COPPER gold drill results at Harmony Gold Mining’s 100 per cent owned Kili Teke prospect show its rare potential, according to group chief executive Peter Steenkamp.
Located in the Hela province in Papua New Guinea, the first mineral resource estimate for Kili Teke, announced in November 2015, comprised 128 million tonnes at 0.4% copper and 0.3 grams per tonne (g/t) gold.
Harmony said the deposit contains two main areas of higher-grade quartz stockwork related mineralisation.
Drilling completed since the release has focussed on potential to expand these zones along strike and down dip, which the company said has had encouraging results.
Harmony reported new zones of near surface, stockwork related copper-gold mineralisation developing within the current footprint, including 584.4 metres at 0.52% copper and 0.35 g/t of gold from 4.6 metres at KTDD027 .
Drilling also confirmed depth extensions of porphyry related quartz vein stockwork mineralisation of 206 metres at 0.59% copper and 0.42 g/t of gold from 482 metres at KTDD022 and 376 metres at 0.47% copper and 0.29 g/t of gold from 495 metres at KTDD025.
In addition, Harmony said results included high-grade massive sulphide chalcopyrite-bornite skarn mineralisation intersected at depth – 7.8 metres at 12.98% copper and 11.45 g/t of gold from 920.2 metres at KTDD025.
“It is a rare phenomenon, in this day and age, to drill a 584 metre borehole and achieve grades averaging over 0.5% copper and 0.35 g/t of gold from surface. Massive sulphide lodes averaging 13% copper and 11.4 grams per tonne gold are even rarer – which is what we are seeing from our Kili Teke drill results,” Mr Steenkamp said.
Drilling at the prospect continues with two drill rigs and a revised mineral resource estimate incorporating the latest drill results is planned for the September 2016 quarter.
The latest drilling results support the group’s belief that Kili Teke has the potential to develop into a major new porphyry copper-gold system, Mr Steenkamp said.
“Developing a portfolio of world class copper-gold assets in PNG – replacing ounces at a discovery cost of less than US$10 per gold equivalent ounce – creates excellent long term value for our shareholders,” he added.