Preliminary resource estimate at Drazhnje using a combination of new and historic drilling and underground data
TORONTO, Canada -- September 22nd, 2009 -- Lydian International Ltd. (TSX:LYD), a diversified U.K. mineral exploration and development company, today announced the results of an inferred resource estimate at its 100% owned Drazhnje project in Kosovo.
This resource estimate is preliminary and remains open immediately at depth in the Main Zone and with additional tonnage likely at depth and along strike in the Eastern Zone and at the St George and St Barbara adit areas (see Figure in Appendix). Further lead-zinc and oxide gold exploration potential is also evident at surface (see Figure in Appendix).
The resource estimate was completed by CSA Consultants UK using a total of 1182m of assayed interval from drill core (50% Lydian and 50% historic drill core), together with 116m of Lydian underground channel sampling and 441m of historic channel sampling collected from the Main Zone (beyond Lydian's progress point of underground rehabilitation; see Figure in Appendix). Results are shown in the following table. The model was completed using Micromine™ software and the Inverse Distance Weighting (IDW) interpolation method to estimate lead and zinc grade within geologically constrained 3D mineralised wireframes, using a cut-off of 0.1% lead and zinc (1% lead and zinc over the Main Zone), in blocks with dimensions of 20m(x) × 20m(y) × 10m(z).
Silver grades of 45ppm were reported in the former Yugoslav resource. Economically significant quantities of silver and gold both exist in assayed intervals of Lydian drill core (total assayed interval downhole weighted average of 16.8ppm for silver and 0.3g/t gold) but assaying of historic core and channel samples was insufficient enough for their inclusion in the NI-43101 resource estimate.
A substantially higher tonnage estimate was reported in the former Yugoslav resources. This historical resource estimate was undertaken using a crude sectional polygonal method of determining ore volumes from sectional interpretations. This method can result in an overestimation of lead and zinc grade and can overstate resource tonnage as compared to modern resource estimation techniques which utilize 3D wireframe volumes to provide more reliable estimates. The reduction in contained tonnes as compared to historical Yugoslav resources is attributed principally to a change in structural interpretation at the project.
"This is a great start at Drazhnje" said Tim Coughlin, Lydian's President and CEO. "Management are confident that underground drilling on mineralized extensions located immediately beneath and along strike from the resource will significantly increase the underground tonnage potential. There are also untested and significant lead and zinc surface geochemical anomalies located to the west and south of the Main Orebody and there is potential for an open pittable gold resource at the project where trenches have returned up to 51m at 1.3g/t gold and drilling has returned 17m at 1.3g/t gold from surface in oxide material".
About Lydian International
Lydian is a diversified U.K. mineral exploration and development company, 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. 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 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 two largest shareholders are Newmont Mineral Holdings B.V. (owned by Newmont Mining Corporation), and International Finance Corporation (part of the World Bank Group). More information can be found on Lydian's web site at www.lydianinternational.co.uk.
Dr Tim Coughlin, MAusIMM; is the Qualified Person overseeing Lydian's exploration programmes. Dr. Coughlin has supervised the preparation of the technical information contained in this press release.
Lydian employees are instructed to follow standard operating and quality assurance procedures intended to ensure that all sampling techniques and sample results meet international reporting standards. All assay work conducted by Lydian International for the released results was carried out by ALS Chemex analytical laboratory in Rosia Montana, Romania, in Perth Australia, or in Vancouver, BC. Please see Lydian's web site for more information.
For more information, please contact:
President and CEO
+44 7717 204300
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