Following detailed interpretation by East Asia Minerals of a recently completed air magnetic survey and ground truthing of the data, several new exploration targets have been identified. First pass reconnaissance is planned to begin in the coming months prior to drill target generation and testing.
Ten air magnetic targets are distinguished by displaying similar features to areas known to host gold mineralization within the Sangihe project area.
East Asia has now completed 20 drill holes at Sangihe since the resumption of drilling in April 2011. Drilling continues and the assays from eight holes are pending.
The current phase II drill program is focusing on expansion of the surface and near-surface gold resources at both Binebase and Bawone through further infill and extension drilling. During this phase East Asia also intends to conduct initial drilling at the Salurang, Sede, Kupa and Taware gold prospects, which are known to host gold-bearing quartz veins. The airborne magnetic survey was conducted over a significant portion of the licence area to generate new prospects.
East Asia completed the phase I drill program at Sangihe in 2008, which included 7561 metres of drilling in 79 shallow holes at the Binebase and Bawone prospects. In addition, almost 1700 surface samples were collected.
In September 2010, East Asia released an initial NI 43-101 compliant resource estimate for Sangihe project. The total inferred resources using a 0.25 grams/tonne gold cut-off are estimated at 27.327 million tonnes averaging 0.95 grams/tonne gold and 13.58 grams/tonne silver for 836,718 ounces of gold and 11,927,237 ounces of silver in near and at surface oxides and sulphides.
Of this, the Binebase deposit has an inferred resource of 17.9 million tonnes at 0.76 gram/tonne gold and 18.7 grams/tonne silver for a total of 435,234 ounces of gold and 10,716,742 ounces of silver. Bawone has an inferred resource of 9.5 million tonnes at 1.32 grams/tonne gold and 4.0 grams/tonne silver for a total of 401,484 ounces of gold and 1,210,495 ounces of silver.
At the flagship Miwah Project East Asia is refocusing exploration activities to concentrate on completing metallurgical work as well as social and environmental impact studies to comply with the Indonesian regulations. Furthermore, the company is also pursuing a forest reclassification of the Miwah tenements with the Ministry of Forestry, which the company believes is the most significant catalyst for share price re-rating.
East Asia continues to advance pre-feasibility study level work at Miwah. Metallurgical work is expected to be completed by year’s end. The company is also initiating exploration activities at its Tangse project in Aceh Province. The project is about 40km northwest of Miwah and is prospective for copper and gold.