The Wabu Ridge Gold Skarn deposit is located at elevations of up to 3100 metres above sea level, in the Central Highlands of Irian Jaya, Indonesia, 35 km NNW of the Grasberg porphyry deposit. Wabu is a grass-roots discovery in an area with no previous gold mining history or record of gold mineralisation. A geological resource of 117.26 million tonnes at an average grade of 2.16 g/t Au (1.0 g/t Au cut-off) has been defined to-date. Mineralisation is hosted within a skarn occurring along the southern boundaries of the Late-Miocene age monzonite-diorite Pagane intrusive complex. The intrusive complex occurs in the footwall of a major EW structure, the Derewo fault, which displays sinistral strike-slip and reverse fault movement. The Derewo fault separates Derewo metamorphic units to the north from platform sediments of the Australian craton to the south. The skarn has a strike length of 6 km and is up to 1.5 km wide. It is developed within calcareous shelf sediments of the Tertiary New Guinea limestone group and is dominated by prograde garnet development. Gold mineralisation was deposited during retrograde alteration and is directly associated with arsenophyrite and bismuth minerals. Retrograde alteration is distinguished by a sequence of clinopyroxene , magnetite, epidote and hornblende, biotite and chlorite and lastly carbonate. Gold is associated with the biotite/ chlorite phase together with sulphides and precipitated as the result of fluid mixing. The Wabu Ridge Gold Skarn deposit was identified in April 1990 during a regional program of helicopter assisted stream sediment sampling of -80 mesh (180 microns) fraction and panned concentrate sampling. The initial discovery sample site was situated 15 km down stream from the deposit and returned 1.49 ppm Au for the stream sediment sample and 138 ppm Au for the panned concentrate sample. A regional airborne helicopter magnetics survey, conducted in early-1992, helped defined the main magnetite associated skarn zone and the extent of associated igneous rocks. Detailed follow-up commenced in May 1992 and consisted of detailed mapping, soil sampling and ground magnetics prior to drilling the first hole in October 1992. Drilling to-date has delineated a contained geologic resource of 8.1 million ounces of gold and potential exists for a larger resource.