Paramount starts diamond drilling at Gunung Rosa
Tuesday, March 13 2012 - 02:24 AM WIB
Australian-listed firm Paramount Mining Corporation Ltd announced today that it has commenced a 3-hole diamond drilling program at the gold-silver-base metal Gunung Rosa Project in West Java Province.
The initial due diligence program comprised of 13 drill holes, all of which intersected the vein system with confirmed high grade mineralisation tenor within the 358koz gold JORC compliant mineral resource.
"I am particularly pleased with the progress we have made in the last three months at the Gunung Rosa Project. Despite some recent negative publicity about the updated Indonesian mining regulations, Paramount believes that the Gunung Rosa Project can deliver substantial value to our shareholders," said Company Chairman Mo Munshi.
Paramount stated that a detailed helicopter-borne aeromagnetic survey has been commissioned and is scheduled for completion in late March to help the company sets new exploration targets and defines alteration hosting in the main mineralised veins that form the presently recognized resources.
The survey should also help further planning of the ongoing drilling program, extending the mineral resource and assist with mine development strategies.
Paramount is now focusing its primary efforts on the rapid development of the ore body, collecting approximately 600kg of metallurgical samples of various ore types to be dispatched to Perth for test-work.
Engineering studies should start in the second quarter of 2012, including the design of a trial mining program which will operate under the terms of the granted exploitation IUP license.
"We are all excited with these rapid developments given the signing of the revised Gunung Rosa acquisition terms and we can finally give full access to the project geologists and engineers so we can develop both a short and longer-term mining plan for this high-grade ore-body. Paramount will bolster the team on the ground with the appointment of an Operations Manager in the next few weeks to focus solely on the day-to-day development phase of the project during 2012," said Company CEO Terry Holohan.
Editing by Er Audy Zandri