Message #13 From:
NewsBot Date: January 11, 2007 01:00:00 AM
AADG News Asian Dragon Group Inc., Reports Strong Progress On China's Project Luogold
LUOYANG, China--(BUSINESS WIRE)--Asian Dragon Group Inc., (OTCBB:AADG) (FWB:P2J1) (WKN:A0KE7Z) is
pleased to update the work program initiated on the Jinjishan Gold
Property. The initial exploratory work programs have commenced and been
completed on time and budget. The process of working with the Chinese
partner has provided invaluable experience in the further expansion of
the current and future work programs.
Huashiyan Zone
Adit work continues on the 770m Tunnel as previously updated on November
28, 2006 by Asian Dragon. The tunnel is 2m high by 2.2m wide and a total
of 470m has now been completed. This includes the 280m direct drive that
has crossed 3 veins as planned and encountered 2 other smaller narrow
veins. The work now focuses on the vein crossing at 250m where the adit
turns parallel to the vein going east for 60m and west for 130m. The
width of this vein is measured from 0.6m to 1.3m. Chip samples have been
taken from a number of locations along this vein for assay, results of
which will be available shortly.
Zhuyuanmao Zone
A 2 hole drill program has been initiated to test for the extension of 5
veins exposed on the surface with an outcrop. These veins were recently
discovered while conducting geological survey work which was not
previously done for this zone. The first drill hole has been completed
at a depth of 301m and the second drill hole is currently at a depth of
260m. The 2 drill holes are 50 metres apart and the second drill hole is
located further from the outcrop at a lower elevation of 25 metres.
Liushugou Zone
Preparation work has begun for the 788m Tunnel. Workers are setting up
winter camp and have started clearing the area in preparation for the
planned drive of 500m. This tunnel is located at an elevation of 788m
and starts at a 20 degree slope, before leveling off after 120m. The
plan is to cross through 4 veins at depth to test for the extension
where previous mining has taken place near the surface.
Quality Control
Samples of the drill core from the first drill hole have been separated,
with a portion of the core being assayed locally by an independent lab
under the supervision of the Luoyang Gold Bureau and portions of the
remaining core sample have been selected for submission to the Chemex
Laboratory in North Vancouver, Canada for further testing by Mr.
Christian Derosier, P.Geo, President of CDGC Inc., a world renowned
geology and mining consultant and Asian Dragon's recently appointed
Independent Qualified Person on the project under NI 43-101.
Asian Dragon management has decided to initiate and implement a series
of small work programs consisting of drilling and tunneling through out
the 28.3 km2 of the Jinjishan Gold Property.
These work programs will not only provide valuable information on the
property, but provide first hand experience working with the Chinese on
gold mining in China. The collected data will form the basis of a major
work program designed to best confirm the ore body as previously defined
by the local Chinese Geological Exploration Team.
About Asian Dragon
Asian Dragon was established to focus on China’s
explosive precious metals reserves and markets and to become one of China’s
largest foreign gold and precious metals producers through a series of
joint ventures and mine and property acquisitions.
Key relationships in China are enabling Asian Dragon to capture business
opportunities as the Chinese Government continues to privatize many of
their industries, enabling local and foreign investment to fill the void
left by the Government ministries. Asian Dragon takes advantage of an
identified niche opportunity in the Gold Mining Industry of China, where
the Chinese Government has withdrawn the military from Gold Mining and
set up the Gold Bureau to continue Gold Mining on an international scale.
Long standing relationships with the Gold Bureau have provided Asian
Dragon with the exclusive opportunity to commence due-diligence on
several advanced Chinese Gold Mining Projects in one of the Country’s
most well-known and prolific mineral production regions, the Xiaoqinling
Region, where hundreds of small and dozens of medium to large mines are
actively mining gold and various other precious metals and minerals.
Earlier companies which acquired smaller advanced mining projects have
since proven out positively and have succeeded in turning themselves
into billion dollar market-cap opportunities. Two recent examples are
Hong Kong listed Lingbao Gold Co. and Toronto Stock Exchange listed
Silvercorp Metal Inc. both of which have major projects in the
Xiaoqinling Region.
Safe Harbor Statement under the Private Securities Litigation Reform
Act of 1995: The statements contained herein which are not historical
are forward-looking statements that are subject to risks and
uncertainties that could cause actual results to differ materially from
those expressed in the forward-looking statements, including, but not
limited to, certain delays beyond the company's control with respect to
market acceptance of new technologies or products, delays in testing and
evaluation of products, and other risks detailed from time to time in
the Company's filings with the Securities and Exchange Commission.
