Mt Kare offers confidence boost for Indochine

INDOCHINE Mining has identified high-grade gold targets at its Mt Kare gold-silver project in Papua New Guinea.
Mt Kare offers confidence boost for Indochine
Mt Kare offers confidence boost for Indochine
Mt Kare offers confidence boost for Indochine
Mt Kare offers confidence boost for Indochine
Mt Kare offers confidence boost for Indochine

An independent structural study completed by specialist consulting geologist Dr Anthony Norman identified key mineralised structures and a particular stratigraphic horizon associated with high-grade gold mineralisation.

Completed at the request of Indochine chief geological consultant Tony Burgess, geological mapping identified targets located within the 2013 resource together with potential extensions at deeper levels.

The study also revealed additional targets in a previously undrilled area, which is more than 500m long.

Located south of the main northeast controlling fault through the currently identified resource, the target has the potential for further high-grade gold bearing structures.

"This increases the confidence of finding more high-grade zones at Mt Kare," Norman said.

"It locks in the similarity of structural setting and high-grade zones to the adjoining Porgera deposit and improves the major growth potential of Mt Kare, as both deposits share the same age and style of mineralisation within the same structural corridor."

Further geological mapping will be undertaken by company geologists under the supervision of Burgess, to expand on the work undertaken by Norman.

Indochine said the final stage of the landowner investigation study was underway onsite at Mt Kare.

Work is also progressing on the portal for the underground adit into the high-grade gold zones, with geotechnical and hydrological drilling recently completed.

Following completion of the initial development, a larger underground drilling campaign will be undertaken, targeted to increase the high-grade gold zones to more than 1 million ounces at 10 grams per tonne of gold by the June quarter of 2014.

Meanwhile, the market continued to digest the winding back of stimulus measures by the US Federal Reserve.

US markets were flat after Wednesday's big jump. The Dow Jones Industrial Average gained 0.07%, while the S&P 500 dropped 0.06%.

The British market jumped 1.4% and the Toronto market added 0.4%.

The SPI 200 Futures index was 11 points up this morning.

Singapore Tapis crude closed at $US118.90 a barrel overnight, compared to $171.97 at the end of last week.

London Metal Exchange cash copper closed down at $7207 a tonne overnight, a difference of 0.96% from the price of $7276.50 at the end of last week.

By the same comparison, LME spot nickel's overnight price was $14,132/t, up 0.62% from last week's price of $14,044.

Spot gold was trading at about $1194 an ounce in the past 30 minutes, down 3.58% from the price of $1238 last Friday.


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