Stakhanovsky Mobilization

RNS Number : 8312H

Ovoca Gold PLC

01 March 2010

 

Ovoca Gold plc ("Ovoca" or the "Company")

Stakhanovsky mobilization

Ovoca is pleased to announce the start of mobilization for the 2010 drilling season in Magadan.  The Company has contracted BurGrupp to conduct its surface drill program at its Stakhanovsky property. BurGrupp has started mobilization of its equipment to the site and is expected to start the 14,000 meter reverse circulation drill program by early May 2010. This significant surface drill program aims to confirm the grade and resource size of known dyke systems, with a focus on the Berezitoviy and Zabolocheniy targets in the Stakhanovsky license territory.

Tim McCutcheon, CEO, comments: "The start of drilling mobilization at Stakhanovsky is exciting news as the team puts into practice the Company's development plans. I hope to be able to soon announce the start of mobilization at Rassoshinskaya and Nevsko-Pestrinskoye as well."

Notes to Editors

Ovoca Gold PLC ("Ovoca" or "the Company") is a mineral exploration and mine development company listed on the AIM market of the London Stock Exchange (Ticker: OVG) and on the IEX market of the Irish Stock Exchange (Ticker: OVX). The Company's principal activity is gold exploration in the Magadan Region of the Russian Federation. Previously Ovoca acquired, developed and sold to JSC Polymetal the Goltsovoye silver project located in the Magadan Region.  Currently, Ovoca is aggressively exploring and developing its 100 per cent owned Stakhanovsky, Rassoshinskaya and Nevsko-Pestrinskoye licenses.

Stakhanovsky is located approximately 40 kilometres north of Susuman, the second largest city in the Magadan region.  It is accessible by year-round road and there is power infrastructure on site. Internal preliminary estimates suggest a gold resource (non JORC code of Russian standard compliant) of over 700,000 ounces.  The Company intends to put Stakhanovsky into production by 2013.

Rassoshinskaya is in the North Eastern part of the Magadan Region about 200 kilometres from the town of Simchan. There is no nearby infrastructure. Rassoshinskaya hosts an epithermal gold deposit named Olcha, which is the focus of Ovoca's exploration program. Olcha and nearby satellite deposits have the potential to host a high grade multi-million ounce gold resource.

Nevsko-Pestrinskoye is located in the central part of the Magadan region near the town of Omsukchan. A year-round road and powerline are near the site. The license completely surrounds the Goltsovoye silver deposit, which was owned by the Company from 2006 - 2009 and sold to JSC Polymetal for US$47.7 million at the time of closing. Ovoca intends to investigate and explore known mineral occurrences that extend beyond the Goltsovoye license area onto Nevsko-Pestrinskoye.

Ovoca Gold plc

Timothy McCutcheon [phone] [e-mail]

Mr Danesh Varma [phone] [e-mail]

Davy

John Frain [phone]

 

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