Completion of a 52 hole, 4380 metre drilling program at the Tembang Gold-Silver Project in South Sumatra has enabled Sumatra Copper & Gold to release updated resource estimates. The new estimates are for the Berenai, Siamang and Bujang deposits.
The new resource models will form the basis of the final open pit designs in the lead-up to the commencement of mining activities scheduled for later this year.
The phase four drilling program was completed in late March and was mainly focused on infill and extensional drilling at the deposits scheduled for open pit development in the second half of 2015.
Infill drilling within the DFS ore reserve pit at the Siamang deposit intersected wider zones of lower grade gold-silver mineralization resulting in an overall increase in the resource.
There are now 428,000 indicated and inferred tonnes @ 2.0 grams/tonne gold and 28 grams/tonne silver for 28,000 ounces of gold and 388,000 ounces of silver. This compares to the 2014 total of 181,202 tonnes @ 3.7 grams/tonne gold and 55 grams/tonne silver for 21,500 ounces of gold and 319,000 ounces of silver.
Infill and extensional drilling at Berenai confirmed the 2014 resource estimate and outlined an additional small mineralized lode in the footwall to the Berenai main lode.
There are now 2.297 million indicated and inferred tonnes @ 2.0 grams/tonne gold and 33.6 grams/tonne silver for 148,000 gold ounces and 2.482 million silver ounces compared to the 2014 total of 1.869 million tonnes @ 2.0 grams/tonne gold and 33.3 grams tonnes silver for 123,000 gold ounces and 2.001 million silver ounces.
Extensional drilling outside of the DFS pit design at Bujang demonstrated continuity of the high grade mineralization down plunge towards the southwest. One hole intersected 2.2 metres from 100.9 metres @ 11.1 grams/tonne gold and 18 grams/tonne silver.
There are now 286,000 tonnes @ 2.6 grams/tonne gold and 33 grams/tonne silver for 24,000 gold ounces and 305,000 silver ounces compared to 272,000 tonnes @ 2.6 grams/tonne gold and 34 grams/tonne silver for 23,000 ounces of gold and 298,000 ounces of silver in 2014.
Two exploration drill holes were also completed at the adjoining Racambai prospect. One hole intersected 5.3 metres from 103.5 metres @ 0.46 grams/tonne gold and 27 grams/tonne silver confirming the presence of a significant mineralized structure with a +1km-long gold-in-soil geochemical anomaly.
The Tembang project lies within the back-arc environment of the Barisan Mountain range and Trans-Sumatra Fault Zone with epithermal mineralization related to the intersection of arc parallel and arc normal faults and fractures.