Xanadu Mines on road to become leading copper-gold explorer

Ulaanbaatar /MONTSAME/ Xanadu Mines is on the road to its goal of becoming Mongolia’s leading copper-gold explorer with drilling recommencing at its flagship Kharmagtai copper-gold project, reported the Proactive Investors on April 28. Kharmagtai is one of the most advanced porphyry projects in Asia with a contained Indicated and Inferred Resource of 1.53 billion pounds of copper and 2.18 million ounces of gold. It is located in the under-explored South Gobi (Omnogovi) porphyry copper province which hosts the world-class Oyu Tolgoi copper-gold operation, the Tsagaan Suvarga porphyry copper-molybdenum development and Xanadu’s Oyut Ulaan copper-gold exploration project. Xanadu and partner Mongol Metals acquired a 90% stake in the project in February 2014. Xanadu has the right to earn an 85% interest in the joint venture – equivalent to a 76.5% effective interest in the project – by funding acquisition and exploration costs. The multi-drill rig exploration program is fully funded and will comprise approximately 10,000 metres of diamond core drilling. This is aimed at defining near-surface strike extensions of current deposits and to investigate several high priority targets under shallow cover that have the same geophysical response and geometry as existing deposits within the Kharmagtai project. Chief executive officer Dr. Andrew Stewart said: “We are delighted that drilling has recommenced at our Kharmagtai project. “Our team is keen to pick-up from where we finished off last year at Kharmagtai and believe further drilling will continue to unlock the true potential of this highly mineralised and underexplored porphyry copper-gold project.”