Moto revs on drill results (February 03, 2006)

Shares in Moto Goldmines (MGL-T, MOE-A) were trading $1.40, or nearly 30%, higher at $6.20 in afternoon trading in Toronto on Feb. 3, after the company reported some wide intervals of high-grade gold from the Moto gold project in northeastern Democratic Republic of Congo.

Highlighting a 5,087-metre, 14-hole drill program designed to test the shallow, up-plunge portion of the Chauffeur zone was the discovery of a new, deeper mineralized ore shoot, dubbed Durba East.

Drilling there yielded:

• Hole 79 40 metres containing 1.53 grams gold, and 30 metres of 6.32 grams gold;
• Hole 78 10 metres at 1.65 grams, 12 metres at 3.71 grams, and 12 metres of 1.26 grams;
• Hole 72 — 6 metres grading 2.53 grams gold per tonne, 8 metres running 1.73 grams, and 6 metres of 1.03 grams.
• Hole 77 10 metres of 1.17 grams, 18 metres of 1.62 grams, and 4 metres of 1.08 grams;
• Hole 82 18 metres at 1.3 grams gold.

The holes generally returned slightly higher grades over wider intervals from the overlying Chauffer zone.

Deeper, down-dip drilling on the Karagba and Chauffer zones yielded wider intervals of higher grade gold, including 18 metres of 6.9 grams gold, 30 metres of 7.9 grams, and 28 metres of 14.3 grams in hole no. 35. Some 80 metres updip, hole no. 33 yielded 28 metres of 9.1 grams gold, and 40 metes of 11.3 grams.

Artisanal miners are currently exploiting the Chauffeur zone some 1 km updip from the latest drilling.

Meanwhile, results from infill drilling on a 40-metre-by-40-metre grid on the Karagba zone yielded 75 metres running 2.6 grams gold, 60 metes of 3.3 grams gold, 46.4 metres of 3.3 grams, 30 metres of 4.6 grams, 13 metres of 7.5 grams, 18 metres of 6 grams, and 16 metres of 8.9 grams.

In November, Cube Consulting estimated Karagba’s inferred resources at 36.7 million tonnes running 3.1 grams gold, for 3.6 million contained ounces. A revised estimate is due by the end of March.

Downdip extension drilling on the Sessenge zone is highlighted by 14 metres of 3.8 grams, 32 meters of 3.3 grams, 18 metres of 4.2 grams, 28 metres at 6.1 grams, 10 metes at 6 grams, and 36 metres of 2.9 grams.

Sessenge is home to an indicated resource totalling 4.8 million tonne grading 2 grams gold, for 301,000 contained ounces. Another 922,000 tonnes of inferred material runs 2.3 grams, for 67,000 oz. The resource estimate will be updated during the quarter.

Resources at the Mengu Hill will also be updated to reflect the latest 23-hole 3,136-metre infill drill program. Results there include 58 metres of 4.7 grams gold, 22.6 metes at 3.9 grams, and 62.3 metres of 4.6 grams gold.

Indicated resource at Mengu Hill currently stand at 8 million tonnes averaging 3.3 grams gold, for 844,000 contained ounces, with inferred resources amounting to 985,000 tonnes of 1.4 grams, for 43,000 oz.

The updated resource figures are in anticipation of a bankable feasibility slated for completion in 2007. An ongoing prefeasibility study will wrap up by mid-2006.

Infill and extension drilling with one reverse-circulation and three diamond drill rigs will continue through midyear.