TSX-V Trading Symbol: HRC
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VANCOUVER, Feb. 6, 2012 /PRNewswire/ – Helio Resource Corp (TSX-V: HRC) is pleased to report the final results from the 2011 drill programmes on the Gold Kop and Leatherman Targets, DGP Gold Project in Namibia.
Gold Kop Target Highlights
12 Reverse Circulation (RC) drill holes completed in December, totalling 1,536m. Six drill holes failed to reach the target depth due to ground water ingress. Two holes ended in mineralisation and need to be extended to determine the full width of the mineralised zones.
Significant intercepts up to 4m at 8.2g/t Au, 8m at 3.2g/t Au, 6m at 2.7g/t Au, and two zones grading 2.9g/t Au over 6m.
RC drilling at Gold Kop was primarily designed to test the depth potential of gold mineralisation intersected in a previous shallow (50m) RC drill programme (see news release dated November 15, 2011) and to extend older RC drill holes that did not reach target depth.
Hole OJR122 intersected two zones of mineralisation, including a high-grade zone (4m at 8.2g/t Au), and ended in the target dolomitic unit at 220m due to lack of drill rods. This demonstrates the depth potential of the prospective host horizon.
The extension of OJR16 (previously only 50m long, with no significant gold values) to 104m is considered very significant since it is targeted under well mineralised holes on RC Line 2 (4m at 11.6g/t Au and 8m at 1.9g/t Au), and indicates good continuity of mineralisation AND thickening of the mineralised zone to depth. Mineralisation is still open to depth because the hole stopped in mineralisation due to water ingress. A section showing the new intercepts on Line 2 is shown in the following link: http://www.helioresource.com/i/maps/2012-02-06_NRM2.pdf
RC drilling is planned to re-commence in late February / early March.
Gold Kop Target Drilling
In late 2011, the company completed a 12 hole RC drill programme, consisting of extending two existing holes (OJR16 and OJR91) and ten new holes (OJR121 to OJR131). The holes were drilled over a 950m strike length of the main prospective dolomite marble horizon, which has recorded grades of up to 50m grading 2.1g/t Au, 0.8%Cu, and 14g/t Ag in previous RC and Diamond Drilling (DD) programmes completed by the company during 2011. The aim of the holes was to test the down-dip potential of the Gold Kop Target, which had previously been drilled to shallow depths.
A detailed RC drill plan for the Gold Kop Target is represented in the following link:
In some cases the holes ended in mineralisation and will need to be extended by diamond drilling to confirm the true thickness of the mineralisation.
Results from the drilling are detailed below
Hole OJR16 was drilled at -50 degrees to the west. Holes OJR125-OJR127 were drilled at -50 degrees northwards. OJR122 was drilled at -88 degrees northwards and the remaining holes were drilled at -50 degrees to the NW.
Hole OJR123 hit the mineralised zone at depth, but was also stopped in mineralisation due to water ingress. Holes OJR124, 127, 128, 129, 130, and 131 likewise did not hit the targeted dolomite – calc marble contact which usually hosts the higher-grade mineralisation. Hole 125 hit a number of mineralised zones, including 4m grading 1% Cu, 18.5g/t Ag and 0.5g/t Au. This zone is located some 50m to the SSE of the gossan zone in hole OJD9, which intercepted 18m grading 1.0g/t Au, 7,5g.t Ag and 0.14% Cu (see Company press release dated November 28, 2011).
Extension of the holes which either stopped in mineralisation or did not reach the target horizon is planned in the future, to coincide with a more focussed programme to expand on the resource potential of the Gold Kop Target and to test newly discovered zones of anomalous geochemistry and geophysics on the same target (see Company press release dated January 23, 2012).
In late 2011, the company drilled twelve RC holes (for 1,386m) on the Leatherman gold-in-soil anomaly (see Company press releases dated April 6, 2011). The best zone discovered included 2m @ 9.4g/t Au in hole WIR5. All significant intercepts are shown below:
The DGP Gold Project
The DGP comprises four licences (covering 318,500ha or 3,185km2), namely Etjo South, Okakango, Wilhelmstal and Otjimbojo. Helio holds a 100% interest in the project through its wholly-owned Namibian subsidiary, BAFEX Exploration (Pty.) Ltd.
The DGP is located between AngloGold Ashanti’s Navachab Mine to the southwest and B2Gold’s Otjikoto Project to the northeast.
The Navachab mine has been in production since 1989 and, as of December 2009, has produced approximately 1.5 Moz of gold and has a non-NI 43-101 compliant resource of 5.1 Moz grading 1.15g/t Au (source AngloGold Ashanti Resource Report, 30 June, 2011).
B2Gold’s Otjikoto Gold Project, located approximately 150km northeast of Helio’s licences has a NI 43-101 indicated resource (February, 2011) of 15.78Mt grading 1.94g/t Au and an inferred resource of 8.37Mt grading 1.94g/t Au for a total of 1.5 Moz at a 0.8g/t cut-off.
Helio Resource Corp. is a well-financed gold exploration company focused on increasing the initial NI 43-101 compliant resource at the SMP Gold Project in Tanzania and outlining the resource potential at the Damara Gold Project in Namibia.
In November 2010, Golder Associates (UK) Ltd. provided an initial NI 43-101 compliant resource estimate for the SMP. The restrained estimate at a 0.5g/t Au cut-off reports 498,075 ounces (10.94MT grading 1.41g/t Au) in the Measured and Indicated category, plus 273,847 ounces (7.06MT grading 1.2g/t Au) in the inferred category.
Chris MacKenzie, M.Sc., C.Geol., Helio’s COO and a Qualified Person as designated by NI 43-101, is based in Namibia and supervises the exploration at Helio’s projects, including the sampling and quality assurance / quality control (QA-QC) programmes, and has reviewed and approved the contents of this news release. Unless otherwise stated, variably oriented reverse-circulation drill holes were drilled at -50º to -88 º. Intercepts are reported as drilled widths; more drilling is required to determine true width. DD holes were sampled at 1m to 2m intervals, continuously in the mineralised units, selectively outside these. RC was sampled using 2m composite samples. All samples were submitted to the lab with internal QA/QC checks including the use of standards, blanks, salted blanks and duplicates (average of 1 QA_QC sample each every 15 samples). Samples were assayed at the Intertek Genalysis Laboratory in Johannesburg, South Africa by 50g fire assay for gold, and by Atomic Absorption for Copper and Silver. As well as the Company’s internal QA/QC programme, Intertek Genalysis also applied their own internal QA/QC programme, consisting of insertion of standards and duplicates. Weighted average intercepts are calculated using a 0.5g/t Au cut-off (unless otherwise stated) and may include some mineralised waste. Any individual assays over 15g/t Au are stated.
ON BEHALF OF THE BOARD OF DIRECTORS
“Richard D. Williams”
Richard D. Williams, P.Geo CEO
Christopher J. MacKenzie, C.Geol. COO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release
SOURCE Helio Resource Corp.