Drilling continues to intersect gold mineralization at Tanoyan

By Alexander Ginting

Canadian metals exploration firm Reliance Resources Ltd. reported on Wednesday drilling results from 2 holes into the Sondana Vein system on the Tanoyan Gold Project, North Sulawesi.

Assay results have been received from the first two drill holes in the new program and include a high-grade intersection: TND 089: 5.3 metres at 4.4 g/t Au from 101.4m

The assay result for hole TND 089 continues a theme from earlier drilling which shows a general increase in grade and thickness with depth which represents a significant increase in grade and width from the overlying drillhole along this section (TND083)

The company recently commenced drilling of its planned 10,000 Phase 2 program following the release of an updated independent NI 43-101 report for Tanoyan, which more than doubled the Inferred Mineral Resource to 208,000 ounces of gold.

The Tanoyan Gold Project consists of an extensive system of auriferous quartz veins, comprising four principal vein systems, Sondana, Ramai, Modupola/Talong and Lingkobungon. The veins are hosted by andesitic volcanic rocks and have been mapped over a combined strike length of approximately 6 kilometres.

The Phase 2 program is aiming for a significant upgrade to the existing NI 43-101 resource by targeting extensions to drilled sections of the veins, which have been identified, as well as along strike and at depth on all vein systems. Drilling to date has primarily been tightly focused on the Sondana and Modupola veins.

Reliance President Scott Emerson stated "We are pleased to be drilling again at Tanoyan. The first assay results are in and they include an excellent result from TND 089. It is encouraging to see the gold grades continuing to show an increase in grade with depth of drilling. These results are in line with Reliance's goal to prove up relatively shallow resource ounces, within 150 metres of surface, which could conceptually support a low-cost open cut mine."

The Company has a portfolio of five mineral tenements covering 68,000 acres on the islands of Sulawesi and Halmahera in East Indonesia.

Editing by David Mustakim