Last checked at 27 Nov 2013 07:00
Kalimantan Gold Corporation Limited ("KLG" or the “Company”) is pleased to announce the filing of a NI43-101 Technical Report which confirms the potential for a gold mineral resource to be defined and ultimately developed at KLG’s 100% held Jelai Gold Project (“Jelai” or the “Project”) in North Kalimantan, Indonesia. The report, titled “NI43-101 Technical Report on the Jelai Gold Project, North Kalimantan, Indonesia”, was prepared by Dr. Steve Garwin and Dr. Noel White, a world authority on epithermal gold systems.
As set out in the Technical Report, the Project consists of low‐sulfidation epithermal gold‐silver mineralization hosted by the northerly‐striking and steeply west‐dipping, Mewet, Sembawang, Lipan and Nyabi vein systems. Ore‐shoots are formed in these veins where intersected by secondary veins that strike northeasterly and dip steeply towards the northwest. Some of the ore‐shoots are open at depth. A total of 140 diamond drill‐holes for a total of 16,813 m have been completed in three drill‐campaigns from 1997 to 2012.
Mewet Vein
Shows the most promise with a > 400 m long by 200 m high zone at > 1 g/t Au. Best gold result to date is 6.9 m at 24.7 g/t (down‐hole length). Vein true‐width averages about 3 m, with local widths that range up to 10 m.Sembawang Vein
The Sembawang vein contains two ore‐shoots that are 200 m long by 75 m high at > 1 g/t Au. Best gold results are 1.2 m at 17.3 g/t Au and 4 m at 13.3 g/t Au (down‐hole lengths). Vein true‐width averages about 2 m and ranges up to 6 m.Lipan Vein
The Lipan vein contains one major ore‐shoot that is 100 m long by 50 m high at > 1 g/t Au. The best gold assay is 1.4 m at 15.4 g/t Au (down‐hole length). The true width of the vein averages about 2 m, with local widths that range up to 6 m.Eight drill targets are proposed by the authors for partially‐ to completely‐concealed high‐grade vein segments. These targets are delineated by the intersection of northerly‐ and northeasterly‐trending lineaments drawn to coincide with known vein‐trends, intrusive contacts, breaks in topographic slope and magnetic gradients. The targets typically, but do not always, coincide spatially with anomalous gold and arsenic in soil and surface rock‐chip samples.
Recommendations of the Technical report
The Technical report authors recommend that the Company should complete gold resource calculations for Mewet, Sembawang and Lipan vein systems that are NI 43‐101 compliant. If the grade‐tonnage characteristics of the gold resources justify, then a scoping study for development and mining should be initiated. It is the authors’ opinion that the location of the veins and the relationship to local topography favor open‐pit mining of the Sembawang and Lipan veins and under‐ground exploitation of the Mewet vein. Assuming a favorable outcome to the economic studies, the authors recommend that future exploration should focus on expanding ore‐shoots in the three known vein systems. A total of nine diamond drill‐holes for 2000 m are recommended to test the depth‐potential of existing ore‐shoots in major vein systems. The eight targets with the potential to host concealed vein segments should be drill‐tested by inclined diamond holes to depths of about 150 m beneath surface. The initial drill program should include a minimum of three holes in each of the targets for a total of 24 holes and 3200 m. The Company should consider the use of CSAMT (Controlled Source Audio‐frequency Magneto‐Tellurics) to better define vein structures and assist with drill targeting over the main vein systems in the Mewet drill area (1800 m by 1200 m). The exploration of Batikebang – Mangkulit epithermal vein prospects should be advanced by infill grid soil‐sampling to cover an aggregate strike‐length of about 2 km using a composite sample technique. Soil samples should be collected from the B‐ or C‐horizons about every 8 m along lines spaced 50 m apart using a compositing technique. A total of 500 soil samples are recommended over an aggregate area of 2000 m by 300 m. The soil samples should be analyzed using the multi‐element ICP assay technique. Anomalous results should be followed‐up with hand‐trenching and drilling to depths of up to 150 m beneath surface. The potential of epithermal vein‐breccia bodies in the Mipi, Inyang and Dokot prospects should be investigated. Geological mapping (about 1:2000 scale) and geochemical rock sampling is recommended over the areas of existing gold‐arsenic soil anomalies. Anomalous results should be followed‐up by hand‐trenching and drilling, if warranted.“The Company is seeking a partner to continue exploration on the Jelai project and this Technical Report confirms the Project’s potential” stated Faldi Ismail, Deputy Chairman and CEO, of the Company.
The report, titled “NI43-101 Technical Report on the Jelai Gold Project, North Kalimantan, Indonesia”, was prepared by Dr. Steve Garwin and Dr. Noel White. The report is effective November 1, 2013 and has been filed on the company’s profile on www.sedar.com on November 27, 2013 and is also available on the Company’s web site www.kalimantan.com. The report was prepared in accordance with the NI43-101 guidelines and it reviews the Project geology and work on the Project undertaken to date and provides recommendations for the next phase of exploration. It incorporates data collected during a recent field visit by Dr. Garwin and also compiled from the drilling and other exploration work of three different companies that explored the Project from 1994 to 2012. In addition, the report references previous technical reports on the Project by other consultants.
All data, as disclosed in this press release, has been reviewed and verified by the Company's Qualified Person for the Jelai Project, Dr. Peter Pollard, and confirmed that it is consistent with that provided by the independent qualified persons who authored the Technical Report. Dr. Pollard is a Member of the Australasian Institute of Mining and Metallurgy (Chartered Professional). Dr Pollard acts as a technical consultant to KLG and has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity he is undertaking to qualify as a Competent Person under the JORC Code.
-Ends-
For further information please contact:
Faldi IsmailDeputy Chairman and CEO, Kalimantan GoldMobile: +61 (0) 423 206 324Email: faldi.ismail@kalimantan.com
Gerald CheyneDirector Corporate DevelopmentTelephone: +44 (0) 2077311806Mobile: +44 (0) 7717473168Email: gerald.cheyne@kalimantan.com
VSA Capital LimitedKatrina Damouni/ Peter DamouniTelephone: +44 20 3005 5005/ +44 20 3005 5007Email: pdamouni@vsacapital.com
KLG's Nominated AdviserRFC Ambrian LimitedStuart LaingTelephone: +61 8 9480 2506Email: stuart.laing@rfcambrian.com
About Kalimantan Gold
Kalimantan Gold Corporation Limited is a junior exploration company listed on both the TSX Venture Exchange in Canada and on AIM in London. The Company has two exploration projects in Kalimantan: the Jelai epithermal gold project in East Kalimantan and the KSK Contract of Work in Central Kalimantan with potential for multiple porphyry copper and gold prospects. For further information please visit www.kalimantan.com
To view the image for Kalimantan Gold Jelai and KSK Contract please click on the link below:
http://www.usetdas.com/pr/kalimantanimage_001.jpg
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking statements that are based on the Company’s current expectations and estimates. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “suggest”, “indicate” and other similar words or statements that certain events or conditions “may” or “will” occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
Copyright Business Wire 2013