The latest drilling results from Erdene Resource Development Corp’s Bayan Khundii Gold Project in southwest Mongolia demonstrate the growth potential of the project. Holes to the west of Striker deposit and east of Midfield provide the widest gold mineralised intersections in these areas to date.

Twenty holes and five-hole extensions, totalling 4355 metres, were drilled throughout the Bayan Khundii project area in mid-Q3. Best results were 43 metres @ 1.8 g/t gold, including 1 metre @ 45 g/t east of Midfield and 20 metres @ 2.8 g/t, including 1 metre @ 51 g/t west of Striker.

While most of the drilling at Midfield has focused on pushing the northern limits of the gold mineralised zone towards the Northeast Zone, the hole above has established a new eastern extension to Midfield that justifies further follow-up drilling.

The area west of Striker continued to be a focus of the recent expansion drilling program with new holes returning the widest and highest-grade intersections to date, justifying further follow-up drilling.

Apart from the hole above, another returned 63 metres @ 1.1 g/t. In addition, three new holes and two extension holes were drilled in this area returning multiple zones of lower grade gold mineralisation.

Recent drilling in the northwest Striker area, where early, shallow holes had not intersected significant mineralisation, returned an extension of mineralisation below previous drilling with 58 metres @ 1.2 g/t gold, including 16 metres @ 2.8 g/t. The best of the latest extension hole results are 55 metres @ 1.2 g/t from 109, followed by 20 metres @ 0.74 g/t to 222 metres depth with the other two extension holes intersecting wide zones of highly anomalous gold, further confirming the extension of gold mineralisation at depth between Striker and Midfield.

Five holes were completed in the area north of Midfield and continue to support continuity of the gold mineralisation in this zone discovered earlier in 2017. Best results are 88 metres @ 1.1 g/t at 74 metres depth; 18 metres @ 0.74 g/t; and 81 metres @ 0.65 g/t, including 20 metres @ 1.5 g/t. These results confirm continuity within this zone north of Midfield, extending it closer to the Northeast Zone.

“These results further demonstrate the growth potential at Bayan Khundii with holes west of Striker and east of Midfield providing the widest gold mineralised intersections in those areas to date, along with some of the very high grades observed in Striker and Midfield,” said Erdene’s president and CEO Peter Akerley.

“In addition to the Bayan Khundii drilling program and those at the neighbouring Altan Nar project, surface exploration programs have been successfully generating new targets elsewhere within an area up to 8km north of Bayan Khundii and along the 6km long trend of gold prospects at Altan Nar.

“Over the next two months we will continue drilling at Bayan Khundii and Altan Nar, continuing to test the perimeters of the main mineralised areas and improving confidence in the ultra-high-grade zones at Bayan Khundii within which almost 20% of our holes have returned intersections of 30 to 300 g/t gold.”

www.erdene.com

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