Gold Anomaly Limited (ASX:GOA) Announce Significant Drill Intersections At Crater Mountain Gold Project In Papua New Guinea
Sydney, May 2, 2011 AEST (ABN Newswire) - Gold Anomaly Ltd (ASX:GOA) is pleased to announce excellent results from its second drill hole at the Nevera prospect within its flagship Crater Mountain gold project in Papua New Guinea. It is the eastern most drill hole to date in the main zone.
Hole NEV 019 intersected a section of 215m at 1.46 g/t Au from 181m.
Gold Anomaly's Exploration Director Peter Macnab commented, "drilling results to date continue to impress, and support the possibility that a multimillion ounce1 gold deposit exists at Crater Mountain.
"The upside of the project is tremendous, given that we have just started exploring the area and have currently drill tested less than 10% of the anomalous gold zone at the Nevera prospect, which accounts for less than 4% of the entire Crater Mountain tenement".
Executive Chairman Greg Starr added, "we continue to be encouraged by the very positive drilling results at Crater Mountain. The sheer length of mineralisation encountered within our drilling is consistent with results from previous owners BHP (and others), and back up their assessment that the project is a tier-1 (best prospectivity) asset.
"These results again highlight the consistent and continuous results potential of the project, reinforcing our view that Crater Mountain will ultimately be shown to host a significant, high tonnage, low grade gold deposit. In light of these very promising results, a follow up drilling program incorporating a number of deeper holes targeting the interpreted feeder zone is planned for the second half of 2011".
A comparison of the key middle parts of NEV 018 and NEV 019 .
NEV 019 was drilled 100m east of NEV 018 and encountered similar mineralisation to that seen in NEV 018, albeit with overall significantly higher grades.
Justification for deeper drilling
NEV 018 returned intermittent gold grades up to 16m at 1.92 g/t Au above the main mineralised zone, extending to near surface and considered to be related to fault-controlled apophyses of mineralised intrusions.
Whilst these are not present in NEV 019, gold grades below the main mineralised section (from 181m to 396m) are higher than those in the base of NEV 018, ranging mostly from 0.1 to 0.3 g/t Au, with the 129.4m section from 396m to the end of the hole at 525.4m averaging 0.25 g/t Au including 8m at 0.6 g/t Au from 470m to 478m and 6m at 0.88 g/t Au from 510m to 516m. The last assay in the hole is 0.3 g/t Au over 1.4m. These persistently better grades may indicate a closer proximity of this drill hole to the interpreted deep-seated intrusion-related feeder zone, reinforcing the decision to drill several deep (1,000m) drill holes in the next phase of drilling.
Seven holes now have intersections better than 130m > 0.5g/t Au
Following the NEV 019 results, seven holes at Crater Mountain have now intersected zones of +0.5 g/t Au over lengths of more than 130m (out of 19 drilled and assayed to date). This further highlights the potential that a large bulk tonnage low grade gold deposit could be identified at Crater Mountain.
Assay results continue over the next few months
To date, Gold Anomaly has completed a total of 5 holes (NEV 018 to NEV 022) on the Nevera Prospect for a total of 2,537m. Drilling at the final hole of the current campaign, NEV 023, has commenced. NEV 022 and 023 were sited to target the area below the shallow higher grade gold mineralisation in the artisanal mining area. Assay results will assist in determining the feasibility of expediting a shallow, small-scale, open pit operation at Crater Mountain to generate early cashflows.
Next phase 10,000 m drilling planning warranted Gold Anomaly is planning to complete a further 10,000 m of drilling by year's end. A second rig to undertake this work is currently being sourced.
Exploration director Peter Macnab heads the drilling programs at Crater Mountain. He has an outstanding track record of discovering major deposits in PNG, with major roles in the discoveries of Newcrest's (ASX:NCM) (PINK:NCMGF) Lihir (45Moz Au), Barrick's (TSE:ABX) Misima (3.7Moz Au), Newcrest's Wafi- Golpu (38Moz AuEq) and Xstrata's (LON:XTA) (PINK:XSRAY) Frieda River (14.3Moz Au) projects.
For the complete Gold Anomaly Limited announcement including figures and tables, please refer to the following link:
About Crater Gold Mining
Crater Gold Mining Limited (ASX:CGN) is engaged in the exploration, evaluation and exploitation of gold and other base metal projects. The Company's segments include Croydon, Fergusson Island and Crater Mountain. The Croydon project consists of two sub-projects in far North West Queensland, the Croydon Polymetallic Project and the Croydon Gold Project. The Fergusson Island project consists of two gold exploration projects at Wapolu and Gameta on Fergusson Island, in Milne Bay province, Papua New Guinea. The Gameta Deposit lies within exploration license (EL) 1972. It is located on the northeast coast of Fergusson Island. The Wapolu Deposit lies within EL 2180. The Crater Mountain is an exploration and production project located in the Papua New Guinea Highlands approximately 50 kilometers southwest of Goroka. The project consists of three contiguous ELs, straddling the border between the Chimbu and Eastern Highland Provinces.
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