Central China Goldfields is starting field work at the Cikoleang Gold Project in east Java with the aim of extending the existing area of mineralization.
The initial field work program will precede more detailed analysis later in the year, which is likely to include drilling.
The 7981 hectare project is in the Bayah Dome gold district, 100km south-west of Jakarta. The property consists of intermediate sulphidation epithermal gold mineralization, similar to the neighbouring Cikotok and Cirotan mines. At least 10 veins have been recognized with widths of up to 1.5 metres wide with strike lengths of up to 300 metres. The company believes it is possible that some of the veins are continuous.
The field work will concentrate on detailed geological mapping, focusing on both surface and underground exposures of known gold vein areas. The aim is to extend the gold rich veins as well as identify further enrichment zones and new areas of mineralization outside the known veins.
Previously the company gathered 22 rock samples of outcrops and material from artisanal workings during an initial evaluation phase. Seven samples returned between 1 and 22.2 grams/tonne gold while 15 samples returned between 5 and 398 grams/tonne silver.
The work is part of a 6 month due diligence program at Cikoleang which Central China Goldfields is undertaking as part of a joint venture option agreement with local partner company PT Fino Bersaudara. If it proceeds the joint venture will see Fino own 25% and Central China 75% in return for funding US$2 million in expenditure.
Cikoleang represents Central China’s first new project since it has shifted focus to Indonesia and the Philippines following the sale of its stake in the China-based Nimu copper-molybdenum project and terminated development of its remaining Chinese project.
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