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Southern Arc Minerals Inc. (TSX
VENTURE:SA) ("Southern Arc" or the
"Company") is
pleased to announce
that after a hiatus
of more than two
and a half years,
Phase 2 drilling activities
are underway at the
Pelangan Epithermal Au-Ag Prospect, located in the northwest
section of the Company's West Lombok property in Indonesia. Drilling is progressing well with the completion of hole PLD004, and with three deeper holes (PLD003, PLD005 & PLD006) currently in progress.
An additional three
(3) drill rigs, capable of coring to depths of
400-700 metres, have been mobilized
to the Mencanggah Epithermal/Porphyry Prospect. These rigs will immediately be tasked to commence Phase 1 drilling.
Supported by the recent
$28.3 million equity financing,
the 2011 West Lombok drilling program is fully funded. Over the next 12 months, the Company plans
on completing more than
25,000 metres of diamond
drilling into epithermal targets at Pelangan and Mencanggah. The field budget
for this drilling
program is US$6.4 million in the first 12 months, US$16.4 million over a 24 month period.
The diamond drilling
program at Pelangan
holds the objective of producing
an NI43-101 compliant resource
estimate within 12 months. The Mencanggah
program holds the objective of producing an NI43-101 compliant
resource estimate within 18 months.
Pelangan
As reported on March 1, the initial focus of
Phase 2 drilling at
Pelangan is to target high-grade Au+Ag shoots along the 1 kilometre strike zone at Central and South Raja (To see
Figure 1, please visit
the following link:
http://media3.marketwire.com/docs/sa405fig1.pdf).
The presence of such
shoots are suggested by a high-grade
quartz episode within
the Mineralized Structural Breccias (steeply dipping silica ledges cut by epithermal quartz veins
and breccias, or MSBs)
and increasing gold grade with
depth (holes PLD001
and PLD002). Delayed by heavy
and unseasonal rainfall,
drilling began on
March 27.
Drill hole PLD004 tested
the down dip extension of RDG04 (9.5m @ 6.21
g/t Au and 41 g/t Ag, (including 3.05m @ 14.2
g/t Au and 61 g/t Ag)). This hole was completed at its intended depth of 150.0 metres on April 1. MSBs were intersected from 78.6m confirming an
85 degree dip of
the structure. A steeper drill hole, PLD006, is being drilled from the same pad as
PLD004 along the same
section to intersect the MSB at approximately 50 metres below the PLD004 intercept.
Drill holes PLD003 and PLD005, currently underway, are targeting the Raja MSB structure along strike to the northwest. PLD003 is being drilled to test for
continuity of the Raja MSB structure at approximately 150 metres down dip from the intersection in PLD002. PLD005 is targeting the MSB approximately 60 metres below the intercept from QDG06 (1.0m @ 7.36 g/t Au and 186 g/t Ag). Following completion of these two holes, the rigs will be situated to target the
MSB on adjacent sections along strike at initial minimum
100 m spacing along
strike. Infill drilling between the
initial fences will
be determined by assessment of results as drilling proceeds. Additional rigs will be mobilized as warranted throughout the drilling
program.
The Raja MSB structure is just
one of five major zones of mineralisation delineated at Pelangan, comprising an aggregate strike length of approximately
4.6 km, all five of which are targeted for inclusion in the current
12 month drilling
program.
Mencanggah
Phase 1 drilling at
Mencanggah (To see
Figure 2, please visit
the following link:
http://media3.marketwire.com/docs/sa405fig2.pdf) will test a large number
of MSB targets at shallow depths (approximately 50 metres below surface). These targets have been prioritized
based on detailed geological mapping and geochemical sampling.
Surface prospecting and mapping
have defined the extent
of epithermal quartz veining
over a broad area (6.5 km long by up to 4.5
km wide, including
an aggregate proven
strike length of
more than 15 km), along
with the presence
of potential copper-gold
porphyry style targets.
For more information about Southern Arc, please refer to the Company website at: http://www.southernarcminerals.com.
On behalf of the Board
of Southern Arc Minerals
Inc.
John Proust, Chairman and CEO
Forward Looking Statements: This news release contains
forward looking statements relating to expected or anticipated
future events and operations,
timing of projects and anticipated
results that are forward looking in nature
and, as a result, are subject
to certain risks and uncertainties,
such as general economic, market and
business conditions, the regulatory process and actions, technical
issues, new legislation, competitive
and general economic
factors and conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events, and
the company's capability
to execute and implement
future plans. Actual results
achieved may vary from the information
provided herein as
a result of numerous
known and unknown risks and uncertainties
and other factors.
There is no representation
by the company that
actual results achieved will be the same in whole or in part as described
above.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility
for the adequacy or accuracy
of this release.
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