Jokisivu Gold Mine
The Jokisivu Gold Mine is located 40 kilometres south west of the Vammala Production Centre and hosts a Measured, Indicated and Inferred Resource totalling 356,300 ounces from two desposits 200 metres apart. The Kujankallio deposit has been shown by drilling to extend to at least 525 metres depth, though resource drilling currently extends only down to 440 metres, whilst the Arpola resource has only been drilled down to 200 metres. Both remain open at depth and partially along strike.
Jokisivu became Dragon Mining’s third operating mine in 2009, with the commencement of mining from the Kujankallio open pit in September 2009. Since commencement, 58,086 tonnes of ore mined have been mined and transported from Jokisivu to Vammala.
Jokisivu Gold Mine
Development
Drilling at Jokisivu continued in earnest during 2009, with 83 diamond core holes completed (12,316.4 metres) targeting areas along the eastern portion and below the Kujankallio open pit, the area between Kujankallio and Arpola and Arpola itself. This activity has resulted in the total Mineral Resource inventory at Jokisivu increasing 10% to 356,300 ounces.
The Kujankallio and Arpola resource updates were prepared by independent consultants Runge Limited, increasing the Kujankallio Mineral Resource reported at a 2 g/t gold cut-off to 1.34Mt @ 6.1 g/t gold (261,900 ounces) to a vertical depth of 440 metres, an increase of 43,600 ounces from the previous estimate. The Arpola Mineral Resource has decreased to 0.441Mt @ 6.7 g/t gold (94,400 ounces) to a vertical depth of 200 metres.
An internal study has been completed for development of an underground operation at the Jokisivu Gold Mine. The study is being reviewed and a development which would encompass both the Kujankallio and Arpola deposits should commence in late 2010.