm-out of Guangxi Properties
03/03/05 - Commencement of Phase-2 Drill Program at Mojiang, Second Drill Rig Added
08/02/05 - Chairman's Resignation, appointment of New CEO and the appointment of a New Chairman
27/01/05 - Further High Grade Gold Intercepts from Mojiang
24/01/05 - Mojiang Project Drilling Results
19/11/04 - Caledon Resources completes strategic placement in emerging Chinese gold producer Afcan Mining (TSX:AFK)
08/11/04 - Completion of Placing to raise gross proceeds of £4.07 million
09/08/04 - Caledon Resources Completes Two New Deal Agreements in China
23/03/04 - Surface sampling results obtained from Hengxian - Drilling Program Initiated on the Project
06/02/04 - Caledon initiates underground drilling program at Longtoushan, Guangxi, China (pdf)
Visit www.caledonresources.com
for further information about this story and other recent press releases.
On 10 May 2005, Caledon Resources Plc announced the partial results from the Phase-2 drill programme at the Mojiang gold project in south-western Yunnan province. The Phase-2 programme was designed as a follow-up to the Company's highly successful Phase-1 drill programme completed in January, 2005 (see January 24th and January 27th press releases for results).
· 2,252 metres of RC drilling and 960 metres of diamond drilling completed in Phase-2
· Wide zones of gold mineralisation continue to be intersected in parallel with localized bonanza grade sections. Assay highlights: 6 m @ 63.70 g/t, 41 m @ 1.96 g/t, 48 m @ 1.91 g/t, 15 m @ 17.25 g/t, 8 m @ 10.02 g/t
· Strike length of gold mineralisation extended beyond previous estimates through current drilling
· Assays pending from 3 deep diamond drill holes
On 4 May 2005, Caledon Resources Plc announced that Butler Developments Corporation ("Butler") intends to exercise its option to acquire Caledon's existing Guangxi province gold projects, including Hengxian, Gaolong and Badu as outlined in Company's Press Release dated 14th March 2005. Butler will appoint Caledon as Project Manager for the first 18 months of exploration on the projects to be acquired as part of the agreement. Butler will have full access to all applicable personnel and administrative infrastructure that is necessary to conduct business in China. Caledon will also appoint two directors to the board of Butler as part of the transaction.
On 14 March 2005, Caledon Resources Plc announced the signing of a Letter of Intent with Toronto Stock Exchange listed Butler Developments (TSX-V: BTD). The Letter of Intent grants Butler an option to acquire Caledon's Guangxi province gold projects, including Hengxian, Gaolong and Badu. The deal excludes the advanced stage Mojiang gold project situated in Yunnan, where drilling is on-going by the Company.