This program will follow up on the discovery of the new Volcanogenic Hosted Massive Sulphide ('VHMS') related mineralization in the 2013 drill program that was conducted with project partner Centerra Gold (KB) Inc., a subsidiary of Centerra Gold Inc. (collectively 'Centerra').

The 2014 surface exploration program will be funded by Centerra and is designed to discover the source of the debris flow mineralization at Mavroyi. The program will consist of detailed mapping as well as ground geophysics. The 2011 Versatile Time-Domain Electromagnetic survey, flown by Geotech Airborne Malta is being re-evaluated with a view to identifying potential targets and to assist in planning the ground geophysical program.

Detailed mapping in the Mavroyi area began in late February, where drilling in 2013 discovered a debris flow of transported VHMS-related material ranging in estimated true thickness from 6.0 to 14.05 metres ('m') and returned 14.05m averaging 2.12g/t gold, 16.91g/t silver, 0.54% copper and 3.25% zinc in hole MVDD13-02. (reported January 22, 2014) The Mavroyi permits are located in the Paphos District of western Cyprus in an underexplored part of the volcanic stratigraphy that rings the Troodos Mountains and which hosts all of the known VHMS mineralization on the island. Mavroyi is located 10 kilometres southeast and on trend with four former producing mines, the largest of which, Limni, produced 8.1 million tonnes with an average grade of 1.1% copper.

The 2014 program will also include work at Pano Lefkara, where drill programs in 2012 and 2013 have discovered breccia hosted mineralization which has returned drill intervals up to 29.5m averaging 0.61g/t gold, 3.59g/t silver, 0.15% copper and 1.45% zinc (reported July 17, 2012).

Company President and CEO, John Lando, commented: “The positive outcome of the most recent drill program gives our team in Cyprus a great deal of encouragement as we begin this next phase of exploration work in Cyprus. We believe the debris flow encountered indicates that buried massive sulphides exist in Cyprus.”

Under an option agreement, Centerra has the right to acquire up to 70% interest in several exploration permits located in the Paphos and Larnaca Districts. The Company, through its Cypriot subsidiary Katla Exploration Ltd., is the operator during the first year of the option agreement, following which Centerra may elect to assume operatorship (reported May 14, 2013).

Source: The Newswire