Helio Resource Corp. - SMP Gold Project, Tanzania
Mon Nov 10, 9:01 AM
LATEST EXCELLENT DRILL RESULTS FROM THE PORCUPINE TARGET,
SMP GOLD PROJECT, TANZANIA INCUDE:
51.7m @ 2.1g/t Au
35.5m @ 2.3g/t Au
54.2m @ 1.0g/t Au
39.7m @ 2.3g/t Au
44.3m @ 1.8g/t Au
VANCOUVER, Nov. 10 /CNW/ -
Porcupine Target Drilling Update
--------------------------------
Helio Resource Corp. ("Helio" or the "Company") (TSX-V: HRC.V) is very
pleased to report the latest drill results from five diamond drill holes from
the Porcupine Target at the SMP Gold Project, Lupa Goldfields, SW Tanzania.
The results confirm management's view that Porcupine has the potential to host
a very significant open-pittable gold resource.
Highlights
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- All five drill holes intersected wide zones of gold mineralisation,
adding further confidence to the continuity of mineralisation both to
depth and along strike laterally.
- Mineralisation extended to a down-dip depth of approximately 250m from
surface.
- Mineralisation is still open to depth and along strike.
- A further 21 diamond drill holes have been completed - results are
pending.
- The 2008 diamond drilling has been completed.
- A 3,000m RC (reverse circulation) drill programme is due to commence,
and should be completed before year-end. This programme will test a
1.5km strike length of the Porcupine Target, the objective being to
demonstrate the potential for Porcupine to host a large open-pittable
gold resource.
These results are from drill holes GPD 15 to GPD19, inclusive. Results are
presented in the links below:
Table of Drill Intercepts:
http://www.helioresource.com/i/pdf/2008-11-10 NRM1.pdf
Porcupine Target - Drill Hole Section A:
http://www.helioresource.com/i/pdf/2008-11-10_NRM2.pdf
Porcupine Target - Drill Hole Section B:
http://www.helioresource.com/i/pdf/2008-11-10_NRM3.pdf
Porcupine Target - Long Section Main Zone:
http://www.helioresource.com/i/pdf/2008-11-10_NRM4.pdf
Porcupine Target Map:
http://www.helioresource.com/i/pdf/2008-11-10_NRM5.pdf
Holes GPD15, 16 and 17 were drilled on the same section line as holes GPD1
(42.3m @ 4g/t Au) and GPD2 (49.8m @ 1.7g/t Au). The average true thickness of
the mineralised zone along this section is 41 metres.
Holes GPD18 and GPD19 were drilled 50m away to the NE of holes GPD15, 16
and 17 on the same section line as hole GPD5 (52.2m @ 3.3g/t Au).
2008 Porcupine Diamond Drilling Programme Completed
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All of the planned 2008 diamond drilling at the Porcupine Target has been
completed. A total of 41 drill holes, totalling 8,380m, were completed on the
Porcupine target this year. The Company is waiting for results from 21 drill
holes from the Porcupine Target; results from the outstanding drill holes will
be released once they are available.
3,000m RC Drill Programme Commences at Porcupine
------------------------------------------------
A 3,000m RC drill programme is expected to commence within the next few days at the Porcupine Target. The programme will test a 1,500m strike length in order to demonstrate the resource potential of Porcupine. This programme is expected to be completed before the year-end.
Geological mapping has confirmed that the Porcupine target continues over a strike length of at least 1,000m. Furthermore, the historical Gap Mine is located approximately 2,000m away to the NE along strike from Porcupine. Soil geochemistry and airborne magnetic data indicates the Porcupine structure is continuous to Gap.
Correction
----------
The Company made an error in the reporting of the drill intercept from
GPD020. On October 6, 2008 the Company reported that GPD020 intersected 39.7m
grading 2.3g/t Au. The correct result is 39.7m grading 1.9g/t Au. The table
below and the updated long section for the Porcupine target show the correct
results.
ABOUT THE SMP GOLD PROJECT
--------------------------
Helio, through its 100% owned subsidiary BAFEX Tanzania Ltd., can earn a 100% interest in five contiguous licences, which cover a 34km strike length of the Saza Shear Zone (see news releases dated December 19, 2005, September 11, 2006, and October 16, 2008). The project covers the New Saza Gold Mine, which operated between 1939 - 1956, producing approximately 270,000 ounces of gold at an average grade of 7.5g/t Au.
Since June 2006, the Company has drill-tested eleven targets, nine of which are hosted by the Saza Shear Zone. All eleven targets have intersected bedrock-hosted gold mineralisation, the most advanced being the Kenge Target, which has returned up to 22.0m grading 6.9g/t gold in the Main Zone (Company press release dated May 23, 2007). The thickest mineralised intercept at Kenge is from the Mbenge Zone (48.7m @ 2.1g/t Au - Company press release dated September 8, 2008). The thickest mineralised intercept to date at the SMP was drilled at the Porcupine target (52.2m grading 3.3g/t Au - Company press release dated July 21, 2008).
Recently, the Company announced excellent metallurgical results from the SMP project, where recoveries of up to 96% were achieved by conventional processes at the Kenge target (Company press release August 11, 2008).
Chris MacKenzie, M.Sc., C.Geol., Helio's COO and a Qualified Person as designated by NI 43-101, supervises the exploration at the SMP project, including the sampling and quality assurance / quality control programmes, and has reviewed the contents of this news release. Unless otherwise stated all drill holes were oriented at -48 degrees or -60 degrees and were drilled perpendicular towards the main structural trend. Intercepts are reported as drilled widths, and estimated true widths vary from 64-99%+ of drilled width. Core was halved with a rock saw and sample lengths between 0.3m and 2.0m within the mineralised zone were submitted to the lab (with the duplicate half being retained). QA/QC includes the use of blanks and standards (ave. 1 every 15 samples) and duplicates (ave. 1 every 24 samples). Samples were assayed at the SGS Laboratory in Mwanza, Tanzania by 50g gold fire assay. As well as the Company's internal QA/QC programme, SGS also applied their own internal QA/QC programme, consisting of insertion of standards and duplicates. Unless otherwise stated weighted average intercepts are calculated between the uppermost and lowermost samples within the main mineralised zone using a 0.5g/t cut-off and may include some internal waste.
Helio's main focus is the development of the SMP Gold Project in Tanzania. As part of its strategic approach to project development, Helio has optioned 9 of its Namibian licences to Desert Minerals (UK) Ltd. and continues to pursue joint venture partners for its other projects in Namibia.
ON BEHALF OF THE BOARD OF DIRECTORS
"Richard D. Williams" "Chris MacKenzie"
Richard D. Williams, P.Geo Christopher J. MacKenzie, C.Geol.
CEO COO
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
ContactsRichard Williams or Irene Dorsman at (604) 638-8007 or by e-mail to richard@helioresource.com or irene@helioresource.com.
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