Intrepid hits new porphyry zone

PRECIOUS and base metal explorer Intrepid Mines has intersected significant gold and copper in a new zone of porphyry mineralisation at its Tujuh Bukit project in Indonesia.
Intrepid hits new porphyry zone Intrepid hits new porphyry zone Intrepid hits new porphyry zone Intrepid hits new porphyry zone Intrepid hits new porphyry zone

The hole was located 1.2 kilometres southeast of the Tumpangpitu porphyry zone and was targeting porphyry clasts found in shallower holes in the Zone B oxide resource.

Drilling stopped in mineralisation.

"It is a significant breakthrough for the project as it considerably enhances the size potential of the porphyry system," Intrepid chief executive Brad Gordon said.

The project is located on the island of Java, about 205km southeast of Surabaya, and covers an area of 11,621 hectares.

Intrepid has an 80% interest in the property through a joint venture with Indonesian title holder PT Indo Multi Niaga.

It comprises several mineral prospects, but the Tumpangpitu area, in the southeast portion of the project, was the main exploration focus last year.

Five zones of known, near-surface gold-silver oxide mineralisation covering a 1km by 2km area has been defined to date, above an area of deeper sulfide copper-gold mineralisation within the Tumpangpitu prospect.

Current inferred resources within part of the oxide mineralisation stand at 100 million tonnes grading 1 gram per tonne gold equivalent for a contained 3.3 million ounces of gold equivalent.

The deeper and, possibly more lucrative, porphyry potential has already attracted interest from mining majors, and a proposed deal was discussed for nearly six months but never consummated.

Gordon said the company preferred to maintain development flexibility.

Among the results from the latest program were 18m at 1.42gpt gold from 80m depth, 60m at 0.12gpt gold, 2.26gpt silver, 0.41% copper and 85.85m at 1.11gpt gold, 3.27gpt silver and 0.56% copper from 875.85m (end of hole).

New shallower targets have been defined west of the porphyry and will be drilled mid-2011.

It has not yet been established if this is a separate new porphyry or part of the main Tumpangpitu porphyry.

Shares in Intrepid were up 1.39% in morning trade to A36.5c.

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