Nesbbria: Last exploration release was May 13. BNO sitting on a low for two months now.
I am not in Indo stocks any more, with the exception of IPJ which is quickly making a position in the Phillipines and Mongolia to hopefully offset the disgusting Indo scene. Nevertheless, jr golds are not in favour accross the board it appears, today they are taking another general broadside.
Best regards,
Ron e
Borneo Gold Corporation - News Release
Tanah Laut drill results
Borneo Gold Corporation BNOShares issued 281914521997-05-13 close $1.66Tuesday May 13 1997News ReleaseMr Francis Manns reports The company has received results from recent exploration work completed on its Tanah Laut contract of work area. These results have led to the formation of a new bulk tonnage exploration model which will be tested by an aggressive exploration program focusing on the Rasnu area of the property over the next few quarters. Should the validity of this model be confirmed in the Rasnu area then the model will likely be applicable to several other larger areas on the Tanah Laut CoW. The ultimate objective of this exploration program is to determine whether the property hosts sufficient tonnage and grade to support an economically viable bulk tonnage mining operation. The alteration veining and mineralization in the Pelaihari area have taken place during regional shearing and deformation. Detailed interpretive analysis of work completed to date at Tanah Laut has led to the development of a new exploration model based upon the Brasilia Gold Belt (Brasilia mine: 165,000 ounces of gold in 1996) where mining is shallow, metallurgy is simple and milling is easy which keeps operating costs low. The Brasilia Belt consists of nearly flat-lying gold-bearing metasedimentary sandstone, shale and phyllite similar to the geology at Tanah Laut. The host rocks at Brasilia are soft and contain widely scattered free gold similar to Tanah Laut. The ore at Brasilia occurs at the surface over a broad area while Tanah Laut contains a region of known elevated surface geochemistry in gold covering more than 5 sq km. Local eluvial mining activity is prevalent throughout the area which clearly testifies to the near-surface potential of the property. By rule of thumb, small miners usually require grades of approximately 1 g/t of gold to be viable. The company has completed 1,984m shallow scout diamond drilling in 35 holes which indicated the surface gold is derived from the immediately underlying metasedimentary and volcanic pile. In addition, the company completed 3,137m of backhoe trenching in 22 trenches which confirmed widespread anomalous gold mineralization. Diamond drill hole 96-1 at Munggukalang returned 25.30m of 0.211 g/t while trenching in the area returned values as high as 13.4m of 7.75 g/t. Drilling at Rasnu returned 24m of 0.288 g/t beginning at the surface. Drilling at Saranghalang yielded intersections of 5.0m or 1.08 g/t and 6.6m or 1.53 g/tonne. The most commercially interesting intersection at Saranghalang is an excellent 7.0m at 4.93 g/t in DDHS 96-1. Trench 1 at Kandiwalen returned 41.0m of 1.81 g/t. Moreover, two new gold occurrences were discovered during geological mapping: Galam and North Pontain on the 7th generation Tanah Laut Timur CoW area. The drill program yielded free gold and high background gold levels despite poor core recovery. Poor core recovery led to low grades, but also positively indicates the potential for run of mine ore at the surface. Most holes revealed similar background levels of gold. Given the small aliquot size of the fire assay sample, the company expects larger sample size will result in an increase in exposure to coarse gold and increase the overall grade from sub-economic to commercial. The company believes the trenching results returned higher values due to the larger sample size increasing the exposure to coarse gold. A sampling program tailored to the Tanah Laut project will be necessary to determine the magnitude of any discrepancy between surface and drill assays. If this is the case, as the company suspects, Tanah Laut contains prospects for a bulk-mineable orebody extending over a large area. In the context of this new exploration model, the company is highly encouraged by the exploration results to date and will be proceeding with a larger work program consisting of detailed soil geochemistry, alteration mapping, trenching, pitting, large volume sampling and drilling. The program will begin at Rasnu to reappraise a geochemical anomaly which extends over an area of approximately 3,000m long by 100-500m wide. Rasnu was chosen as an area with little historical small miner activity and, therefore, little in the way of artifacts of human activity. A grid is being surveyed and sampled with 100m line spacing and 25m sample spacing. Concurrently, large samples will be taken to determine the statistical distribution and chemical characteristics of the gold. Based on results, the soil grid will be extended outward to cover the other metasedimentary prospects over the 5 sq km of the most prospective areas in the valley. Small miner activity appears to be more widespread on the 6th generation CoW area than originally thought and an airborne geophysical survey will be conducted over this large 980 sq km property to define additional targets. By September the company expects to have a sufficient exploration database to design and implement a well founded drilling program at Rasnu. The company currently expects that this program will consist of a large number of relatively shallow 30-50m deep large diameter vertical holes on 100 and 50m centres with 50 and 25m fill-in holes where results are encouraging. Adequate sampling should allow the company to test the tonnage-grade continuity within 20-30m of the surface. It remains to be determined whether all drilling can be conducted by a mechanized soil auger or whether a reverse circulation drill will be required. In this logistical environment, drilling short holes would be relatively inexpensive and provide an adequate volume of material for the proper determination of gold grade and geometric continuity.
HIGHLIGHTS OF THE PRELIMINARY
EXPLORATION PROGRAM AT TANAH LAUT
From To Au
(m) (m) (g/t)
----------- ----- -----
Munggukalang Tr. 2a
14.3- 14.8 0.5 0.08
14.8- 15.8 1.0 7.65
15.8- 17.8 2.0 2.62
17.8- 20.8 3.0 26.61
20.8- 21.8 1.0 0.11
21.8- 25.0 3.2 2.17
25.0- 26.2 1.2 2.44
26.2- 27.2 1.0 0.94
27.2- 27.7 0.5 0.21
------------
13.40 7.75
------------
Munggukalang DDH 96-1
3.10- 4.10 1.00 0.064
4.10- 4.65 0.55 0.032
4.65- 5.65 1.00 0.024
5.65- 6.65 1.00 1.440
6.65- 7.65 1.00 0.035
7.65- 8.75 1.10 0.792
8.75- 9.50 0.75 0.041
9.50- 10.60 1.10 0.164
10.60- 12.10 1.50 0.254
12.10- 13.60 1.50 0.342
13.60- 15.35 1.75 0.662
15.35- 16.10 0.75 0.085
16.10- 18.10 2.00 0.112
18.10- 19.60 1.50 0.300
19.60- 21.60 2.00 0.380
21.60- 23.60 2.00 0.156
23.60- 25.60 2.00 0.282
------------
22.50 0.229
------------
Munggukalang Area: The drill program consisted of eight shallow scout holes ranging from 13.0m to 61.0m in depth. Due to sampling delays the fence of drill holes was drilled 500m from the trench, and therefore did not test trench results shown here. However, trenching encountered widespread alteration and structurally prepared quartz augens and boudins within a Jurassic quartz/sericite schist unit that is regional in extent. The tables contain assays from surface trench 2a and DDH 96-1 which clearly indicate the erratic values within a typical gold distribution. The company infers the trench values in general are higher than typical drill results because the sample size acquired during trenching is larger than split core samples. Should the initial program at Rasnu confirm the validity of the new Tanah Laut exploration model then the model is likely to be valid for the remaining larger known geochemical targets covering over 5 sq km in the valley due to the relatively uniform geology of the region. Drilling could then be expanded to these targets to confirm this validity and to determine if there is sufficient continuity and grade to warrant a bulk tonnage mining operation.
Rasnu DDH 96-1
0.00- 2.00 2.00 0.254
2.00- 4.00 2.00 0.349
4.00- 5.50 1.50 0.171
5.50- 6.70 1.20 0.230
6.70- 8.70 2.00 0.168
8.70- 10.70 2.00 0.051
10.70- 12.70 2.00 0.214
12.70- 14.70 2.00 0.134
14.70- 16.70 2.00 0.299
16.70- 17.40 0.70 0.000
17.40- 19.00 1.60 0.722
19.00- 21.00 2.00 0.503
21.00- 22.70 1.70 0.335
22.70- 24.00 1.30 0.548
------------
24 0.2888
------------
DSH1
25.6- 26.1 0.5 0.025
26.1- 28.1 2.0 4.99
28.1- 30.1 2.0 3.69
30.1- 32.1 2.0 8.58
32.1- 32.6 0.5 0.024
-----------
7.0 4.93
-----------
DSH3
3.45- 3.95 0.50 0.127
3.95- 5.70 1.75 1.29
5.70- 6.20 0.50 0.03
-----------
2.75 0.85
-----------
DSH3
17.10- 17.60 0.50 0.07
17.60- 19.60 2.00 1.61
19.60- 21.25 1.65 0.05
21.25- 23.20 1.95 3.44
23.20- 23.70 0.50 0.11
-----------
6.60 1.53
-----------
DSH4
19.50- 20.00 0.50 0.02
20.00- 22.00 2.00 0.70
22.00- 23.45 1.45 0.65
23.45- 24.50 1.05 0.27
24.50- 25.00 0.50 0.40
-----------
5.50 0.51
-----------
DSH4
50.50- 51.00 0.50 0.00
51.00- 53.00 2.00 1.93
-----------
2.50 0.77
-----------
DSH5
0.00- 2.00 2.00 0.13
2.00- 4.00 2.00 0.47
4.00- 6.00 2.00 0.79
6.00- 7.40 1.40 1.65
7.40- 7.90 0.50 0.14
-----------
7.90 0.653
-----------
DSH5
15.90- 16.40 0.50 0.25
16.40- 18.35 1.95 2.15
18.35- 18.85 0.50 0.17
-----------
2.95 1.49
------------
DSH8
29.50- 30.00 0.50 0.63
30.00- 32.00 2.00 1.57
32.00- 34.00 2.00 0.95
34.00- 34.50 0.50 0.11
-----------
5.00 1.082
-----------
The Saranghalang Area: The drill program for Saranghalang consisted of eight shallow holes ranging in depth from 30.1m to 63.5m. The project yielded virtually the same strong encouragement as Munggukalang from quartz stockworks and boudins in mafic schist, diorite, and andesite. The same comments apply as to Munggukalang; the trench results are markedly better than the drill results, but consistent with the behavior of coarse gold distributions.
Kandiwalan Area Trench 1
-------------------------
From To Au
(m) (m) (g/t)
----------- ----- -----
90.0- 95.0 1.0 0.1
95.0-100.0 5.0 5.4
100.0-105.0 5.0 0.0
105.0-110.0 5.0 0.1
110.0-115.0 5.0 0.3
115.0-120.0 5.0 0.1
120.0-125.0 5.0 7.1
125.0-130.0 5.0 0.1
130.0-135.0 5.0 1.7
----------
(m) (g/t)
41.0 1.8
----------
The Kandiwalan area is underlain by sericite schist, andesite and intrusive diorite cut by sulphide rich quartz veins and stockworks. The gold mineralization appears to be best developed in silicified margins of intrusive diorite and to a lesser extent andesite. Both the diorite and andesite are propylitically altered suggesting Kandiwalan is within the alteration halo of an epithermal porphyry system. The Tanah Laut project was originally selected because of its widespread occurrences of gold mineralization in concert with excellent logistics. From the company's field office in the town of Pelaihari all areas of the core of the property are readily accessible by paved roads. The final 6th generation Tanah Laut contract of work was issued by the Indonesian government on April 28 1997. (c) Copyright 1997 Canjex Publishing Ltd. canada-stockwatch.com |
