CHINA Shouguan Mining Corporation, a US-listed gold mining, exploration and advisory company with operations in Shandong province, is conducting extensive exploration on two major veins at the Cunli-Ji (CJ) project. Sixteen drill sites at Cunli-Ji were found to contain gold and the company will release a formal exploration report once complete.
Shandong is home to roughly 25% of China’s proven gold reserves, with over 10.2 tonnes of gold ore recovered each month. CJ is 5km east of Cunli-Ji town and 35km south of Penglai city. Longkou port is 30km to the west while Yantai port is 60km to the east. Yantai is a prefecture-level city. Shouguan also has the Dayuan property to the west of CJ.
China Shouguan’s director of investor relations Terry Tsao says, “We are very pleased with our gold exploration efforts so far at the CJ mine, which is operating under three exploration licences. Just one of our licences, covering almost 70 hectares with 16 drill sites has produced gold indications, representing incredible potential for the company and shareholders.”
“The company’s other two licences in this area cover the Jiyingshan (JYS) and Chenjiagou (CJG) deposits. Exploration efforts at JYS are under way and the CJG exploration efforts are beginning to ramp up. We have 42 hectares currently under exploration, with a total of 1577 hectares of mining property. China Shouguan believes its extensive mining property holdings are an invaluable asset to be exploited in the years ahead.
“Some of China’s largest and most profitable gold mining companies have found huge success in the Shandong region, creating billion dollar valuations. We believe China Shouguan is on that path.”
CJ has an exploration right and a mining right while JYS and CJG each has an exploration right. JYS is roughly in the middle of the CJ area, CJG is in the west-northwest region and CJ is in the southeast region. Access to the CJ underground workings is via a ramp from the surface and connecting numerous levels.
Terry Tsao adds, “Additionally, the company is aggressively seeking new mine exploration, leasing and acquisition opportunities throughout not only Shandong, but Greater China and other countries with large gold deposits. It is our goal to maximize value from the CJ and Dayuan mines and lease or acquire more mines in order to build the portfolio. We are confident that 2014 will be China Shouguan’s Golden Year.”
The company has recently signed an MoU with the Daxinanling Government to jointly establish a gold mine operation company. Daxinanling is one of three national gold level exploration areas in China and Shouguan is the first company to sign an operations contract with the sole state-owned-enterprise of Daxinanling.
China Shouguan Mining Corporation is confident 2014 will be a golden year for the company.