- Highland Gold Mining Limited has acquired a licence for exploration and mining rights for the Lower Horizon of the Mnogovershinnoye (MNV) deposit

This extends the company's current 17.9 sq km licence for MNV at depth beyond lower levels of existing state approved reserves.

The acquisition resulted from an open auction held on 23 October in the regional capital of Khabarovsk for a bid price of RUB7.810m (ca. US$ 191,000). The Lower Horizon of MNV represents untapped mineral potential within the mine's immediate vicinity and has good potential to deliver new resources at MNV in the medium-term.

The Lower Horizon licence grants access to lower levels of the Main and Intermediate ore zones, the hosts for MNV's rich ore bodies and the focus of previous and current mining activities.

The Lower Horizon has seen only limited exploration in the past and has reported prognostic resources of 18 tonnes of gold. Exploration of the Lower Horizon's resource potential will likely be initiated from the Northern ore body utilising existing underground infrastructure.

Together with the North-Western Flank property acquired in July 2014, the new acquisition supports the company's continued focus on its near-mine exploration efforts at MNV with a goal of verifying and further increasing known near-mine mineralised prospects, thus adding value to ongoing operations.

Story provided by