A SURFACE mapping and soil sampling program is under way at Elysium Resources’ Malang project in East Java. The program to be carried out by Elysium’s Indonesian partners, PT Gata Sumbar Daya, entails reconnaissance mapping over the entire 10sqkm lease with more detailed project-scale mapping over the four identified prospects seeking copper-gold.
Significant soil, stream and rock chip sampling is planned to consolidate earlier reconnaissance work which identified the potential for large-scale porphyry targets in the region. Up to 300 soil, stream sediment and rock chip samples are planned.
A view over Elysium Resources’ Malang project, which is in East Java, 60km southeast of the city of Malang.
The exploration program is expected to be carried out throughout the first quarter of 2014. Airborne geophysics will be considered following the current work program with the aim of identifying drill-ready targets by the second half of 2014.
A community engagement program has commenced with local personnel being employed to supplement the exploration crews. Community meetings have identified the need for fresh water to be piped to the village nearest the project which the company is seeking to address to help ensure full support for the exploration effort.
In August Elysium agreed terms with Gata to explore the Malang project. The company incorporated a new Australian company called Malang Resources and has lent funds to this entity in an amount of $200,000 on the condition that Malang agrees to subsequently advance these funds to Gata for the purposes of securing the exploration permit (IUP) from the relevant Indonesian government authority.
Gata, headed by highly regarded geologist Adi Maryono, is partnering Elysium and providing local exploration and administrative expertise on its Indonesian projects. Adi Maryono is a long standing associate of Elysium’s chief technical advisor Neb Zurkic, having worked together on Newmont Mining’s world-class Batu Hijau and Elang deposits.
Gata through its experience in discovering and working directly on some of the largest copper-gold deposits in the world has been able to identify prospective areas on the Indonesian Archipelago through methodical reconnaissance exploration. The South Malang district along with three porphyry copper-gold deposits at Batu Hijau (2000 feasibility reserve reported at about 13.1 million ounces of gold and 12.7 billion pounds of copper), Elang (reported indicated and inferred resources of about 25.3 million gold ounces and 16.3 billion pounds of copper) and Tujuh Bukit (reported inferred resources of about 28.1 million gold ounces and 19 billion pounds of copper) are located along the prospective Neogene magmatic arc belts of Eastern Sunda.
Previous rock chip sampling at Malang by IndoChina Goldfields in the 1990s and Asia Gold (Ivanhoe) in 2006 returned significant results.