Note the size of the BH intercepts - 60m is not a bad result, especially when averaged over the drill core. I wouldnt be surprised to see more of this stuff emerge as it is an epithermal stockwork and generally quite homogenous across the orebody.
PAN AUSTRALIAN RESOURCES NL 2003-01-28 ASX-SIGNAL-G
HOMEX - Brisbane
+++++++++++++++++++++++++ MEDIA RELEASE
WIDE INTERCEPTS AND HIGH-GRADE HITS ARE BUILDING A LOW STRIP RATIO ORE RESERVE AT THE PHU BIA GOLD PROJECT
Pan Australian has announced that final assay results from reverse circulation (RC) drilling have confirmed the ore reserve potential for two of the three deposits that comprise the Phu Bia Gold Project in Laos (Figure 1).
Pan Australian Managing Director, Mr Gary Stafford said the results from the Long Chieng Track (LCT) deposit have confirmed the potential for a near-surface ore reserve containing intervals of high-grade ore, while results from Ban Houayxai have confirmed the presence of a new 'ore-grade' mineralised zone.
"The results from this latest round of drilling have made it clear that we have two near surface deposits with the capability of hosting robust, economic ore-bodies.
LONG CHIENG TRACK RESULTS
"At LCT, where drilling was designed to test a quartz stock-work zone and a separate shear zone, results from a number of RC holes support results from a diamond core drilling program conducted previously by the Normandy Anglo joint venture.
"Best RC drill results include an interval from surface of 13 metres at 3.4 g/t gold (with a peak intercept of 4 metres at 8.6 g/t).
"These results are consistent with the diamond core intercepts of 25 metres at 2.7 g/t gold from a depth of 34 metres (peak intercept 5.4 metres at 6.8 g/t) and 50 metres at 2.0 g/t gold from surface (peak intercept 5.3 metres at 5.5 g/t).
"Although a number of RC holes were unable to be drilled to the target depth of 100 metres due to significantly fractured ground, this has instilled in us a great deal of confidence that the ground is a likely host for significant mineralisation.
"These results have also given usthe confidence to get a diamond core drilling rig up on site next month to double our drilling capacity," he said.
BAN HOUAYXAI RESULTS
As Pan Australian reported last week, the drilling at Ban Houayxai has established continuity of a near surface resource at the southern end of the deposit. Final results now indicate that there is significant potential to the north of this existing resource, with drilling indicating another zone of 'ore-grade' mineralisation.
Mr Staffordhighlighted the results from drill hole HRC30 of 5 metres at 5.6 g/t gold from 62 metres to the bottom of the hole including 2 metres at 12.5 g/t.
"The economic significance of this hole is enhanced by the interval from surface, which recorded continuous mineralisation from surface of 54 metres @ 0.8 g/t gold, and that fact that the hole finished in 5.6 g/t grade mineralisation at a depth of 67 metres.
Another intercept from drill hole HRC37 continued the trend of excellent results at the southern end of the deposit, intersecting 60 metres at 1.0 g/t gold from surface to the end of the hole (including peak intervals of 8 metres at 2.1 g/t and 6 metres at 2.4 g/t), in a continuous zone of 'ore-grade' mineralisation at the southern end of the deposit.
"Our priority now is to develop an Indicated and Measured Mineral Resource estimate from the current Inferred and Indicated estimate for the Ban Houayxai deposit by further drilling and interpretation.
"We have been able to establish continuity of mineralisation in the current 'Indicated Resource Zone' over a 250-metre strike length. To the immediate north of this zone, we have identified a barren zone (to a depth of 60 metres) over a strike length of 50 metres and then an 'Inferred Resource Zone' of mineralisation of 450 metres in strike length defined by broadly spaced drilled holes (Figure 2). The deposit remains open to the south of the Indicated Resource Zone.
"In February, resource drilling (RC and diamond core) will continue on the Indicated Resource Zone of the deposit, while infill RC drilling will focus on confirming continuous mineralisation within the Inferred Resource Zones of the deposit," Mr Stafford said.
PHU BIA GOLD PROJECT - BACKGROUND
The Long Chieng Track and Ban Houayxai deposits are two of three oxide gold deposits (the third deposit is the Phu Kham gold cap) that comprise the Phu Bia Gold Project located 100 kilometres north of Vientiane in Laos (Figure 1).
Pan Australian is party to an agreement with Newmont South East Asia Pte Limited (Newmont SEA) and the Government of Laos for Pan Australian to acquire an 80% interest in the project from Newmont SEA. Newmont SEA will retain a 20% interest carried to a decision to mine. There are put and call options for Pan Australian to acquire Newmont SEA's 20% interest.
For further information please contact:
Mr Gary Stafford Tel: (07) 3878 9299 MANAGING DIRECTOR Website: www.panaustralian.com.au Pan Australian Resources NL Email: [email protected]
A copy of the Maps is available in PDF format on www.asx.com.au. Alternatively it is available for purchase from ASX Customer Service on 1 300 300 279.
PNA Price at posting:
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