Wednesday, August 24, 2011
Helio Reports First Rc Drill Results from the Gold Kop Target, Damara Gold Project, Namibia
Bulk tonnage and high grade gold potential identified 14m at 3.1g/t Au, 16m at 1.8g/t Au, 4m at 11.6g/t Au, 2m at 14.6g/t Au Multiple mineralized sections in zones up to 250m wide
Helio Resource Corp (TSX-V: HRC) is pleased to report the first results from a recently completed RC drill programme on the Gold Kop target, at the Damara Gold Project in central Namibia.
Highlights
- Mineralised zones up to 250m wide;
- Similar in style to AngloGold Ashanti's Navachab Gold Mine (resource of 5.1 Moz at 1.15g/t Au);
- Gold mineralisation extended over a 500m strike length (open to north and south);
- Individual intercepts up to 14m grading 3.1g/t Au, 16m at 1.8g/t Au, and 4m at 11.6g/t Au;
- Gold mineralisation located at the geological contact between dolomitic and calcitic marbles;
- The geological contact / target horizon is associated with a 4km+ long gold-in-soil anomaly;
- The Gold Kop target horizon can be traced for another 20km within the Damara Gold Project area and has never been explored previously;
- Drilling has focused on the near surface (<50m deep) mineralisation;
- Mineralisation is open to depth.
The exploration target at Gold Kop is for Navachab-style carbonate-hosted gold mineralisation. The Navachab gold mine, operated by Anglogold Ashanti, is located 50km southwest of Gold Kop, has been in production since 1989, and currently has non-NI43-101 compliant resources of 5.1 million ounces grading 1.15g/t Au.
The Gold Kop target geology is similar to that at Navachab, and comprises a large area of folded dolomitic marble in contact with calcitic marbles. These marbles are associated with multiple large magnetic and IP anomalies, as well as a 4km+ gold-in soil anomaly.
The drilling results reported are from the first 52 holes (2,740m) of shallow reconnaissance RC drilling (most holes ended at ?50m vertical depth).
The RC drill programme was designed to test a 1,500m strike section over the Gold Kop target. RC fence lines were oriented E-W across strike every 200m.
The results, from the first three fence lines, covering a 600m section of Gold Kop, include:
| Hole ID |
From (m) |
Width (m) |
Grade (g/t Au) |
| OJR 12 |
4 |
26.0 |
0.5 |
| OJR 13 |
30 |
4.0 |
11.6 |
| OJR 14 |
24 |
8.0 |
1.9 |
| OJR 26* |
0 |
50.0* |
0.6* |
| OJR 34 |
6 |
38.0 |
0.8 |
| Including |
8 |
8.0 |
3.1 |
| OJR 50 |
44 |
16.0 |
1.8 |
| Including |
52 |
6.0 |
3.7 |
| OJR 51 |
2 |
14.0 |
3.1 |
| Including |
14 |
2.0 |
14.6 |
| OJR 52 |
0 |
88.0 |
0.4 |
| Inc. |
42 |
12.0 |
1.5 | * - drill hole ended in mineralisation -- intercept is open to depth
Initial geological studies indicate that most of the mineralisation occurs within a dolomitic marble and at the contacts between the dolomite with calcitic marble units, although certain intrusive dykes are also well-mineralised. A complete table of intercepts from these holes is presented on the company website (www.helioresource.com) and will also be presented on www.corebox.net.
Map 1, below, shows the location of the Gold Kop target in relation to AngloGold Ashanti's Navachab mine, the extent of the prospective geology within Helio's licences, and the location of this drilling.
Map 2 is a plan view of the Gold Kop target, showing the geology, the location of the RC drill fences, the outlines of the large mineralised envelope, and the locations of the higher grade gold intercepts. Line 3 is located 100m south of OJD1 (see news release dated June 13, 2011), which intersected 50m grading 2.1g/t Au, 0.8% Cu, and 14g/t Ag. It is important to note that the intersect in OJD 1 occurs between 51m to 101m and demonstrates continuity of mineralisation to depth and is below the end of hole depths of the majority of the RC drilling. This batch of RC drill results returned a maximum silver intercept of 2m grading 43g/t Ag from 14m in OJR51, and the maximum copper grade was 2m grading 0.37% in OJR52. These holes were drilled parallel to and 15m either side of OJD1. The high grade Au-Cu-Ag reported in OJD1 needs further follow-up. It is suspected that the OJD1 intersected a plunging shoot of semi-massive to massive sulphide mineralisation (similar to the main ore host at Navachab), and more drilling is required to confirm the orientation and continuity of this shoot.
Map 3 is a cross section along Line 3, showing the outline of the 250m wide mineralised zone as well as the internal zones of mineralisation.
It is thought that the mineralisation intercepted in OJR34 (8m grading 3.1g/t Au), OJR50 (6m @ 3.7g/t Au) and in OJD1 (7m @ 9.0g/t Au) are the same zone. This would demonstrate a strike length for this higher-grade zone of at least 120m, open along strike and to depth.
These drill results, which demonstrate the presence of large volumes of mineralised material, with higher-grade zones occurring within the disseminated material, suggest a large mineralised system is present. Only a fraction of the available strike length of the folded dolomitic horizon has been tested to date (1.5km of a currently mapped total of 8.5km). Numerous fold hinges, which appear to focus the higher-grade mineralisation, remain to be tested.
Samples from the other RC fence lines have all been submitted to the laboratory for analysis, and results are expected within the next month. In addition, a further 9 diamond drill holes have also been completed at the Gold Kop target and are currently being processed. Results will be reported upon receipt.
Assay Turn Around Time
The company has had to contend with the slow turn-around time of sample results, due in various part to poor QA/QC compliance from one laboratory, export issues, and the general volume of samples sent to laboratories. This is an issue for many exploration companies.
Current Drilling Update
The first pass RC drilling at the Gold Kop Target is complete -- further drilling will be planned once all outstanding RC and diamond drilling results have been received.
An RC drill rig is being mobilised to the Leatherman target, located approximately 30km due south of Gold Kop (see Map 1). Leatherman comprises two sub-parallel gold-in-soil anomalies (soil samples up to 3,700ppb Au) that cover a combined strike length of 1.8km, it is open to the east, has channel samples up to 5m grading 11.3g/t Au, and has never been drilled (see news release dated April 6, 2011).
The DGP Gold Project
The DGP comprises four licences (covering 318,500ha or 3,185km2), namely Etjo South, Okakango, Wilhelmstal and Otjimbojo. Helio holds a 100% interest in the project through its wholly-owned Namibian subsidiary, BAFEX Exploration (Pty.) Ltd..
The DGP is located between AGA's Navachab Mine to the southwest and Auryx Gold Corp.'s Otjikoto Project to the northeast.
The Navachab mine has been in production since 1989 and, as of December 2009, has produced approximately 1.5 Moz of gold and has a non-NI 43-101 compliant resource of 5.1 Moz grading 1.15g/t Au (source AngloGold Ashanti Resource Report, 30 June, 2011).
Auryx's Otjikoto Gold Project, located approximately 150km northeast of Helio's licences has a NI43-101 indicated resource (February, 2011) of 15.78Mt grading 1.94g/t Au and an inferred resource of 8.37Mt grading 1.94g/t Au for total of 1.5 Moz at a 0.8g/t cut-off.
The 6,000m drill programme, which is the first time the Gold Kop anomaly has been systematically drilled, is part of the 10,000m of drilling programme outlined for the DGP in 2011 (see Company's news release dated January 13, 2011).
About Helio
Helio Resource Corp. is a well financed gold exploration company focused on increasing the initial NI 43-101 compliant resource at the SMP Gold Project in Tanzania and outlining the resource potential at the Damara Gold Project in Namibia.
In November 2010, Helio released an encouraging initial resource estimate for the SMP: Measured and Indicated Resource of 588,749 ounces (11.82Mt grading 1.54g/t Au) plus an Inferred Resource of 352,354 ounces (9.9Mt grading 1.10g/t Au) at a cut off grade of 0.3g/t Au.
Chris MacKenzie, M.Sc., C.Geol., Helio's COO and a Qualified Person as designated by NI 43-101, is based in Namibia and supervises the exploration at Helio's projects, including the sampling and quality assurance / quality control (QA-QC) programmes, and has reviewed and approved the contents of this news release. The vast majority of the RC holes were drilled east or west at -50�. Intercepts are reported as drilled widths; more drilling is required to determine true widths. Holes were continuously sampled using 2m composites from a rotary cyclone splitter. Reference material has been retained. All samples were submitted to the lab with internal QA/QC checks including the use of standards, blanks and duplicates (ave. 1 of each every 25 samples). Samples were assayed at the Intertek Genalysis Laboratory in Johannesburg, South Africa by 50g fire assay for gold, and by Atomic Absorption for Copper and Silver. As well as the Company's internal QA/QC programme, Intertek Genalysis also applied their own internal QA/QC programme, consisting of insertion of standards and duplicates. Weighted average intercepts are calculated using a 0.5g/t Au cut-off and may include some mineralised waste.
For additional information, please contact Richard Williams or Irene Dorsman at +1 604 638 8007 or by e-mail to richard@helioresource.com or irene@helioresource.com.
ON BEHALF OF THE BOARD OF DIRECTORS
"Richard D. Williams"
Richard D. Williams, P.Geo
CEO |
"Chris MacKenzie"
Christopher J. MacKenzie, C.Geol.
COO |
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that 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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You can also view this News Release on our website at:
http://www.helioresource.com/s/NewsReleases.asp?ReportID=474811 |
