Far East on target with strategic copper and gold development plans in Indonesia
Far East Gold (ASX: FEG) continues to make progress along a strategic path designed to unveil the significant upside of its portfolio of Indonesian copper and gold projects.
Indonesia is one of the globe’s most prospective locations for the discovery and development of commercial copper and gold resources, with the nation currently the world’s 6th largest gold producer and 12th largest copper producer.
The company is looking to add to those production numbers with its Woyla copper-gold project located in the rich Aceh Province where previous exploration by Barrick Gold and Newcrest identified more than 13,000m of strike, featuring gold bearing low sulphidation epithermal quartz veins.
Notably, Far East Gold became the first explorer over the Woyla projects’ 25-year history to gain the necessary permits and commence drilling in this historically elusive project.
Promising drilling results
In its most recent quarterly report, Far East revealed it has continued to receive promising results in an ongoing drill campaign in the Woyla 24,260 hectare Contract of Work (COW) tenement.
To date, drill testing has been undertaken on approximately 2,500 meters of the more than 13,000 meters of defined epithermal vein strike length, with a focus on testing these vein systems across the tenement.
Notably, discrete zones of high-grade gold and silver mineralisation have been intersected in each of the vein systems tested to date.
By the end of the June 2023 quarter, 51 holes had been completed from a total of 8,028 meters of the company’s Phase 2 program, with assays returned for 44 holes.
To date, the company has successfully tested 6 of 12 quartz vein zones identified by historical and recent surface mapping within 3 separate vein systems at Woyla (Anak Perak, Rek Rinti and Aloe Eumpeuk prospect areas) confirmed.
Impressively, of the 44 holes with assays returned 21 of those holes have returned gold assays greater than 3.94g/t gold, including 10 holes with assays greater than 7.85g/t gold – of which 4 holes had assays greater than 17.5g/t gold.
Preparing to follow-up recent success
Far East also undertook a successful surface mapping and sampling program during the quarter focused on the Rek Rinti, Aloe Eumpeuk and Aloe Rek prospect areas within Woyla.
Impressive rock samples previously obtained at Aloe Eumpeuk included bonanza grade peak assay results of 131g/t gold and 1,508g/t silver.
Meanwhile, resource delineation and scout drilling at Rek Rinti continues to intercept high grade gold.
The company is also looking to follow up on the discovery of a new prospect area, Kareung Reuboeh, where assay results from two quartz veins indicate significant gold concentration with assays of up to 98 g/t gold returned from samples collected at this area.
The company believes Woyla is one of the most highly prospective, yet under-explored copper gold projects in South East Asia.
Far East currently holds a 51% interest in the project which can increase to 80% upon the company’s completion of a feasibility study and definition of a maiden JORC resource estimate for the project.
Trenggalek project now fully-owned
The company also received positive news on the corporate front during the June 2023 quarter, highlighted by the completion of its acquisition of a 100% economic interest in the Trenggalek Ccpper gold project in East Java.
Covering 12,813 hectares, the Trenggalek asset is supported by a significant database of information resulting from extensive and advanced exploration work previously carried out on the project.
Notably, the area also contains the granted Izin Usaha Pertambangan – Operasi Produksi (IUP-OP) mining licence for operation and production, which is valid for ten years until 24 June 2029 with the ability for the company to extend the IUP-OP for two additional ten-year periods.
Far East is now finalising plans for a program of detailed mapping and sampling prior to commencing initial drill testing of selected epithermal and porphyry-related targets. These include the Sumber Bening, Singgahan and Sentul-Buluroto prospect areas.
Wonogiri feasibility study preparations
The company has also continued to progress its advanced Wonogiri 3,928 hectare project, which features a prospective porphyry and epithermal gold and base metals exploration area in Central Java.
The company has now contracted an independent external consultant to investigate an updated feasibility study as part of securing an IUP operation and production permit to allow development and operation of a mine on the site.
Far East recently received its third and final technical approval for the Wonogiri project from the Indonesian Government, a mandatory precondition for the granting of the environmental authority to develop and operate a mine (AMDAL).
Australian projects
Outside of Indonesia, Far East Gold has three projects located in Queensland, Australia.
Located in a highly prospective region in Queensland, the Mount Clark West project has a defined an exploration target that currently stands at between 400Mt at 0.4% copper equivalent and 650Mt at 0.6% CuEq.
Mount Clark West is a porphyry-style project, and while they are typically low grade, these type of projects can be processed at large scale, usually by open pit mining.
The Hill 212 project in Queensland is an advanced 1,920 hectare tenement nearby the Pajingo Mine’s Vera Nancy deposit, which has produced over 3Moz of gold at 10g/t.
Blue Grass Creek project in Central Queensland is a 2,240-hectare gold project which directly adjoins the Hill 212 tenement.