Asia Gold discovers new zone of mineralization on Maluku copper-gold prospect

Vancouver-based junior explorer Asia Gold Corp. announced Wednesday that rock channel sample results from new trenches on the Kaputusan copper-gold porphyry prospect on Bacan Island, Maluku, have outlined a new zone of mineralization 175 metres (m) west of the previously identified North and South Zones.

A 178-m section of mineralization in a trench from the new West Zone grades 0.19% copper and 0.29 grams per tonne (g/t) gold in a strongly weathered tonalite host rock. This section includes a 28-m interval grading 0.17% copper and 0.84 g/t gold, said the company.

A 3,000-m diamond drilling program to test the North, South and West Zones is planned to begin in January 2007.

Asia Gold has earned an 85% equity interest in an Indonesian joint venture company that controls Kaputusan. The joint venture property comprises two contiguous exploration leases with a total area of 25,771 hectares. The joint venture partner is PT Harita Multi Karya Mineral (HMKM), a member of the Harita Group of Indonesia. The Harita Group is a diversified industrial company with operating nickel and coal mines in Indonesia. The 15% interest held by HMKM in the joint venture company is free carried to commercial mine production.(alex)