logo-loader

Intrepid Mines boosts Tumpangpitu porphyry copper-gold resource over 70%

Last updated: 06:31 08 Dec 2011 AEDT, First published: 07:31 08 Dec 2011 AEDT

no_picture_pai

Intrepid Mines (TSE:IAU)(ASX:IAU) Wednesday expanded the inferred resource at its Indonesian project by 70 percent to 1.7 billion tonnes at 0.41 percent copper and 0.46 grams per tonne (g/t) gold, at a cut-off grade of 0.2 percent copper.

The previous estimate for the Tumpangpitu area of the Tujuh Bukit project from May 2011 was 990 million tonnes at 0.40 percent copper and 0.45 g/t gold, at a 0.2 percent copper or 0.2 g/t gold cut-off.

The update follows drilling completed in the last six months around the known porphyry copper-gold zone of the property.

Shares rose 18 percent to $1.55 on Wednesday's news.

Intrepid Mines CEO, Brad Gordon, said: "While we are pleased to have tripled the size of this porphyry resource in just a little over a year, we still have not reached the limit of the resource at Tumpangpitu, let alone across the entire Tujuh Bukit project, which clearly ranks amongst the world's major undeveloped copper-gold projects.

"We will soon have 11 drill rigs available, including one capable of drilling to depths of almost two kilometres. We look forward to initiating drilling at the Salakan porphyry and continuing to expand our exploration program across this exciting project area."

The latest resource estimate is based on a resource block model of approximately 3.4 by 2.8 kilometres. The vertical extent of mineralization defined to date is approximately 1.1 kilometres and extends from 200 to 900 metres below sea level.

This expanded resource has been completed by independent consultants Hellman and Schofield Pty. Ltd. and reported in accordance with the JORC Code and NI 43-101.

The estimate is based on 41 drill holes in excess of 700 metres, for a total of approximately 36,600 metres.

Intrepid said it remains confident that the porphyry copper-gold resource at Tumpangpitu will continue to grow, as additional drilling is completed over the coming months.

Not included in the above estimate is the Tumpangpitu oxide gold-silver zone, which stands at 130 million tonnes at 0.55 g/t gold and 18 g/t silver for 2.4 million ounces of contained gold and 80 million ounces of contained silver.

This inferred resource is the subject of an on-going in-fill drill program to provide additional data for the Oxide project heap leach pre-feasibility study.