Kalimantan Gold Corporation Ltd announced an encouraging initial resource statement for one of five main veins identified at the 100 percent-owned Jelai gold project in East Kalimantan, Indonesia.
Chief executive Rahman Connelly said: "The Mewet vein resource model is an important milestone, as it starts to quantify our view that Jelai has potential for yielding a significant gold resource.”
The Mewet vein resource block is based on 23 drill holes and is contained within a 250 metre section within a known vein structure of more than 2,000 metres in strike length with mineralisation beginning on surface down to 225 metres below surface.
Kalimantan Gold said the the indicated resource, at a cut-off grade of 1.0 grammes per tonne gold, is 256,000 tonnes at 3.44 g/t gold and 3.2 g/t silver, and contains an estimated 28,000 ounces of gold and 26,000 ounces of silver. The inferred resource, at the same cut-off grade is 690,000 tonnes at 2.81 g/t gold and 3.7 g/t silver, contains an estimated 62,000 ounces gold and 82,000 ounces silver.
The emphasis will now be towards growing the resource in quantity and quality. The geological model generated will greatly assist in drill targeting in the Mewet Vein area, the company said.
Since mid-August, additional infill drilling in the Mewet vein area has provided enough confidence in the data to complete this first resource model of the vein structure outlined. This includes data derived from the recent Kalimantan Gold drilling and the previous exploration conducted by Ivanhoe Mines Ltd.
Kalimantan Gold Corporation is listed on both the TSX Venture Exchange in Canada and on AIM. The Company is focused on gold, coal and copper prospects in Indonesia and has exploration rights in three areas: the Jelai epithermal gold prospect in East Kalimantan, five coal prospects, also in East Kalimantan and porphyry copper and gold prospects in Central Kalimantan.
By : Andre Lamberti; http://www.proactiveinvestors.com/