11 January 2012 – Helio Resource Corp. is pleased to report the first results from its 2011 RC drill programme at the Tumbili Target, SMP Gold Project in Tanzania.
The principal features of this programme are:
- The completed drilling of five fences of north-south RC drill holes, confirming the presence of gold mineralisation over a strike length of 1,400 metres.
- This mineralisation thickens towards the west and is still open to the east and west along strike, and at depth.
- A new, NW-trending, high-grade zone of mineralisation has been identified. This intercept of two metres has a gold grade of 17.8 grams per ton (g/t).
- The new NW-trending zone is associated with a 600-metre long gold-in-soil anomaly.
- This mineralisation is not included in the existing resource at the SMP gold project and continues to demonstrate the excellent potential to add to that resource.
The best grades intersected by previous drilling of the Tumbili target (see map) comprised 16metres at 1.9g/t Au and 12metres at 1.4g/t Au on two drill fence lines 1,000metres apart. The 2011 drilling was intended to infill and extend the known mineralisation at Tumbili.
A total of 36 holes totalling 3,210 metres were drilled on five drill fence lines 200 to 400metres apart. Drilling at Tumbili now covers 1,400metres of strike at 200 – 300metre spacings.The drilled bedrock mineralisation is open along strike to the east and west, and to depth.The Company estimates that a further 3,000metres of infill drilling is required to convert this mineralisation into a NI 43-101 compliant resource estimate.
Gold mineralisation at Tumbili is associated with sheeted quartz veins, and disseminated pyrite within a sericite-altered granitic host rock. The nature of the mineralisation is consistent with mineralisation observed at the Kenge and Porcupine targets where metallurgical test-work shows gold recoveries of up to 96% through conventional processing techniques.