Adelaide, May 1, 2006 (ABN Newswire) - Minotaur Exploration (ASX: MEP) is aiming to discover 100,000 ounces of high grade gold at its Tunkillia resource with a new drilling program now underway.

Minotaur Chief Geologist, Mr Tony Belperio, told the 2006 Paydirt SA Resources and Energy Investment Conference in Adelaide that the gold mineralisation at the Tunkillia prospect, located north-east of Ceduna in SA's west, "appears to be more widespread than previously expected."

Mr Belperio said Minotaur was now using a new geological model for the area that is the basis for a six month drilling program now underway that will see a total of 30,000 metres of diamond, reverse circulation and aircore holes drilled by August.

"Our short term aim is to discover another 100,000 ounces of high grade resource, of more than 8 grams per tonne of gold, to upgrade the existing resource," Mr Belperio said.

"The results of the current drilling program will be the basis for a Board decision on whether to proceed to a full feasibility study on Tunkillia," he said.

Mr Belperio also told the conference that Minotaur's ambitions to drill its Cultana tenements, west of Whyalla, continue to be constrained by access issues.

Cultana is the site of a Commonwealth military training area but Minotaur has been unable to drill in the area despite spending about $40,000 on surveying for unexploded ordinance and indigenous negotiations.

"We have not been able to drill even though we have chosen an area that I thought no-one could argue against - with old drill holes, old copper mines, old homesteads, old cattle yards and tank tracks," he said.

Source:
Peter Gill, Field PR
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