Drilling extends mineralization at Mt Kare
Madison Enterprises Corp MNP
Shares issued 16,577,900 Oct 9 close $2.45
Fri 10 Oct 97 News Release
Ms Nell Dragovan reports
The company has received results from an additional 18 drill holes (M-32
and M-46 to M-63) on its Mt Kare property in Papua New Guinea. Based on the
results of these holes and all previous exploration at Mt Kare, Madison has
concluded that:
1. The surface expression of the Western Roscoelite zone now extends to
at least 1,500m, more than twice the previous estimate;
2. Infill drilling shows excellent internal continuity of mineralization
within the Western Roscoelite zone;
3. The surface expression of the Black zone now extends to the southwest
to at least 1.5km, more than three times the previous estimate;
4. A new near-surface mineralized zone, the Central zone, overlaps and
extends to the east of the Western Roscoelite zone; and
5. The total area of the surface expression of all mineralized zones and
untested anomalies exceeds the surface area containing gold
mineralization at the adjacent Porgera Mine deposits.
Madison has now spent more than US$8 million on exploration at Mt Kare,
which is the expenditure required for its earn-in. Future exploration will
be carried out on a joint venture basis by Madison and its partner, Matu
Mining Pty.
The following table outlines the most significant results of the 18 holes
being reported:
Hole Interval Length Au Ag
No. (m) (m) (g/t) (g/t)
------ ----------- ------ ------- ------
M-50 45.3- 54.0 8.7 4.46 32.8
Incl 45.3- 46.8 1.5 20.18 120.0
M-49 0.0- 6.0 6.0 1.15 3.8
M-51 0.0- 12.0 12.0 1.24 8.9
62.1- 70.0 7.9 0.58 75.4
M-52 0.0- 27.5 27.5 2.06 21.1
Incl 0.0- 9.8 9.8 4.45 8.7
74.0- 75.5 1.5 29.23 3.8
117.5-120.5 3.0 1.81 5.4
M-53 0.0- 14.0 14.0 2.92 24.0
Incl 0.0- 8.5 8.5 4.46 10.0
M-55 6.0- 13.5 7.5 8.90 17.8
Incl 7.5- 9.0 1.5 38.54 24.0
18.0- 19.5 1.5 7.59 26.0
31.5- 33.0 1.5 1.57 34.0
61.0-116.6 55.6 2.11 101.9
Incl 94.0-116.6 22.6 2.83 236.3
M-58 7.5- 15.0 7.5 11.90 42.4
Incl 9.0- 10.5 1.5 54.45 42.0
39.0- 99.0 60.0 2.74 30.5
Incl 50.9- 55.5 4.6 6.56 52.8
and 66.0- 76.5 10.5 6.45 48.1
M-60 10.5- 13.5 3.0 4.31 35.5
25.5- 36.0 10.5 2.34 19.3
42.0- 54.0 12.0 2.60 24.1
61.3- 84.0 22.7 1.00 18.6
M-59 81.6- 82.1 0.5 3.59 1100.0
87.0- 88.5 1.5 1.95 100.0
M-61 28.5- 67.5 39.0 3.77 20.0
Incl 31.5- 48.0 16.5 7.14 29.6
Incl 36.0- 42.0 6.0 13.16 36.9
M-63 24.9- 40.5 16.5 5.02 24.8
Incl 25.5- 28.5 3.0 23.31 13.0
48.0- 57.0 9.0 0.91 16.4
150.0-153.0 3.0 1.46 16.5
M-32 1.5- 9.2 7.7 4.01 33.9
Incl 4.5- 7.5 3.0 8.57 57.0
M-578 105.0-108.0 3.0 0.54 34.5
Western Roscoelite Zone
Madison's exploration work continues to confirm excellent continuity of
mineralization at the Western Roscoelite zone. Drill results, stratigraphic
mapping, previous colluvial and alluvial mining activity and a 300m by 200m
auger soil anomaly (known as Dam) suggest that the Western Roscoelite zone
extends at least a further 900m to the northeast beyond current drilling.
The Dam auger soil geochemical anomaly reaches a peak value of 10.7 g/t
gold directly along the projected strike of the Western Roscoelite zone.
With this 900m extension, the mineralization can now be traced for more
than 1.5km and it remains open both to the northeast and the southwest as
well as at depth.
On Section 1+00E, hole M-46, the most shallow hole, which was drilled above
M-50 and previously announced hole M-44 (13.7 g/t gold and 42.7 g/t silver
over 30m), intersected anomalous gold-silver over a 9.0m section. These
holes confirm that the mineralized zone becomes thicker and higher grade at
depth. Two holes for which results are pending, M-64 and M-68 on Section
2+10E, are the most northeasterly holes completed to date and represent a
110m step-out. As expected, these holes have intersected stratigraphy,
alteration and mineralization consistent with previous holes along the
Western Roscoelite zone.
Drilling results from infill holes on Section 1+00W )M-55, 58 and 60)
confirm excellent continuity of mineralization with that encountered in
adjacent sections 0+75W (M-17, 19, 20 and 22), 1+30W (M-28, 29 and 31) and
1+50W (M-3, 5 and 9) for which results have previously been reported. Drill
hole M-62 on Section 1+00W was not completed due to the same technical
difficulties encountered in previously announced hole M-38. As with M-38,
while drill hole M-62 intersected a series of narrow mineralized sections,
including 1.32 g/t gold and 4.6 g/t silver over 4.5m, it did not reach the
target mineralization at this part of Section 1+00W. Further drilling is
planned to test this part of Section 1+00W from the opposite direction.
Drill holes M-61 and M-63 on Section 2+30W demonstrate good grade and
thickness continuity beyond the weakness encountered on Section 2+00W which
is due to local post-mineralization structural and intrusive disturbance.
These intersections confirm the north-south continuity of the Western
Roscoelite zone and that the grade times thickness factor (the relative
gold content) increases with depth from the shallower hole M-63 to the
deeper hole M-61.
On the southwestern-most section which was drilled, M-54 was drilled into
the zone's hanging wall, M-56 stopped short due to faulting, and M-57
appears to have intersected the upper section of the zone, possibly similar
to hole M-46. Hole M-32, which collared in mineralization, was drilled to
test the mineralization encountered nearby in trench Bench No. 2, which
returned 4.6 g/t gold equivalent over 120m, including 9.1 g/t gold
equivalent over 35m. Mineralization encountered on the southwestern-most
section will be drilled further to depth and along strike.
Central Zone
The results from Madison drill holes M-49, 51, 52 and 53 along with the
results from previous drilling (MK-2, 24 and 31) and surface trenching have
confirmed the presence of a near-surface mineralized zone called the
Central zone, with approximate dimensions of 400m by 200m. CRA drill holes
MK-2, 24 and 31 returned values of 1 g/t gold equivalent over 76m, 2.5 g/t
gold equivalent over 52m, and 1.9 g/t gold equivalent over 22m,
respectively. Surface trenching has returned values up to 7.4 g/t gold
equivalent over 53m.
Black Zone: The continuing auger soil sampling program has now extended the
surface expression of this zone from the previous estimate of 450m to at
least 1.5km and remains open to expansion. The additional strike extent of
this polymetallic anomaly is predominantly to the southwest and contains
values of up to 2.6 g/t gold, 57.0 g/t silver, 1.1% lead, and 2.1% zinc. A
program of trenching and diamond drilling is being formulated to further
evaluate this anomaly.
To date, only the northernmost 200m of the Black zone have been
drill-tested. Previous drilling (hole M-6) returned values up to 9.65 g/t
gold and 67.6 g/t silver over 39m. Hole M-47 was lost due to technical
difficulties, while local fault offsets resulted in hole M-48 failing to
reach the mineralized zone. Hole M-48 did, however, return anomalous silver
values up to 110 g/t over 1.5m and anomalous gold values, suggesting that
the hole was drilled on the margin of the target mineralization. Additional
drilling is planned for the Black zone.
The more than tripling of the extent of the Black zone is an important
development. In combination with the more than doubling of the Western
Roscoelite zone, these developments significantly enhance the mineral
potential of the project.
The partners in the Mt Kare joint venture will continue the aggressive
exploration campaign which will be financed on a pro-rata basis. Infill and
broader step-out drilling will continue on the Western Roscoelite zone.
Drilling completed up to the Christmas break in mid-December will be used
in Madison's planned tonnage and grade resource calculation which should be
completed in the early part of 1998.
(c) Copyright 1997 Canjex Publishing Ltd. canada-stockwatch.com |
