Prosperity updates Aceh gold-copper project

The following is an excerpt taken from Australian firm Prosperity Resources Limited?s quarterly report released on Tuesday.

Pinang-Pinang (Prosperity right to acquire 80%)
Gold - Copper - Silver

Prosperity Resources Ltd (?Prosperity? or ?the Company?) reached an agreement to acquire 80% interest in the 2,000ha Pinang-Pinang gold copper project in Aceh Province in Indonesia. This transaction will be conducted through the Company?s joint venture with its Indonesian partner, PT Dana. Prosperity can earn 51% in the project by spending US$500,000 in the first year. This includes a US$50,000 cash payment to the vendor, PT Multi Mineral Utama (MMU). Prosperity can increase its equity to 80% through exploration expenditure of a further US$750,000 (second year) which includes a US$75,000 cash payment to MMU.

Project Details
The Pinang-Pinang gold-copper license is located in the southern regency of Aceh Province, Indonesia, 20 kilometres south-southeast of the town of Tapaktuan and five kilometres inland from the ocean.

Channel and trench sampling completed during previous exploration by CRA Ltd and Meekatharra Minerals Ltd in the 1990?s defined broad intervals of strong gold mineralisation and consistent, highly anomalous copper geochemistry associated with breccia/vein zones, stockwork quartz veins and pervasive hydrothermal magnetite alteration. These are considered likely to represent a genetic relationship with a concealed gold-rich intrusive-related porphyry system.

Trench results include:
Meekatharra Minerals Ltd/ Teck Exploration Ltd. J.V. Trench Results (1998)
? 41.3 metres @ 3.54g/t gold & 0.17% copper, including 7 metres @7.16g/t gold & 0.20% copper & 10 metres @ 6.06 g/t gold & 0.20% copper
? 10 metres @ 1.76g/t gold & 0.50% copper
? 4 metres @ 9.43 g/t gold & 0.98% copper
? 14 metres @ 1.24g/t gold & 0.50% copper
? 13 metres @ 1.46g/t gold & 0.15% copper

Prosperity Resources commenced a due diligence exploration programme in early April 2009 which includes detailed grid-based soil sampling, ground magnetic surveys and additional trenching to identify the strike extent of the mineralized system and define new targets. (end of excerpt)