Mindoro, Newcrest commence drilling in S. Sumatra gold project

Canadian mining firm listed in Canadian Venture Exchange (CDNX) Mindoro Resources Ltd announced on Tuesday that a 1,200-meter drill program on the Tiris gold project in South Sumatra had commenced.

The program is operated by Newcrest International Pty Limited of Australia, which has the right to elect to earn a 75 percent interest in the project.

On June 7 this year, Mindoro granted Newcrest the right to undertake a drilling program, and to elect to earn a 75 percent interest in its Tiris gold project, South Sumatra.

Newcrest might elect to earn a 75 percent interest in the project by funding US$2,700,000 of work (including the initial drilling) within six years. Newcrest would operate the Project.

According to the company?s statement, the first drill hole (HD 01) has been collared in the southern end of the Harimau Prospect to test a broad gold in soil anomaly of approximately 600 meters by 400 meters.

The hole is one of two designed to test stockwork gold-silver mineralization and look for a mineralized conduit. Four additional drill holes are planned in this first drilling phase; these will explore an interpreted 2,800 m long, east-north-east structure for potential bonanza-grade epithermal mineralization. The drill program is expected to take between six and eight weeks.

Mindoro, through its wholly owned local companies, currently has a 100 percent interest in the Tiris Project, which covers 10,000 hectares in the Lebong Gold District of South Sumatra. (alex)

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