Arc to start geophysical surveys at Bima gold project

Australia-listed mineral exploration firm Arc Exploration Limited reported on Friday it will soon commence electrical and ground magnetic geophysical surveys on the Baku and Kowo prospects in Bima gold project, West Nusa Tenggara province.

The objective of this work is to define targets for scout drill testing in early 2011, the company said in statement.

The company is currently undertaking further mapping, trenching and soil geochemical sampling over the Baku and Kowo prospects, where the company has previously reported highly encouraging gold, silver and base metal results in surface sampling. At both prospects large zones of silicification and stockwork veining have produced rock chip results of up to 12.3 g/t gold at Baku, and up to 2.7 g/t gold, 686 g/t silver and 0.2% copper at Kowo.

Three-Dimensional Induced Polarisation (3D-IP) and ground magnetics surveys are planned to commence in early November at Baku and Kowo to help define drill targets and confirm the potential for substantial shallow and deeper gold-silver-base metal mineralisation at both prospects, it said.

Geophysical surveys of this nature have proven useful in the discovery of major mineral deposits in similar settings. Bima is in the same belt of rocks that host Newmont?s Batu Hijau copper-gold deposit 200 kilometres to the west.

The geophysical surveys will provide subsurface data which with surface geochemical data will be used to design a scout drilling programme that will commence in early 2011. (giok)