GGG Ggg Resources

 
TIDMGGG 
 
Central China Goldfields plc 
 
                           (the "Company" or "GGG") 
 
           Commencement of Engineering Scoping Study at Bullabulling 
 
12 July 2010 
 
Central China Goldfields plc, and its 50:50 joint venture partner Auzex 
Resources Limited, are pleased to announce that they have appointed Cube 
Consultants of Perth to conduct an engineering scoping study at the 
Bullabulling gold project in the Coolgardie Goldfield, Western Australia. 
 
Cube Consultants have started a multi-disciplinary review of all the extensive 
paper-based mining engineering and metallurgical data at Bullabulling, the site 
of a former open pit gold mine. Cube's study, the results of which are expected 
to be available in September, will form the basis of a more detailed 
feasibility study of the project. 
 
Bullabulling was an active mine up to 1998, producing some 370,000 ounces of 
gold (mining and treating 7.9 million tonnes @ 1.45 g/t gold). Gold production 
was mainly from the near-surface laterite and supergene ores, although in three 
pits, deeper primary ore was also processed. 
 
There is a significant paper-based dataset available to the joint venture 
partners based on Bullabulling's previous mining operations. These include the 
original feasibility study, metallurgical reports, weekly ore processing sheets 
from the operational phase itself, mining and processing reconciliation reports 
and plus grade control data. 
 
Although the dataset is not complete, the considerable knowledge gained from 
earlier operational activities will help the current joint venture better plan 
and potentially accelerate the new Bullabulling feasibility study. 
 
The engineering scoping study will compile all available operational 
information into a digital format which can then be more efficiently modelled. 
The study will also determine the additional work needed to complete a full 
bankable feasibility study for the Bullabulling Project by producing a budget 
and timeline that include estimated current lead-times for key equipment (e.g. 
SAG and ball mills plus crushing equipment etc.). This work will also update 
known historical costs for the treatment of Bullabulling ore, and define the 
range of costs to be used for preliminary pit optimisation studies. The final 
output of the study will be to develop various economic scenarios for mining 
and processing the gold mineralisation at Bullabulling based on a new JORC 
resource currently being calculated by CSA Global. The results of both studies 
will then be combined to finalise resource development, processing and mining 
options prior to the potential commencement of a Feasibility Study in Q4 2010. 
 
Two of the seven diamond drill holes (totalling 1,432m) that were planned from 
recommendations from the Structural study have been completed. One hole was 
drilled from the bottom of the Bacchus pit and the other from the hanging wall 
of the Phoenix pit. A total of 356 metres of core and 200 metres of RC 
pre-collars have been drilled to date. Drill production rates are as planned 
and consequently the program will be completed by the end of July. 
 
Technical information in the Company news releases has been reviewed and 
approved by Dr. Jeffrey F. A. Malaihollo the Company's Managing Director, whois 
a Fellow of the Geological Society of London. 
 
For further information, please contact: 
 
Dr. Jeffrey Malaihollo                Westhouse Securities Limited 
Tel: 01992 531820                     Tim Metcalfe / Martin Davison 
Email: info@ccgoldfields.com          Tel: 020 7601 6100 
www.ccgoldfields.com 
 
Gresham PR                            Alexander David Securities Limited 
Neil Boom                             Nick Bealer / David Scott 
Tel: 07866 805 108                    Tel: 020 7448 9820 
 
 
Bullabulling Gold Project 
 
Bullabulling, the site of former gold mine in the Western Australia gold mining 
district, is the Company's principal asset. Some 60km2 in size, Bullabulling 
lies 70km South West of Kalgoorlie in Western Australia. It is a sizeable 
project area held in a series of granted mining leases. 
 
Following extensive computer modelling of previously collected data, Central 
China Goldfields believe that there could be large, open pittable gold 
deposits, with high grade lodes. Central China Goldfields is testing this 
through new drilling programmes. 
 
The Company completed the acquisition of Bullabulling in May 2010, and intends 
to fast-track the mine into production by 2013, if further exploration results 
meet the Company's expectations. 
 
Bullabulling is part of the Eastern Goldfields. The Goldfields contain over 160 
deposits, 19 of which are greater than three million ounces of gold. 
 
Bullabulling is a 50:50 joint venture with Auzex Resources Limited, an 
ASX-listed Australian mining company. 
 
 
 
END 
 

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