Superior Mining Corporation Inc. (SUI-TSX:V) is an active, Canadian-based gold and uranium explorer focusing on advancing its highly prospective Mangalisa gold project in the prolific Witwatersrand Basin of South Africa to define a mineral resource.
Superior Mining directly and indirectly owns 87% of Turquoise Moon Trading 403 (Pty) Limited, which holds the exploration rights to the company's flagship Mangalisa property, a high potential gold and uranium property located within the Witwatersrand's Free State (or Welkom) Goldfield of South Africa immediately north of Harmony Gold's Masimong 5 mine.
Led by a highly experienced management team and directors, two phases of drilling on the property were completed successfully, intersecting a conglomerate reef with encouraging anomalous gold and uranium grades, potentially being a new discovery of an "Elsburg" type gold deposit. Elsburg reefs can have very high gold values.
South Africa
South Africa has the world's largest natural resources of gold, platinum group metals, chrome ore and manganese ore, and the second largest resources of zirconium, vanadium and titanium. South Africa's mining sector accounts for one third of the country's GDP.
The Witwatersrand Basin of South Africa is an area that contains by far the largest known extent of gold mineralization of any coherent geological entity in the world. Historically, over 1.8 billion ounces of gold have been produced from the Witwatersrand Basin since 1886, or about 98% of the country's output. Mines are located in South Africa's 6 major goldfields: Evander, East Rand, Central Rand, Carletonville, Klerkdorp and the Free State: (see Map of Witwatersrand goldfields and simplified geology). Current mine head grades at Harmony Gold's Free State Goldfield mines are 6 to 10 g/t gold.
The Mangalisa Property
In 2009, Superior Mining completed a systematic diamond drilling program on the 19,585.62-ha Mangalisa property, which confirmed 45.8 g/t gold and 3.79 kg/t uranium over 0.45 m and 51.1 g/t gold and 4.27 kg/t uranium over 0.32, at a depth of 776 m. Subsequent to this significant discovery, Superior Mining completed a second drilling program consisting of six more holes, of which a number returned similarly high gold and uranium grades (see news release).
These encouraging results represent an important discovery for Superior Mining, highlighting the presence of significant gold and uranium mineralization at much shallower depths than that found in the majority of mines currently operating within the Witwatersrand Basin. The highest gold and uranium grades typically are contained within a thin, small pebble conglomerate band and the associated carbon seam at its base.
The strata intersected during the Phase 2 drilling program confirmed both the stratigraphic continuity of the Erfenis Reef Zone and the presence of significant gold and uranium values in this zone, in particular to the south of PG1 in borehold ERF-7. Boreholes ERF-5 and ERF-6 also intersected gold and uranium mineralization, giving a clear indication that gold and uranium concentration has occurred in the system.
The Mangalisa project represents one of the last, high-potential gold exploration properties within the Witwatersrand's Free State Goldfield.
New Zealand
Superior Mining also holds two alluvial gold properties and a hard-rock gold property in historical gold producing districts of New Zealand. The company has carried out exploration programs at the historic Ross Goldfield on the west coast of New Zealand's South Island, where the first major gold discoveries were made in the area in 1865. The West Coast has contributed approximately 25% of New Zealand's annual gold production over the last 10 to 15 years. Total reported placer production is in excess of 9.0 million ounces. Ongoing exploration programs on the Ross properties have included reverse circulation (RC) drilling and a trenching and test pit program during 2009, which revealed rich, layered, alluvial auriferous horizons on the properties.
The Ross South property includes numerous historical sunken shafts, one of which was sunk to a depth of 125 m. Gold leaders immediately to the north have resulted in historical gold production of 20,000 oz (1887-1898) and 65,000 oz (1989-2004). Gold production by others has recently re-commenced in that area.
The company also acquired the Collingwood property, having an area of 167.5 km2, with historically significant gold-base metal recovery in the Nelson region of the South Island.
Superior Mining continues to engage in the evaluation of new large, prospective concessions in areas surrounded by existing mining operations in order to identify additional new opportunities for company growth and return value to its shareholders.
