Persian Gold provide update on Iran drilling

Persian Gold, the AIM listed Iranian gold explorer has provided an update on exploration and corporate activities in Iran.

After reviewing Phase 1 drill hole and trenching results on the Chah-e-Zard gold property near Yazd in Central Iran (PNG option to acquire 70%), the board conducted bottle roll tests to estimate the suitability of the oxide and oxide/sulphide material to heap leach gold extraction methods. Results were positive though the depth of suitable material is, in certain parts of the license, less than anticipated.

A Phase 2 trenching and drilling programme will commence in Chah-e-Zard in the coming weeks.

The programme will focus on the southern part of the licence which contain the best gold and silver grades and thickest heap leachable material. Some work will take place on an extension to the southern zone where recent sampling has discovered gold. Results are expected by year-end.

John Teeling, chairman, stated: "We are moving on a number of fronts in Iran, retaining our focus on gold. Drilling will commence shortly at Chah-e-Zard, commercial second stage potential of the deposit. Chah-e-Zard is exploration and risky, but we remain confident in its potential."