|Fri Oct 15, 2010|
Reconnaissance Drilling at the SMP Gold Project Intersects Gold Mineralisation in 10 New Targets
Vancouver, October 15, 2010
Helio Resource Corp. ("Helio" or the "Company") (TSX-V: HRC) is pleased to report the results from the recently completed reconnaissance drill programme, including the discovery of a new zone ("Kasuku") with similar style of alteration and mineralisation as the Porcupine Target.
The reconnaissance drill programme tested ten new targets within the SMP Gold Project, all of which intersected bedrock-hosted gold mineralisation. All targets are open for expansion.
The Company has recently completed a detailed interpretation of the structural controls on mineralisation and has identified a number of new targets that will be tested in the next round of drilling.
The most advanced targets at the SMP Gold Project are Porcupine and Kenge. The Company anticipates releasing an initial NI 43-101 compliant resource statement for the Porcupine and Kenge Targets later this month.
Reconnaissance Drill Results
The summer drill programme tested ten new targets with RC ("reverse circulation") and limited diamond drilling. Gold mineralisation was intersected in all ten targets. Numerous, 10 -- 40m wide zones, of low-grade gold mineralisation (0.1-0.4g/t Au) were intersected. Significant interects, i.e. greater than 1g/t Au, were encountered at Reefski, Popo, Dragonfly, Kasuku, Dubwana, Chui, Panya, and Thorntree. The maps below show the locations of these targets. The best results are tabulated below, and a full spreadsheet of all drill results is posted on the Company's website at www.helioresource.com.
Reefski (narrow veins with high-grade intercepts) and Kasuku (wide zones of low grade mineralisation) both have mineralisation outcropping at surface. Kasuku is of particular interest as the style of alteration and mineralisation resembles the Porcupine Target.
* Not 1.0g/t Au cut-off grade
About the SMP Gold Project
The SMP Gold Project is located in the Lupa Goldfields in SW Tanzania. Tanzania is currently the 4th largest gold producer of Africa and growing thanks to presence of major mining companies like African Barrick Gold and AngloGold Ashanti. The Project is made up of 5 contiguous licences giving Helio control of a 35km section of the Saza Shear Zone, the main mineralised zones in the region. After closing a $6.2million financing with the IFC in February 2010, Helio has been working on its 20,000m drill programme leading up to its first NI 43-101 compliant resource calculation for the SMP Gold Project by Golder Associates covering the Kenge and Porcupine Targets later this month.
Chris MacKenzie, M.Sc., C.Geol., Helio's COO and a Qualified Person as designated by NI 43-101, supervises the exploration at the SMP project, including the sampling and quality assurance / quality control programmes, and has reviewed the contents of this news release. Intercepts are reported as drilled widths, true widths are estimated to be approximately 50-95% of the drilled widths For diamond drill core (hole number ends in "D"), continuous 1m samples were taken every through the main mineralised zone, and 2m samples were taken outside this. Samples were split with a core saw and one half was retained on site. For RC drilling (hole number ends in "R"), composite 2m samples were made by riffle splitting, and a reference sample retained for future work. All samples were submitted to the lab with internal QA/QC checks including the use of blanks and standards (ave. 1 every 17 samples) and duplicates (ave. 1 every 25 samples). Samples were assayed at the SGS Laboratory in Mwanza, Tanzania by 50g gold fire assay. As well as the Company's internal QA/QC programme, SGS also applied their own internal QA/QC programme, consisting of insertion of standards and duplicates. Weighted average intercepts are calculated using a 1.0g/t Au cut-off, unless otherwise stated.
For additional information, please contact Richard Williams or Irene Dorsman at +1 604 638 8007 or by e-mail to firstname.lastname@example.org or email@example.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
You can return to the Top of this page