MONTREAL, Sept. 19, 2005 (PRIMEZONE) -- East Delta Resources Corp. (OTCBB:EDLT) (Frankfurt:EJK) announced today that as a result of its recent acquisition of 77% of the Huaquiao Gold Mine in Jinping County, Guizhou Province (China), the Company as obtained the right to apply to explore up to 10 additional sq. km. of prospective land situated to the northeast side of the existing mine.
The Huaquiao mine has been operating and extracting gold for about ten years producing more than five tonnes of gold to date. In the last two years, the mine generated a total of 20,000 ounces. Data supplied to EDLT by Huaquiao indicate a remaining resource estimated at approximately 225,000 ounces of gold with the ore averaging 7.35 g/t and an extraction cost of under US $235 per ounce.
As previously announced, the deal has been finalized and going forward all production will now accrue to the Company's bottom line.
Within the property, seven independent ore zones at varying depth levels have been identified and several of these are expected to extend into the adjacent territory. In addition, currently, the local Chinese miners have been running several small-scale mining operations in the neighbourhood of Huaquiao at near-surface gold mineralization for almost twenty years with reported grades of approximately 4-8 g/t gold. Also, in the immediate area of the property, higher grades of up to 30 g/t gold are being mined to depths of less than 200 metres from a series of adits. Due diligence is being done to confirm the reported grades. To date, there has been insufficient exploration to delineate whether a substantive resource can be defined on the extended property.
Victor Sun, President and CEO of East Delta, stated, "This move is another step in our rapid growth in China. The option extended to us further indicates the confidence that we are developing among mining authorities and entities in China. This is our fifth opportunity in China and decision-makers at all levels of government now view us as an important foreign mining investor and developer. This can only further enhance our ability to grow the Company rapidly."
The Company
East Delta Resources Corp. is a publicly traded Delaware corporation, headquartered in Montreal, Quebec whose business objective is to profit from the recent strong worldwide revival of interest in precious metals. EDLT's primary activity is in mine development and production of gold. EDLT also participates in other mineral exploration and mining, specifically, silver, nickel, zinc and lead. The geographic focus of the Company currently is mostly China.
With over US $1.5 million in the bank, majority interest in several highly-prospective properties, experienced personnel, and an extensive network of contacts in China, the Company believes it has made a solid start on implementing its business plans and objectives.
Safe Harbor
Certain statements contained herein are ''forward-looking'' statements (as such term is defined in the Private Securities Reform Act of 1995). Because such statements include risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements.