Indochine Mining Ltd is on the “cusp of greatness” with its Mt Kare project on the border of Hela and Enga, according to chairman Ian Ross.
He said at the company’s annual general meeting in Sydney on Monday that there was a “burgeoning view within the markets that Indochine is on the cusp of greatness, given how far we have advanced in 18 months and what we aspire to achieve in the next 18 months”.
“The validation is provided in the level and quality of institutional support in the potential of the Mt Kare project,” Ross said.
“Indochine has delivered on its stated targets for the last 18 months.
“The company has completed the first ever, publicly released, pre-feasibility study on the major Mt Kare gold/silver project in Papua New Guinea, as well as the first stage of a landowner investigation study, during recent months.
“These are major developments and demonstrate rapid progress from the acquisition stage last April 2011. “Post year-end, the company announced the identification of bonanza gold zones which suggests significant future upside opportunity in the project.”
Ross said the company had continued to release high grade gold-silver drill results from the 58 diamond core holes completed for 7,500m of drilling.
Best results included 38m at 21 grams per tonne gold and 4 metres at 420g/t gold. Drill results will continue to be released during December and January which will probably include further high grades.
Drilling is about to restart on the bonanza zones. These zones are where grades range from 100 to 400g/t gold.
“The landowner investigation study has been an important focus for the on-site team as it has been conducted in accordance with the Land Act for the first time and will be progressed further next calendar year to allow for future benefits to flow to local communities from the project,” Ross said.
“As chairman, I take this opportunity to thank the pre-feasibility study team and the community affairs team for all their efforts this year,” Ross said.
“The on-site team has been led by George Niumataiwalu and I commend him on his leadership and thank all of the management, staff and consultants who have made the project’s progress a reality.
“Since year-end, we have added Tony Burgess as a technical consultant and thank him for his work on identifying the bonanza zones, based on his decade of discovery of high grade ounces at the neighbouring world-class Porgera gold mine.
“His insight has supported our long-held belief about the similarity between the two deposits and therefore the growth potential of the Mt Kare gold/silver deposit. “
The PNG Mines Department (the MRA), the federal, provincial and local governments, as well as the local community, have shown considerable support for the project and I would like to commend them for their support,” Ross said.