Hillgrove Resources Limited
ACN 004 297 116
Level 41 Goldstralia Square, 264 George Street, Sydney NSW 2000
Tel: 02 8221 0404 Fax: 02 8221 0407
www.hillgroveresources.com.Gold
Thursday, 10 December 2009
TRENCHING CONFIRMS HIGH GRADE GOLD AT SUMBA
Work has highlighted high grade gold in trenches in the Western Vein system at the
Pahandanjal Prospect, with multiple veins striking approximately N-S over about
250m, with trench results including:
• 4m at 10.04g/t gold and 17.18g/t silver (FT4)
• 7m at 8.34g/t gold and 6.17g/t silver (FT3)
• 5m at 7.5g/t gold and 18g/t silver (FT2)
• 2m at 12.5g/t gold and 11.6g/t silver (FT5)
• 9m at 6.51g/t gold and 9.40g/t silver, within a zone of 18m at 3.93g/t gold and
8.02g/t silver (FT1)
Hillgrove Resources Limited (ASX: HGO) is pleased to announce results from the ongoing
exploration program at the Masu Project (Pahandanjal Prospect) on the island of Sumba,
Indonesia (Figure 1).
Trench sampling at Pahandanjal Prospect is ongoing.
Figure 1.
Map showing basic geology, project areas,
main prospects and IUP tenement boundary for Sumba (2010)
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Hillgrove Resources Limited
David Archer, the Managing Director of Hillgrove Resources said today "The results continue
to highlight the Masu Project"s potential to host multiple, high-grade, fracture-controlled vein
systems, of comparable grades and dimensions to high grade epithermal low sulphidation
systems mined elsewhere in the Indonesian archipelago.
These results are in addition to the
excellent results we announced on Tuesday from the Pelitalira Prospect - Tanah Daro
Project further to the north.
"These new high grade gold results have successfully pinpointed high quality targets in the
Western Vein system for drill testing early in 2010 at the start of the dry season".
Masu Project
The Masu Project is located in South East Sumba and has been the principal focus for
exploration activities on Sumba in 2009.
Significant results to date from the recent trench
sampling program are shown in Tables 1 and Figure 2.
Pahandanjal Prospect- Western Vein
A high-grade outcropping vein zone previously identified by Hillgrove in rock chip sampling in
May-June 2009 was trenched in October-December 2009 (Figure 2).
Trenching has revealed
multiple high grade lodes which are enveloped by low grade alteration.
Significant trench
results are listed in Table 1, and include the following:
• Trench FT1: 9m at 6.51g/t gold , 9.4g/t silver, within a zone of 18m at 3.93g/t gold,
8.02g/t silver
• Trench FT2: 5m at 7.5g/t gold, 18g/t silver and 1m at 6.73g/t gold, 72.2g/t silver
• Trench FT3: 7m at 8.34g/t gold, 6.17g/t silver
• Trench FT4: 4m at 10.04g/t gold, 17.18g/t silver ,2m at 3.34g/t gold, 4.25g/t silver
and 1m at 3.68g/t gold, 1.8g/t silver
• Trench FT5: 2m at 6.25g/t gold, 21.35g/t silver, 2m at 12.5g/t gold, 11.6g/t silver, 1m
at 10.2g/t gold, 17.5g/t silver and 2m at 1.03g/t gold, 1.2g/t silver
• Trench FT100: 15m at 1.51g/t gold, 6.18g/t silver
• Trench FT101: 1m at 11.5g/t gold, 20.8g/t silver, and 2m at 1.13g/t gold, 3.7g/t silver,
and 1m at 4.71g/t gold, 3.7g/t silver
• Trench FT102: 4m at 5.34g/t gold, 10.40g/t silver
• Trench FT103: 3m at 2.35g/t gold, 8.57g/t silver.
The Western Vein system strikes approximately north - south, but has multiple lodes and
bifurcations which vary from NNW to NNE.
The true widths of the lodes vary from up to 18m
in trench FT1 to less than 2m in some trenches.
The outcropping strike length is
approximately 250m, but this has not been closed off to the south, and occurs over a vertical
interval at surface of at least 170m (top and bottom of hill).
The continuation of the lodes to the south has also been trenched (FT6, FT7, FT8, FT105),
however results have not yet been received.
The lodes weaken and trend under cover
towards the north.
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Hillgrove Resources Limited
Figure 2.
Map showing Significant Intercepts from Trench Sampling
on the Western Lode at Pahandanjal Prospect, 2009
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Hillgrove Resources Limited
The area is in steep terrain and previous trenches excavated by BHP have eroded away.
There are two major veins which appear to join towards the south.
To the south the lode
trends beneath thick scree cover which is difficult to effectively trench, however a strong
silica float train is evident within the thick scree on the inferred trend of the lodes.
It is likely
the lode system continues to the south but with unknown grade and dimensions.
The
geology of the lode shows some classical banded and brecciated epithermal vein textures
highlighting the prospectivity of the area.
Work is continuing on defining the extent of mineralisation with an aim to have the prospect
drill ready by early 2010.
Further results will be released when they come to hand.
Pahandanjal Prospect- Satellite Prospects
Satellite prospects at Pahandanjal include North Pahandanjal, Pandanjara, and South
Pahandanjal which are likely to be similar in style to that at Pahandanjal, which have the
potential with further exploration to add to the high quality targets that are outlined in the
area.
About Hillgrove
Hillgrove is an Australian mining company listed on the Australian Securities Exchange
(ASX: HGO) focused on developing its Indonesian, South Australian and Queensland base
and precious metals projects.
The Company is targeting the discovery of world class
epithermal gold and porphyry copper/gold deposits in Eastern Indonesia.
Hillgrove"s flagship development is the Kanmantoo Copper Gold Project, located less than
60km from Adelaide in South Australia.
Kanmantoo currently hosts a Mineral Resource of
32.2MT (2.3MT Measured, 22.5MT Indicated and 7.4MT Inferred) grading 0.9% copper and
0.20g/t gold, containing 292,200 tonnes of copper, 191,100 ounces of gold and 3,313,600
ounces of silver.
With production targeted for the first quarter of 2011, Kanmantoo will be a
2MT p.a.
open-cut mine producing approximately 17,000 tonnes of copper in concentrate
and 8,000 ounces of gold per annum.
The information in this report that relates to Exploration Results is based on information compiled by
Mr.
Adam Freeman, who is a Member of The Australasian Institute of Geoscientists.
Mr.
Freeman is a
Geology Manager for Hillgrove Resources and has sufficient relevant experience to qualify as a
Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves".
Mr.
Freeman consents to the inclusion in
the report of the matters based on his information in the form and context in which it appears.
For more information contact:
Mr David Archer Mr Dale Ferguson
Managing Director General Manager - Exploration & Operations
Hillgrove Resources Limited Hillgrove Resources Limited
Tel: +61 2 8221 0404 Tel: +61 8 9481 1433
Mobile: 0414 737 767 Mobile: 0439 886 019
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Hillgrove Resources Limited
Table 1.
Significant Trench Results from the Western Vein, Pahandanjal (December, 2009)
Trench
ID.
UTM E UTM N TO UTM E UTM N Interval Gold
g/t
Silver
g/t
FT1 203605 8880984 203641 8880976 9m 6.51 9.40
6m 1.52 9.16
FT2 203606 8881001 203641 8880994 5m 7.5 18
1m 6.73 72.2
FT3 203599 8880967 203623 8880957 7m 8.34 6.17
FT4 203606 8881017 203635 8881003 4m 10.04 17.18
2m 3.34 4.25
1m 3.68 1.8
FT5 203612 8881032 203643 8881034 2m 6.25 21.35
2m 12.5 11.6
2m 1.03 1.2
1m 10.2 17.5
FT6
FT7 Results not yet received
FT8
FT9 203646 8881080 203669 8881061 NSR
FT10 203641 8881094 203657 8881084 1m 1.26 4.70
FT11 203608 8881120 203662 8881109 2m 1.18 4.40
FT100 203594 8881078 203609 8881051 15m 1.51 6.18
FT100A 203609 8881067 203610 8881068 1m 2.49 9.00
FT100B 203632 8881097 203633 8881097 NSR
FT101 203607 8881051 203609 8881051 2m 1.13 2.85
1m 11.5 20.8
1m 4.71 3.7
FT102 203565 8881085 203607 8881084 4m 5.34 10.40
FT103 203577 8881116 203602 8881116 3m 2.35 8.57
FT104 203625 8881064 203658 8881051 6m 2.64 2.2
FT105 Results not yet received
Note: Gold values are derived from an average of up to 5 repeats using fire assay method.
Silver values are derived from a multi element sweep using ICP method.
Datum used for East Sumba is WGS 84 Zone 51.
Highlighted trench Intervals are based on 6g/t Au cut-offs averaged over the interval, other
intervals based on 1g/t Au cut-off averaged over the interval.
