Perseus Mining Limited - Strong Drill Results - New Prospect - CAGP, Ghana

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PERTH, Western Australia, May 11 /CNW/ - Perseus Mining Limited (ASX/TSX: PRU) is pleased to provide an update on exploration activities at the Company's Central Ashanti Gold Project ("CAGP") in Ghana.

Relatively high grade gold mineralisation has been encountered from drilling along the Botiksi shear zone particularly below the shallow South Botiksi Extension ("SBE") pit previously mined prior to 2001. Drill holes NBRC009 and NBRC011 are located in the 1.5km long previously undrilled portion of the shear zone between the SBE and the Nkonya North pits.

Drill intercepts included:

    
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    Hole      East  North  Depth    Azm.     Incl.    From   To  Width    Au
               (m)    (m)    (m) (degrees) (degrees)   (m)   (m)   (m)   g/t
    -------------------------------------------------------------------------
    BKRC019   2784   4320   140     270       -50       76   88    12    6.3
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    BKRC020   2785   4280   135     270       -50       72   94    22    4.8
    -------------------------------------------------------------------------
    BKRC021   2809   4240   130     270       -50       66   90    24    5.0
                                              incl.     78   88    10    9.2
                                                       102  120    18    2.2
    -------------------------------------------------------------------------
    BKRC023   2820   4200   140     270       -50       80   98    18    3.0
    NBRC011   2800   3800   114     270       -55       98  114    16    5.8
    -------------------------------------------------------------------------
    

Drill samples were assayed by 50g fire assays by Intertek Minerals Limited in Ghana. The true width of intercepts from the current program at the SBE deposit is about 80% of the intercept width.

A complete tabulation of results is contained in a filing available at www.sedar.com and the Company's website, www.perseusmining.com.

Perseus Managing Director, Mark Calderwood's said, "The SBE pit was one of 25 shallow pits that were mined on the CAGP mining leases between 1994 and 2001. Perseus has drill tested below 15 pits, leaving a further 10 pits to be tested."

"In the last two years drilling at CAGP has essentially been focused on infilling and extending the existing resources - the move of one rig to exploration areas has returned early results."

"We are aiming to complete the next significant resource upgrade for the CAGP in Q3 this year."

    
    Mark Calderwood
    Managing Director
    

The information in this report that relates to exploration results, mineral resources or ore reserves is based on information compiled by Mr Mark Calderwood, who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Calderwood is a Director and full-time employee of the Company. Mr Calderwood has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking, to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'") and to qualify as a "Qualified Person" under National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101"). Mr Calderwood consents to the inclusion in this report of the matters based on his information in the form and context in which it appears. For a description of Perseus' data verification process, quality assurance and quality control measures, the effective date of the mineral resource and mineral reserve estimates contained herein, details of the key assumptions, parameters and methods used to estimate the mineral resources and reserves set out in this report and the extent to which the estimate of mineral resources or mineral reserves set out herein may be materially affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues, readers are directed to the technical report entitled "Technical Report - Central Ashanti Gold Project, Ghana" dated November 30, 2009 and the technical report entitled "Technical Report - Tengrela Gold Project, Ivory Coast" dated November 30, 2009 in respect of the Central Ashanti Gold Project and the Tengrela Gold Project, respectively.

Caution Regarding Forward Looking Information: This report contains forward-looking information which is based on assumptions and judgments of management regarding future events and results. Such forward-looking information, includes but is not limited to information with respect to future exploration and drilling, procurement of financing, procurement of necessary regulatory approvals, the development of a mine at the Central Ashanti Gold Project and completion of a definitive feasibility study at Tengrela.

Forward-looking information involves known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any anticipated future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, the actual market price of gold, the actual results of current exploration, the actual results of future exploration, changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's publicly filed documents. The Company believes that the assumptions and expectations reflected in the forward-looking information are reasonable. Assumptions have been made regarding, among other things, the Company's ability to carry on its exploration and development activities, the timely receipt of required approvals, the price of gold, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain financing as and when required and on reasonable terms. Readers should not place undue reliance on forward-looking information. Perseus does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

For further information: Perseus Mining Limited, ABN 27 106 808 986, 30 Ledgar Road, Balcatta, Western Australia, 6021, PO Box 717, Balcatta, WA, 6914, Telephone: [phone], Facsimile: (618) 9240 2406, Email address: [email protected], Website: www.perseusmining.com