Ariana  Resources, the gold exploration company focused on Turkey, has signed a Heads of Agreement with European Goldfields for the joint development of Ariana’s properties in north-eastern Turkey, which include  the Ardala copper-gold porphyry and 11 other licences covering a total area of 168 km2. Completion of the Joint Venture and a  related placing in Ariana is expected  by mid-April 2008, conditional upon satisfactory due diligence and the signing of definitive agreements.

Highlights

• Joint venture to develop the Artvin properties, including the Ardala Cu-Au project
• Exploration program to be funded by European Goldfields
• Significant projects to be advanced to Bankable Feasibility.

The Joint Venture is focused on the Pontides region of Turkey, a highly prospective geological terrain containing several major deposits. The Ardala Cu-Au porphyry has been the subject   of reconnaissance drilling around the periphery of a porphyry intrusion, which identified encouraging grades of copper and gold. It has a 600 m x 700 m surface exposure centred on a magnetic high of 1,000 m x 1,000 m
extent. Copper-gold mineralisation has also been identified on other properties in the  vicinity of  Ardala within granitoids and in the surrounding country rocks.

European Goldfields will initially own 51% of the properties transferred by Ariana into the Joint Venture. European Goldfields will then fund all development costs of  these initial properties and any future properties located within a defined area in northeastern Turkey until completion of a Bankable Feasibility Study, at which time European Goldfields’ interest  in each  relevant  project will increase to between 80% and 90%, respectively.