High grade gold discovery at Tharkhek in Laos

Transcription

1 ASX ANNOUNCEMENT 18 June 2010 High grade gold discovery at Tharkhek in Laos Exploration has discovered a continuous zone of high grade gold skarn mineralisation at the Tharkhek gold prospect, which is in close proximity to the Tharkhek copper gold deposit near, Laos (Figures 1 and 2). The first four discovery holes have all intersected high grade gold mineralisation over significant widths including 22 metres at 12.78g/t gold from 141 metres (TKRD015) and 17 metres at 10.96g/t gold from 135 metres (TKR035): Hole No. Depth of hole Orientation TKRD015* 680.3m TKR032 23m TKR m TKR m From Interval Gold Intersection grades are down hole length weighted calculations using a 0.3g/t gold cut off and a maximum sub grade interval of 4m. * Previously announced intersection. The high grade gold mineralisation has been intersected over an area of approximately 100 x 100 metres and has an estimated true thickness of between 15 metres and 20 metres. The mineralisation remains open to the east and west. Managing Director, Gary Stafford said Tharkhek is emerging as an exciting discovery with the prospect of a discrete high grade gold deposit being defined in close proximity to a copper gold deposit thereby increasing the prospects for separate gold and copper gold production streams to be developed in the Region. Drilling activity at the Tharkhek gold prospect will be suspended through the current wet season while results are collated and interpretive work is completed. The relationship between the discrete gold and copper gold occurrences at Tharkhek is not fully understood but is thought to be analogous to the Fortitude gold and Copper Canyon deposits in Nevada. Drilling is planned to recommence in November this year.

2 The nearby Tharkhek copper gold deposit is part of the Copper Project (Figures 1 and 2), which comprises two deposits: KTL and Tharkhek located 5km apart and close to the town of and existing road and power infrastructure. The nearby Bohr Thong Prospect is an additional regional exploration target. Copper Gold Project Update A two year resource development program, which will be completed in several phases, is currently underway at the KTL and Tharkhek copper gold deposits. Drilling at KTL has confirmed a continuous zone of copper gold mineralisation over a strike length of 1.6km. The zone of mineralisation, which dips moderately to the south at between 30deg and 40deg, remains open to the east. New and significant drill assay results from the current program are detailed in Table 1. Previously reported intercepts include: KDD metres at 0.69% copper, 0.19g/t gold and 3.5g/t silver from a down hole depth of 160 metres KDD metres at 0.95% copper, 0.38g/t gold and 2.8g/t silver from a down hole depth of 146 metres KDD metres at 0.44% copper, 0.20g/t gold, 2.1g/t silver and 0% molybdenum from a down hole depth of 46 metres KDD metres at 0.40% copper, 0.13g/t gold and 2.6g/t silver from a down hole depth of 144 metres At the Tharkhek deposit, copper gold mineralisation occurs close to the margins of an elongated (six kilometre by two kilometre) mass of diorite porphyry rocks that intrude a steeply dipping limestone sequence. Two distinct zones of mineralisation have been identified: a gossan area which has a strike length of over 1.5km, and a skarn zone. The discrete zone of high grade gold skarn mineralisation detailed earlier in this announcement occurs within a magnetite and pyrrhotite skarn which is in close proximity to the copper skarn mineralisation. New and significant drill assay results at Tharkhek have identified significant base metal and gold mineralisation intercepts (Table 1) including: TKD metres at 1.35% copper, 0.11g/t gold and 2.2g/t silver from a down hole depth of 42 metres Previously reported intercepts include: TKD metres at 0.3% copper from surface, including 49 metres at 0.5% copper from 18 metre to the end of the hole TKD metres at 1.30% copper, 0.03g/t gold and 11.3g/t silver from a down hole depth of 284 metres TKD006 4 metres at 0.2% copper and 7.4g/t gold from a down hole depth of 73 metres TKD metres at 0.90% copper and 0.06g/t gold from a down hole depth of 270 metres 2

3 PanAust is planning to complete an initial resource estimate for the Copper Project for release in the March quarter Table 1: Copper Gold Project; significant drill intercepts Hole No. Depth of hole Orientation KTL deposit: KDD m 55 to 360 KDD m KDD m KDD m KDD m Tharkhek deposit: TKD m TKD026 20m From Interval Copper (%) Gold Silver Intersection grades are down hole length weighted calculations using a 0.3% copper cut off and a maximum sub grade interval of 4m. 3

4 Figure 1: Location of the Tharkhek gold prospect and Copper Gold Project Copper Project Figure 2: The gold and copper gold deposits and prospects in the Region, Laos 310,000 me 312,500 me 315,000 me 317,500 me 320,000 me Phu He Gold-Silver Prospect Phu He Bohr Thong Thong Copper Project KTL Tharkhek Tharkhek 310,000 me 312,500 me 315,000 me 5km 317,500 me 320,000 me 4

5 Forward Looking Statements This announcement includes certain Forward Looking Statements. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralisation, resources and reserves, and future development objectives of PanAust Limited are forward looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Competent Person Statement The data in this report that relates to exploration results for KTL and Tharkhek are based on information reviewed by Mr Dan Brost who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Brost is a full time employee of PanAust Limited. Mr Brost has sufficient experience relevant to the styles of mineralisation and type of deposits under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Brost consents to the inclusion in the report of the exploration results for KTL and Tharkhek in the form and context in which they appear. For further information contact: Mr Gary Stafford Managing Director PanAust Limited Tel: info@panaust.com.au Website: Mr Allan Ryan Investor Relations Manager 5