Phase 2 drilling commenced at Tanoyan Gold Project, North Sulawesi, Indonesia
Tuesday, Apr 03, 2012VANCOUVER, March 30, 2012 /CNW/ - Reliance Resources Ltd. (the "Company") (TSX:RI) is pleased to report that drilling has commenced at the Tanoyan Gold property on Sulawesi island, Indonesia. The company recently released (March 19, 2012) an updated independent NI 43-101 report for Tanoyan which more than doubled the Inferred Resource Gold Ounces to 208,000 Oz. In the light of this positive result and the clear potential, the company has embarked on a 10,000 metre, diamond drilling program which is designed to further increase the mineral resources.
The Tanoyan Gold Project consists of four principal vein systems, Sondana, Ramai, Modupola/Talong and Lingkobungon, which are predominantly orientated northeast to southwest and dip steeply to the northwest or southeast forming an extensive system of auriferous quartz veins. The veins, which are hosted by andesitic volcanics, have been traced over a combined strike length of approximately 6 kilometres. Drilling to date has primarily focused on the Sondana and Modupola veins. The resource model at Tanoyan is open at depth, length and along strike.
In addition, the Phase 2 drill program will test the Ramai, Lingkobungon and Talong Vein systems
President Scott Emerson commented: "Reliance is executing its Phase 2 drilling plan at Tanoyan. I feel confident that this work will continue the success from Phase 1 and will result in further discoveries and significantly increase our mineral resources. In addition, Reliance continues to carry out pre-drilling exploration work on our other projects including the exciting high-level epithermal gold and silver prospects on the island of Halmahera."
The Company has a portfolio of five mineral tenements covering 68,000 acres on the islands of Sulawesi and Halmahera in East Indonesia. The projects offer both exploration potential and an existing resource base. All five projects are adjacent to or along strike from operating gold mines or identified gold resources with similar geology and structural feature. Importantly, all projects have been converted to IUP tenements as required under the new Indonesian Mining Law 4/2009.
The Company is focusing on four of its five Indonesian gold projects; currently drilling on the Tanoyan Gold Project and conducting surface exploration programs on the Palopo Gold Project, the Kapa Kapa Gold Project and the Roko Gold Project. All of the projects have easy access via paved and/or gravel roads and regional infrastructure is good.
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.
SOURCE Reliance Resources Ltd.