Kalimantan Gold updates Kalimantan gold, coal projects
Monday, July 28 2008 - 09:17 AM WIB
Jelai has traction
There are now three Company owned drill rigs actively drilling at the 100% owned Jelai project. Shallow scout drilling has been underway for several months and by April 15, 2008, the date of our last press release, we had drilled a total of 37 shallow drill holes (2,767 meters). Deeper drilling to depths of up to 300 meters began on April 10th, 2008 but progress and momentum was hampered by extreme wet weather and an inexperienced drill crew.
Those problems have been overcome and we have completed 54 shallow and deeper holes for about 4,500 meters of drilling. Results are pending.
The scout rig is used to identify mineralization close to the surface for mapping and for deeper drill targeting. A second scout rig has been purchased and will be mobilized as the program progresses.
There is a crew of 70 on site and logistics and management are now well in hand.
Four additional gold shoots have been discovered on top of the Mewet vein system discovered by Ivanhoe. The four shoots are South Sambawang, Central Sambawang, Lepan and South Mewet. It is hoped that drilling will confirm additional shoots at Balangan & Nyabi. The geologists are gaining a greater understanding of the indicators to gold mineralization in this low-sulphidation epithermal precious metal system.
Drilling is currently being systematically conducted on two of the vein systems with the goal of having independent estimates of inferred resources being completed by the end of October. Drilling will continue on two additional vein systems to allow the estimates of inferred resources on those systems as well so that by the end of 2008 the Company will have a start to understand the size potential of the Jelai vein system.
In summary, Jelai has traction!
Coal drilling about to start and the prospect of more KPs
We are getting close to the commencement of drilling at our Mandul KP (exploration permit). The contractor has brought three rigs to site so that there is back-up to ensure that there are always two rigs drilling. We have employed and trained a crew of 35, including the drill contractors, who are now ready to execute the program.
Each rig is capable of completing a 75 meter drill hole in a day. After a 3,000 meter program of about 40 holes is completed in the next one and half to two months we should have a solid handle on the size and quality of the deposit.
Pending the government sign off on our expansion of our land position at Mandul we will issue initial reports on the projects and commence drilling. (end of release)