Southern Arc projects update
Thursday, March 1 2012 - 04:21 AM WIB
It stated in a press statement on Wednesday that it was managing the exploration program and Vale was funding all project expenditures.
Vale has completed its US$1 million Phase 1 funding obligations and has the option to fund US$2 million in Phase 2 expenditures within two years. Mapping and surveying activities at the Sabalong property have defined a number of potential porphyry intrusive targets.
Southern Arc commenced drilling in October 2011 and has completed two holes to date for a total of 1,342 meters. Southern Arc and Vale have identified additional areas of interest and initiated groundwork to determine whether drilling is warranted.
As a result, Phase 1 exploration has been extended. Results will be released when Phase 1 exploration is deemed complete by Southern Arc and Vale.
Southern Arc also said that it had secured a head of agreement with Newcrest Mining to set up a joint venture to explore the Taliwang project. Under the agreement, Newcrest funds all project expenditures and Southern Arc manages the exploration program.
Located adjacent to Newmont?s world-class Batu Hijau copper-gold mine, the Taliwang property covers 31,200 hectares prospective for gold, silver and copper mineralization.
Exploration to date has identified a gold-silver bearing epithermal vein system in which 56 drill holes have confirmed both lateral and vertical persistence of the mineralized structures, near-surface porphyry copper-gold targets with associated surface high-sulphidation epithermal signatures, and sedimentary gold-hosted targets.
Surface exploration activities during 2011 have focused on detailed lithological and alteration mapping of epithermal and porphyry prospect areas, as well as clay spectral analysis studies. Phase 2 drilling is planned for 2012. (*)
Editing by David Mustakim