RTG To Acquire Applications For Stake Mt Kare Gold Project

 

SUBIACO, WESTERN AUSTRALIA - RTG Mining Inc. has entered into binding Memorandum of Agreement ("MOA") with the two priority applicants for the Mt Kare Gold Project located in the Enga Province of Papua New Guinea (PNG) to acquire a majority 80% stake in the project if and when successful in securing the new exploration licence. The two vendors are GMG Global Mining Group Limited (GMG) and Tribune Mt. Kare Limited (Tribune).

Mt Kare has a Historical Mineral Resource (JORC 2004), which includes a Measured Mineral Resource of 1.2 million ounces of gold, an Indicated Mineral Resource of 0.3 million ounces and an Inferred Mineral Resource of 0.6 million ounces of gold (see next section for details of Historical Mineral Resource).

Mt Kare is located approximately 600km northwest of Port Moresby and 145km west of Mt Hagen in the Enga Province of PNG and is situated 15km southwest of Barrick's Porgera Gold Mine. The Porgera Mine is the second largest mine in PNG and is regarded as one of the world's top ten producing gold mines. It began production in 1990 and to date has produced more than 20Moz of gold.

The Mt Kare Gold Project was discovered in 1987 by Conzinc Riotinto of Australia and has had in excess of A$60 million spent on it by several companies, including 454 diamond holes totaling 73,639 metres. In 2011, Indochine Mining Limited exercised an option to acquire the project and in 2013 announced a Historical (JORC 2004 compliant) 

Land Investigation Studies and a Land Identification Report have been completed previously by Summit (a subsidiary of Indochine) and a Mt Kare Project Consent Agreement with the principal Landowner representatives was finalized in May 2016 (both the property of Summit).

The Mt Kare deposit is hosted by Mesozoic and late Tertiary sedimentary rocks originally deposited on the Australian craton. Following continental collision, folding and thrusting in the Papuan Fold Belt and subsequent uplift, late Miocene-Pliocene (6.0Ma) alkaline intrusive bodies were emplaced. At Porgera and Mt Kare, intrusive complexes, about which subsequent precious metal mineralization has been centered, are focused at the intersections of a deep-seated transverse fault.

RTG believes Mt Kare has significant upside potential. RTG would seek immediately to develop and adopt its own Mineral Resource estimate for the Mt Kare project. In the longer term, RTG would focus exploration on the depth potential of the deposit. Mt Kare and Porgera are situated 15km apart along the same north-east trending continental scale transfer structure. 

The company’s contact information is (61-8) 6489-2900, [email protected].