Sutton Resources Boosts Gold Resource Estimate at Bulyanhulu Property

Strategic Insights -

Sutton Resources Ltd., a leading gold explorer, has made a significant discovery at its Bulyanhulu property in Tanzania. Recent drill results have more than doubled the gold resource estimate on Reef 1, confirming that it exceeds 2 million ounces. President and CEO Michael Kenyon believes that the eventual resource on Reef 1 alone could exceed three million ounces, making it a world-class deposit. The company is making steady progress on engineering studies to determine production schedules, which are expected to be completed in November. The studies will focus on achieving production rates of over 125,000 ounces of gold per year from an underground operation.

Key Takeaways:

  • Sutton Resources has significantly boosted its gold resource estimate at the Bulyanhulu property in Tanzania, with Reef 1 alone exceeding 2 million ounces of gold.
  • The eventual resource on Reef 1 could exceed three million ounces, making it a world-class deposit.
  • The company is progressing with engineering studies to determine production schedules, which are expected to be completed in November.
  • The studies will focus on achieving production rates of over 125,000 ounces of gold per year from an underground operation.
  • Reef 1 has been tested by 158 diamond drill holes over a strike length of 4,500 feet and to a depth of 2,300 feet.
  • The deposit averages 14.7 feet thick and grades about 0.31 oz/ton gold.
  • A new resource calculation to incorporate all recent deep drilling will be completed soon.
  • The company's license extends over almost 21 square miles and covers some 33,000 feet of potential strike length of the various reef systems.
  • Surface exploration programs and diamond drilling are continuing.

Statistics:

  • 2 million ounces: the gold resource estimate on Reef 1 alone.
  • 3 million ounces: the predicted eventual resource on Reef 1.
  • 158: the number of diamond drill holes testing Reef 1.
  • 4,500 feet: the strike length of Reef 1.
  • 2,300 feet: the depth of Reef 1.
  • 14.7 feet: the average thickness of the deposit.
  • 0.31 oz/ton: the average grade of gold in the deposit.
  • 21 square miles: the size of the company's license.
  • 33,000 feet: the length of potential strike of the various reef systems.
  • 125,000 ounces: the expected production rate per year from an underground operation.

Sources:

  • "SUTTON RESOURCES BOOSTS GOLD RESOURCE ESTIMATE" - October 30, 1995, Business Wire.
  • Sutton Resources Ltd., Vancouver, Michael Kenyon President and CEO, 604/276-2576.