Minco Gold has had productive communication with Zhaoqian District and Gaoyao County governments concerning development of the Changkeng Gold Project. As a result, the county government has issued an official approval for the company to develop the project subject to receipt of the mining license.
The company has completed the initial step required for the mining license application by obtaining approval of the Comprehensive Exploration Report from the China Mining Association, which is an association of mining experts approved by the State Council of the People's Republic of China.
In regards to the Yejiaba project in Longnan region, the company engaged an independent consultant in early 2013 to conduct a detailed review of the exploration results over the past couple of years. During the June quarter, the consultant conducted a field program collecting 519 rock samples and 25 stream sediment samples for generative purposes and re-evaluation of the previous work.
A key finding of the review was the discovery of a new exploration target, Baimashi North, about 1km north of the Baimashi target area. The company collected 97 rock chip samples at Baimashi North over an area of 700 by 500 metres coincident with strong alteration and faulting. The average grade of the 97 rock samples is 1.11 grams/tonne gold, ranging from 0.01 to 27.90 grams/tonne. Rock chip samples performed over other previously identified Yejibaba targets confirmed earlier results.
Minco Gold is conducting a field program of detailed mapping and soil sampling to follow up on the Baimashi North target and is reviewing the results of the other Yejibaba targets and will generate appropriate future work programs for the project.
Minco Gold Corporation is a Canadian mining company involved in the direct acquisition and development of high-grade, advanced stage gold properties. The company owns a 51% equity interest in the Changkeng project through Guangdong Mingzhong Mining Co, the operating company for the project. It also owns 100% of the Longnan projects in Gansu province.