DIAMOND drilling at RTG Mining’s Bunawan Gold Project in Mindanao has returned high-grade intersections and identified a new style of mineralisation. The company believes that with the various geological conditions identified, the region has potential to see another major gold discovery.
|Geology of the region of eastern Mindanao that hosts the Bunawan Gold Project of RTG Mining.|
The second phase of reconnaissance drilling included six holes for 1789.6 metres. It targeted Induced Polarisation responses coincident with magnetic low signatures and anomalous surface gold geochemistry as well as extensions of previously identified mineralisation/geology.
Best results were: 2 metres from 62 metres @ 2.94 g/t gold and 3.6 metres from 163.4 metres @ 4.58 g/t; 3 metres from 108 metres @ 1.05 g/t; 2.15 metres from 262 metres @ 2.16 g/t; and 9 metres from 39 metres @ 2.02 g/t, including 4 metres from 44 metres @ 2.85 g/t, which included 3 metres from 45 metres @ 3.43 g/t and 1 metre from 46 metres @ 6.78 g/t.
Bunawan is in Agusan del Sur province, about 190km north-northeast of Davao and adjacent to the Davao-Surigao highway. It is centred on a diatreme intrusive complex approximately 5km northeast of Medusa Mining’s operating Co-O mine.
RTG says the results further confirm the presence of breccia/epithermal vein systems within and below the diatreme that is similar geologically to the nearby Co-O vein system.
It says that the discovery of a favourably mineralised dacite host in one hole also adds to the increased mineral potential of Bunawan as at is geologically similar to the nearby high-grade artisanal mining area. Hydrothermal alteration assemblage in the dacite suggests that it may be a component of a high-sulphidation system in the general area.
As well as advancing exploration on Bunawan, RTG is focused on developing the high-grade Mabilo Copper-Gold-Magnetite Project in Camarines Norte province, eastern Luzon.
Exploration is inactive due to a dispute between RTG subsidiary Mt Labo Exploration and Development Corporation and joint venture partner Galeo Equipment Corporation.
The JV has been terminated following Galeo not remedying notified breaches of a JV agreement, which Galeo is disputing. Mt Labo has commenced arbitration proceedings in the Singapore International Arbitration Centre. As it stands, the termination means Mt Labo has a right to acquire Galeo’s 36% JV interest for nominal consideration.