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Ministry approval for forestry permit received
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Past exploration outlined six zones of alteration and gold
mineralization
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Immediate focus to define priority targets for drill testing 2nd half
2013
VANCOUVER, May 1, 2013 /CNW/ - Reliance Resources Ltd. ("the Company")
(TSX:RI) is pleased to announce the Company has received Ministry
approval for a "borrow to use" forestry permit, covering its Anggrek
project.
Under new Mining Laws in Indonesia, the forestry approval allows for
exploration in Production Forest areas. Access to the entire Anggrek
tenement is now available and if a discovery is made, all forms of
mining are permissible.
Reliance President Nicholas Clark said; "With approval from the
Indonesian Government to undertake drilling within the Anggrek tenement
the Company can now advance its exploration program with confidence.
"Previously we have undertaken surface reconnaissance mapping and
sampling, this approval now permits us to plan a drilling program to
test the targets defined by our work and from historical exploration
activity".
The immediate focus of the Company will be to undertake infill
geochemical sampling and mapping within known prospects in order to
define priority drill targets. This will support the Company's goal of
commencing drill testing of the Anggrek Project in the second half of
2013.
The Anggrek property lies along a composite volcanic island arc which
runs through the north arm of the island of Sulawesi and extends
northwards into the Philippines. The island arc is host to a number of
well-known gold and copper-gold mines (Mesel - 2Mozs, Lanut - 1.0Mozs,
Toka Tindung - 1.8Mozs) and deposits in development phase (Bakan-
0.5Mozs). The Bakan deposit is approximately 12km from Anggrek.
Past exploration of Anggrek, has outlined six zones of alteration and
gold mineralization. These are hosted by quartz veins in hydrothermal
breccias and fault breccia zones which are up to 20metres in width and
can be traced up to 1.2 kilometres along strike. Grab samples include
46.0 g/t gold from the Maleo Zone and 10.2 g/t gold from the TongTong
Zone.
Mr Clark continued; "We have every confidence in the Anggrek assets and
are very pleased we can move forward with this exciting project. We
expect to update shareholders on our progress as soon as is practical."
Background on Anggrek
The Anggrek project regional geology consists of interlayered sediments
and basic volcanics. Gunung Menangix is a prominent flat-toped hill in
the centre of the prospect and is underlain by the large Patung Breccia
of approximately 1 square kilometre surface area. Outcrop this breccia
is shared between Reliance's property and an adjacent locally-held
property.
The breccia is interpreted as likely to be a diatreme pipe, representing
the core of a large hydrothermal system with widespread alteration,
veining and precious metal mineralisation. Gold mineralisation has been
recorded in fault and associated fracture zones. These zones extend out
from the breccia pipe and at least 5 zones of alteration and veining
have been identified so far with rock chip assays of up to 46.0 g/t
gold from Maleo Zone and 10.2 g/t gold from Tong Tong.
Background on Reliance Resources
Reliance has a portfolio of five mineral tenements covering 68,000 acres
on the islands of Sulawesi and Halmahera in East Indonesia. The Company
owns a 75% direct equity interest in both the Tanoyan and Anggrek
properties and a 90% direct equity interest the Polopo property in
Sulawesi. In the two Halmahera properties, Roko and Kapa Kapa, Reliance
has an 82.5% beneficial joint-venture interest through a 100%
Reliance-owned Indonesian subsidiary. 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 Act (2009).
The Company is active on three of its five Indonesian gold projects;
currently drilling on the Tanoyan Gold Project and conducting surface
exploration programs on the Kapa Kapa Gold-Silver Project and the Roko
Gold Project.
All of the Reliance properties have easy access via paved and/or gravel
roads and regional infrastructure is good. Further information is
located on our website
www.relianceresources.com
This press release has been reviewed and approved by Mr. John Levings,
B.Sc., FAusIMM, director of Reliance Resources Limited and a Qualified
Person as defined by National Instrument 43-101, under whose direction
the exploration programs are being carried out.
SOURCE: Reliance Resources Ltd.
