sela creek project - suriname

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SELA CREEK PROJECT - SURINAME
AN UNDEREXPLORED, HIGHLY PROSPECTIVE, GREENSTONE-HOSTED GOLD PROJECT
IN THE PROLIFICALLY GOLD MINERALIZED GUIANA SHIELD
PROJECT HIGHLIGHTS
•
Large, greenstone-hosted gold system defined by >30 km2 of alluvial and shallow saprolite ar sanal workings which have
produced an es mated 0.5+ Moz of gold. Hunter Bay is the first company to explore the 39,325 hectare concession.
•
Geological se ng, similarity to analogous mul -million ounce deposits, significant assay results received by Hunter Bay, and
recogni on of vein, shear and poten al intrusion-hosted styles of mineraliza on, indicate excellent explora on poten al.
•
An aggressive explora on program completed by Hunter Bay has defined three high priority drill-ready targets, within a
7 km long, strongly gold-mineralized, regional shear zone. Addi onal high priority targets require further mapping.
•
Drill contract for 5000 m signed with an cipated start Q2 of 2012. Approximately 45 angled diamond holes are planned to
test the depth extension of mineraliza on exposed in ar sanal workings to a maximum ver cal depth of 200 meters.
•
Hunter Bay has developed an excellent rela onship with the local community through implementa on of posi ve social
responsibility programs.
•
Explora on licence valid for 3 years (from January 2011) extendable twice for an addi onal two years on each occasion.
Therea er, the licence can be converted to an exploita on licence which is valid for 25 years with op on to extend.
SçÙ¥ƒ‘› EøÖٛÝÝ®ÊÄ
View northeast along the Jons Pit trend.
Shallow arƟsanal workings in saprolite
define three mineralized structures over
a width of 100 m. ArƟsanal pits extend
over 1.5 km along strike.
Sela Creek Summary: 28 February 2012
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WHY THE GUIANA SHIELD ?
•
The Guiana Shield is a cratonic block that was originally joined to the West African craton and shares the same Proterozoic
greenstone Belt Geology.
•
Both cratons are prolifically gold endowed and host numerous mul -million ounce deposits and mines including world-class
deposits such as Obuasi (32 Moz Au), Tarkwa (31 Moz Au), Las Cris nas (27 Moz Au) and Rosebel (14 Moz Au).
•
Unlike West Africa, the Guiana Shield is largely underexplored, and there is excellent poten al for significant further discoveries.
•
Many of the known deposits in the Guiana Shield are mul -million ounce, vein and shear-hosted with strong structural
control, simple mineral assemblages and free gold, making them very a rac ve explora on targets.
WHY SURINAME ?
•
Suriname’s explora on poten al is highlighted by the discoveries of Rosebel (14 Moz gold, IAMGOLD) and Merian (3 Moz:
Newmont) deposits, as well as numerous gold explora on projects. The eastern greenstone belt is rela vely unexplored and
represents a fron er explora on area.
•
Suriname is a democracy governed under Dutch based law. Suriname’s economy is dominated by the mining industry, with
exports of alumina, gold and oil accoun ng for 85% of exports. Suriname is ac vely pursuing investment to increase mineral
explora on and development.
Yatela 3.5 Moz
La Victoria 2.6 Moz
Choco
El Callao
Las Cristinas 27 Moz
Las Brisas
Toroparu
8.5 Moz
VENEZUELA
Tassawini 0.5 Moz
Sulphur Rose 0.5 Moz
Aurora 6.9 Moz
SIERRA
Peters Mine
Rosebel 14 Moz
LEONE
Omai
Nassau 3 Moz
5.1 Moz
Camp Caiman
FRENCH
GUIANA
3 Moz
GUYANA
Siguiri
5 Moz
SURINAME
LIBERIA
Yaou-Dorlin
2.3 Moz
Sela Creek
M A L I
Morila
8.5 Moz
Taparko
1.5 Moz
Essakan
5 Moz
B U R K I N A FA S O
Youga
1 Moz
Bonikro
1.5 Moz
Volta Grande
3.5 Moz
Inata 1.7 Moz
Mana 1.9 Moz
Syama
7.9 Moz
Poura
Tongon
1.5 Moz
3 Moz
IVORY COAST
Amapari
2.9 Moz
Gold deposits
B R A Z I L
W ES T
AFRICAN SHIELD
Ity
4Moz
G U I A N A S H I EL D
Greenstone belt
Sadiola 12 Moz
Loulo 15.5 Moz
Lero 7.6 Moz
GUINEA
Aurizona
1.8 Moz
Cachoeira
Ahafo 16.5 Moz
Bibiani 4 Moz
Chirano 4.5 Moz
GHANA
TOGO
Amafo
Konongo 1.9 Moz
Akyem 8.4 Moz
Obuasi 30.2 Moz
Damang 3 Moz
Bogosu-Prestea
10 Moz Tarkwa
Gurupi
31.6 Moz
3.5 Moz
BENIN
NIGERIA
Greenstone
0
100 200 300 400 500
Igarapé-Bahia
18 Moz
Serra Pelada
2 Moz
Kilometres
West Africa and North East South America were joined for much of their history and share the same Proterozoic greenstone geology. The
above figure is a palaeo-geographic reconstruc on (ca. 115 Ma ago) showing con nent break-up and development of the proto South
Atlan c ocean. Note prolific gold endowment and number of world class mines. Over 90 million ounces of gold discovered to date in
greenstones of Venezuela, Guyana, Suriname and French Guyana.
Sela Creek Summary: 28 February 2012
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Sela Creek
A½½çò®ƒ½ FÊÊãÖÙ®Äã
Over 30 km2 of alluvial workings
and shallow saprolite workings at
Sela Creek
Merian
5 km
Images taken from Google Earth showing the mined ‘alluvial
footprint’ of Sela Creek and Merian (3+ Moz Au: Newmont).
Both images shown at same scale.
5 km
Sela Creek has never been explored by a western explora on
company.
The Jons Pit Prospect has been mined over a strike length of 1.5 km as a series of shallow open pits (< 10 m deep) targe ng limoni c
saprolite above bedrock shear zones. Ar sanal workings have been iden fied intermi ently over a strike length of 7 km within the Sela
Creek concession as a whole. Mining is conducted hydraulically by small washing teams and targets free-gold in saprolite.
Sela Creek Summary: 28 February 2012
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EXPLORATION BY HUNTER BAY
Hunter Bay signed an Earn-In and Joint Venture agreement with the owners of Sela Creek on 21st of December 2010. Since that me
Hunter Bay has exercised it’s op on to acquire 30% and has completed:
•
A 4986 line kilometer aeromagne c, radiometric and XDS VLF-EM survey flown by Terraquest Ltd which successfully iden fied
several structural and poten al intrusive style high priority targets.
•
Structural interpreta on of airborne geophysical data has iden fied a large dila onal structure. Known surface mineraliza on
is spa ally related to regional shear zones and major faults.
•
Reconnaissance geological mapping and rock chip sampling over an area of approximately 100 km2. A total of 168 rock chip
samples collected of which 17 assayed above 5 g/t Au (maximum 446 g/t Au). Free-gold in quartz is common.
•
First phase soil sampling over an area of approximately 32 km2 has iden fied two large gold-in-soils anomalies and a goldarsenic anomaly coincident with magne c low/magne c high geophysical target.
•
A total of 46 channels (total 665 m) taken along the Jons Pit-Cambior trend and at Puma have returned significant intercepts
across shear zones and high grade intercepts across quartz vein zones.
N
Cambior
Stranger
5 km
Panther Targets
Paaston Target
Paaston Pit
Central Ridge
Target
Jons Pit
Puma Pit
Puma Target
Sela Creek - 7 km long Mineralised Corridor
The main mineralised trend at Sela Creek strikes northwest over at least 7 km and is hosted within a regional scale shear zone
interpreted from airborne magne c data. Four prospects have been iden fied where ar sanal miners are exploi ng shear hosted
quartz veins in strongly deformed metasedimentary rocks. Prospect strike length varies from 300 m (Stranger) to 1.5 km (Jons Pit).
Mineralized zones are up to 16 meters wide.
Significant assay results have been returned from channel samples at each prospect, with the Cambior, Jons Pit and Puma prospects
forming Hunter Bays priority targets for the 2012 drill program. Targets shown in green are areas shedding alluvials but lacking
surface workings. Gold in soil anomalies have been defined at Central Ridge and Puma and all areas are high priority targets for
further sampling and mapping.
Sela Creek Summary: 28 February 2012
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Select Channel Sample and Rock Chip Outcrop Results and Soil Anomalies
Completed soil sampling grid
Cambior Pit
3.0 m @ 2.14 g/t Au (CH001)
4.0 m @ 1.64 g/t Au (CH008)
9.0 m @ 13.60 g/t Au (CH011)
33.16 g/t Au
18.13 g/t Au
2.42 g/t Au
5.52 g/t Au
Jons Pit
7.4 m @ 1.66 g/t Au (SKC001)
12.0 m @ 1.63 g/t Au (CH005)
3.0 m @ 4.32 g/t Au (CH006)
10.0 m @ 2.63 g/t Au (CH014)
16.0 m @ 1.09 g/t Au (CH015)
4.0 m @ 2.71 g/t Au (CH021)
3.3 m @ 6.44 g/t Au (CH025)
Stranger Pit
7.0 m @ 1.36 g/t Au (CH004)
446.27 g/t Au
20.50 g/t Au
73.8 g/t Au
141.36 g/t Au
1.02 g/t Au
1.35 g/t Au
7.94 g/t Au
Puma Pit
9.0 m @ 2.66 g/t Au (CH027)
Significant channel sample and rock chip outcrop assay results are present along the Puma-Jons Pit-Cambior Trend. Hunter Bay was only
able to sample approximately 15% of the trend where ar sanal miners are ac ve, as older pits are either flooded or backfilled with tailings,
and alluvial tailings cover poten al mineralized structures where they cross drainages (shown in yellow) that have been worked for gold.
The red contours represent 100 ppb gold in soil contours and the blue contour 50 ppb arsenic. Soils were taken on a 100 m by 200 m grid
at the transi on of the B and C soil horizon. Infill soil sampling of anomalous areas on a 25 by 50 m grid will commence Qtr 2 of 2012 in
order to be er define soil anomalism. The absence of soil anomalies between Jons Pit and Cambior is largely due to the almost complete
removal of the soil profile by ar sanal miners.
For a full list of channel sample assay results see Hunter Bays press release dated 19th December 2011
Sela Creek Summary: 28 February 2012
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Vein-Hosted and Disseminated Limonite aŌer Silica-Pyrite Styles of MineralizaƟon
Sheeted quartz veins hosted in strongly foliated metasedimentary rocks. Quartz veins are composed of white, massive quartz and visible
gold is common. The vein zone is up to 9 m wide at surface. Cambior North Prospect. A channel sample taken across this zone assayed 9 m
@ 13.6 g/t Au including 2 m @ 39.43 g/t Au.
Limonite stained and white-clay altered, micaceous and schistose rocks at Jons Pit Prospect. Limonite staining is associated with dark red
hema te pseudomorphs a er sulphide with minor quartz veining and/or silica altera on. Limonite zones form the target for ar sanal miners
along the 1.5 km long Jons Pit Prospect. The excavator is used to break-up the saprolite which is then mined hydraulically and passed over
simple sluice boxes. A channel sample has been taken but assays pending.
Sela Creek Summary: 28 February 2012
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CH005
12 m @ 1.63 g/t gold including
2 m @ 2.25 g/t gold
CH006
3 m @ 4.32 g/t gold including
1 m @ 12.22 g/t gold and
1 m @ 7.11 g/t gold
CH007
6 m @ 1.10 g/t gold including
1 m @ 2.06 g/t gold
CH014
10 m @ 2.63 g/t gold including
1 m @ 12.19 g/t gold
CH021
16 m @ 1.09 g/t gold
CH024
4 m @ 2.71 g/t gold
CH038
10 m @ 2.51 g/t gold
CH017
2 m @ 2.41 g/t gold
CH003
10 m @ 0.55 g/t gold
CH039
4 m @ 3.14 g/t gold
SKC0008
2 m @ 3.60 g/t gold
SKC0006
2.6 m @ 2.82 g/t gold
SKC0007
1 m @ 3.99 g/t gold
N
500 m
Jons Pit Prospect: Quickbird Data and Significant Channel Sample Results
Mineraliza on recognised over a strike length of 1.5 km and widths of up to 16 metres. Ar sanal open pits exploi ng shearhosted quartz veins and limonite-stained silica-altered shear zones are limited to topographic highs. Abandoned pits are
flooded and backfilled with tailings and sampling by Hunter Bay is restricted to parts of recently worked pits. Topographic
lows along strike from known mineraliza on are also covered with tailings and can only be tested by drilling.
In the above image shallow open pits in saprolite are shown with black outline. Note NE-SW trending drainages that have
been worked for alluvial gold. More recently ar sanal miners have targeted shallow saprolite at the edge of alluvial drainages
which has extended workings upwards into the forest. Approximate posi on of planned drill holes shown in white.
Sela Creek Summary: 28 February 2012
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N
Mountain Pit
250 m
CH040 (Cambior North)
2 m @26.58 g/t gold including
1 m @ 51.37 g/t gold
CH011 (Cambior North)
9 m @ 13.60 g/t gold including
1 m @ 36.92 g/t gold and
2 m @ 39.43 g/t gold
CH001 (Cambior)
3 m @ 2.14 g/t gold including
1 m @ 3.85 g/t gold
CH002 (Cambior)
1 m @ 1.86 g/t gold
Cambior South
CH008 (Cambior)
4 m @ 1.64 g/t gold including
1 m @ 4.09 g/t gold
Cambior Prospect: Quickbird Data and Significant Channel Sample Results
Mineraliza on recognised over a total strike length of 750 m with widths of up to 9 metres. Ar sanal open exploit sheeted,
shear-hosted quartz veins at Cambior North and limonite-stained, silica-altered zones at Cambior. Hunter Bay will focus on
the high grade Cambior North target where visible gold is commonly observed, before drill tes ng the downdip extension of
mineraliza on at Cambior. Channel sampling is required at Cambior South and Mountain Pit, which have only recently been
exposed.
In the above image shallow open pits in saprolite are shown with black outline. Note drainages that have been worked for
alluvial gold. More recently ar sanal miners have targeted shallow saprolite at the edge of alluvial drainages which has
extended workings upwards into the forest. Approximate posi on of planned drill holes shown in white.
Sela Creek Summary: 28 February 2012
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PLANNED 2012 EXPLORATION
The focus of the 2012 explora on program will be diamond drill tes ng advanced projects. The drill is scheduled to mobilize
end Qtr 1 of 2012 with an aim to be drilling by middle Qtr 2 of 2012. Camp logis cs are complete and the property is drill ready.
Specifically:
•
Three priority targets have been iden fied for first phase drill tes ng. Angled diamond holes are planned to a maximum
ver cal depth of 200 m to test the depth extension of mineraliza on exposed in ar sanal workings.
•
Diamond holes will be drilled on ‘fence-lines’ spaced approximately 80 m apart and test a cumula ve 800 m of strike length at
Jons Pit, 500 m of strike length at Cambior and over 250 m of strike length at Puma.
•
Infill soil sampling will be conducted at Puma, Central Ridge and Panther to be er define gold and arsenic soil anomalies
iden fied to date. Geological mapping, and rock chip and channel sampling, will be ongoing.
Qtr 1
Sela Creek
Qtr 2
Drill mobiliza on / ancillary
5000 m diamond drilling (all in meter)
$ 50,000
$1,750,000
Ongoing mapping / soil sampling
General logis cs, camp and travel
$100,000
$100,000
Total Expenditures = $2,000,000
EARN-IN AND JOINT VENTURE TERMS
In-Ground
Explora on
Cash Payment
CAD
Hunter Bay
Shares
Earn-In
%
Year 1 to 21 December 2011
$0.4
100,000
250,000
30
Exercised 13 July 2011
Year 2 to 21 December 2012
$2.0
250,000
250,000
51
$1.75 M spent to date
$0.25 M cash paid / shares issued
Year 3 to 21 December 2013
$2.0
250,000
70
500,000
80
Year 4 and 5
Comment
Comple on of Scoping Study
At 80 % Earn-In: Op onor can elect to fund its 20% as a diluteable working interest, or to convert 10% to shares in Hunter Bay based on 10% of
discounted project value divided by average share price. The remaining 10% is converted to a 2% NSR and an 8% net profit royalty payable a er 100 %
recovery of all project costs
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Q烽®¥®›— P›ÙÝÊÄ
Andrew Tunningley, MGEOL, MAusIMM (CP), MSEG, a director of Hunter Bay, is a Qualified Person as defined in Na onal instrument
43-101 - Standards of Disclosure for Mineral Projects is responsible for the work program on the Sela Creek Project. Mr Tunningley
has supervised and approved all technical informa on contained in this technical summary.
Cƒçã®ÊăÙù NÊã›
Informa on set forth in this document contains forward-looking statements that are based on assump ons as of the date of this
document. These statements reflect management’s current es mates, beliefs, inten ons and expecta ons. They are not guarantees
of future performance. Hunter Bay cau ons that all forward looking statements are inherently uncertain and that actual performance
may be affected by a number of material factors, many of which are beyond Hunter Bay’s control. Such factors include, among
other things, risks and uncertain es rela ng to Hunter Bay’s ability to implement its explora on programs on its proper es, Hunter
Bay’s limited opera ng history; the need to comply with environmental and governmental regula ons; and poten al defects in tle
to Hunter Bay’s proper es. Accordingly, actual and future events, condi ons and results may differ materially from the es mates,
beliefs, inten ons and expecta ons expressed or implied in the forward looking informa on. Except as required under applicable
securi es legisla on, Hunter Bay undertakes no obliga on to publicly update or revise forward-looking informa on.
Hunter Bay Minerals Plc
Bridge House, London Bridge, London SE1 9QR, England
Phone: +44 (0) 207 127 9125
Email: [email protected]
Sela Creek Summary: 28 February 2012
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