New Oroperu JV drills 89.5 m of 2.65 g/t Au
2008-03-04 05:48 ET - News Release
Mr. K. Wayne Livingstone reports
NEW OROPERU RESOURCES INC.: BARRICK DRILLS 24,462 M IN 2007 AT TRES CRUCES
New Oroperu Resources Inc. is reviewing the status of drilling on its Tres Cruces project in north-central Peru by Minera Barrick Misquichilca S.A.
In 2007, Barrick completed a 5,776-metre diamond drill program on the Tres Cruces project, which was reported by the company in its Aug. 8, 2007, news issued in Stockwatch. Following the diamond drilling Barrick initiated reverse-circulation drilling for the purpose of in-fill drilling and testing the limits of the existing mineralization, as well as some condemnation drilling. In addition, a program of geotechnical drilling was completed comprising 3,925 metres in 20 holes.
The Tres Cruces project is a 100-per-cent company owned project subject to a 1-1/2 per cent net smelter return royalty and subject to an option agreement with Barrick. Under the terms of the agreement, in order to exercise the option Barrick must pay for all expenditures up to a production decision. The company retains a 30-per-cent interest. The company's share of production costs are financed by Barrick. Additionally the company retains a 2-per-cent NSR royalty of which $1-million (U.S.) is to be paid in advance at the time of a production decision. To maintain the option Barrick must pay $250,000 (U.S.) to the company on May 31 each year (2007 -- paid) until a production decision is made.
Prior to Barrick's option, the company had reported a measured and indicated resource of 34.5 million tonnes grading 1.59 grams per tonne, about 1.7 million ounces of gold. This historical resource estimate was made and reported to the company by Battle Mountain Gold in 1999. To prepare an independent technical report the company's qualified person reviewed the data and interviewed the Battle Mountain personnel responsible for the estimate and determined that it was according to industry standards at the time. The details are in the company's National Instrument 43-101 report "summary report of the Tres Cruces property dated July 25, 2002," and filed on SEDAR, on July 31, 2002. These resources are determined to be historical with respect to the implementation of National Instrument 43-101 and as such are deemed not NI 43-101 compliant and not to be relied on. All holes drilled by Barrick subsequent to this report are not included in the resource estimate.
The table below summarizes Barrick's drilling for the Tres Cruces project in 2007. The table summarizes the assays from the geotechnical holes drilled in 2007. The assay results of the latest reverse-circulation drilling are almost complete and the better assay intervals received to date are reported in the table below.
TRES CRUCES PROJECT 2007 TOTAL DRILLING SUMMARY
Metres Holes
Diamond drilling 5,773 37 Reverse circulation 9,401 43 Twin holes 547 3 Piezometer holes 2,540 13 Geotech holes 1,385 7 Condemnation holes (RC) 4,816 27
ASSAY RESULTS GEOTECHNICAL HOLES
From To Interval Grade Drill hole ID (m) (m) (m) (g/t gold)
TCG-001 57.5 69.5 12.0 1.87 TCG-002 57.5 84.5 27.0 1.55 TCG-003 61.0 150.5 89.5 2.65 TCG-007 133.5 139.5 6.0 5.41 TCP-007 52.0 89.0 37.0 2.24 incl. 52.0 75.0 23.0 3.00 112.0 (ii)200.0 88.0 0.99 TCP-009 155.0 184.0 29.0 4.25
(ii) Signifies mineralization open at end of hole.
ASSAY RESULTS REVERSE CIRCULATION HOLES
From To Interval Grade Drill hole ID (m) (m) (m) (g/t gold)
RTC-218 4.0 40.0 36.0 2.54 RTC-222 40.0 62.0 22.0 1.03 90.0 102.0 12.0 1.18 RTC-229 52.0 59.0 7.0 1.05 78.0 91.0 12.0 1.61 RTC-236 54.0 75.0 21.0 2.89 RTC-239 48.0 77.0 29.0 2.61 86.0 101.0 15.0 1.64 118.0 127.0 9.0 1.39 166.0 183.0 17.0 1.04 RTC-240 72.0 83.0 11.0 2.91 RTC-248 30.0 41.0 11.0 (i)2.65 RTC-251 54.0 72.0 18.0 1.47 RTC-254 64.0 95.0 31.0 1.58 RTC-255 37.0 265.0 228.0 (ii)2.95 Grade incl. 37.0 62.0 25.0 3.37 (g/t)
111.0 122.0 11.0 5.96 111.8 197.0 210.0 13.0 16.17 67.7 RTC-259 140.0 155.0 15.0 2.09 RTC-269 33.0 76.0 43.0 1.66
(i) An unusually high 1.0 m assay of 101.5 g/t gold was cut to 10.89 g/t gold for this average. (ii) Signifies mineralization open at end of hole.
Drill hole RTC-255 is notable because of its continuous length of mineralization and better grade, 228.0 m grading 2.95 grams per tonne gold. It also contains a 13.0 m section grading 16.17 grams per tonne gold with 67.7 grams per tonne silver. The presence of significant silver values is notable as the first occurrence of continuous silver mineralization.
Some of the deep holes completed by Barrick encountered gold and silver mineralization as deep as 350 metres before technical difficulties caused termination of the hole. There is potential for deeper mineralization within the Tres Cruces low sulphidation system such as high-grade feeder zones known to exist elsewhere in this type of deposit.
Barrick has also completed an IP survey and is planning, concurrent with further definition and condemnation drilling, to test any new geophysical targets. Work on baseline environmental studies is in progress. Additional samples have been submitted for metallurgical testwork. A progress report on this work is expected. A new resource estimation by Barrick is currently in progress.
The company is advised by Barrick that it is continuing to delineate the resource and explore the deeper targets as well as other studies necessary for the evaluation of the deposit. The company will report on these results when received from Barrick.
K. Wayne Livingstone, New Oroperu's president, states: "The continued successful drilling by Barrick on the company's 100-per-cent-owned Tres Cruces project is an important step in its development. We look forward to the completion of the next steps necessary for the advancement of our project. The close proximity of Barrick's Lagunas Norte operating mine with the Tres Cruces project will permit certain economic synergies for its development."
Dr. Peter A. Christopher, PEng, a technical adviser to the company is the qualified person responsible for reviewing this news release.
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