Proactiveinvestors recommends

Additional Information

Market:	ASX
Sector:	Gold Mining
EPIC:	TAM
Latest Price:	0.75 (1.35% )
52-week High:	1.14
52-week Low:	0.67
Market Cap:	195.75M

1 year chart

1 day chart

Tanami Gold

Tanami Gold (ASX: TAM) is a rapidly growing Australian gold producer with a stable 50,000 ounces per annum unhedged production base at its Western Tanami Operations in Western Australia, an emerging production opportunity at the recently acquired Central Tanami Project (formerly the Groundrush Project), and outstanding exploration potential in the Tanami-Arunta province.

The Western Tanami Operations comprises two mining centres, the Coyote underground mine and the Bald Hill open pit operations, which feed into the centrally located 350,000 tonnes per annum Western Tanami treatment facility.

Tanami Gold encouraged by high grade gold potential at Sandpiper, WA

Friday, March 12, 2010

Australian gold producer Tanami Gold (ASX: TAM) has reported further encouraging assay results from surface exploration and resource drilling at its Bald Hill Operations, the satellite mining centre located 35km north of its Coyote Gold Operations in Western Australia.

The new results have reinforced the potential to define significant additional gold resources beneath the operating Sandpiper open pit.

As announced in the Company’s December 2009 Quarterly Report, diamond core hole SPDD2 at Sandpiper intersected a 22 metre down-hole zone of stock work quartz veining and quartz lode hosted within a folded mafic volcanic and sedimentary sequence.

Independent analysis of core samples from this interval has returned a significant result of 15.1 metres grading 6.1g/t from 202 metres with a true width of 11 metres. This mineralisation occurs 130 metres up-dip of a previously announced 21 metre interval grading 3.7g/t in diamond hole BLRCD1.

Both intervals contain a high grade core – 8.8 metres grading 9.6g/t in SPDD2 and 5.6 metres grading 8.6g/t in BLRCD1. Mineralisation associated with this latest intersection includes disseminated arsenopyrite, pyrite, sphalerite and galena together with a significant interval of silver grading 33.5g/t from 209.4 to 210.1 metres.

Graeme Sloan, Managing Director, said, “we are very pleased with these results from Sandpiper, which continues to improve at depth. Given these latest intersections and the consistency of the mineralisation evident from the drilling to date – coupled with the positive reconciliation we are achieving from the open pit – I am confident that we are well down the track towards delineating a significant deposit at Sandpiper which will contribute significantly to gold production at Coyote well into the future.”

A further nine diamond holes have been completed at Sandpiper to test the extent of the mineralised system. Of these holes, six contain intervals exhibiting similar mineralogy and occurring in a consistent position within the sequence to the interval in SPDD2, suggesting that the mineralised zone is continuous.

Down hole lengths of the quartz-arsenopyrite rich intervals include:

- 11.8m from 258.4m in SPDD5

- 4.0m from 230.0m in SPDD6

- 9.0m from 316.0m in SPDD7

- 4.5m from 275.6m in SPDD9

- 5.7m from 292.4m in SPDD10

Coarse gold has also been logged within a quartz vein interval from 179 metres in current hole SPDD11 through a previously interpreted parallel zone. Assay results are pending.

The main zone is interpreted to extend for over 400 metres down plunge from the base of the open pit. The system remains open along strike, down plunge and down dip with additional holes planned pending assay results from the outstanding intervals.

No investment advice

The Company is a publisher and is not registered with or authorised by the Financial Services Authority (FSA). You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.