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72.0 metres at 1.0 g/t Au, Thickest Gold Intersection at Tanoyan Gold Project, North Sulawesi, Indonesia

November 15, 2011 Download PDF

  • 72.0 metres at 1.0 g/t Au including 12.9 metres at 2.2 g/t Au
  • Thickest zone intersected so far in Tanoyan Project drilling
  • North Sondana Vein drilling proving to be highly productive

November 15, 2011, Golden Peaks Limited (TSX: GL) (the company) is pleased to announce drilling results from drillhole TND077 into the Sondana Vein system on the Tanoyan Gold Project, Sulawesi, Indonesia (Figure 1). (Fig.2)http://www.goldenpeaks.com/i/maps/tanoyan/Sondana-Vein-Drill-Plan-TND077.jpg

The current drilling is part of the company's systematic evaluation of the project with an aim of increasing the size and improving the classification of the existing 43-101 Inferred Mineral Resource of 2.22 Mt at 1.3 g/t Au for 91,100 ounces of contained gold.

The intersection in hole TND 077 is significant as it is the widest drill intersection yet obtained in the Tanoyan Project and is also the northern-most result the company has yet obtained from its drilling on the Sondana Vein. The assay results confirm and extend mineralisation outlined by recent drilling previously reported by Golden Peaks (TND073 - 10.7m @ 1.6 g/t Au and TND075 - 18.85m @ 4.4 g/t Au).

Gold mineralisation was intersected over a broad zone:

  • TND 077 - 72m at 1.0 g/t Au from 72m
    • Including 12.9m at 2.2 g/t Au from 116.1m

The highest-grade mineralisation, between 116.1m and 129m downhole, is hosted by a thick, vein-breccia zone which is interpreted to be steeply dipping. This orientation will be confirmed by additional drilling in the Phase 2 program. The planned follow-up holes shown in figure 2 will test the down-dip and up-dip extensions of this zone.http://www.goldenpeaks.com/i/maps/tanoyan/Sondana-Vein-Cross-Section-Drill-Hole-TND077.jpg

An intense style of quartz-carbonate-sulphide stockwork veining was intersected in the hanging wall zone of TND077. This hanging wall zone returned consistent gold values throughout.

Golden Peaks' President Scott Emerson commented: "Drilling at Tanoyan continues to provide consistently strong results. The high hit-rate is an indication of the persistent nature of the gold-bearing vein system. In view of the positive results to date, our geological team is currently planning the next stage (Phase 2) of drilling of approximately 10,000 metres which is aimed at delineating a mineral resource potentially sufficient to form the basis of a mining reserve and technical and economic feasibility study.

Table 1: Tanoyan Project Drilling Results

DH No.


From To Interval Au
(m) (m) (m) (g/t)
TND077 Sondana 72.0 144.0 72.0 1.0
incl 116.1 129.0 12.9 2.2

Drill hole data for the hole reflect down hole core lengths. True widths cannot be reliably estimated at this time

The company currently owns two drill rigs: Rig 1 is drilling the Sondana vein system and rig 2 has concentrated on the Modupola vein system which is located approximately 1 kilometre to the east of Sondana vein. Both veins are part of an extensive system of auriferous quartz veins, hosted by andesitic volcanics, which have been traced over a strike length of approximately 6 kilometres.

Currently, the company is active on four of its five Indonesian gold projects; drilling on the Tanoyan Gold Project, surface exploration programs on the Palopo Gold Project, the Kapa Kapa Gold Project and the Roko Gold Project. All the projects have easy access via paved and/or gravel roads and the regional infrastructure is good.

All samples were assayed by Intertek Indonesia; a division of the global Intertek Group PLC.

Core is collected and initially logged at Tanoyan Base Camp at the project area. The core is then securely transported in closed core boxes to Golden Peaks' Exploration Office in Kotamobagu, North Sulawesi. Here the core is logged in detail, cut longitudinally into 2 equal halves and half-core is sampled at 1 meter intervals; except where the geology dictates a lesser sampling interval. Half core is permanently retained, as a reference, in the secure Kotamobagu core-storage facility. All QC samples are introduced before the bagged samples are trucked to PT Intertek Laboratory's sample preparation facility in Manado. Prepared samples are then couriered by PT Intertek to their analytical facility in Jakarta for analyses.

Gold is fire assayed using a 50.0 gram aliquot sample with an AA finish. Multi-element analysis is by Four Acid Digestion using an Induced Coupled Plasma (ICP) finish.

The Company's QA/QC program now includes the regular insertion of blanks, multiple certified assay standards into the sample shipments. Locally-sourced blank samples are inserted in every assay batch of 10 samples. Commercial standards are inserted in every assay batch of 25 samples. Sludge samples are also collected and assayed on a 1 metre interval from the drilling fluid circulation return. Regular monitoring of these QC samples is a critical part of Golden Peaks' QA/QC protocols.

This press release has been reviewed and approved by Mr. John Levings, B.Sc., FAusIMM, director of Golden Peaks Resources Limited and a Qualified Person as defined by National Instrument 43-101, under whose direction the exploration programs are being carried out.

Media Information, contact: Investor Information, contact:
Scott Emerson, President Mike Kordysz, Investor Communications
SE@goldenpeaks.com MK@goldenpeaks.com

The statements herein that are not historical facts are forward-looking statements. These statements address future events and conditions and so involve inherent risks and uncertainties, as disclosed under the heading "Risk Factors" in the company's periodic filings with Canadian securities regulators. Actual results could differ from those currently projected. The Company does not assume the obligation to update any forward-looking statement.

Click to Enlarge

Figure 1: Sondana Vein Drill Plan - new results bolded

Click to Enlarge

Figure 2: Sondana Vein - Cross Section drillhole TND077

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