Paramount updates Indonesian mining ops
Friday, January 22 2010 - 02:12 AM WIB
COAL
Paramount continues to actively assess suitable coal exploration and coal infrastructure opportunities in Kalimantan and elsewhere in Indonesia, to develop a portfolio of premium coal projects aimed at generating cash flows within the next twelve months.
METALS
Gunung Julang (Gold ? Silver)
Paramount?s Indonesian subsidiary, PT Paramindo, has reached an agreement to acquire a 90% interest in the Gunung Julang Project (representing a 69% holding for Paramount Mining Corporation Ltd).
The Gunung Julang project area contains an epithermal gold-silver occurrence within a 1,000 Ha KP concession (?Kuasa Pertambangan?) located approximately 20 kilometres west of PT Aneka Tambang?s multi-million ounce Pongkor epithermal gold silver mine and 100 kilometres south-west of Jakarta.
Paramount completed a detailed mapping and sampling program during the December 2009 quarter, covering the five known vein systems at Gunung Julang. The aim of the survey was to determine the extent and continuity of the five known quartz vein zones.
Key results are summarised below:
Channel samples of epithermal quartz vein include:
- CKO4 3m @ 5.3 g/t gold and 11.2 g/t silver
- CKO6 2m @ 10.9 g/t gold and 81.6 g/t silver
- CK13 1m @ 14.4 g/t gold and 3.5 g/t silver
- CPO1 2m @ 15.9 g/t gold and 49 g/t silver
- CGO1 1m @ 18.5 g/t gold and 8.4 g/t silver
Grab samples of epithermal quartz vein and intervein material from adits and tailings include:
- G180 16.1 g/t gold and 12.6 g/t silver
- G187 13.6 g/t gold and 22.9 g/t silver
- G510 118 g/t gold and 16.4 g/t silver
- G513 32.0 g/t gold and 32.5 g/t silver
- T518 28.8 g/t gold and 167 g/t silver
The Gunung Julang project contains an epithermal vein array comprising five individual en echelon, sub parallel, auriferous quartz vein zones. The epithermal veins within the project appear to be hosted largely in massive to crudely flow-banded, and locally well-banded, dacite sub-volcanic intrusions. Veins and hydrothermally altered and mineralised wall rock breccias and related hanging wall stockwork zones dip steeply to the east and east-northeast between 75? and 80?.
The sampling program has completed during the quarter has verified that the strike length of the vein system is greater than 2 kilometres.
A diamond core drilling program commenced in late December 2009. The aim of the program is to test the continuity of the structures? down dip in the quartz veins system to follow up the high grade gold and silver results sampled in the veins near surface. An initial 10 hole, 2,500 metre program of NQ core is planned, using a Drillcorp man portable drilling rig. The holes are planned to intersect the vein structures at depths of between 80 metres and 300 metres.(end of edited excerpt)