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PREDICTIVE GOLD DISCOVERY KYRGYZ REPUBLIC. Presented by David Royle The CIS Precious Metals & Stones Summit, Moscow 14 February 2006. Exploration Approach How does a small company like Kentor create opportunities to fast track to a gold discovery? Illustrated by 2 case studies:
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PREDICTIVE GOLD DISCOVERY KYRGYZ REPUBLIC Presented by David Royle The CIS Precious Metals & Stones Summit, Moscow14 February 2006
Exploration Approach How does a small company like Kentor create opportunities to fast track to a gold discovery? Illustrated by 2 case studies: 1. regional scale (Talas Projects), and 2. local scale (Akbel Project)
Exploration Approach Extensive previous surface exploration by Soviets in Kyrgyz Republic Most outcropping deposits are well documented and picked over Thus high-tech generative approach chosen by Kentor to focus on hidden new gold deposits
Exploration Approach The Challenge is to unlock the economic potential of shallow covered areas in the Tien Shan Gold Belt by: Predicting the deposit location, and Detecting the deposit existence Predicting – applying conceptual models through a GIS database to select areas for exploration Detecting – use of appropriate cutting-edge technology to define drill targets
Exploration Approach Kentor is backing itself to find blind or subtly concealed gold deposits at different scales: Regional – choose the best gold belts using Soviet era data Local – choose targets using combined remote techniques & drill
Talas Projects • The 3 Talas projects were a direct outcome of the regional generative exploration program in 2004 • Multilayered GIS targeting approach incorporating extensive Soviet geochemistry, satellite image processing and spatial analysis • Emphasis on large intrusive related gold and copper-gold deposits
Talas Projects Historical Geochemical Data Coverage
Talas Projects • Total 140 targets identified / ranked in late 2004 • 34 priority targets tested in the field • 16 targets with positive signs of gold mineralisation • Best 4 on open ground located in Kyrgyz Range acquired • Subsequent exploration in 2005 upgraded 3 (Uzunbulak, Barkol, Karabalta)
Uzunbulak Project Showing 4 main drill ready porphyry copper-gold targets Drilling is planned to commence this month
Barkol ProjectStrong coherent gold-in-soil anomaly definedAnomaly is yet to be drill tested
Karabalta 2 highly encouraging targets outlined by stream and rock geochemistry
Akbel Project Example of local scale exploration Most advanced Kentor project Core asset & major focus for Kentor
The Kumtor Gold Trend ERTASH TENEMENT South West Deposit - 0.5M oz Akbel - Kentor KUMTOR MINE KUMTOR MINE Prospect Bordu Prospect Sarytor Prospect 12M oz 0 9km Kumtor Panorama looking south
Akbel Project The challenge – extensive glacial till covering extensions of the Kumtor Trend Conventional methods not appropriate Innovative approach needed 2 principle exploration techniques applied: Mobile Metal Ion (MMI) soil geochemistry Induced Polarisation (IP)
Akbel Project MMI Soil Geochemistry Recent sampling shows larger and more coherent gold anomalies defining Kumtor Trend (about 19km semi-continuous Au±Bi±W anomaly) Results add evidence of repeatability of MMI technique
Akbel Project Systematic application of both techniques + geological interpretation continues to upgrade the project Multiple drill targets defined Key ingredients for a Kumtor-style gold deposit confirmed in initial drilling: Favourable structures Pyritic carbonaceous shale / tillite Hydrothermal alteration Vector to the black shale mine host rocks NW Extensive drill program planned for 2006
Akbel Project - Drill Hole Locations Priority Drill Area
Conclusions This more predicative approach to targeting and exploring under cover is the next frontier for the discovery of the worlds gold and base metal deposits The approach being undertaken by Kentor in the Kyrgyz Republic is just as applicable to other parts of the CIS
Kentor has the management team, finance and the scientific skill to unlocking the potential of the highly prospective Tien Shan Gold Belt