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  • TSX: MMY
  • FSE: D7Q1

Mines & Properties

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Selinsing

Selinsing Exploration Program

Background
Selinsing Drill Results (November 2012-October 2013)

Map
Selinsing Fiscal 2013 DH Location Map (December 2013)


Selinsing Drill Results (July 2011-November 2012)

Map
Selinsing RC Drill Hole Locations (November, 2012)


Map
Selinsing DD Drill Hole Locations (November, 2012)


The Selinsing property exploration program announced on September 22, 2010 was aimed to increase the reserves by converting the inferred resources below the present Selinsing open pit outline. The program planned 22 drill holes comprising 1,000m of RC drilling and 3,000m of diamond drilling with a budget of US$0.6 million.

The drill program since has been expanded to focus on finding additional oxide and sulfide ores adjacent to the existing pit development areas, extending known mineralization north and south of the Selinsing open pit along strike, and converting Inferred gold resources to Indicated as follows:
  • Fourteen (14) drill holes (MSMDD001 to MSMDD014) totaling 3,013m were completed in fiscal 2011 costing $US1.1 million. Of which drill results for MSMDD 001-006 were reported in the Company's press release on July 26, 2011.
  • Forty seven (47) drill holes (MSMDD015 to MSMDD061) totaling 10,554m of drilling were completed in fiscal 2012 costing $US2.2 million.
Drill results

(See Table 1 below for Drill Results to November, 2012)

MSMDD35 (51m at 3.84 g/t gold from 159.5 to 210.5m), MSMDD025 (65m at 3.09 g/t gold from 157.10m to 222.1m) and MSMCD017 (64.58m at 2.91 g/t gold from 188.65m to 253.23m) partially define a new high grade ore pod located approximately 85-103m below the current pit bottom. This ore pod needs additional drill tests to determine its full extent. These drill results demonstrate that gold mineralization at the Selinsing Deposit continues at depth along an east-dipping structural zone. It is hosted in cataclasite and mylonite rocks with weak to moderate gold-bearing quartz veins and quartz stockwork veinlets. Ores exposed in the current Pit 4 bottom are mostly "fresh" or sulfide-bearing rock and are currently being processed through the plant.

Encouraged with the outcome of the deeper drilling below the existing pit, more drill holes are planned to define the vertical and lateral extension of the orebody at depth with the objective to expand the pit below the target depth of RL 400.

The fiscal 2013 exploration drilling plan includes shallow RC drilling targeting additional areas for potential oxide resources and diamond drilling targeting the well-defined structural zone along strike throughout the district to consolidate the Selinsing and Buffalo Reef resources. As of November 1, 1555 RC meters in 24 drill holes and 3992m of diamond drilling in 23 holes has been completed at Selinsing and assays are pending.

Historic Drill Campaign

In June 2006, a program of targeted reverse circulation "RC drilling" took place to confirm the tenor of the historical RC data; nine drill holes were drilled and the significant results are in the table below. For more detailed information please refer to the technical report: (Preliminary Assessment Selinsing Gold Project, Malaysia NI 43-101 Technical Report by Snowden Consulting Group, Australia).

Drill assay summary results:


Hole ID
Hole Type
From (m)
To (m)
Down Hole Thickness (m)
Grade g/t Au
SELRC 0510 RC
23
29
6
8.33
Includes  
27
28
1
31.40
SELRC 0510 RC
46
60
14
3.15
Includes  
39
40
1
41.70
Includes  
59
60
1
22.40
SELRC 0511 RC
41
49
8
6.60
Includes  
48
49
1
36.80
SELRC 0512 RC
32
64
32
1.72
SELRC 0513 RC
66
72
6
1.83
Includes RC
61
62
1
20.40
SELRC 0514 RC
31
42
11
0.95
SELRC 0515 RC
60
69
9
9.15
Includes  
65
66
1
35.80
SELRC 0516 RC
24
35
11
4.84
SELRC 0518 RC
2
14
12
2.45
SELRC 0518 RC
25
36
11
4.02
SELRC 0518 RC
42
49
7
12.30
Includes  
46
47
1
52.90
SELRC 0518 RC
53
67
14
15.52
Includes  
54
55
1
51.90
Includes  
57
58
1
60.00
Includes  
61
62
1
38.90
*Snowden Consulting Group, Australia supervised the drilling and sampling.

Your Vote is Important

Your Vote is Important

Please vote by 4 PM Pacific Time on December 28, 2011.


You may vote via the internet at www.proxyvote.com following the instructions found on the enclosed Voting Instruction Form. If you haven't receive your materials, have any questions or require assistance voting your shares, please call our proxy solicitor, Laurel Hill Advisory Group at 1-877-304-0211 or via email at assistance@laurelhill.com.


At the Meeting, shareholders will be asked to approve, among other things, the Company's acquisition of a 70% interest in the Mengapur Polymetalic Project in Malaysia (the "Acquisition") and the concurrent financing of the Acquisition by way of private placement. These items are discussed in detail in the Information Circular disseminated by the Company in connection with the Meeting.

Background to the Acquisition of the Mengapur Project

The Company's mission is to increase shareholder value by seeking to become a diversified mid-tier producer through expansion and development of its existing pipeline of mineral assets and to grow through acquisition of new resource properties with promising economic potential in Southeast Asia. The Company's portfolio of properties currently includes the producing Selinsing gold mine, the advanced Buffalo Reef exploration gold project and several grass root gold prospective properties. The Company has for some time been actively seeking to add to its portfolio consistent with this mission. The Mengapur Project is an exciting opportunity which meets all of our objectives.

The Mengapur Project is a large polymetalic project, previously owned by the Malaysian Mining Corporation, which in the early 1990's had done extensive exploration and development work on the property.

Following successful completion of our due diligence and extensive negotiations, the Company entered into a definitive acquisition agreement (the "Definitive Agreement") in late November to acquire a 70% interest in the Mengapur Project for an aggregate consideration of $60 million. Under the Definitive Agreement, the Company will acquire an interest in approximately 185 hectares within an area that was the subject of extensive historical exploration that had identified significant mineral potential.

In the course of our due diligence review, we examined the historical data contained in a detailed study completed in 1993 on the Mengapur Project, conducted our own limited confirmatory drilling and investigated the results of the limited copper and iron production occurring from the project. The Company also examined the detailed plans contained in the historical study for a long-life open pit mining and processing operation for the production of iron, copper and fertilizer by products. The historical study and the Company's own analysis also considered the potential for silver and gold production from the Mengapur Project.

The Company concluded that the Mengapur Project presented a unique and exciting opportunity, consistent with our mission, and with the potential for long-life revenue generation to leverage our expertise and expand our operations.

Financing the Acquisition and the Mengapur Project

The Acquisition and plans for the subsequent exploration and development of the Mengapur Project require greater financial resources than presently available to the Company. As well, the opportunity to acquire the Project was only available to the Company provided it could make significant up front deposits and complete the Acquisition in an extremely short period of time frame.

In order to raise the needed financing for the Project, management and the Board considered the alternative financing sources available including debt financing, forward sales, public offering, rights offering or other alternatives.

Due to present market uncertainty, the ongoing global financial crisis and in order to minimize financial risk to shareholders, the Company chose the certainty of a committed private placement to finance the acquisition and development of the Mengapur Project. In addition, due to the tight timeframe to close the acquisition demanded by the vendor of the Mengapur Project, the window for equity financing is too narrow to complete a rights offering or a brokered deal. The Company had to seek a guaranteed source of funds to be able to satisfy concerns expressed by the vendor during commercial negotiation. The vendor's main concern from the outset was the low capital base of the Company in undertaking project that is much larger than Selinsing. The arranged financing satisfied all of those concerns.

On December 2, 2011, the Company announced that it would conduct a non-brokered private placement (the "Private Placement") of up to 140,000,000 units consisting of one share and a 3-year 70¢ warrant at a price of $0.50 per unit for gross proceeds of up to $70,000,000. As required by the policies of the TSX Venture Exchange, shareholders will be asked at the Meeting to approve the private placement, as it will result in the subscriber, Tulum Corporation Ltd., holding over 40% of the Company's outstanding shares.

To address the dilution that shareholders would concern, Monument intends to strategize the phases of development of streams of production in order to generate the cash flow to further fund the Mengapur project from off take sales arrangement. By equity financing, Monument shareholders will suffer dilution upfront, but in the medium term the private placement and the Mengapur Acquisition are expected to ultimately build greater value to all shareholders.

The Company does not intend to complete the Acquisition unless the Private Placement is completed concurrently.

The Company is excited about the prospects presented by the Mengapur Project and encourages Shareholders to attend the Meeting and Vote FOR the Acquisition and financing in order to allow us to advance our mission.

Your vote is important, no matter how many or how few shares you may own. Whether you are able to attend the meeting or not, we urge you to vote TODAY.