Sumatra Copper & Gold completes phase 3 drill program
Monday, March 10 2014 - 09:19 AM WIB
ASX-listed Sumatra Copper & Gold plc announced on Monday that the Phase 3 Mineral Resource definition drilling program at its flagship Tembang Gold-Silver Project in Sumatra, has now been completed with further strong results received from both the Siamang and Bujang deposits.
The drilling program followed the updated Mineral Resource estimates and revised life-of-mine (LOM) plan completed in December 2013 as part of the overall optimization of the Tembang development plan.
The Phase 3 drill program is a key part of the company?s development strategy for the Tembang Project, and is designed to extend the mine life of the operation, increase its debt-carrying capacity and minimize the need for additional shareholder dilution through a more substantial equity raise.
The Mineral Resource definition drill program commenced in December 2013 with the objective of converting Inferred Resources to Indicated and/or Measured categories, within pits optimized at a US$1,000 per ounce gold price and a US$20 per ounce silver price.
The Phase 3 Mineral Resource definition drilling program has now been completed for a total of 6141.3 meters in 72 holes. Mineral Resource drilling was completed at the Asmar, Berenai, Tembang-Anang, Belinau, Bujang and Siamang deposits, in conjunction with geotechnical and metallurgical drilling as part of ongoing feasibility studies. Mineral Resource definition drilling programs were planned and executed in consultation with Cube Consulting Pty Limited to improve confidence in the existing Mineral Resources, for conversion into Ore Reserves.
Further significant intersections include:
Bujang:
o 6.6m @ 8.28g/t Au, 87.9g/t Ag from hole RDD14424
o 6.7m @ 2.93 g/t Au, 39.2 g/t Ag from hole RDD 14411
o 4.2m @ 7.09 g/t Au, 348 g/t Ag from hole RDD 14412
o 3.35m @ 6.54 g/t Au, 93.8 g/t Ag from hole RDD 14415
o 3.6m @ 6.03 g/t Au, 43.6 g/t Ag from hole RDD 14420
Siamang (Buluh):
o 2.7m @ 3.45 g/t Au, 35.4 g/t Ag from hole RDD 14410
o 2.9m @ 5.19 g/t Au, 140.0 g/t Ag from hole RDD 14413
o 1.8m @ 2.19 g/t Au, 57.8 g/t Ag from hole RDD 14417.
Final results have now been received for the remaining deposits targeted by the drilling, with both the Siamang and Bujang deposits returning significant results.
Sumatra is on track to update its Mineral Resource and Ore Reserve inventory and publish a new Life-of-Mine (LOM) plan later this month with the bulk of this work already completed.
Editing by Johannes Simbolon