HRC Helio Resource Corp

VANCOUVER, Dec. 11, 2014 /CNW/ - Helio Resource Corp (TSX-V: HRC), ("Helio" or the "Company") is pleased to report results from the first eight Reverse Circulation (RC) drill holes (776m) at the Gap Target, SMP Gold Project, Tanzania.

The 8 initial RC holes (776m) were designed to identify the orientation of high-grade mineralisation previously identified in GPD 118 (5m at 5.3g/t Au):

• The best intercept from this round of drilling returned 3m grading 18.9g/t Au from 67m (including 1m grading 48.2g/t Au);
• A west plunging high-grade shoot has been identified (conforms to the orientation of high-grade shoots at the Kenge resource area) and this remains open along strike and to depth.

The first reported drill intercepts are part of the Company's 7,000 - 8,000m combined diamond and RC drill programme which commenced in October.  Three targets are being drill tested (see map provided here: SMP Map) Porcupine (3,000m of diamond drilling), Gap and Konokono (4,000 – 5,000m of RC drilling).

The objectives of the drill programme are to add higher grade resource ounces down plunge from existing resources at Porcupine and to add open pittable resources ounces at Gap and Konokono.

The Gap Target

Previous widely spaced drilling (on 100m – 400m centres) over a strike length of over 1,200m has indicated the potential for a near-surface high-grade target, striking roughly E-W and dipping southwards at 75-85°. 

GPD118 (drilled in 2011) intersected 5m grading 5.3g/t Au in this area.  The first RC drill holes at Gap in this current programme were designed to determine the orientation of this higher grade zone and to assess its resource potential before planning any further drilling in the vicinity.

A total of eight RC holes totalling 776m were drilled northwards.  A fan of three holes was drilled 25m to the east of GPD118 (GPR158 to GPR160), and a fan of three holes was drilled 25m to the west of GPD118 (GPR161 to GPR163).  Two further holes were drilled beneath GPD118 (GPR164 and GPR165).  Notable results include 2m grading 3.2g/t Au in the shallowest easternmost hole, and 3m grading 18.9g/t Au in the deepest westernmost hole.  The results indicate the presence of a west-plunging shoot of high-grade gold mineralisation.  This high-grade zone is open along strike and to depth.  A table of the results is shown below and a long section is provided here: Gap Long Section. 

Table 1           Gap RC Drill Results

Drill Programme Update

As of the date of this news release the Company has completed the following:

• 4 diamond drill holes (2,029m) at the Porcupine Target.
• 17 RC holes (1,544m) at the Gap Target (eight holes reported herein).
• 24 RC holes (2,177m) at the Konokono Target.

The programme is expected to be completed by December 15.  Results will be reported in batches for each target once they are received and confirmed.

Qualified Person

Chris MacKenzie, M.Sc., C.Geol., Helio's COO and a Qualified Person as designated by NI 43-101, is based in Africa and supervises the exploration at Helio's projects, including the sampling and quality assurance / quality control (QA/QC) programmes, and has reviewed and approved the contents of this news release.  Intercepts are reported as drilled widths, more drilling is required to confirm true widths. Continuous 1m samples were taken from all holes.  A reference sample was retained on site.  All samples were submitted to the lab with internal QA/QC checks including the use of blanks, standards and duplicates (at an average rate of 1 every 20 samples each.)  Samples were assayed at the SGS Laboratory in Mwanza, Tanzania by 50g gold fire assay with an AA finish.  As well as the Company's internal QA/QC programme, SGS also applied their own internal QA/QC programme, consisting of insertion of standards and duplicates.  Weighted average intercepts are calculated using a 1.0g/t Au cut-off.  Any individual assays over 15g/t Au are highlighted.

About Helio Resource Corp.

Helio Resource Corp. is a resource company focused on advancing the 100% owned SMP Gold Project in Tanzania to a production decision, and on outlining the resource potential at the DGP Gold Project in Namibia.

ON BEHALF OF THE BOARD OF DIRECTORS OF HELIO

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Statements Regarding Forward-Looking Information

Certain statements contained in this news release may contain forward-looking information within the meaning of Canadian securities laws. Such forward-looking information is identified by words such as "estimates", "intends", "expects", "believes", "may", "will", "probable", "potential", "indicated", "inferred" and include, without limitation, statements regarding the company's plan of business operations (including plans for progressing assets), estimates regarding mineral resources, projections regarding mineralization and projected expenditures, and the security of future tenure of licenses to explore, develop and mine. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others, metal prices, risks inherent in the mining industry, financing risks, labour risks, uncertainty of mineral resource estimates, equipment and supply risks, title disputes, regulatory risks and environmental concerns. Most of these factors are outside the direct control of the company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.

SOURCE Helio Resource Corp.