CGA Mining Limited - Announcement to the Australian Securities Exchange and Toronto Stock Exchange



    
                    NEW HIGH GRADE VEIN SYSTEM DISCOVERED

                RECENT SUCCESSFUL DRILLING RESULTS INCLUDING:
                             37m @ 3.57 g/t Au
                             19m @ 9.39 g/t Au
                             27m @ 9.88 g/t Au
                            42m @ 10.51 g/t Au
                             29m @ 4.70 g/t Au

                   MASBATE GOLD PROJECT IN THE PHILIPPINES
    

    PERTH, Western Australia, March 4 /CNW/ - CGA Mining Limited ("CGA", the
"Company") (ASX : CGX, TSX:CGA) is undertaking a drill program at the Masbate
Gold Project, with the aim of converting known resources to reserves as well
as delineating additional near surface resources. The Company is confident of
adding significantly to the current probable reserve of 1.98M ounces of gold
(37.4MT @ 1.65 g/t).
    Recent drilling at the Masbate Gold Project in the Philippines, has
delineated a new high grade vein system adjacent to the Libra North planned
open pit, and within 200m of the 4MT per annum CIL plant site, that is
currently under construction. This mineralization is close to surface, as
shown in drill-hole MEXRC12 where 42m @ 10.51 g/t Au, was intersected from 1m
down hole. A summary of the most recent results is reported in Table 1 below.
    This area, Libra North, was not previously drilled and during the plant
site sterilization drilling program that was conducted in late 2007, four
holes were drilled at the northern end of the planned Libra pit to close off
mineralization. Several holes intersected or ended in significant
mineralization and follow up drilling was completed in January to further
understand the importance of this new vein.
    Initial geological interpretation suggests that the gold mineralization
in this vicinity is related to the presence of meta-sediments in the area and
that the high grade intercepts are associated with the intersection of the
Libra vein with these chemically reactive rocks.
    Once all results are returned from the laboratory, additional drilling
will be planned in the Libra North area, currently mineralization is open to
the south and down dip. Four samples from this newly discovered vein have been
sent to Australia for metallurgical testing.
    Further drilling at Masbate is ongoing in the Panique area where an
inferred resource of 900,000 ounces (15.3MT @ 1.87g/t) is known to exist;
currently two drill rigs are operating on a 24 hour basis. This drilling aims
to convert the resource from inferred to measured and indicated.
    In 2008, a total of 25,000 meters of resource definition drilling is
planned at Masbate. A third rig is scheduled to arrive on site in April.

    
       Table 1 - Libra North Drilling Results - Masbate Gold Project.
       (Note: These intersections are down hole, the mineralisation is
    interpreted to be steeply dipping and the holes were drilled at a dip of
                                 -60 degrees)

    -------------------------------------------------------------------------
                                                                     AVERAGE
                                                                       Assay
    Hole ID     Northing     Easting     RL     From     To   Width   Result
    -------------------------------------------------------------------------
    MEXRC01A    25715.35    29565.23    58.89      0      2    2.00    2.081
    -------------------------------------------------------------------------
    MEXRC01A    25715.35    29565.23    58.89      5     11    6.00    2.600
    -------------------------------------------------------------------------
    MEXRC01A    25715.35    29565.23    58.89     13     15    2.00    0.680
    -------------------------------------------------------------------------
    MEXRC01A    25715.35    29565.23    58.89     16     19    3.00    1.131
    -------------------------------------------------------------------------
    MEXRC01A    25715.35    29565.23    58.89     21     58   37.00    3.567
    -------------------------------------------------------------------------
    MEXRC02     25746.04    29526.19    47.14      2      3    1.00    0.393
    -------------------------------------------------------------------------
    MEXRC02     25746.04    29526.19    47.14      4     10    6.00    7.929
    -------------------------------------------------------------------------
    MEXRC02A    25742.15    29521.69    48.14      4      7    3.00    1.155
    -------------------------------------------------------------------------
    MEXRC02A    25742.15    29521.69    48.14      8     11    3.00    2.073
    -------------------------------------------------------------------------
    MEXRC02A    25742.15    29521.69    48.14     21     40   19.00    9.392
    -------------------------------------------------------------------------
    MEXRC03     25750.57    29470.60    44.81      7      8    1.00    0.821
    -------------------------------------------------------------------------
    MEXRC03     25750.57    29470.60    44.81     20     22    2.00    0.896
    -------------------------------------------------------------------------
    MEXRC04     25769.43    29485.29    43.84      5      6    1.00    0.611
    -------------------------------------------------------------------------
    MEXRC04     25769.43    29485.29    43.84     10     11    1.00    0.305
    -------------------------------------------------------------------------
    MEXRC04     25769.43    29485.29    43.84     26     53   27.00    9.875
    -------------------------------------------------------------------------
    MEXRC04     25769.43    29485.29    43.84     64     68    4.00    2.667
    -------------------------------------------------------------------------
    MEXRC04     25769.43    29485.29    43.84     70     73    3.00    0.660
    -------------------------------------------------------------------------
    MEXRC04     25769.43    29485.29    43.84     74     86   12.00    1.748
    -------------------------------------------------------------------------
    MEXRC04     25769.43    29485.29    43.84     89     91    2.00    3.267
    -------------------------------------------------------------------------
    MEXRC05     25774.19    29426.43    32.00      1      2    1.00    1.646
    -------------------------------------------------------------------------
    MEXRC05     25774.19    29426.43    32.00     12     13    1.00    0.366
    -------------------------------------------------------------------------
    MEXRC05     25774.19    29426.43    32.00     15     16    1.00    0.339
    -------------------------------------------------------------------------
    MEXRC06     25796.18    29440.14    32.63      6      7    1.00    8.564
    -------------------------------------------------------------------------
    MEXRC07     25709.18    29617.93    61.58     12     14    2.00    2.588
    -------------------------------------------------------------------------
    MEXRC07     25709.18    29617.93    61.58    112    114    2.00    2.241
    -------------------------------------------------------------------------
    MEXRC08     25736.63    29574.37    51.87      6      9    3.00    0.757
    -------------------------------------------------------------------------
    MEXRC08     25736.63    29574.37    51.87     21     23    2.00    0.445
    -------------------------------------------------------------------------
    MEXRC10     25792.70    29495.03    38.66      0      5    5.00    1.163
    -------------------------------------------------------------------------
    MEXRC10     25792.70    29495.03    38.66     67     68    1.00    1.298
    -------------------------------------------------------------------------
    MEXRC11     25812.11    29449.13    32.92      2      3    1.00    1.037
    -------------------------------------------------------------------------
    MEXRC11     25812.11    29449.13    32.92      9     12    3.00    0.865
    -------------------------------------------------------------------------
    MEXRC11     25812.11    29449.13    32.92     15     22    7.00   13.430
    -------------------------------------------------------------------------
    MEXRC11     25812.11    29449.13    32.92     35     38    3.00    0.549
    -------------------------------------------------------------------------
    MEXRC11     25812.11    29449.13    32.92     66     67    1.00    1.077
    -------------------------------------------------------------------------
    MEXRC11     25812.11    29449.13    32.92    104    106    2.00    0.595
    -------------------------------------------------------------------------
    MEXRC11     25812.11    29449.13    32.92    117    120    3.00    0.917
    -------------------------------------------------------------------------
    MEXRC12     25690.00    29607.74    62.16      1     43   42.00   10.510
    -------------------------------------------------------------------------
    MEXRC12     25690.00    29607.74    62.16     67     68    1.00    0.958
    -------------------------------------------------------------------------
    MEXRC12     25690.00    29607.74    62.16     78     79    1.00    1.330
    -------------------------------------------------------------------------
    MEXRC12     25690.00    29607.74    62.16    113    115    2.00    1.292
    -------------------------------------------------------------------------
    MEXRC13     25671.29    29596.37    70.84      0      7    7.00    1.700
    -------------------------------------------------------------------------
    MEXRC13     25671.29    29596.37    70.84     21     25    4.00    0.500
    -------------------------------------------------------------------------
    MEXRC13     25671.29    29596.37    70.84     61     90   29.00    4.700
    -------------------------------------------------------------------------
    

    NI 43-101 Compliance

    National Instrument 43-101 - Standards of Disclosure for Mineral Projects
("NI 43-101") is a rule developed by Canadian Securities Administrators, which
establishes standards for all public disclosure an issuer makes of scientific
and technical information concerning mineral projects.
    Mr Geoff.G.Jones, F.Aus.I.M.M.CP Mng, CGA's general manager, technical,
is acting as the Qualified Person in compliance with NI 43-101 with respect to
this announcement. He has prepared and or supervised the preparation of the
scientific or technical information in this announcement. Mr Jones is a fellow
of the Australasian Institute of Mining and Metallurgy (AusIMM), and a
consultant to CGA Mining Limited. Mr Jones has sufficient experience which is
relevant to the style of mineralization and type of deposit under
consideration and to have the activities which he is undertaking to be
recognised as a Competent Person as defined in the 2004 Edition of the
'Australasian Code for Reporting of Exploration Results, Mineral Resources and
Ore Resources'. Mr Jones consents to the inclusion in the report of the
matters, including the reserve and resource estimations based on their
information in the form and context in which it appears.
    Further information on the Masbate Gold Project is contained in the
Technical Report dated April 30, 2006 entitled Masbate Gold Project, Masbate
Island, Philippines Form NI43-101F1 Technical Report, available on the SEDAR
website at www.sedar.com.

    Cautionary Note Regarding Forward Looking Statements

    This announcement includes certain "forward-looking statements" within
the meaning of Canadian securities legislation. All statements, other than
statements of historical fact, included herein including, without limitation,
statements regarding anticipated dates for construction and production, and
other milestones related to the Masbate Gold Project and other projects;
estimates of capital and operating costs, recovery rates, production estimates
and estimated economic return; and CGA's future operating or financial
performance, are forward-looking statements. Information concerning mineral
reserve and resource estimates including statements regarding the conversion
of inferred resources to reserves also may be deemed to be forward-looking
statements in that it reflects a prediction of the mineralization that would
be encountered if a mineral deposit were developed and mined. Forward-looking
statements involve various risks and uncertainties and are based on certain
factors and assumptions. There can be no assurance that such statements will
prove to be accurate, and actual results and future events could differ
materially from those anticipated in such statements. Important factors that
could cause actual results to differ materially from CGA's expectations
include uncertainties related to fluctuations in gold and other commodity
prices and currency exchange rates; uncertainties relating to interpretation
of drill results and the geology, continuity and grade of mineral deposits;
uncertainty of estimates of capital and operating costs, recovery rates,
production estimates and estimated economic return; the need for cooperation
of government agencies in the development of the Masbate Gold Project; the
need to obtain additional financing to develop the Masbate Gold Project; the
possibility of delay in development programs or in construction projects and
uncertainty of meeting anticipated program milestones for the Masbate Gold
Project; and other risks and uncertainties disclosed under the heading
"Caution Regarding Forward-Looking Statements" in CGA's Annual Information
Form for the year ended 30 June 2007 filed with the Canadian securities
regulatory authorities on the SEDAR website at www.sedar.com.





For further information:

For further information: Australian Contact, President & CEO - Michael
Carrick, Tel: +610 8 9263 4000, Fax: +61 8 9263 4020, Email:
mcarrick@cgamining.com; US Contact, Chairman - Mark Savage, Tel: (505) 344
2822, Fax: (505) 344 2922, Email: marksavage@comcast.net

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