Finders reports high gold recoveries, grade silver at Lampung project

Australian firm Finders Resources Limited said Thursday it had received leach test and assay results from the Ojolali gold-silver project in Lampung province confirming high gold recoveries and high grade silver at two prospects in the project.

The leach test results were an encouraging first step for the metallurgical test program on core samples from the Jambi oxide gold deposit, Finders? managing director Chris Farmer said in a statement

?Our present exploration program is focussed on rapid assessment of the Jambi oxide gold deposit with the view to producing a cash flow as soon as possible,? Farmer said.

According to the statement, initial metallurgical test work from the Jambi prospect is highly encouraging with ~93 percent gold recovery in initial leach tests. This prospect provides Finders with an opportunity for near term gold production, targeting ~50,000 oz/year.

Meanwhile, high grade silver intersects continue at the Tambang including 4m @ 370 g/t Ag, 0.45 g/t Au from 199m depth in hole TBG-05.

?The high grade silver results from Tambang indicate that the vein structure requires further testing at depth,? Farmer added.

Finders holds a 72 percent interest in the Ojolali project. This project is believed to contain with inferred resources of 320,000 oz Au and 39 million oz Ag, based on over 212 drill holes drilled by previous owners.

Finders is expected to complete the feasibility study on the project in 2007. (robert)