A Kalimantan Gold drilling programme has defined new mineralized areas at its Jelai gold property in East Kalimantan.

Working closely with the specialist mining consultancy, GMT Indonesia, Kalimantan Gold has drilled 16 scout holes of a 4000 metre programme using an 80 metre capacity scout rig and achieved a number of promising results.

Among the results are: 3.15 metres @ 5.76 grams/tonne gold and 2.6 grams/tonne silver; 0.75 metres @ 5.75 grams/tonne gold and 4.2 grams/tonne silver; 4.75 metres @ 10.43 grams/tonne gold and 14.6 grams/tonne silver; and 1.5 metres @ 13.44 grams/tonne gold and 20.6 grams/tonne silver.

The scout drilling has successfully identified mineralized structures at shallow levels, outlining a series of new mineralized targets for deeper drilling into the gold system as part of the next phase of the programme.

Kalimantan Gold CEO Rahman Connelly says: "We are very keen to start deeper drilling below the scout holes as previous data indicates the vein structures widen and become more consistent at depth.

"The identification of new mineralized shoots along the Sembawang Vein indicates that much further work is required to completely explore the vein systems mapped on surface."

The gold veins in the Jelai project are typical low sulphidation quartz-adularia veins with gold mineralization concentrated in a series of interpreted 'mineralized shoots' along the various vein structures.

When Ivanhoe Mines drilled the property in the late 1990s they identified extensive epithermal vein systems, which are the focus of the drilling. The mineralization and alteration within the project area is extensive and several vein systems, including undrilled veins to the east of the present drilling, remain untested.

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