On December 7, EurOmax Resources Limited announced that the company's first diamond drillhole in Serbia's Rudnitza had intersected 152 m of 0.6 per cent copper equivalent or 0.95 g/t gold equivalent (0.4 per cent copper and 0.38 g/t gold) from 120 metres.

Rudnitza is located to the east and north of Raška in south-central Serbia.

Based upon this and previous drilling, the mineralised Rudnitza Cu-Au porphyry had been mapped over an area of 700 m by 250 m, but has been tested with only four diamond drillholes, a company media statement said.

John Menzies, chairman and CEO, said "EurOmax is excited by these initial results. According to a study done by the United States Geological Survey, the grades in this hole are similar to those in many well known historic North American porphyry copper operations such as the Brenda, Highmont, Huckelberry, Lornex and Valley Copper mines in Canada. The grades are considerably higher than the Elasite, Assarel and Medet mines in Bulgaria; the Veliki Krivelj mine in Serbia and the Buchim mine in Macedonia. Importantly the mineralisation is situated along the crest of a ridge in close proximity to power, water and transport, adjacent to an abandoned lead-zinc mill and tailing dams and in a jurisdiction favourable to the development of natural resource projects."

Menzies told Sofiaecho that "while there is no specific mining law in Serbia, the Serbian government positively supports the natural resources sector." He said he believed "the same applies to Bulgaria and Macedonia", but added that Serbia "would seem to be far more proactive in promoting its natural resource sector to investors".

"There seems to be nothing inherent in the Bulgarian environment which does not support the development of new mining operations, if these are developed in full compliance with the best environmental and industry practices and of course EU regulations," Menzies said.

Commenting on recent rumours that acquisitions in Macedonia and Serbia were proof that the company was planning to leave Bulgaria, Menzies said "nothing could be further from the truth -  this is just the natural expansion of our activities which was part of our business plan from 2003.  We will continue to have our regional head office in Druzhba-2 on the outskirts of Sofia.  Let me make this very clear - WE are not leaving."