Augur further confirmed mineralisation at W. Java gold project

Australian-listed firm Augur Resources Ltd announced on Monday that the first results have been received from the reverse circulation (RC) drill program, which currently underway at the Jampang project in south west Java.

Three RC holes were drilled within the main Lipi zone to twin previous diamond holes. These twin holes have further confirmed the mineralisation at Lipi with the results generally comparable with the diamond holes with the exception of JARC051 which reported significantly higher gold and lower copper than reported for the corresponding hole JADD24, the company said in statement

JARC051 returned 25.0 metres at 3.92 g/t gold and 0.40% copper from 83 metres compared to JADD24 which returned 15.0 metres at 0.90 g/t gold and 2.01% copper and 13.6 metres at 0.97 g/t gold and 2.26% copper. Calculated separation of these two holes is estimated at 5 metres at the start of the main mineralised interval, it said.

JARC051 also reported 8.0 metres at 1.21 g/t gold and 0.68% copper from 124 metres. This zone was not drill tested by JADD24 and shows that potential exists for further zones of mineralisation to the west and indeed to the east of the current known mineralised zones. The mineralisation at JADD24 and JARC051 has not been closed off with depth.

The results are thought to indicate a strong zonation between copper rich zones and gold rich zones at Lipi.

RC drilling to the west of Lipi is underway and results for 8 holes have been received. These holes were drilled on broadly spaced 80 metre traverses to a maximum depth of only 108 metres. The traverses were designed to test the Lipi West geophysical anomaly which is located approximately 150 metres to the west of, and parallel to, the Lipi zone.

The Lipi West zone extends for approximately 600 metres and is characterised by a series of strong resistivity highs which in part have a 350 metre coincident strong chargeability response. A single drill hole drilled by Mispec in the 1990s intersected the northern part of the anomaly and reportedly returned 8.0 metres at 5.79 g/t gold from 114 metres depth.

Other RC holes with significantly anomalous results include JARC047 which returned 3.0 metres at 1.16 g/t gold from 33 metres depth, and JARC048 which returned 2.0 metres at 2.75 g/t gold from 23 metres and a further 15.0 metres at 0.36 g/t gold and

2.9 g/t silver from 29 metres depth. JARC043 returned 17.0 metres at 0.43 g/t from 48 metres depth. This hole ended in anomalous gold with the final 5.0 metres returning 0.25 g/t gold, it said

Managing Director Grant Kensington commented: ?These initial RC results are very encouraging. The RC results from JARC051 are some of the best gold results Augur has reported for Jampang. They confirm that significant higher grade zones exist at Jampang. The regional RC drilling to the west of the Lipi gold zone has further shown the potential for additional gold mineralisation within Jampang?.

RC drilling continues to test regional targets at Jampang. Metallurgical testing is also underway on diamond core samples to test and define methods for extracting both gold and copper from the Lipi deposit, it added.

The Jampang gold project is located approximately 150 kilometres south of Jakarta. The general geology of the area consists of Miocene/Oligocene andesite and dacite rocks overlain by recent volcanic tuffs. Historical mapping and drilling, indicates that gold bearing veins consistent with epithermal or mesothermal style mineralisation exist in the area.

Augur has a 2 year option to purchase 90% of PT Golden Pricindo lndah, the company holding the licences covering the central Jampang Gold project. (kanti)