Gold Anomaly has commenced test work at the high grade zone of its Crater Mountain gold project in Papua New Guinea’s eastern highlands, in a bid to begin operating a small-scale facility by the end of 2014.  1

The high grade zone is an area close to the top camp at Crater Mountain’s Nevera prospect where previous drilling has returned strong gold intersections including 46 metres @ 5.9 grams/tonne gold including 2 metres @ 98.2 grams/tonne gold.

Local miners have historically mined this zone at grades of up to 2 ounces of gold per tonne, with 15,000 ounces of gold estimated to have been taken from shallow underground workings between 2005 and 2012.

“It is estimated that there could be some 100,000 ounces of gold in the fractures and ore shoots which are known to extend 100 metres from the surface,” says Gold Anomaly’s executive chairman Greg Starr. He says there has been little focus on the high grade zone to date as most drilling has been completed at the mixing zone and the deeper porphyry-related lead-zinc-gold and copper-gold potential.

Gold Anomaly will now fast track test work in the high grade zone with bulldozer/excavator benching of the spur and underground exploration. “We intend to establish an operation to mine the zone in the near-term, generating cash flow to assist in raising development capital,” says Greg Starr.

A new appointment to the management team which will oversee this strategy is Richard Johnson in the role of general manager of PNG operations. Richard Johnson is a mining engineer with extensive experience in both small and large scale projects in many countries.

“We are pleased that we have been able to attract someone of the calibre and experience of Richard Johnson. With the improvement in company finances, refocus of strategy and appointment of experienced manager, we look forward to the return of Gold Anomaly’s Crater Mountain project as one of the most exciting and fastest growing gold projects in PNG,” says Greg Starr.

A helicopter-borne magnetic and radiometric survey of the Crater Mountain area will be undertaken this month to allow Gold Anomaly to identify regional exploration targets.

The Crater Mountain project takes in three exploration licences in the PNG Highlands, about 50km southeast of Goroka. It is a joint venture between Gold Anomaly and London-based Triple Plate Junction.

www.goldanomaly.com.au

Resource Center Whitepapers, Videos, Case Studies