Medusa Mining Corporation and Philsaga Mining Corporation have completed initial identification of drilling targets, which span 70km of strike length within the richly endowed East Mindanao Ridge in the Philippines.

The group has already started aggressive drilling of high grade vein systems and will then move to drill porphyry targets within the group's 700sqkm of tenements in the Philippines.

The targets include one known porphyry copper prospect, six potential porphyry copper targets, one large Carlin-style disseminated gold target in sediments and multiple high-grade vein targets. The targets are: Lingig prospect, Tambis area, Borobo area, Co-O Mine area, Gamuton prospect, Saugon area and Lasang area.

The group has allocated a monthly drilling budget of $US350,000 which will allow about 2500m of diamond drilling each month with the group's fleet of diamond drilling rigs.

Medusa managing director Geoff Davis says the East Mindanao Ridge had been a major mining region since before World War Two and had yielded numerous high-grade veins and several porphyry copper-gold bodies.

Medusa Mining is an ASX-listed Perth-based gold producer operating in the Philippines. Medusa has two mine developments, Co-O and Tambis, and is aiming to start production at the Sinug-ang Project next year.

The company is aiming to undertake a $15 million capital-raising and secure a secondary listing on London's Alternative Investment Market later this year.