Ammended NI 43-101 Technical Report on the Biely ... - EMED Mining

EMED Mining - Biely VrchNovember 2010resource category, the Inferred mineral resource estimate must not be included as part of anyeconomic appraisal for <strong>NI</strong> <strong>43</strong>-<strong>101</strong> reporting purposes.The deposit has additional exploration potential and EMED is planning to further evaluate therelatively high-grade core of the deposit, which remains open at depth, when the open-pit mine isdeveloped.The Detva Exploration Licence area has no previous history of mining, but several gold deposits havebeen mined in the surrounding area, especially in the Central Slovakia volcanic field, which has beenthe focus of EMED’s exploration in the country. The regional geological structure consists of threecrescent-shaped zones that form the Carpathian mountains.The geology of EMED’s Biely Vrch gold deposit consists of a caldera-graben complex in the centreof a large andesitic strato-volcano. Widespread propylitic and localised argillic alteration indicatesubstantial hydrothermal activity. The gold-bearing pyrite mineralisation is hosted in a quartz-veinstockwork in a hydrothermally altered diorite intrusion within co-magmatic andesitic volcanics. Thissetting is analogous to that of the nearby Stiavnica-Hodrusa mineral field and is considered to be atypical geological setting for epithermal to hypothermal vein-type gold deposits.Biely Vrch is an epithermal to hypothermal, gold-pyrite, quartz-vein stockwork type of deposit,hosted within a diorite intrusion into co-magmatic andesitic volcanics. It may represent the upper,near-surface expression of a gold-copper porphyry deposit at depth.The gold mineralisation is contained within a NNW-SSE trending, pipe-like, quartz-pyrite, veinstock-workzone associated with an andesitic (diorite) intrusion. The dimensions of the vertical pipelikestock-work zone of gold mineralisation at Biely Vrch, based on the drilling to date, are about250 m east-west, 350 m north-south and 460 m vertical. Many of the drill holes were mineralisedfrom surface to a depth of 300 m below surface.Gold and silver are the only minerals that occur in potentially economic quantities in the Biely Vrchgold deposit.Between 2006 and 2008, EMED completed a diamond drilling programme of 44 holes at Biely Vrch.Of these, 34 mineralised holes totalling 10.6 km of drilling on a 100 m by 100 m grid pattern wereused to estimate the mineral resource at the Biely Vrch gold deposit (Snowden, 2009).Core recovery was good and the core was correctly sampled and analyzed by fire-assay to the ALSChemex laboratory in Romania. Behre Dolbear reviewed some of the drill-core, the relevant assaydata and the previous verification by Snowden and was satisfied that the drill-hole data was accurate,reliable and conformed to best industry practice.There are no adjacent properties held by other companies that are relevant to the Biely Vrch golddeposit or the surrounding Detva Exploration Licence area.A programme of metallurgical test-work was carried out at the AMMTEC laboratory in Perth(Australia) on four separate samples of gold-bearing, whole drill-core from Biely Vrch, eachweighing about 30 kg. The metallurgical test-work showed that the gold mineralisation is neithermetallurgically complex nor refractory.The cyanide-leach test results indicated that in a conventional milling Carbon-in-Leach (CIL) process,gold recoveries above 90% could be achieved for oxide and primary ores, and above 85% for argillicand transition ores over a 48 hour period. Gold dissolution was relatively fast with leaching of mostof the cyanide-extractable gold being achieved within 2 hours from the start of the cyanidation leach<strong>NI</strong><strong>43</strong> – <strong>101</strong> <strong>Technical</strong> <strong>Report</strong> 3 BEHRE DOLBEARLegal*5650400.1