Rubicon enters Kalimantan gold project
Wednesday, February 8 2012 - 03:37 AM WIB
Australia-listed Rubicon Resources Limited has signed a joint venture agreement with HKA to further explore the Kapuas Hulu Gold Project in Kapuas Hulu regency, West Kalimantan province.
The company said in Jakarta on Tuesday that the project hosted several advanced gold prospects that required follow-up exploration and initial drill testing.
It said that the most advanced prospect was Pelaik, where fault and stratabound hosted gold mineralization had been identified.
Previous rock chip, float and trench sampling outlined several zones of gold mineralization over a 3km by 1km area. Best trench results include TR5 82m @ 1.04 g/t gold (Up to 9.07 g/t gold), TR9 60.3m @ 0.55 g/t gold (Up to 6.52 g/t gold), TR21 19.3m @ 2.29 g/t gold (Up to 5.36 g/t gold), C34 9.5m @ 13.97 g/t gold (Up to 65.2 g/t gold).
The less advanced Selunga prospect has returned high grade rock chips (including 53.4g/t, 119.9g/t and 597g/t gold) from mineralized outcrop within a creek. The area also shows trace elements indicative of a shallow level epithermal style of mineralization.
Rubicon plans to commence field activities in February, including soil sampling, rock chip sampling and mapping that will better define drill targets.
Rubicon can acquire an initial 51% of the issued capital of HKA by expending A$1,500,000 on exploration on the project and the issue of 3 million shares to HKA and associated companies.
Rubicon may then earn up to 85%, by a combination of further expenditure, share issues and the execution of a bankable feasibility study.
Rubicon?s Chairman, Ian Macpherson said the Kapuas Hulu project had given Rubicon the opportunity to gain a majority holding in a company with a highly prospective project in a known gold bearing area.
The HKA team have built strong relationships with government and local stakeholders and will provide invaluable assistance to Rubicon as it advances the project and further opportunities within Indonesia as they develop?.
Editing by Benget Besalicto Tnb.