Shares in D'Aguilar Gold (ASX: DGR) should get a big lift this morning as news that its associate company, UK-listed Solomon Gold (AIM: SOLG) now believes that its wholly-owned project "has the potential to host a world class gold deposit", similar to the massive Lihir mine – which holds one of the world's largest gold resources.
Solomon revealed that the remaining 157 samples from recent exploration at Fauro, returned up to 97.6 grams per Tonne (g/t) gold and 90.1g/t silver.
“These exciting assay results from Fauro continue to show the potential for a large gold deposit similar in style to Lihir Island in PNG,” Solomon chief executive Nicholas Mather commented.
Newcrest Mining’s (ASX:NCM) Lihir mine, on the neighbouring Niolam Island of Papua New Guinea, has 28.8 million ounces (Moz) of gold in reserves, and 43Moz in measured and indicated resources.
“There are important mega structural similarities between Lihir and Fauro, which are supported by the structures evident in the seafloor and on the bathymetric maps."
According to Solomon, the results strongly support "the presence of high tonnage porphyry gold, copper and molybdenum targets" on Fauro.
"The company is pleased to report that all the results from the August 2010 surface sampling exploration campaign have now been received,” Mather said.
“The best results were from Hornbill, Kiovakase and Meriguna, with respective gold assays being 139g/t, 169g/t and 173g/t. The best copper results were 0.35% and 0.21% from Hornbill, as well as 0.2% at Ballyorlo and 0.16% at Kiovakase.”
“Extensive molybdenum mineralisation was discovered at Ballyorlo, the highest grade being 0.43% molybdenum.”
“Extraordinarily, over 42% of the total sample results from the program reported over 0.5g/t gold. This is a very strongly mineralised system."
With these excellent results in hand, and substantially more investor interest, Solomon will move on to the next stage of exploration.
Work is scheduled to restart next week to follow up the prospects from August's campaign, as well two more of Fauro’s prospects - Piru and Masa Masa Islands.
“Magnetic signatures at Piru and Masa Masa are similar to the strongly mineralised porphyry systems on western Fauro, which we've now sampled and are about to be drilled,” Mather noted.
“This will be our first campaign in these areas."
D’Aguilar Gold Limited holds 35.2 million shares in Solomon Gold, which equates to 15.6% of the issued