First Trenches at Kowo Return Promising Broad Gold Intercepts
Bima Project, East Sumbawa
- Broad zones of gold-bearing stockwork identified
- Results up to 32m at 0.68 g/t Au indicate bulk-tonnage potential
Arc Exploration Limited (ASX Code: ARX) is pleased to report the first gold results from an ongoing program of trenching at the Kowo Prospect. The best gold result is a broad intercept of 32m at 0.68 g/t Au that also includes a higher grade interval of 2m at 6.09 g/t Au.
Managing Director Mr. John Carlile commented:
"These are our first continuous-channel results from Kowo and they are very encouraging. As at Baku, the long and widespread gold intersections indicate potential for a large bulk-tonnage gold deposit. Kowo is shaping up as a large gold-base metal target. It may also extend beneath the surrounding cover and point to a porphyry system at depth. We are certainly in the right belt of rocks with the giant Batu Hijau mine at the other end of the island".
The Kowo Prospect in the northern part of the Bima tenement is outlined by a 2 km by 1.5 km exposure of stockworked volcanic rocks surrounded by younger cover. Grab sampling of mineralised stockwork returned up to 0.66 g/t gold, 482 g/t silver, 0.15% copper, 0.9% lead, 0.7% zinc, and 13% barium.
Previous soil sampling highlighted strongly anomalous lead-zinc-barium geochemistry over the stockworked volcanic rocks, including a 200-m by 300-m zone of elevated gold that is interpreted to extend beneath younger cover at the northern end of the anomaly. The first trenches tested this area.
Managing Director Mr. John Carlile commented:
"We have significant further activity planned for the near term. We will continue to test the prospect with more trenching, IP-resistivity and ground magnetic surveys over the Christmas period. Based on the positive results from both Kowo and Baku, drill target definition is well advanced and scout drilling is on target to start in the first quarter of 2011."
"These encouraging results at Kowo, combined with the positive results at Baku, both at the Bima Project, indicate that we are making considerable progress and provide us with increased optimism as to the potential of these prospects".
The Bima Exploration tenement covers 250 square kilometres and is prospective for intermediate to high-sulphidation epithermal gold and porphyry copper-gold deposits. The project has excellent infrastructure with a network of sealed to graded roads traversing almost all of the tenement area.
Trenching has so far only tested the northern part of an extensive multi-element soil anomaly and broad zones of gold mineralisation were intersected in most of the trenches. Result highlights are in the ASX announcement.
The Company has three projects; Bima, in East Sumbawa, the subject of the ASX announcement, Trenggalek in East Java and a Strategic Alliance with the Anglo American group in Papua.
Download this document
