Herald updates Indonesian activities
Friday, February 1 2008 - 01:50 AM WIB
Regional Exploration
The main deposits identified at the south part of the Dairi Project to date (Anjing Hitam, Lae Jehe, Bongkaras and Basecamp) are hosted by the Julu carbonaceous shale horizon on the eastern side of the large structure known as the Sopokomil Dome. Lae Puncu is 3 km southwest of Anjing Hitam and lies on the little explored SW flank of the Sopokomil Dome, where the prospective Julu shale horizon has been mapped and sampled for 4 km along strike between Lae Puncu and Lae Nteas.
Previous rock chip/float samples at Lae Puncu have returned values of up to 24.8% Zn, 11.0% Pb and 79ppm Ag all in the one sample, with a separate sample carrying 1.6% Cu. Work in the September quarter located a 2.5-5.0m wide quartz-galena-sphalerite ? chalcopyrite vein/breccia hosted by Jehe Dolostone. The vein/breccia so far has a strike length of 800m trending from 330?-355? and dipping moderately to the southwest. Outcrop of a calcsflicate magnetite skam has also been discovered, indicating proximity to a so far unidentified intrusion, possibly a buried stock of Sibolga Granite. Rock chip samples from the skam returned averaged less than 500 ppm Pb or Zn, with maximum values up to 0.2% Pb or Zn.
Two trenches were excavated across the breccia zone, but these returned low base metal values which averaged 14.0m @ 569ppm Pb and 9l0ppm Zn in Trench 1.
North of Lae Puncu at Lae Nteas, previous reconnaissance had identified a 30m x 800m zone of partly oxidised, laminated pyntic shale with <1% galena ? chalcopyrite as hairline veinlets. North of the gossan there is a 200m x 1-lOm zone of dolomitic shale/dolostone which hosts >15% quartz-sphalerite ? galena veins. Of the 50 rock chip samples collected from this zone, 5 samples returned low to moderate base metal values of up to 3.15% Zn, 0.74% Pb, 513ppm Cu and 244ppm Cd.
The quartz - base metal sulphide vein and breccia zones at Lae Puncu and Lae Nteas are not ranked as high priority for follow up at this stage. The ongoing work program in January 2008 will instead focus on reconnaissance of a HEM anomaly between Lae Puncu and Lae Nteas.
Sinar Pagi
Drilling continued throughout the quarter with hole SPA17D and SPA18D being completed on section 20,000E. The current drilling program is testing the Sinar Pagi lead-silver-zinc lode now intersected by 9 diamond drill holes. SPA18D is the only truly sulphide zone intersection with the remainder being in the oxide zone or very close to the oxide/sulphide boundary.
SPA17D was drilled to test the down dip continuity of the mineralisation. The hole remained in mineralisation to a depth of 50m before intersecting hanging wall shales and then intersecting mineralisation again from 158.00m to 186.20m.
SPA18D was successful in intersecting primary mineralisation beneath the oxide zone. However, the primary mineralisation appears to be low grade. Assay results are awaited.
To date the oxide mineralisation at Sinar Pagi has a strike length of about 200m, a down dip extent of about 250-300m and an average width of about 18m. The Sinar Pagi mineralisation consists of a quartz-sulphide breccia which occupies the contact zone between a siltstone? shale sequence and an underlying massive carbonate bed or lens. Further drilling is required to more fully define the overall extent of this mineralisation, and the grade and continuity of the primary mineralisation further down-dip.
SARKEA METALS PROJECT (Herald 100%)
This area is centred about 10km south of the Dairi Project?s Anjing Hitam deposit. It is held under a SIPP prospecting permit covering 9,606ha. The application for a second year?s extension to the SIPP was approved in October, 2007.
At Sarkea, there is potential for Sedex style targets southeast along strike from the Sopokomil Dome. Reconnaissance at Lae Lembara has identified a sphalerite-bearing breccia whilst at Lae Ikan follow up of pyritic silica float with 3% sphalente veins identified a 12m wide outcrop of vuggy silica-pyrite rock within Tapanuli Group pyritic shale and sandstone, which assayed up to 1.5% Zn, 3.1% Pb and 50 g/t Ag. The silica-pyrite rock is located at the contact of a stock of fine-medium grained Sibolga Granite, of Permo-Triassic age, which intrudes the Permo Carboniferous Tapanuli Group sequence of shale-siltstone-sandstone which is strongly, isoclinally folded.
Five stream sediment samples taken from Lae Ikan drainage returned subdued base metal assay results of up to 71 ppm Zn and up to 187 ppm Pb, but very low Cu. The very steep topography is observed to have limited the amount of sediment collected in the stream beds, which may have acted to depress the stream geochemical response.
A 775m by 600m grid was constructed across the outcrop of the vuggy silica-pyrite rock which was then geologically mapped and soil sampled at a 25m sample interval. Assay results of the 263 soil samples and 23 rock samples have been received but not yet fully evaluated. For the soil samples, the highest lead assay was 1990ppm Pb and the highest zinc assay was 2O8ppm Zn in separate samples. For the rock chip samples the best results were 4.1 Zn, 3.5% Pb and 57ppm Ag in the same sample.
Further follow up of Lae Lembara and Lae Ikan prospects is planned in 2008.
MELUAK GOLD PROJECT (Aceh Province)
Herald 26% via unlisted Corona Gold Ltd
Meluak is contained within a 2,760ha SIPP prospecting permit issued by the Gayo Lues Regency.
Negotiations are continuing with the authorities about converting the SIPP to a Contract of Work, which is deemed desirable prior to resuming drilling. An evaluation team from the Regency has commenced liaison work to hopefully finalise the Contract of Work in the March quarter.
A team from the Forest Zone Establishment Body in Medan will commence a survey of the national park boundary adjacent to the Meluak prospect in the March quarter. This survey will be undertaken in conjunction with the local civic authorities and police in order to allay any possible misperceptions about encroachment on the national park boundary. (end of edited excerpt)