Euromax reports 2.1 million oz. gold resource in Bulgaria

Earlier this month Euromax Resources (EOX-V) released its first National Instrument 43-101 resource estimate on the Logo gold prospect at its 100%-owned Trun project in Bulgaria.

At a 0.3 gram gold per tonne cutoff grade, Logo contains an inferred resource of 91.2 million tonnes grading 0.70 gram gold per tonne for 2.1 million ounces of contained gold. 

In the weeks following the resource announcement on Feb. 8, the junior raised $7.88 million — more than enough to meet its budget and exploration requirements of $6.7 million for 2011. On Feb. 25 Euromax closed a non-brokered private placement of 22.5 million units at a price of 35¢ per unit. (Each unit was made up of one common share and one-half of one warrant, exercisable at 50¢ up until Feb. 24, 2012.)

The Logo resource was based on data generated to the end of the field season last year and the deposit remains open to the north, east and west.

The Trun project is in Western Bulgaria, about 50 km from the capital city of Sofia, close to the border with Serbia.

Gold mineralization at Trun is related to granite intrusives in the K2, Little Hill, Big Hill, and KD prospects. The mineralization occurs in stockwork quartz carbonate veins with sulphide contents generally less than 3%. The company also reports that significant scheelite accompanies gold in places.

The Trun project spans about 7,500 hectares and contains at least five additional gold targets besides Logo and K2 that are defined by broad (more than 500 metre in diametre) gold in soil anomalies. 

Two small operations on the Trun property produced gold in the past. Zlata, a series of open pits and underground operations, turned out about 717,000 tonnes grading 5.97 grams gold per tonne between 1939 and 1973, while Krushov Dol, an open pit that operated between 1965 and 1974, produced about 590,000 tonnes of 1.77 grams gold per tonne and 14.43 grams silver per tonne.

At presstime in Toronto Euromax was trading at 36.5¢ per share and over the last year has traded between a low of 9.5¢ per share (July 27, 2010) and a high of 40¢ per share (Feb. 8, 2011). It has 124 million shares outstanding.