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GROUND MAGNETIC SURVEY

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Finding Lead and Zinc ore can be quite complicated, as was the was the case with IMP, the ore is set in narrow, high metal content, veins, created as molten metal was squeezed into faults and fractures by the immense power of a large seismic event.  IMP's geologists, named AIMS (PT. Anugerah International Mining Services), believe a seismic "event" occurred in a location called the "Anomaly Zone," identified below, which they believe forced a large quantity of molten Lead and Zinc ore to the surface through a weak point in the earth's crust, creating faults as the magma rose and forcing Lead and Zinc ore into those faults as the magma made its way to the surface.  Since the combined surface profile of the faults would only be a fraction of the 800 hectare mineralization zone that might each be from 30 cm to 4 meters wide, unless they rise to generate an outcrop, they are quite hard to find.   
 
This is when a Ground Magnetic Survey is especially helpful, because it effectively identifies faults in addition to identifying whether the materials are highly magnetic as is the case with Iron ore (shown in red below) or not very magnetic (shown in blue) as is the case with Lead and Zinc and many other metals.  Given that initial drilling of sites NA, MA and SA, indicated Lead and Zinc Ore having been deposited in fine veins, our geologists were confident that the Ground Magnetic Survey would reveal more faults that could potentially be Lead and Zinc veins, which confidence ultimately proved to be justified.  See Geology for Investors site to learn more.

GROUND MAGNETIC SURVEY BY GEOSERVICES

Geoservices Indonesia was contracted to conduct a Ground Magnetic Survey on the mineralization zone of the concession.  The results how a strong anomaly at the uppermost Western side of the concession, which geologists conclude is the location of the primary event that generated the observed Lead and Zinc fissures.

The Ground Magnetic Survey was conducted after Phase I of drilling and was used to estimate resource related to Phase I drilling and guide drill locations for Phase II drilling.  The results of the survey confirmed the results of Phase I drilling, and led to new drilling locations that held significant quantities of Lead and Zinc Ore.

Likely Iron Zone

GROUND MAGNETIC SURVEY CONCLUSIONS

The Ground Magnetic Survey has three components.  Two are shown above, including (1)  Metal anomaly identification, and (2) Vein / fracture / fissure identification.  The third is shown below, indicating that the anomaly (the bright blue spot at the top end of the IMP concession), extends to beyond 100 meters of depth.  This report also shows that the blue area in the IMP mine is consistent with the blue area in the GST mine (which is the concession to the bottom right in the diagrams where IMP was given permission to survey), which has a proven and partially mined Lead and Zinc deposit).  By matching the GST hues for the Ground Magnetic Survey results of IMP, Geoservices came to the conclusion that the blue hued areas in IMP are of the same materials as the blue hued areas in GST.

The red hued areas, and especially the bright pink areas in both concessions, represent Iron Ore.  Red-orange indicates highly magnetic materials, whereas deep blues represent low magnetism materials consistent with Lead and Zinc, and as the blue hued areas in GST is virtually identical to the much larger area in IMP, Geoservices recommended focusing on that area for drilling.  

IMP geologists, however, feel that the larger quantity of Ore will likely be deeper down, as there is virtually no reduction in the size of the blue hue zone from the surface to 100 meters below.  Furthermore, Ore found during drilling at the surface of the anomaly proved to be thin veins held within host rocks called "stockworks" which would produce a low metal content ore of approximately 8% metal content.

Currently, IMP is focusing on the fractures identified by the Ground Magnetic Survey as shown above to be in the range of 5 km in length.  Based on drilling at the center of the five veins in each case, IMP has demonstrated that each of the fractures is a vein of Lead and Zinc Ore as predicted, each appearing to provide a high metal content Ore.  Further exploration under a JORC-like regime will be required to prove these five km contain Ore in the quantity that the IMP geologists say is inferred based on the drilling and exploration done thus far.

Fortunately, as the Site B vein has already been partially mined (illegally), IMP is able to begin mining and Concentrating the Ore for export even as it proceeds with a JORC compliant exploration program to prove than initial Reserve for development fund acquisition. 

DEPOSIT DEPTH ANALYSIS TO 100 METERS

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