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Cluff Gold plc: 2011 Kalsaka Production Update and 2012 Outlook

12.01.2012  |  Marketwire
LONDON, Marketwire - Jan. 12, 2012 - Cluff Gold (AIM: CLF) (TSX: CFG) (“Cluff Gold“ or the “Company“), the dual AIM/TSX-listed West African focused gold mining company, is pleased to announce an update on its Kalsaka project.


HIGHLIGHTS

- Kalsaka delivered excellent operational results in 2011, with production totalling 71,505oz, exceeding the production guidance of 70,000oz

- Promising oxide exploration results received for extension of existing mine life with longer term sulphide potential demonstrated by deeper drilling

- Strong cash generation: year-end closing cash balance of US$28.9m for the Group (31 December 2010: US$20.9m) with an additional 2,489oz of gold bullion in hand at 31 December 2011 (31 December 2010: 1,258oz)

- 2012 production guidance at Kalsaka: 60-70,000oz


Peter Spivey, Chief Executive of Cluff Gold, commented:

“I believe that 2012 will be a defining year for Cluff Gold, and I am looking forward to fulfilling the many opportunities that exist within our portfolio of assets.

“We are pleased to begin the New Year by announcing that we have exceeded our full-year production target for 2011. Kalsaka has delivered strong operational results in 2011 and we are confident that this will continue in 2012.

“The management team is now working towards extending the mine life at Kalsaka and we are already achieving promising exploration results in the oxide zone. We are also pursuing the possibility of developing a long-term sulphide operation following the receipt of encouraging exploration results from deeper drilling.

With Baomahun progressing towards feasibility study and positive drilling results from Angovia's drill programme, we seek to leverage our strong balance sheet and on-going production to allow us to maximise our asset base and fulfil our goals for 2012.“


Kalsaka Production

The Company is pleased to announce a successful year at its Kalsaka operations in Burkina Faso, which delivered 71,505oz to the Group, exceeding the Company's budgeted 70,000oz production guidance.

                                    2011      2010      % Change 
Ore mined (t) 1,898,711 1,539,557 23%
Waste mined (t) 12,670,996 11,135,933 14%
Ore processed (t) 1,646,166 1,550,373 6%
Average ore head grade (g/t) 1.45 1.56 (7%)
Gold production (oz) 71,505 74,073 (3%)


With the strong production level at Kalsaka generating good cash flow, the Group ended the year with a strong debt-free balance sheet backed with US$28.9m of cash and a further 2,489oz of gold bullion in hand at 31 December 2011, with a value of approximately US$4.0 million at spot gold prices. Total cash and bullion holdings of approximately US$32.9 million represent an increase of US$3.3 million over the quarter ended 30 September 2011, net of all group exploration costs, overheads and Baomahun development expenditure.

The Company expects the operation to continue generating strong cash flow in 2012, and production guidance remains at 60-70,000oz. A crushing plant has now been successfully commissioned at the Kalsaka Mine, allowing harder, higher-grade ore to be processed which will assist in delivering this target. This includes an existing 540,000t stockpile of previously mined oversized quartz and transitional material averaging 1.76g/t. In addition, the 2.3Mt K-Zone ore-body with an average grade of 1.6g/t will also be mined, where recent in-fill drilling results, including 16m at 7.75g/t from 10m and 2m at 58.14g/t from 20m, have confirmed high grade mineralised zones. The in-fill drilling results are included in Table 1 of Appendix 1.


Exploration

The Company understands that an extension of the Kalsaka oxide mine life is of utmost priority, and has been focused on exploration drilling across the licence area throughout 2011. A total of 36,546m of RAB and 39,859m of RC drilling was completed in 2011, including 2,836m of RC drilling focused on sulphide targets. Although the exploration results have been delayed due to the slow receipt of assays from external laboratories, the Company is encouraged by the results received to date and is confident that they will contribute to the extension of the existing mine life.

Promising results have been received at Zoungwa, 3km north-east of the processing plant, with significant oxide intercepts including:

- 7m at 9.12g/t from 9m depth,
- 21m at 1.28g/t from 24m,
- 14m at 1.36g/t from 41m, and
- 15m at 1.58g/t from 36m.

At Rondo, 5km north-east of the processing plant, a lower grade ore zone has been defined, with intercepts including:

- 38m at 0.58g/t from 0m,
- 24m at 0.77g/t from 16m,
- 19m at 0.87g/t from 31m, and
- 15m at 0.79g/t from 50m.

Results from other oxide targets include promising preliminary intercepts at the Zindinogo splay structures in the east of the Kalsaka exploration licence area. Strike extension assessment drilling is also continuing around the current pits to test the continuity of the existing ore bodies. Outside the Kalsaka licence area, 5,967m of RC was drilled at the 100% owned Yako concession, located approximately 25km southwest of Kalsaka, with the aim of proving the inferred resources estimated by historical drilling. Results will be released in due course as they are received.

In addition to the oxide results set out above, highly encouraging sulphide results have also been encountered at Kalsaka as presented in the Q3 2011 update. Further to the results in the K-Zone announced on 29 November 2011, sulphide mineralisation has also been identified at the Zoungwa Prospect with results including:

- 10m at 2.55g/t from 103m,
- 7m at 2.28g/t from 72m,
- 10m at 1.26g/t from 85m, and
- 7m at 1.59g/t from 107m.

All results that meet the intersection criteria are set out in Appendix 1. A map showing the location of all the prospects mentioned is available on the Company website, www.cluffgold.com. Resource calculations for some of these areas are expected to be completed in Q1 2012.

Exploration remains a key focus at Kalsaka, with an extension to the oxide mine life a priority and the longer term sulphide opportunity showing good promise. An exploration budget of US$6.8m has been committed to Kalsaka and Yako for 2012, which includes an 88,000m drilling programme comprising RAB, RC and diamond holes.


About Cluff Gold

Cluff Gold is a gold developer-producer with assets in West Africa. The Company generates significant cash flow through its Kalsaka gold mine in Burkina Faso. The Company remains focused on its objective of becoming a mid-tier producer through the development of its wholly-owned Baomahun project in Sierra Leone, which is expected to contribute an additional 135,000oz of gold per annum, with significant exploration potential along strike. With its experience of bringing new mines into production and a project pipeline spanning Burkina Faso, Côte d'Ivoire and Mali, the Company aims to further increase its production profile with its highly prospective exploration work across all assets.

Baomahun is Cluff Gold's defining development gold project in Sierra Leone. Definitive feasibility study work is progressing in the immediate resource area, where 2.1Moz of indicated resources (25.6Mt at 2.5g/t) and a further 0.9Moz of inferred resources (comprising 9.6Mt at 2.8g/t) have been delineated to date(1). The current resource base is limited to only 1.5km of a total 12km strike length. Exploration drilling is on-going, targeting the 4km northerly strike extension of the current resource area.

(1) See news release dated 5 September 2011 entitled “Cluff Gold: Significant Resource Increase at Baomahun“



Appendix 1

The intersections shown in the tables are based on a minimum drilled width of 2m and a cut-off of 0.4 g/t for RC results and 0.3 g/t for RAB results. Internal dilution of up to 2.00m at less than 0.4 g/t for RC results and 0.3 g/t for RAB results has been allowed for continuity.

Interval widths are not true widths. True widths will be available at the resource calculation stage.

Table 1 - K Zone infill holes within pit:
BHID FROM TO Interval Grade Sample
Type UTM
East UTM
North UTM
RL UTM
AZ Dip
KRC0618 10 14 4 1.65 RC 609095 1459145 347 248 -56
KRC0618 20 22 2 58.14 RC 609095 1459145 347 248 -56
KRC0619 23 39 16 1.96 RC 609108 1459114 336 338 -55
KRC0619 43 48 5 7.29 RC 609108 1459114 336 338 -55
KRC0619 51 55 4 1.42 RC 609108 1459114 336 338 -55
KRC0620 32 35 3 5.47 RC 609063 1459123 362 338 -55
KRC0620 44 50 6 0.83 RC 609063 1459123 362 338 -55
KRC0621 7 19 12 1.73 RC 609053 1459149 347 158 -55
KRC0623 32 38 6 2.80 RC 608635 1458936 350 338 -50
KRC0623 58 76 18 1.97 RC 608635 1458936 350 338 -50
KRC0624 0 2 2 1.25 RC 608629 1458951 349 338 -50
KRC0624 7 15 8 2.83 RC 608629 1458951 349 338 -50
KRC0624 35 38 3 1.24 RC 608629 1458951 349 338 -50
KRC0625 27 42 15 0.97 RC 608495 1458894 351 338 -46
KRC0626 10 26 16 7.75 RC 608489 1458903 348 338 -45

Table 2: Zoungwa
BHID FROM TO Interval Grade Sample
Type UTM
East UTM
North UTM
RL UTM
AZ Dip
KRC0211 25 28 3 0.71 RC 611428 1460377 348 342 -45
KRC0211 31 33 2 0.60 RC 611428 1460377 348 342 -45
KRC0217 22 27 5 0.64 RC 612207 1460856 350 342 -50
KRC0225 6 8 2 0.91 RC 612384 1460823 356 342 -50
KRC0235 23 25 2 1.11 RC 612433 1460811 356 342 -50
KRC0240 72 75 3 0.63 RC 612497 1461072 364 162 -45
KRC0244 59 61 2 0.51 RC 612606 1460805 352 342 -50
KRC0246 72 79 7 2.28 RC 612660 1460933 354 342 -50
KRC0248 30 32 2 0.48 RC 612646 1461109 354 162 -45
KRC0249 39 43 4 1.60 RC 612791 1461147 364 342 -50
KRC0255 44 47 3 1.30 RC 612658 1461204 358 162 -50
KRC0255 55 57 2 0.70 RC 612658 1461204 358 162 -50
KRC0256 41 55 14 1.36 RC 612704 1461227 350 162 -50
KRC0286 75 90 15 0.69 RC 612871 1461346 358 162 -50
KRC0287 36 51 15 1.58 RC 612925 1461343 388 162 -50
KRC0500 0 3 3 0.57 RC 612686 1460998 362 342 -50
KRC0500 5 8 3 1.02 RC 612686 1460998 362 342 -50
KRC0502 96 100 4 0.54 RC 612829 1461315 360 162 -60
KRC0502 103 113 10 2.55 RC 612829 1461315 360 162 -60
KRC0504 21 24 3 1.00 RC 612820 1461272 363 162 -45
KRC0505 37 40 3 0.65 RC 612769 1461251 376 162 -50
KRC0506 36 38 2 0.48 RC 612861 1461303 361 162 -60
KRC0507 14 16 2 0.65 RC 612860 1461286 366 162 -50
KRC0509 24 45 21 1.28 RC 612909 1461320 367 162 -60
KRC0510 10 17 7 1.13 RC 612913 1461308 375 162 -50
KRC0511 11 14 3 1.25 RC 612952 1461342 365 162 -60
KRC0511 96 99 3 0.66 RC 612952 1461342 365 162 -60
KRC0512 9 16 7 9.12 RC 612958 1461329 370 162 -50
KRC0512 49 52 3 0.50 RC 612958 1461329 370 162 -50
KRC0515 1 4 3 0.44 RC 612996 1461359 377 162 -60
KRC0516 30 38 8 0.87 RC 613003 1461347 364 162 -50
KRC0518 82 84 2 0.72 RC 612700 1461238 309 162 -60
KRC0518 99 101 2 0.43 RC 612700 1461238 309 162 -60
KRC0521 96 100 4 0.54 RC 612653 1461218 360 162 -60
KRC0521 103 105 2 0.51 RC 612653 1461218 360 162 -60
KRC0522 57 72 15 0.58 RC 612637 1461202 352 162 -50
KRC0563 85 95 10 1.26 RC 612721 1461253 367 162 -60
KRC0563 115 119 4 1.33 RC 612721 1461253 367 162 -60
KRC0565 82 84 2 1.18 RC 612896 1461347 367 162 -60
KRC0566 101 104 3 0.65 RC 612649 1461328 391 162 -60
KRC0567 107 114 7 1.59 RC 612811 1461317 372 162 -60

There were 71 RC drill holes that did not encounter significant mineralisation at Zoungwa. In addition, there are 9 holes with outstanding assay results; it is not expected that these outstanding results will differ significantly to those shown above.

Table 3 - Rondo RC drilling:
BHID FROM TO Interval Grade Sample
Type UTM
East UTM
North UTM
RL UTM
AZ Dip
KRC0292 42 44 2 0.45 RC 614810 1462339 341 342 -45
KRC0292 54 59 5 0.68 RC 614810 1462339 341 342 -45
KRC0293 48 50 2 0.60 RC 614791 1462388 354 342 -45
KRC0295 44 46 2 2.20 RC 614899 1462379 354 342 -45
KRC0295 49 63 14 1.01 RC 614899 1462379 354 342 -45
KRC0296 2 8 6 1.10 RC 614891 1462428 351 342 -45
KRC0297 10 21 11 0.50 RC 614866 1462476 347 342 -45
KRC0298 43 47 4 0.73 RC 615003 1462429 345 342 -45
KRC0299 94 100 6 0.98 RC 614985 1462457 342 342 -45
KRC0301 55 57 2 1.04 RC 614955 1462565 344 342 -45
KRC0317 58 60 2 0.65 RC 615240 1462651 348 342 -45
KRC0317 67 71 4 0.50 RC 615240 1462651 348 342 -45
KRC0321 19 22 3 0.54 RC 615340 1462651 347 342 -45
KRC0323 64 68 4 37.48 RC 615303 1462745 347 342 -45
KRC0324 34 38 4 1.18 RC 615292 1462789 350 342 -45
KRC0329 36 38 2 5.51 RC 615360 1462824 347 342 -45
KRC0332 44 46 2 1.22 RC 615529 1462704 340 342 -45
KRC0334 47 49 2 0.82 RC 615491 1462794 349 342 -45
KRC0344 67 74 7 0.72 RC 614947 1462398 343 342 -45
KRC0344 77 80 3 0.44 RC 614947 1462398 343 342 -45
KRC0350 2 5 3 0.94 RC 615120 1462539 349 342 -45
KRC0350 11 21 10 0.58 RC 615120 1462539 349 342 -45
KRC0351 40 42 2 0.52 RC 615101 1462583 345 342 -45
KRC0351 44 47 3 0.50 RC 615101 1462583 345 342 -45
KRC0354 67 70 3 0.94 RC 615318 1462590 338 342 -45
KRC0355 13 16 3 0.56 RC 615297 1462635 346 342 -45
KRC0355 19 26 7 0.97 RC 615297 1462635 346 342 -45
KRC0356 32 34 2 0.56 RC 615278 1462679 345 342 -45
KRC0356 46 50 4 0.93 RC 615278 1462679 345 342 -45
KRC0361 12 16 4 0.73 RC 615463 1462714 339 342 -45
KRC0362 52 55 3 1.58 RC 615442 1462758 344 342 -45
KRC0367 97 100 3 1.15 RC 614792 1462268 352 342 -45
KRC0371 62 71 9 0.81 RC 615620 1462742 333 342 -45
KRC0393 47 59 12 0.96 RC 614162 1461932 340 342 -45
KRC0393 68 70 2 0.56 RC 614162 1461932 340 342 -45
KRC0397 50 65 15 0.79 RC 614002 1461817 353 342 -45
KRC0402 52 54 2 2.03 RC 613753 1461805 356 342 -45
KRC0402 59 68 9 0.74 RC 613753 1461805 356 342 -45
KRC0402 72 74 2 0.55 RC 613753 1461805 356 342 -45
KRC0402 76 78 2 1.08 RC 613753 1461805 356 342 -45
KRC0403 5 19 14 1.11 RC 613729 1461849 359 342 -45
KRC0404 18 20 2 2.17 RC 613708 1461897 357 342 -45
KRC0411 40 47 7 0.77 RC 613601 1461654 357 342 -45
KRC0411 60 63 3 0.54 RC 613601 1461654 357 342 -45
KRC0412 5 9 4 1.43 RC 613585 1461703 357 342 -45
KRC0412 30 43 13 1.29 RC 613585 1461703 357 342 -45
KRC0421 20 34 14 1.67 RC 613426 1461538 372 342 -45
KRC0421 76 78 2 1.33 RC 613426 1461538 372 342 -45
KRC0428 42 44 2 0.83 RC 613295 1461860 351 342 -45
KRC0470 74 76 2 0.75 RC 617184 1463446 344 342 -45
KRC0471 13 16 3 0.92 RC 617163 1463491 344 342 -45
KRC0471 19 26 7 0.69 RC 617163 1463491 344 342 -45
KRC0526 40 44 4 0.78 RC 617062 1463334 351 342 -45
KRC0527 42 46 4 1.01 RC 617045 1463380 352 342 -45
KRC0527 67 77 10 0.58 RC 617045 1463380 352 342 -45
KRC0528 9 11 2 0.48 RC 617038 1463433 346 342 -45
KRC0528 15 22 7 0.74 RC 617038 1463433 346 342 -45
KRC0530 127 132 5 0.50 RC 615232 1462502 343 342 -55
KRC0531 17 21 4 0.62 RC 615231 1462571 370 342 -50
KRC0532 29 33 4 0.70 RC 615202 1462630 334 342 -50
KRC0532 41 44 3 0.71 RC 615202 1462630 334 342 -50
KRC0533 39 41 2 0.57 RC 615231 1462639 348 342 -50
KRC0533 56 68 12 0.65 RC 615231 1462639 348 342 -50
KRC0533 77 80 3 0.63 RC 615231 1462639 348 342 -50
KRC0534 10 13 3 1.01 RC 615247 1462602 335 342 -50
KRC0534 29 35 6 0.87 RC 615247 1462602 335 342 -50
KRC0534 92 94 2 1.32 RC 615247 1462602 335 342 -50
KRC0534 97 100 3 0.51 RC 615247 1462602 335 342 -50
KRC0535 53 55 2 0.98 RC 615262 1462567 335 342 -50
KRC0536 80 82 2 0.47 RC 615309 1462577 345 342 -50
KRC0541 83 88 5 1.04 RC 615046 1462429 342 342 -55
KRC0542 89 91 2 0.69 RC 615022 1462418 343 342 -55
KRC0542 100 105 5 0.80 RC 615022 1462418 343 342 -55
KRC0543 86 88 2 0.51 RC 615001 1462409 344 342 -55
KRC0543 91 94 3 0.66 RC 615001 1462409 344 342 -55
KRC0548 46 55 9 0.59 RC 614971 1462414 350 342 -50
KRC0549 70 77 7 0.59 RC 614949 1462403 349 342 -50
KRC0550 44 46 2 0.59 RC 614923 1462394 354 342 -50
KRC0550 58 64 6 0.67 RC 614923 1462394 354 342 -50
KRC0551 32 47 15 0.73 RC 614856 1462366 346 342 -50
KRC0551 111 113 2 0.73 RC 614856 1462366 346 342 -50
KRC0552 31 50 19 0.87 RC 614873 1462375 362 342 -50
KRC0554 103 106 3 0.79 RC 614980 1462369 365 342 -55
KRC0555 116 118 2 0.75 RC 614964 1462353 377 342 -55
KRC0555 142 144 2 0.96 RC 614964 1462353 377 342 -55
KRC0556 105 107 2 0.71 RC 614943 1462339 384 342 -55
KRC0556 130 132 2 0.49 RC 614943 1462339 384 342 -55
KRC0557 93 99 6 0.84 RC 614922 1462338 349 342 -55
KRC0557 121 123 2 1.30 RC 614922 1462338 349 342 -55
KRC0558 100 108 8 0.93 RC 614871 1462317 342 342 -55

In addition to the above, there were 136 RC drill holes that did not encounter significant mineralisation at Rondo. In addition, there are 43 holes with outstanding assay results; it is not expected that these outstanding results will differ significantly to those shown above.

Table 4 - Rondo RAB drilling:
BHID FROM TO Interval Grade Sample
Type UTM
East UTM
North UTM
RL UTM
AZ Dip
KRB0082 20 22 2 0.61 RAB 616868 1463259 339.1 342 -35
KRB0084 2 4 2 0.31 RAB 616675 1463170 335.6 342 -45
KRB0086 38 40 2 0.80 RAB 616656 1463248 346.4 342 -35
KRB0087 22 24 2 0.41 RAB 616732 1463282 340.1 342 -45
KRB0087 30 42 12 0.37 RAB 616732 1463282 340.1 342 -45
KRB0093 2 6 4 0.72 RAB 616455 1463212 342 342 -42
KRB0103 32 34 2 0.34 RAB 616231 1463284 339.4 342 -45
KRB0103 48 50 2 0.38 RAB 616231 1463284 339.4 342 -45
KRB0114 30 32 2 0.32 RAB 616222 1463331 343.5 342 -45
KRB0126 20 24 4 0.37 RAB 615578 1462755 337.5 342 -45
KRB0129 16 18 2 0.80 RAB 615537 1462854 346.1 342 -45
KRB0132 6 14 8 0.75 RAB 615486 1462929 344.7 342 -45
KRB0132 20 24 4 0.37 RAB 615486 1462929 344.7 342 -45
KRB0138 6 12 6 0.55 RAB 615382 1462684 343.9 342 -45
KRB0139 38 40 2 0.31 RAB 615374 1462709 344.3 342 -45
KRB0139 62 64 2 0.34 RAB 615374 1462709 344.3 342 -45
KRB0142 2 6 4 0.41 RAB 615334 1462839 340.5 342 -45
KRB0150 0 2 2 0.75 RAB 615222 1462548 347 342 -45
KRB0150 26 30 4 0.98 RAB 615222 1462548 347 342 -45
KRB0150 36 44 8 0.57 RAB 615222 1462548 347 342 -45
KRB0151 4 22 18 1.00 RAB 615202 1462594 348.5 342 -45
KRB0152 60 62 2 1.33 RAB 616840 1463308 348.4 342 -42
KRB0154 58 60 2 0.38 RAB 616899 1463405 346.7 342 -45
KRB0161 10 14 4 0.73 RAB 615201 1462642 345.7 342 -45
KRB0161 18 20 2 0.44 RAB 615201 1462642 345.7 342 -45
KRB0161 22 24 2 0.44 RAB 615201 1462642 345.7 342 -45
KRB0161 30 40 10 0.64 RAB 615201 1462642 345.7 342 -45
KRB0163 10 14 4 0.83 RAB 615182 1462731 345 342 -45
KRB0166 36 38 2 0.32 RAB 615142 1462847 344.1 342 -42
KRB0166 42 44 2 2.00 RAB 615142 1462847 344.1 342 -42
KRB0173 50 54 4 3.33 RAB 615052 1462430 341.6 342 -42
KRB0174 28 34 6 0.42 RAB 615040 1462464 343.7 342 -45
KRB0174 40 48 8 0.59 RAB 615040 1462464 343.7 342 -45
KRB0176 16 40 24 0.77 RAB 614997 1462550 348.4 342 -45
KRB0183 12 14 2 0.43 RAB 614927 1462767 346.5 342 -45
KRB0190 64 75 11 1.08 RAB 614864 1462332 343.7 342 -45
KRB0191 0 38 38 0.58 RAB 614851 1462384 334.8 342 -45
KRB0193 22 24 2 0.52 RAB 614833 1462441 346.8 342 -45
KRB0198 78 88 10 0.32 RAB 614671 1462277 359.4 342 -45
KRB0247 0 2 2 0.55 RAB 615499 1462089 337.8 342 -45
KRB0272 20 28 8 0.60 RAB 615125 1462528 345 342 -45
KRB0279 32 34 2 0.38 RAB 615015 1462834 341 342 -45
KRB0280 16 20 4 0.82 RAB 615011 1462863 351 342 -45
KRB0280 24 26 2 2.33 RAB 615011 1462863 351 342 -45
KRB0282 42 48 6 0.92 RAB 615302 1462591 343 342 -45
KRB0282 52 57 5 0.49 RAB 615302 1462591 343 342 -45
KRB0283 18 32 14 0.56 RAB 615293 1462626 342 342 -45
KRB0284 54 56 2 0.58 RAB 615280 1462669 345 342 -45
KRB0287 34 36 2 0.44 RAB 615255 1462773 342 342 -45
KRB0289 22 26 4 1.06 RAB 615261 1462585 337 342 -45
KRB0289 34 40 6 0.55 RAB 615261 1462585 337 342 -45
KRB0289 46 48 2 0.49 RAB 615261 1462585 337 342 -45
KRB0289 52 56 4 0.57 RAB 615261 1462585 337 342 -45
KRB0290 4 14 10 1.39 RAB 615244 1462624 338 342 -45
KRB0290 56 65 9 0.45 RAB 615244 1462624 338 342 -45
KRB0291 28 30 2 0.43 RAB 615253 1462674 347 342 -45
KRB0291 38 40 2 0.32 RAB 615253 1462674 347 342 -45
KRB0293 14 17 3 0.70 RAB 615213 1462751 346 342 -45
KRB0296 40 50 10 0.47 RAB 615169 1462558 345 342 -45
KRB0297 2 4 2 0.37 RAB 615161 1462587 347 342 -45
KRB0298 10 20 10 1.02 RAB 615143 1462630 342 342 -45
KRB0299 30 34 4 0.37 RAB 615135 1462683 340 342 -45
KRB0299 36 38 2 0.41 RAB 615135 1462683 340 342 -45
KRB0303 10 14 4 0.33 RAB 615088 1462851 347 342 -45
KRB0304 38 40 2 0.83 RAB 615082 1462869 341 342 -45
KRB0342 24 30 6 0.64 RAB 614307 1462139 361 342 -45
KRB0345 6 8 2 1.79 RAB 614138 1462013 367 342 -45
KRB0345 36 62 26 0.83 RAB 614138 1462013 367 342 -45
KRB0346 16 18 2 0.53 RAB 614125 1462057 368 342 -45
KRB0346 48 50 2 0.90 RAB 614125 1462057 368 342 -45
KRB0346 54 56 2 0.31 RAB 614125 1462057 368 342 -45
KRB0350 22 32 10 0.85 RAB 613965 1461904 347 342 -45
KRB0350 64 66 2 0.61 RAB 613965 1461904 347 342 -45

In addition to the above, there were 167 RAB drill holes that did not encounter significant mineralisation at Rondo.

This report includes certain “forward-looking information“ within the meaning of applicable Canadian securities legislation.

All statements other than statements of historical fact included in this report, including, without limitation, the positioning of the Company for future success, statements regarding exploration, drilling results, resource calculations and potential future production at Kalsaka, and future capital plans and objectives of Cluff Gold, are forward-looking information that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Cluff Gold's expectations include, among others, risks related to international operations, the actual results of current exploration and drilling activities, changes in project parameters as plans continue to be refined as well as future price of gold. Although Cluff Gold has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Cluff Gold does not undertake to update any forward-looking statements that are included herein, except in accordance with applicable securities laws.

The RC drilling programme at Kalsaka was undertaken by an independent drilling contractor. All the drill holes collar positions were pegged using a total station theodolite and re-surveyed after drilling. The drill collars after survey were checked by onsite geologist. Each 1.0m RC chipping passing through a cyclone is collected in a plastic bag and reduced in a multistage splitter to get a split of between 2kg and 4kg. Sampling was done under the supervision of the site geologist. Duplicate samples were collected at every 10th sample point and one blank inserted at every 20th point. Samples were submitted to the in-house laboratory, dried, crushed and pulverised to 85-90% passing 106μm and analysed by bulk leach extractable gold assays for twelve hours.

The RAB drilling programme at Kalsaka was undertaken by an independent drilling contractor. All the drill holes collar positions were pegged using a Garmin GPS unit and re-surveyed after drilling. The drill collars after survey were checked by onsite geologist. Each 1.0m RAB chipping passing through a cyclone is collected in a plastic bag and 2m-composites are reduced in a multistage splitter to get a split of between 2kg and 4kg. Sampling was done under the supervision of the site geologist. Duplicate samples were collected at every 20th sample point and one blank inserted at every 20th point. Samples were submitted to the in-house laboratory, dried, crushed and pulverised to 85-90% passing 106μm and analysed by bulk leach extractable gold assays for twelve hours.

RAB and RC check assays were also submitted to external commercial laboratories in Burkina Faso as part of the Company's quality control procedures.

Peter Brown is a “Qualified Person“ within the definition of National Instrument 43-101 and has verified the data disclosed in this release, including sampling, analytical and test data underlying the information contained herein, and reviewed and approved the information contained within this announcement. Mr Brown (MIMMM) is the Group Exploration Manager.

NO REGULATORY AUTHORITY HAS APPROVED OR DISAPPROVED THE CONTENT OF THIS PRESS RELEASE.



Contact Information

Cluff Gold plc
Peter Spivey, CEO
+44 (0) 20 7340 9790

Cluff Gold plc
Pete Gardner, Finance Director
+44 (0) 20 7340 9790

Cluff Gold plc
Carrie Lun, Investor Relations Manager
+44 (0) 20 7340 9790
www.cluffgold.com

Collins Stewart Europe Limited
John Prior, Corporate Broking
+44 (0)20 7523 8350

Collins Stewart Europe Limited
Adam Miller, Corporate Broking
+44 (0)20 7523 8350

Collins Stewart Europe Limited
Sebastian Jones, Corporate Broking
+44 (0)20 7523 8350

Pelham Bell Pottinger
James Henderson, Investor Relations (Global)
+44 (0) 20 7861 3232

Pelham Bell Pottinger
Philippe Polman, Investor Relations (Global)
+44 (0) 20 7861 3232

Farm Street Communications Limited
Simon Robinson, Press Relations (U.K.)
+44 (0) 7593 340 107
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