1392g/t GOLD Bohrergebnisse MORNING STAR GLD

Previous sampling of the altered dyke surrounding high grade reefs at Morning Star has found that there is a significant grade halo carrying low to medium levels of gold.
MCO intends to screen the Maxwell development ore prior to treatment to separate the rock into waste, medium grade altered dyke material and high grade reef prior to processing.


MCO plans to continue the Maxwell development drive past drill hole MS410 to test the extent of the Maxwell ore zone to the southeast where the reef is still open along strike.
This area will be sampled and mapped to determine the outer edge of the Maxwell ore zone and to assist in stope delineation.


MD Comments
MCO’s Managing Director, Nick Garling said, “The grades now coming out of Maxwell’s Reef confirm why it’s a reef we believe can be mined profitably. The Maxwell reef is thickening and rising in grade as we head along the eastern contact towards the southeast where it is still open along strike.
We are delighted with progress overall at the Morning Star mine and will shortly inform the market on the agreed cost and throughput of our proposed onsite gravity processing facility.”



About Morning Star Gold
Morning Star Gold  is 100% owner and manager of the Woods Point Gold Project in Victoria’s historic eastern gold fields. The company’s tenements are adjoining over ~220km2 and yielded ~2 million ounces of gold historically from various high-grade mines in close proximity to Woods Point.
Nearly half of this production was sourced from the Morning Star mine, which was mined for around a million tonnes of ore at just under an ounce to the tonne for a recorded production of 883,000 ounces of gold.
The Morning Star mine also carries an in situ gold resource, estimated in 2008 to exceed

“We are delighted with progress of our mining program to date and look forward to a very robust 2010 calendar year. We will break until early January and commence operations in the New Year with a strong focus on high grade ore extraction at the Morning Star mine from various developed and developing stopes. MCO will also aggressively expand our regional exploration and development programs - both as part of our recently announced JV with our Chinese partners Ample Rise (on MINs 5241 & 5299) and on our 100% held exploration licences (ELs 4320 & 5079).”
“Recent sampling and mapping at the Reliance dyke has been very encouraging and we’ll have more to say about assay results and our overall regional program early in 2010. Morning Star Gold, led by an ever strengthening technical and onsite team is looking forward to joining the ranks of new Australian gold producers this financial year. This is our main aim. I’d like to take this opportunity to wish all of our shareholders a happy and safe Christmas and a relaxing holiday period.”
About Morning Star Gold
Morning Star Gold  is 100% owner and manager of the Woods Point Gold Project in Victoria’s historic Eastern gold fields. The company’s 3 MINs and 2 ELs (tenements) are adjoining over 220km2 and yielded ~2 million ounces of gold historically from various high-grade mines in close proximity to Woods Point. Nearly half of this production was sourced from the Morning Star mine, which was mined for around a million tonnes of ore at just under an ounce to the tonne for a recorded production of 883,000 ounces of gold.
At one point in the early 1940s, the Morning Star mine was Australia’s biggest gold mine. Gold Mines of Australia (WMC) operated it for 25 years (1934-1959).
Other gold production on MCO’s regional tenements was generally confined to relatively shallow workings in the weathered zone above the water table. Key current targets for new exploration and development include the Wallaby, All Nations, Loch Fyne and Rose of Denmark, Hunts, Waverly and Reliance mines. These mines collectively produced ~500,000 ounces of gold at similarly high grades historically. A new Chinese partner is spending $4.5M over the next 2 years to farm-in to 51% of two of MCO’s regional MINs. The Morning Star mine and other priority production targets are 100% owned by MCO.
The Morning Star mine also carries an in situ gold resource, estimated in 2008 to exceed 900,000ozs. This resource is in the process of being revalidated and re-evaluated as mining recommences at Morning Star for the first time in 50 years.
For further information please contact Nick Garling, Morning Star’s MD at nick.garling@morningstargold.com.au or you can subscribe to E-Alerts of all Morning Star’s news & ASX Releases at the company’s website www.morningstargold.com.au
About Gekko Systems
Gekko Systems specialises in the design, development and distribution of innovative mineral processing equipment and systems with a particular focus on gravity separation and gold processing. Long-term relationships based on trust and mutual benefit as well as an emphasis on innovation, are the cornerstones of the company's philosophy. With offices in Australia (Head Office), Canada, South Africa, and Chile and the business owners and team of employees, contractors, consultants and suppliers are passionate about producing timely, high-quality products and services for our customers. Since commercialisation in 1996, over 400 units have been manufactured and installed in 43 countries worldwide."
For more info on Gekko Systems please see their website www.gekkos.com/

In the targeted Maxwell ore zone, the reef is laminated and between 150mm - 600mm thick. These are common features of the higher grade reefs in the Morning Star mine.
MCO intends to screen the Maxwell development ore prior to treatment to separate the rock into waste, medium grade altered dyke material and high grade reef prior to processing. Recently four bulk samples were taken for metallurgical testing from L6 Burns, L9 Maxwell and from the unscreened stockpile at site. Results are expected to be reported shortly.
Onsite Gravity Plant Underway
Just prior to Christmas, MCO announced it had engaged Gekko Systems of Ballarat
Victoria to design, build and manage the installation plus initial operations of a gravity
plant on site at the Morning Star mine.
The plant is expected to be able to process up to 80,000TPA of ore from the Morning
Star mine and regional mines. The cost of the plant is $2.5M which will be fully funded
from cash at hand and it is expected to be operational by mid-year.
MD Comments
MCO’s Managing Director, Nick Garling said, “We continue to be very encouraged by
results at Maxwell's reef as we build out our mining plan for 2010. We have now driven
well past the extent of our 2008 diamond-drill assay knowledge and grades are
improving significantly as we head southeast with potential mineable tonnages also
growing; this is very reassuring for the overall program."
"Maxwell is only one of several targeted ore zones we are modelling at present. We
would envisage having several zones production ready leading up to the completion of
our onsite gravity plant this year. We have commenced a program of bulk samples at
various potential ore locations to strengthen our knowledge pre-production of grades and
revalidate our resource knowledge in key target areas within the Morning Star mine."
"MCO's selection of Gekko build & install our 80KTPA onsite gravity mill is a major step
forward for us in our transition to gold producer this year."
Ends
About Morning Star Gold
Morning Star Gold  is 100% owner and manager of the Woods Point Gold Project in Victoria’s historic Eastern gold fields. The company’s 5 mining and exploration tenements (3 MINs and 2 ELs) are adjoining over 220km2 and yielded ~2 million ounces of gold historically from various high-grade mines. Nearly half of this production was sourced from the Morning Star mine (circa 1MT mined at an average grade above 24.5 g/t) for a recorded production of 883,000ozs of gold.
At one point in the early 1940s, the Morning Star mine was Australia’s biggest gold mine. Gold Mines of Australia (WMC) operated it for 25 years (1934-1959). The Morning Star mine also carries an in situ gold resource, estimated in 2008 to exceed 900,000ozs. This resource is in the process of being revalidated and re-evaluated as mining recommences at Morning Star for the first time in 50 years.
Other gold production on MCO’s regional tenements was generally confined to relatively shallow workings in the weathered zone above the water table. Key current targets for new exploration and development include the Wallaby, All Nations, Loch Fyne and Rose of Denmark, Hunts, Waverly, Little Comet and Reliance mines. These mines collectively produced ~500,000 ounces of gold at high grades historically.
MCO's new Chinese partner is spending $4.5M over the next 2 years to farm-in to 51% of two of MCO’s regional MINs 5299 & 5241. The Morning Star mine, Waverly and other priority production targets within MIN 5009 are 100% owned by MCO.