ROMARCO MINERALS INC. (TSX:R) has announced ongoing drilling results and a summary of the 2010 exploration program at its 100%-owned Haile Gold Mine in South Carolina.
The results demonstrate the continued growth and continuity of the mineralized system at Haile, which remains unconstrained in all directions and at depth.
DDH-371 encountered 30.7 meters of 16.1 g/t gold at a depth of 57.5 meters in an area of South Pit now designated as Mill Zone. This mineralized area has been given a separate name due to the uniqueness of the grades encountered within a pit that was historically recognized as containing lower grades than the eastern portions of the Haile system. Mill Zone encompasses the western portion of the South Pit and its western extension beyond the currently proposed pit limits. This higher-grade zone has been the focus of initial mine planning for the pending feasibility study. The Company previously announced other holes, which were noted as South Pit and now noted as Mill Zone (see press releases dated April 28, 2010, August 5, 2010, and September 7, 2010). Drilling was also initiated at Champion, a deposit located approximately 1 kilometer west of South Pit.
Drill holes DDH-359 (19.1 meters of 6.2 g/t gold) and RC-1797 (19.8 meters of 4.3 g/t gold), encountered mineralization between Ledbetter and Snake deposits. The mineralization was intercepted beneath the southeast portion of Ledbetter and trends toward the western extent of Snake. These results are continuing to increase the continuity of the mineralization between the known deposits.
Drilling beyond the limits of the proposed South, Ledbetter, and Snake pits continues to identify additional mineralization. RCT-035 encountered 51.8 meters of 1.3 g/t gold between South and Ledbetter deposits. This mineralized interval is located beneath the southwest portion of Ledbetter, approximately 144 meters east of previously announced DDH-351 which returned 51.2 meters of 4.1 g/t gold including 14 meters of 8.8 g/t gold (see October 28, 2010 press release).
2010 Exploration Drill Program:
Approximately 100,000 meters of core and reverse circulation drilling were completed during the 2010 program. Approximately 40% of the meters drilled in 2010 were focused on tailings and facility condemnation as the Company prepared for completion of its feasibility study that is scheduled to be released in the first quarter of 2011.
Highlights of the 2010 exploration program are as follows:
- During 2010, the Company made several new mineralized discoveries:
- Horseshoe zone demonstrating deep, high grade underground potential exists at Haile;
- Horseshoe zone indicating shallow, high grade intercepts at open pit depths;
- Intercepts between Snake and Horseshoe demonstrating the potential for continuity of these deposits and an extension of the Haile system;
- Identification of a high grade zone beneath the Snake deposit;
- Identification of a high grade zone at the western extension of Ledbetter;
- Intercepts between South Pit and Ledbetter indicating the increased continuity of the system;
- High-grade zone within and west of South Pit, identified as Mill Zone.
- South Pit, Ledbetter and Snake deposits continue to expand and merge together through in-fill and step-out drilling.
- Prior to 2010, the mineralization at Haile was known to host lower grades on the western portion of the property with increasing grades and deeper mineralization towards the east. 2010 drilling identified high-grade zones to the west of Ledbetter and on the western portion of South Pit. These higher grade zones identified on the western portion of the property provide additional knowledge that higher grades are not limited to the eastern, deeper mineralization.
- The Horseshoe zone continues to expand and is extending nearer to the surface. Also, deeper and higher-grade mineralization encountered in lower Snake and lower Ledbetter indicates that these areas, as well as Horseshoe, may warrant underground mining. In 2010, the Snowden Group (Vancouver, Canada) completed a review of the underground potential of Horseshoe that determined a more detailed scoping study should be performed. This underground scoping study is planned for 2011.
- The Company's NI 43-101 Technical Report dated December 14, 2010 estimated an in-shell resource at US$1200 gold (also see press release dated November 2, 2010). This resource estimate demonstrated the effectiveness of drilling to convert inferred resources into the measured and indicated categories and showed an overall increase in grade. Additional information on resources and potential will be provided in connection with the pending feasibility study.
- During 2010 the Company increased its fleet of drill rigs from five to ten underscoring the continued potential of Haile and the increased number of targets identified.
The Company will be announcing its exploration plans for 2011 in the near future. While condemnation drilling represented a significant portion of the 2010 drill program, it is expected to represent a smaller portion of the drilling in 2011; although, some condemnation will be necessary for future overburden storage areas and other infrastructure.
Drilling is being performed by Romarco's company owned drill, by Connors Drilling, and by Boart Longyear. The drill samples are prepared and assayed by Alaska Assay Laboratories. Samples are prepared at their facility in Spartanburg, SC and assaying is completed in Fairbanks, AK. Blank samples and third party standards are inserted at random for submittal with all of the drill samples. The results of the control samples are within acceptable ranges. Periodic duplicate and check samples are analyzed by ALS Chemex in Reno, NV. For a full discussion of the Company's sampling, analysis, quality assurance, quality control, and other technical disclosure, please see the Company's NI 43-101 Technical Report dated December 14, 2010 on SEDAR. Romarco's Qualified Person under NI 43-101 is Peter J. Butterfield, senior geologist at Haile.
Source: ROMARCO MINERALS INC.