Banda Raya/Halimon
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IUP Mining Business Licenses for Exploration (Ijin Usaha Pertambangan) on the two properties have been issued pursuant to Indonesian law, which secure the projects' tenure and enable formal exploration activities.
Banda Raya Property
Regional geochemical reconnaissance by a previous operator in the 1990s identified multiple anomalies within the claim area including the Leuping and Simpang Tiga epithermal gold prospects. The operator recorded sample assays taken from outcropping quartz veins ranging from <0.01 to 15.35 g/t Au and up to 2000 ppm Cu. Additionally, results from mapping confirmed the presence of locally hydrothermally brecciated and high sulphidation altered volcanic units inferred to correlate with the Leuping Volcanic formation which hosts the neighbouring Miwah discovery and Banda Raya epithermal prospects.
Geological crews were mobilized in summer/fall 2010 and base camps have been established at multiple priority target areas in the Miwah -- Menawan lineament including: Leuping, Simpang Tiga, Geudob, Tiger Ridge and Menawan. Preliminary reconnaissance at these prospects has confirmed the presence of widespread high-sulphidation style epithermal alteration, localized copper sulfide minerals and copper-gold porphyry mineralization. Exploration and sampling continue with drilling anticipated in the fall of 2011.
Halimon Property
Situated directly north of the Miwah epithermal gold discovery and west of the Banda Raya tenement, results from historical ground exploration work within this IUP license area in the 1990s identified four wide geochemical target areas in and around the Peut Sague volcano region.
Within this area, quartz veining and strongly advanced argillic altered rocks, including an inferred diatreme breccia, were found and interpreted to be of epithermal or porphyry origin. Lithostructural and petrologic interpretations conclude that the diatreme breccia in the area is a clear focus for exploration as it represents a potentially favorable host rock or hydrothermal feeder for local gold mineralization. Additionally, results from this work have outlined a structural corridor prospective for epithermal -- porphyry style mineralization located between the main Miwah prospect (approximately 2.5 kilometres south of the Halimon border) and the Peut Sague Volcano located 8 kilometres to the north of Miwah.
Geological and geochemical reconnaissance involving the collection of stream sediment, rock chip and rock float samples from the above areas will be conducted. Radar satellite images and their lithographical interpretations will also be conducted to assist in the identification of new geological target areas.