Sumitomo Metal Mining Co., Ltd. and Sumitomo Corp. June 9 said drilling has confirmed the presence of gold-silver-antimony mineralization in the Monte Cristo area of the Japanese company’s Stone Boy Project located about 40 miles (60 kilometers) west of Pogo gold mine.
Between June 2009 and June 2010, exploration was carried out as part of a joint venture project among Japan Oil, Gas and Metals National Corp., Sumitomo Metal Mining, and Sumitomo Corp.
From 2008 through 2010 the owners of the Pogo Mine drilled 29 holes in the Naosi prospect of Monte Cristo area, 27 of these intersected quartz veins mineralized with gold, silver and antimony. The principal drill results are summarized in the attached table. The quartz veins are thought to be gently dipping to the west and extend over 1,500 meters in the strike direction and over 500 meters in the dipping, and are assumed to consist of more than two quartz veins with a thickness of around one to five meters each.
Highlights from the Naosi drilling include: DH-35 which cut 7.92 meters averaging 7.8 grams per metric ton gold 19.7 g/t silver and 0.1 percent antimony; DH-36 intersected 2.47 meters averaging 3.6 g/t gold, 39.2 g/t silver and 3.27 percent antimony; and DH-55 which intersected 22.83 meters grading 4.2 g/t gold, 48 g/t silver and 0.17 percent antimony.
DH-53 cut two distinctive zones: 1.22 meters grading 4.3 g/t gold and 2 g/t silver; and a second 0.91-meter intercept with 2.3 g/t gold, 1,065 g/t silver and 7.37 percent antimony.
Sumitomo Metal Mining said it intends to continue the Naosi prospect to confirm the mineralization in extensions and parallel veins and then carry out infill drilling to evaluate ore resources. There is a potential that the same type of mineralization identified in the Naosi prospect will occur in other prospects in Monte Cristo area. The Japanese firm also plans to conduct new surveys regarding these prospects.
Sumitomo Metal Mining positions mineral resources as a core business in its Three-Year Business Plan and at present is increasing overseas mining interests as part of its long term vision for gold, with the aim of obtaining interests to increase its share of gold production by 30 tons per annum. This project is one of some 20 overseas exploration projects being carried out by the Japanese miner, and the company said it will continue to actively advance its overseas exploration activities.
Sumitomo Metal Mining holds a 95 percent interest in the Monte Cristo project, with Sumitomo Corp. owning the remaining 5 percent.
