Drilling to test mineralized extensions in newly merged exploration licenses surrounding the current resource
Toronto, Ontario -- June 23rd, 2009 -- Lydian International Ltd. (TSX:LYD) ("Lydian" or "the Company"), a diversified mineral exploration and development company, today announced that it has commenced its 2009 drilling program at the Amulsar gold discovery in Armenia.
The Company has contracted International Drilling Services (IDS) for 14000m of combined diamond and reverse circulation drilling with the aim being to delineate the extents and reveal the size potential of the gold mineralized system at the Amulsar discovery. To achieve this objective IDS have provided two new track-mounted multi-purpose rigs equipped to drill reverse-circulation and diamond drill holes of at-least 300m down-hole depth.
Drill holes will step out systematically from a centre corresponding to the current 1 million ounce resource and will follow extensions of known surface gold mineralization and corresponding subsurface geophysical anomalies over an area of at-least 6km2.
Lydian was recently granted a 25 year mining license at Amulsar (see press release May 7th 2009) and has now merged existing exploration licenses such that the mining license is surrounded by 113km2 of contiguous exploration licenses.
"The aim of this year's drilling program is to drill for size", says Lydian's President and CEO, Dr. Tim Coughlin. "Last year's program was designed to define an initial resource and satisfy regulatory requirements leading to the granting of our mining license. Now, following regulatory approval, and the successful amalgamation of surrounding exploration licenses, the aim for 2009 is clearly to step out and test the true size potential of this exciting new gold discovery".
Amulsar is a high-sulphidation type epithermal gold project located in central Armenia. Lydian identified the gold bearing potential of the project in mid-2006, started initial drilling in 2007 and in 2008 completed a 13,000m drill program to test the bulk tonnage potential and estimate a gold resource. In March 2009, Lydian announced a NI43-101 compliant resource estimate of an inferred category of one million ounces gold. The Amulsar group of licenses is 95% owned by Lydian's wholly owned Armenian subsidiary (Geoteam CJSC). The project is currently being explored as part of a 50/50 joint venture with Newmont Overseas Exploration Limited, a subsidiary of Newmont Mining Corporation (NYSE:NEM).
Dr. Tim Coughlin, MAusIMM is a "qualified person" as defined by National Instrument 43-101 overseeing Lydian's exploration programmes. Dr. Coughlin has supervised the preparation of the technical information contained in this press release.
About Lydian International
Lydian is a diversified mineral exploration and development company incorporated in Jersey, with expertise employing "first mover" strategies in emerging exploration environments. Currently the Company is focused on Eastern Europe developing advanced precious and base metal assets in Armenia and in Kosovo (under UNSCR 1244). The two main projects are gold at Amulsar in Armenia, and zinc, lead, silver and gold at Drazhnje in Kosovo. Lydian also has a pipeline of promising gold and base metal exploration projects in the Balkans region, and operates a 50/50 gold and copper exploration joint venture with Newmont Overseas Exploration Limited, a subsidiary of Newmont Mining Corporation in the south Caucasus region. Lydian's management team has a track record of success in grassroots discovery, in acquiring and developing undervalued assets, and in building companies. Lydian has a strong social agenda and a unique understanding of the complex social and political issues that characterise emerging environments. The Company's three largest shareholders are International Finance Corporation (part of the World Bank Group), Newmont Mineral Holdings B.V. (a subsidiary of Newmont Mining Corporation), and the European Bank for Reconstruction and Development. More information can be found on Lydian's web site at www.lydianinternational.co.uk.
For more information, please contact:
Tim Coughlin President and CEO
+44 7717 204300