Geovic Mining Corp. announced the discovery of a chromite mineral sand deposit in the Bitoi delta in Papua New Guinea. Chromite occurs as heavy mineral sand deposits along the coast of Morobe Province of Papua New Guinea.

Geovic has been evaluating chromite sand in the Bitoi river delta near Salus, Morobe Province because of the large potential size of the deposits. Geovic's exploration license EL-1981 covering this potential mineralized area is presently being renewed. Reconnaissance sampling of surface sand yielded elevated chromite content.

The average Cr(2) O(3) content of these grab samples was 21.6 +/- 6 wt.% and was determined by X-ray fluorescence analyses. The range of Cr(2) O(3) content varied from 8.2 to 29.3 wt% in the best mineralized sample based on independent analysis provided by Activation Laboratories Ltd. There has been insufficient exploration to define a mineral resource, and it is uncertain if further exploration will result in the target being delineated as a mineral resource. The company anticipates that the minerals have the potential to meet foundry and metallurgical grades in the market.

The foundry and casting sand is potentially attractive because both olivine and chromite would also be produced. Demand for non-radioactive, high temperature foundry sand is increasing as zircon, a foundry sand that has highly radioactive trace components, is gradually phased out. Geovic anticipates split-tube and auger drilling to commence subject to renewal of the exploration license and funding.

Geovic plans to operate its own drilling equipment in this program, and has successfully drilled similar mineral sand deposits in New Caledonia. Geovic anticipates drilling between 200 to 300 holes with a depth range of 5 to 15m in the Bitoi delta. The spacing of the holes would be sufficiently close to each other to allow a geo-statistic interpretation that could lead to a NI 43-101 compliant resource report.

The company will continue to update its stake and shareholders of progress in this program.