Best Intercept of 11m @ 14.74g/t Au from 8m in
extensional drilling, includes 1m @ 103g/t
VANCOUVER, Jan. 19, 2015 /CNW/ - Monument Mining Limited
(TSX-V: MMY and FSE: D7Q1) ("Monument" or the "Company") is pleased
to announce the third round of drilling results from the resource
drilling programme at the Murchison Gold Project in Western Australia, through its wholly owned
Australian subsidiary, Monument Murchison Pty Ltd. The Murchison
Gold Property is 100% owned by Monument Mining Limited and consists
of the historical Burnakura, Gabanintha and Tuckanarra
projects. Figure 1 (Appendix 1) shows a Location Plan for the
Project.
CEO, Robert Baldock, said:
"Exploration and progress towards a preliminary economic assessment
has continued at the Burnakura Project to the end of December 2014, with a total of 13,123m of RC
Drilling carried out at Burnakura Project containing historical
resources including Alliance, New Alliance; and a further 4,676m of
exploration drilling at the Federal City. The drilling has
comprised infill drilling to further define the historical
resources, extensional drilling to test strike and width
extensions, and exploration drilling to target new prospects.
The initial preliminary economic assessment is targeting completion
by March 2015, and final study is
expecting to be completed by June
2015, comprised of metallurgical testwork, mining
engineering, environmental studies and permitting, aiming to bring
the Murchison into production as soon as is economically
viable."
Highlights of the Drill Results
To date, a total of 151 RC holes have been completed for a total
of 13,123m at Alliance/New Alliance. Results for the first
102 holes drilled are available in the Company Release of 18
November, 2014. The remaining 49 holes totalling 3777 m,
drilled in the second round of drilling at Alliance/New Alliance,
has results pending. At Federal City, a total of 74
holes for 4,676m has been completed, including a further follow up
programme of 11 holes for 618m, with results now available.
The drilling programme at Federal City was completed in two
phases; 63 holes within the first round, and a further 11
holes in the second round to attempt to test the high grade
intercepts down dip and along strike. Table 1 in Appendix 2
shows a breakdown of fire assay results completed by SGS Australia
for intervals of mineralisation greater than 0.5g/t Au along with
collar information for the drill holes. High grade intercepts
are highlighted in orange. Figure 2 shows the distribution of
drill holes containing mineralised assay results greater than
0.5g/t Au (Appendix 3) at Federal City. Table 2 in Appendix 4 shows
a list of the collar information for all Federal City drill
holes.
The majority of the infill and extensional drilling was angled
at 60° towards the southwest, and has confirmed the existing
mineralised zones and also intersected a number of isolated high
grade intervals outside of the currently defined
mineralisation. The drill hole orientation was designed to
target perpendicular to mineralisation for true thickness, except
where vertical holes were drilled – See Table 1. The drill
hole intercepts reported in this statement represent the actual
sample intervals obtained from drilling. The mineralisation at
Federal City can host high grade "nuggetty" gold zones which will
require further close spaced drilling to confirm their orientations
and extents.
High grade intercepts were revealed in holes 14MRC112, 14MRC113,
14MRC126, 14MRC139 and 14MRC143 from the Phase 1 drilling. A
follow up programme of 11 holes tested four of the five
holes.
Hole 14MRC113 intersected 2m @ 24.6g/t Au from 36m,
30m south-east of an historical intersection of 2m @ 14.1g/t Au
from 40m, which is situated approximately 30 metres from the
southwest corner of the current pit. The current drilling has
confirmed this historical high grade intersection and follow up
drilling in holes14MRC185-187 has indicated low grade
mineralisation 20m further along strike to the south-east,
indicating a newly defined mineralised zone 30m below the lowest
zone at Federal City South.
The highest grade intercept shows an interval of 11m @ 14g/t Au
including 1m @ 103g/t in drill hole 14MRC143 in Federal City North,
however follow up drilling failed to confirm the high grade.
Additional drilling on a north-south orientation is planned
in this area to test for a narrow cross-cutting sub-vertical
east-west structure that may host the mineralisation and which may
have been missed using the current drilling orientation.
According to Lisa Wells,
Exploration Manager, "these results have shown some impressive high
grade intersections in exploration and extensional drill holes at
Federal City. High grade zones are outside of the current
mineralisation, and could be hosted in sub-vertical cross-cutting
E-W structures. The orientation and extent of the high grade zones
is unknown at this stage and requires further confirmation
drilling. The structure in the area is geologically complex and the
Company is now undertaking a PQ diamond drilling programme to twin
these high grade holes to assist the interpretation. A further
follow up RC programme is also about to commence at Federal City to
assist understanding of the orientation of the mineralisation to
aid future targeting. "
Background And Progress On The Exploration
Program
The drilling programme was initiated in May 2014 at the Alliance and New Alliance open
pit historical deposits, and has been extended into Federal City at
the Burnakura Project. Figure 3 shows the geological map for the
Burnakura Tenement area (Appendix 5). The drilling program
has been designed to validate the historical resource, increase the
grade and geological continuity of the mineralisation through
infill drilling and to test for resource extensions and define
further exploration targets. This work will contribute to the
current scoping study to assess economics of over those areas to
provide a commercial outcome within an eighteen month time frame
from acquisition. This news release should be read in conjunction
with previous news releases dating from May
26, 2014.
Various studies are currently underway progressing towards a
preliminary economic assessment for the Alliance, New Alliance
and Federal City resources which include:
Resource confirmation and study
To date the historical estimates have been under review by
independent consultants, Cube Consulting ("Cube"). The
complete historical resource drilling digital database has now been
checked and validated by Cube for consistency. The data is
now being held in a secure SQL database server. Cube has also
reviewed the QAQC procedures and quality control data for the first
102 holes completed and considers at this stage that the veracity
of the data is appropriate for the purposes of mineral resource
estimation. The QAQC analysis for the remainder of the holes is in
progress.
All data for the first 176 holes at Alliance, New Alliance and
Federal City has now been input into the database. Cube has
recently commenced the interpretation on the geological model of
Alliance and New Alliance and the mineral resource estimation to
include the latest results from the first round of drilling.
The geological model will complement the estimation model and be
used for potential mine planning purposes. A report of the
mineral resource and geological model is pending.
Metallurgical test work and review of the plant
engineering design
Metallurgical testwork on PQ core samples from 6 holes at
Alliance/New Alliance is currently underway. The work is
testing the material for use with the existing CIL/CIP plant as
well as potential for heap leach recovery. Complete results
for this are pending and due in the first quarter of 2015.
Reports have been received by Kappes Cassiday Australia and Como
Engineers regarding their review of the heap leach pad and
available equipment at Burnakura. The Company is in the
process of following up on these reports and obtaining high level
cost estimates for the building and construction of a heap leach
facility were this to become economically feasible.
A plant recommissioning inspection by Orway Mineral Consultants
was carried out in November by a process engineer and an electrical
engineer to inspect and test the plant for safety purposes and
readiness for recommissioning while the plant remains under Care
and Maintenance. No major concerns were apparent and the
Company's maintenance programme is keeping the asset in good
order.
The Company is in the process of reviewing process flow sheets
for the metallurgical circuit of the CIL/CIP plant at site for the
potential commencement of mining when economically viable in the
future. High level construction cost proposals are currently
being put together by Como Engineers. This focuses on
commencing with the CIL/CIP plant to gain initial cash-flow, and
then construction of a heap leach facility that links in to the
existing circuit in the future.
Environmental study
Environmental permitting by Independent Consultants, Animal
Plant Mineral, has been ongoing. Recently a large scale
blanket drilling programme has been approved for tenements M51/116,
117, 177, 178 and 252 from the Department of Mines and
Petroleum. This will allow 370 holes for each tenement to be
drilled, within the 50 x 50 drill grid and enable the company to
follow up favourable drilling immediately instead of waiting for
approvals. Only holes deemed relevant would be drilled.
Site maintenance and development
Since the acquisition of the asset, Monument has ensured that
the plant and fixed assets are being kept in good care and
maintenance order with a view to future commissioning. Site
operations are fully functional for the needs of exploration with
supply chain logistics firmly in place. All safety policies
and procedures have been implemented at the Monument site
operations, as required by the Department of Mines and
Petroleum.
The Company is waiting to receive assay data from the remaining
49 holes at Alliance/New Alliance which was completed on
December 19, 2014.
A review of all data becoming available from the exploration and
preliminary study is underway with a view to planning and budgeting
for the year.
The scientific and technical information in this press release
has been compiled by Lisa Wells
(B.Sc App Science, Geology, MAusIMM), and reviewed by Darryl Mapleson (BSc (Hons), FAusIMM) who is a
as a Competent Person as defined by JORC guidelines and a Qualified
Person for NI43-101 retained by Monument Mining Limited. He has
been working in Australia for
Monument as an independent consultant.
The above stated development outlook is to the effect that a
Scoping Study has not been completed and there is no certainty the
proposed operation will be economically viable.
About Monument
Monument Mining Limited (TSX-V:MMY, FSE:D7Q1) is an established
Canadian gold producer that owns and operates the Selinsing Gold
Mine in Malaysia. Its experienced
management team is committed to growth and is advancing several
exploration and development projects including the Mengapur
Polymetallic Project, in Pahang State of Malaysia, and the
Murchison Gold Projects comprising Burnakura, Gabanintha and
Tuckanarra in the Murchison area of Western Australia. The Company employs over
300 people in both regions and is committed to the highest
standards of environmental management, social responsibility, and
health and safety for its employees and neighboring
communities.
Robert F. Baldock,
President and CEO
Monument Mining Limited
Suite 1580 -1100 Melville Street
Vancouver, BC V6E 4A6
"Neither 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."
Forward-Looking Statement
This news release includes statements containing
forward-looking information about Monument, its business and future
plans ("forward-looking statements"). Forward-looking statements
are statements that involve expectations, plans, objectives or
future events that are not historical facts and include the
Company's plans with respect to its mineral projects and the timing
and results of proposed programs and events referred to in this
news release. Generally, forward-looking information can be
identified by the use of forward-looking terminology such as
"plans", "expects" or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates" or
"does not anticipate", or "believes", or variations of such words
and phrases or state that certain actions, events or results "may",
"could", "would", "might" or "will be taken", "occur" or "be
achieved". The forward-looking statements in this news release are
subject to various risks, uncertainties and other factors that
could cause actual results or achievements to differ materially
from those expressed or implied by the forward-looking
statements. These risks and certain other factors include,
without limitation: risks related to general business, economic,
competitive, geopolitical and social uncertainties; uncertainties
regarding the results of current exploration activities;
uncertainties in the progress and timing of development activities;
foreign operations risks; other risks inherent in the mining
industry and other risks described in the management discussion and
analysis of the Company and the technical reports on the Company's
projects, all of which are available under the profile of the
Company on SEDAR at www.sedar.com. Material factors and
assumptions used to develop forward-looking statements in this news
release include: expectations regarding the estimated cash
cost per ounce of gold production and the estimated cash flows
which may be generated from the operations, general economic
factors and other factors that may be beyond the control of
Monument; assumptions and expectations regarding the results of
exploration on the Company's projects; assumptions regarding the
future price of gold of other minerals; the timing and amount of
estimated future production; the expected timing and results of
development and exploration activities; costs of future activities;
capital and operating expenditures; success of exploration
activities; mining or processing issues; exchange rates; and all of
the factors and assumptions described in the management discussion
and analysis of the Company and the technical reports on the
Company's projects, all of which are available under the profile of
the Company on SEDAR at www.sedar.com. Although the Company
has attempted to identify important factors that could cause actual
results to differ materially from those contained in
forward-looking statements, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can
be no assurance that such statements will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking statements. The Company
does not undertake to update any forward-looking statements, except
in accordance with applicable securities laws.
APPENDIX 1 - Figure 1 – Murchison Gold Project
APPENDIX 2 - Table 1: Signficant Drill Intercepts >
0.5g/t
APPENDIX 3 - Figure 2: Drillhole Location Plan
for Assays Greater than 0.5g/t
APPENDIX 4 - Table 2 - Collar Information for First
Campaign of RC and Diamond Drilling
at Alliance/New Alliance
SOURCE Monument Mining Limited