Sihayo Gold Limited announced the latest results from reconnaissance rock sampling in progress at Tambang Tinggi located in the northeast corner of the South Block of the PT Sorikmas Mining CoW in North Sumatra, Indonesia.
Results were received for 57 reconnaissance grab samples taken from local mining muck piles and outcrops located surrounding and between the Tambang Tinggi and Tambang Ubi prospects. The encouraging results are summarised below and continue to highlight strong gold and copper anomalies associated with quartz-sulphide veins and skarns located with a >4 km by 1 km area along the Tambang Tinggi project area Highlights from these results include: 5 samples returned gold results ranging from 13.1 to 36.6 g/t Au; 8 samples returned gold results ranging from 5.8 to 8.9 g/t Au; 7 samples returned gold results ranging from 1.12 to 4.51 g/t Au; 19 samples returned copper results >0.2% Cu, including 5 samples assaying from 2.08 to 8.29% Cu. The concentration of higher copper and associated gold results on the western side of the Tambang Tinggi project area is sourced from garnet-pyroxene-wollastonite-sulphide- magnetite skarns in Permian limestones. Gold-bearing quartz-sulphide veining cutting diorite intrusions is concentrated at the centre and eastern side of the Tambang Tinggi project and is associated with stronger arsenic and tellurium anomalism. There is currently insufficient sampling density and grade representativity to comment on the potential geometry and size of the prospects at this stage. However, the apparent large distribution of local artisanal workings and consistency of gold and copper anomalies detected in rock chips taken to-date are encouraging for the potential to discover significant gold-copper deposits in the Tambang Tinggi project area. The PT Sorikmas Mining CoW contains two large blocks of highly prospective exploration ground secured under long-term tenure. Multiple gold and polymetallic prospects have been defined by past exploration across the CoW area. The primary targets represent a diverse range of mineralisation styles including replacement-style sediment-hosted gold, epithermal gold-silver veins, intrusion-related quartz-sulphide veins, polymetallic skarns, and potentially porphyry-style copper-gold Underground sampling of the mineralized skarn from accessible drives by Sihayo in 2006 produced encouraging results including 3 m at 19.85 g/t Au and 0.85% Cu, 3 m at 13.6 g/t Au and 1.29% Cu, and 3 m at 11.7 g/t Au and 0.78% Cu. Sihayo completed 1,153 m of diamond drilling in 11 holes during 2006-07 and produced significant mineralised intercepts including 0.9 m at 6.27 g/t Au and 0.47% Cu from 35.7 m in TUDD001 and 4.0 m at 3.42 g/t Au and 0.48% Cu from 22.0 m in TUDD002. Over the past few decades, local artisanal miners have intermittently worked mineralised pillars left in this historic mine. The Company also conducted scout drilling at Tambang Hitam and Tambang Tinggi prospects during 2005-2011. Encouraging gold-copper drill intercepts were returned at Tambang Tinggi in quartz-sulphide stockworks within phyllic alteration (quartz-sericite-tourmaline-sulphide); including 27 m at 1.32 g/t Au and 0.11% Cu (TTDD001), 31 m at 3.42 g/t Au and 0.11% Cu (TTDD002) and 18 m at 5.86 g/t Au and 0.06% Cu (TTDD06). The Company has commenced the process of applying for an IPPKH Exploration forestry
permit to conduct detailed surface exploration activities, such as trenching and drilling, inside forestry designated areas located on the eastern side of the CoW South Block. The initial application covers about 10,000 ha of forestry that includes a large part of the Tambang Tinggi gold belt. Processing and granting of an IPPKH is estimated to take approximately six months. The Company can freely operate with the permission of landowners in the non-forestry
designated areas. Some samples reported in this announcement were taken outside of forestry and do not require a permit to undertake exploration trenching and drilling.