G-Resources reports ?excellent? gold and silver results at Martabe
Tuesday, February 15 2011 - 01:17 PM WIB
Situated immediately to the north of the Ramba Joring resource, approximately 2 km north of the Martabe plant site currently under construction, the Tor Uluala deposit is not included in the current Martabe project mineral resource and the current results will contribute to the estimation of an initial resource for Tor Uluala.
The proximity of Tor Uluala to existing reserves and resources make it an extremely attractive exploration target with potential to enable expansion and extend mine life, the company said.
A program of 18 drill holes was completed to test a 1.3 km long target zone. Assays have been received for 16 of the 18 holes. All holes returned significant intersections with mineralisation occurs as both near surface oxide and deeper sulphide
Drilling is now focused on the recent Horas discovery while interpretation is in progress at Tor Uluala, the company said, adding that the Tor Uluala and Horas prospects show the continued potential for discovery of additional gold deposits close to the Martabe operation.
Commenting on the results, Owen Hegarty, Executive Vice Chairman of G-Resources Group Limited, stated: ?These excellent gold and silver intersections close to the surface at the Tor Uluala prospect give us further significant resource increases at Martabe. We are dealing here with a large highly mineralised gold district and we will continue to drill and expand resources and reserves, not only in and around the existing deposits, but also on our very large tenement area.?
Regional exploration continues throughout the Company?s 1,639 square kilometer Contract of Work area. The second stage of drilling at the Horas prospect has commenced, with three drill holes completed of a 14 hole program. Early results are encouraging with a 55 m down hole intersection of siliceous alteration being encountered in the second of these holes. Siliceous alteration is commonly associated with higher gold grades in the Martabe gold-silver deposits.
Commenting on the current status of the Martabe project construction, Hegarty added: ?We are still very much on track for first gold production in December this year. The team on site and all of our contractors are 100 percent committed and driving to first gold by year end.?
Martabe is expected to commence production with an annual production capacity of approximately 250,000 ounces of gold and 2-3 million ounces of silver at an estimated cash cost of US$280/oz of gold. ( alex)