Savoyardy
Perseus Mining Limited (ASX: PRU) entered into an agreement forming a joint venture (“JV”) with ASX listed, Kentor Gold Limited (“Kentor”) over the Savoyardy Gold Project in the
Perseus presently has a 100% interest in the 84.5sq km Savoyardy licence within the
· Kentor is required to spend at least US$500,000 by 31 March 2008, inclusive of 1,000 metres of drilling, before it can withdraw from the JV.
· The joint venture vehicle is a Kyrgyz company, JSC Savoyardy, presently owned 100% by Perseus.
· Perseus’s royalty obligation (to the original project owners) of 0.5% on value of gold produced on the Savoyardy Gold Project shall also be split, with Kentor being responsible for paying 7/10ths of the royalty.
Perseus has joint ventured the Savoyardy project to allow it to focus on its large Southern Kyrgyz projects that total 3,800 sq km and its more advanced projects in Ghana and Ivory Coast in West Africa. Kentor is established in the
Adit sampling at Savoyardy zones 4 and 10 is relatively high grade, averaging 6g/t Au, and combined widths are generous. Re-sampling in 2005 by Perseus returned intercepts of 7m at 12.9g/t, 2m at 38.9g/t, 2m at 37.3g/t, 31m at 1.7g/t, 2m at 22.8g/t and 2m at 18.0g/t Au.
Initial drilling results reported by Kentor are encouraging, with gold intercepts including 14m @ 15.1g/t and 4.3m @27.7g/tAu.
