|Our 2011 Brazil exploration budget of $14.6 million focuses on our Tocantinzinho, Agua Branca, and Piranhas projects in the prolific Tapajos District.|
Geological map showing locations of Eldorado Gold's Tocantinzinho, Piranhas, and Agua Branca claim groups.
Tocantinzinho (TZ) is a granite-hosted disseminated gold deposit containing a NI 43-101 compliant Measured and Indicated Mineral Resource of 2.4 million ounces of gold. The deposit lies within the north-easterly Tocantinzinho Trend, which contains many of the major gold deposits and occurrences within the Tapajos District.
In October 2011, we announced the completion of 44 diamond drillholes which tested geochemical and geophysical targets peripheral to the TZ Deposit and along the TZ mineralized trend. Assays results were received from half of these holes, and included anomalous to high-grade gold values. Drilling for the remainder of 2011 will focus on untested targets along the TZ trend to the northwest of the deposit where strong Au geochemical anomalies are present.
In May 2011, we announced positive results from a prefeasibility study for TZ; it is based on an annual production rate of 159,000 ounces gold and a mine life of 11 years.
AGUA BRANCA AND PIRANHAS PROJECTS
The Agua Branca project is located in the Tapajos gold district in Para State, Brazil; approximately 25 km south of the Tocantinzinho (TZ) deposit, The Piranhas project area is located approximately 15 km west of TZ and contains a very strong gold-in-soil anomaly.
Both projects encompass large areas of garimpeiro workings (artisanal mining). Previous explorers at Agua Branca had identified bedrock gold mineralization in granitic rocks with alteration characteristics, composition and textural features similar to the granitic host rocks at TZ.
As announced in October 2011, we have completed eight diamond drillholes on the Camarao and Carlinho targets, using soil geochemistry and grid auger drilling. Diamond drillhole AB-46, targeting strong auger drilling results at the Camarao Zone, intersected 154.2 metres grading 1.06 g/t Au.
The Agua Branca project was previously held under an option agreement with Talon Metals Ltd. Based on the encouraging 2010 and 2011 exploration results at Agua Branca, Eldorado has completed the final option payment of US$1.87M to Talon Metals Corp., thereby gaining 100% ownership of the project.
Last update: November 28, 2011.