Croesus Mining NL (ASX:CRS) announced today that the ore reserve estimate for the newly discovered HV1 East Reef at Norseman had exceeded expectations with an Ore Reserve of 180,000 tonnes at 17g/t gold established containing over 100,000 ounces. Croesus Managing Director, Michael Ivey, said “We are very excited about HV1 East, it is the most significant discovery made by Croesus at Norseman so far and is a fantastic result for our exploration and mining teams. The orebody remains completely open down plunge and we are confident that further resources will be established as we develop new underground drilling positions”. “The future for our Norseman operations has never looked better”, Ivey said today from Kalgoorlie. “The HV1 East Reef lies alongside the Harlequin underground mine and mining has already commenced in the upper levels. The reserve grade of 17g/t gold is about 5g/t higher than the long run average for the Harlequin mine (500,000 ounces produced to date) and the reef looks certain to be a significant cash generator for Croesus over the next few years. The HV1 East Reef was discovered earlier this year when underground development defined the top part of the 1 metre wide reef over an 83 metre strike with an average grade of 110g/t gold. The mineralized reef has now been developed over a strike length in excess of 200m. Drill probing along strike has intersected further promising gold mineralisation. It is proposed to mine the reef via mechanised methods with the mine reaching full production by March 2005.
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