Öksüt is Stratex’s latest high-sulphidation (HS) gold discovery in Central Anatolia, located 25 km south of Develi and 70 km south of Kayseri. It is a 109.4 km2 licence area with key licence Ortaçam Tepe (Fig. 1), which was targeted on the basis of significant gold grades (including 0.93 g/t Au over 25 m) yielded from rock samples obtained during 2007. An initial 3,352.50 m drilling programme at Ortaçam during 2008 has realised a preliminary in-house resource of 147,814 oz oxide gold ('Au'), with an average grade of 1.21 g/t Au, using a cut-off of 0.2 g/t Au.

Figure 1. Early dr illing at the Ortaçam zone, looking to the south.

Since the discovery of Ortaçam, a number of further potentional drill targets have been identif6ied on the basis of rock-chip sampling (Fig. 2), including a potential porphyry target 400 m to the south-west of Ortaçam.

 

Figure 2. Potential drill targets identified by rock-chip sampling at Öksüt.

In August 2009, the Company signed an option/joint venture agreement with Centerra Exploration ("Centerra") to explore and develop Öksüt. Under the terms of the agreement, Centerra is committed to spending a minimum of US$ 500,000 in the first year, with the option to fund US$ 3 million over three years for a 50% interest in the project. Centerra also has the option to increase its interest to 70% after the first three years by expending an additional US$ 3 million over the following two years.

Centerra have now commenced their 2010 exploration programme which will drill-test the down-dip extension of the Ortaçam Zone and evaluate a further four zones of mineralization containing anomalous gold values.

 

Prospect Geology

The Öksüt property comprises Miocene andesitic lava flow domes overlain by alternating pyroclastics (andesitic volcanic breccias/agglomerates and andesitic lithic tuff) and lava flows. These units show strong lithological controlled alteration, predominantly silicification and advanced argillic alteration. The altered units are overlain by Pliocene lava flows.

The main silica types are:

• brecciated silica;
• massive silica;
• vuggy/granular silica;
• quartz-alunite/kaolinite;
• opal/chalcedonic silica.

Drilling results show that partial to complete oxidation persists down to a vertical interval of more than 100 metres, dependent on the degree of pervasive fracturing present within the silica zones. This is reflected in the distribution of oxide gold values observed in Fig. 4. The mineralization in the Ortaçam Zone is largely confined to steeply inclined breccia zones, with outcropping silica representing more extensive upper parts of breccia zones that taper at depth. Those holes with no significant intersections have enabled the Company to gain a better understanding of the geometry of the mineralization.

 

Exploration

Following a sucessful mapping and sampling programme during 2007/2008, Stratex commenced drilling at Öksüt in mid-August 2008 (Fig. 1 and Fig. 3) and has completed 3,352.50 metres to date.

Figure 3. Ortaçam site plan showing the drill hole locations and identified zones of silica alteration.

Drilling results to date are shown below (Table. 1). ODD-8 yielded 270.20 metres averaging 1.22 g/t Au using a 0.2 g/t Au cut-off. To date this is the longest interval of continuous gold mineralization drilled by Stratex on any of its projects. ODD-12 yielded the best intersection to date of 93.60 metres grading 5.61 g/t Au. Hole ODD-15 yielded 138.00 metres at 0.26 g/t Au, and 39.60 metres grading 0.31 g/t Au together with high copper values averaging 1.79 % and accompanying 20-40 ppm molybdenum values. These anomalies are being reviewed in terms of its relevance to porphyry gold-copper systems. Drill hole ODD-16 intersected a broad zone of patchy silica alteration immediately beneath talus cover and returned significant gold intercepts >1 g/t Au, including 42.35 metres grading 2.03 g/t Au.

 

Table 1.  Drilling results from the Ortaçam Zone. All intersections are within the oxide zone with cut-off grade at 0.2 g/t Au.

Hole	Dip	From (m)	To (m)	Length (m)	Au (g/t)
ODD-1	-075°	No significant intersection
ODD-2	-075°	0.80	20.10	19.30	2.96
ODD-3	-075°	14.75	77.20	62.45	2.16
ODD-4	-075°	71.80	145.10	73.30	1.36
ODD-5	-075°	No significant intersection
ODD-6	-045°	0.00	171.70	171.70	0.51
ODD-7	-045°	7.30	113.00	105.70	0.59
ODD-8	-045°	0.00	270.20	270.20	1.22
including		0.00	45.50	45.50	1.58
including		77.00	117.70	40.70	2.77
including		224.60	262.80	38.20	2.94
including		226.40	234.50	8.10	10.23
ODD-9	-045°	No significant intersection
ODD-10	-045°	Discontinuous intersections >0.2 g/t
ODD-11	-045°	0.00	15.70	15.70	1.82
and		111.00	204.40	93.40	0.37
ODD-12	-045°	0.00	93.60	93.60	5.61
and		169.70	196.50	26.80	1.05
ODD-13	-045°	No significant intersection
ODD-14	-045°	0.00	93.80	93.80	0.26
including		20.00	35.50	15.50	0.75
ODD-15	-045°	0.00	138.00	138.00	0.26
and		173.50	213.50	39.60	0.31
ODD-16	-060°	4.75	47.10	42.35	2.03
including		10.10	27.50	17.40	3.00

 

Figure 4. Cross-section of drill hole ODD-08 at the Ortaçam Zone.

 

The Ortaçam Zone, measuring approximately 200 m x 300 m, is the first of a number of discrete, possibly linked, silica zones in the Öksüt prospect that Stratex has investigated. Mapping and soil sampling over the full prospective area (4,000 m x 4,000 m) during 2008 highlighted five new prospective target zones (Fig.2) with extensive alteration and anomalous gold, which are scheduled to be explored through the JV agreement with Centerra. Three of these are outcropping zones (Ortaçam North, Büyükmese, Kızılağıl, Küçükmese) have been delineated for further exploration and possible drilling. A fourth area (Devetaşi West) has been defined by anomalous concentrations of Au (to 0.29 g/t), copper, molybdenum, and bismuth in soil samples, and may be indicative of a concealed porphyry system.

  

In addition, a significant coincident Induced Polarisation ('IP') (high chargeability) and magnetic anomaly has been defined 400 metres south-west and down-dip of the Ortaçam Zone. The geophysical characteristics of this are such that it constitutes a high-priority drill target for possible high-sulphidation or porphyry-style mineralization.

  

Based on results from the initial sixteen diamond drill holes during 2008 and 2009 for a total of 3,352.50 m of drilling, Stratex has undertaken a preliminary in-house gold resource calculation of the Ortaçam Zone to JORC standards using the manual cross-sectional method. The estimated resource calculated for the oxide material is147,814 oz gold, with an average grade of 1.21 g/t Au using a cut-off of 0.2 g/t Au. Eighty six percent of the oxide gold resource (127,825 oz @ 1.38 g/t) is indicated, the remainder being inferred (19,989 oz @ 0.67 g/t).