El Nino Closes $1.5 Million Non-Brokered Private Placement; Update on the
Kasala Copper Project in the DRC
Highlights - Geochem program in progress on the Kasala Copper project - Follow up on high grade copper mineralization - Drill program slated early 2010 - Excellent infrastructure in place
Kasala Copper Project ---------------------
The Kasala project is one of the first new Greenfields copper discovery in the last 10 years in the central African Copper belt
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One of the newest copper discoveries in the Central African Copperbelt, El Nino Ventures' Kasala prospect is located approximately 70 kilometers northwest of Lubumbashi, Democratic Republic of Congo's second largest city and the center of the country's massive copper/cobalt mining industry. The Central African Copperbelt contains over 10% of the worlds copper and 34% of the world's cobalt. The Kasala project permits are located adjacent to Anvil Mining's Kinsevere Mine, which is expected to produce 24,000 tonnes (52 million pounds) of copper annually for the next 20 years. It is also located approximately 10km east of Tiger Resources' Kipoi deposit. Other prominent companies active within this region are; Freeport-McMoran, Lundin Mining Corp, First Quantum Minerals, Katanga Mining Limited, Ivanhoe Nickel & Platinum Ltd. and Konkola Copper Mines.
The Kasala project has an excellent infrastructure and is ideally situated within 20 km of the national highway (a hard-surfaced all-weather road) and is also within 30 km of a rail line linking the mining centers of the Copperbelt. A high-tension electrical transmission line is located 12 km west of the projects' boundaries.
Highlights of the Drilling and Exploration to date
The recent drill program identified consistent mineralization over large widths, from 50m to 91m. Highlights included high-grade intercepts:
- 22 m @ 3.28% Cu - 29 m @ 2.82% Cu - 31 m @ 2.19% Cu - 11 m @ 3.68% Cu
These results confirm the presence of significant mineralization within the Kasala Main Zone with the potential for expansion based on the results from an IP Survey completed in early 2009.
The 2008 drill campaign on the project was undertaken to test a number of priority targets identified from the interpretation of airborne geophysical data from a survey commissioned by the Company in late 2007.
The 50 drill hole, 5,920 metre 2008 drill program consisted of 35 Reverse Circulation ("RC") drill holes totaling 3,336 meters and 15 diamond drill ("DD") holes totaling 2,584 meters.
Since then, the Company has completed a soil geochemistry sampling program and an Induced Polarization ("IP") survey across the Kasala site and has found good correlation between mineralization identified in the drilling, soil anomalies identified from the geochemical sampling program and both the ground and airborne geophysical surveys.
The Company's technical team has compiled all of the available data (including drilling results, geophysical and geochemical data) into a geological model of the site, which has led to new interpretations of the geology. Previously, the Company had reported (press release of
Table 1: Significant Intercepts from Kasala Block "A" 2008 drill program. From To Interval Copper Cobalt Hole ID Depth (m) (m) (m) (m) (Cu) (Co) MDB-DD-007 195.7 141.2 155.2 14 0.98% 0.006% 164.2 186.2 22 1.97% 0.004% ...including 170.2 175.2 5 3.09% 0.001% MDB-DD-008 122.3 39.8 109.8 70 1.19% 0.030% ...including 78.8 109.8 31 2.19% 0.012% MDB-DD-011A 109.0 63.4 93.4 30 1.88% 0.110% ...including 86.4 91.4 5 4.91% 0.016% MDB-DD-011B 144.8 78.1 149.1 91 1.19% 0.100% ...including 113.1 123.1 10 6.07% 0.034% MDB-DD-019 213.0 65.7 76.7 11 0.77% 0.022% 125 147 22 3.28% 0.057% ...including 126 133 7 7.02% 0.090% MDB-023 97.0 17 97 80 1.42% 0.130% ...including 17 46 29 2.82% 0.340% MDB-026 47.0 26 47 21 2.42% 0.088% MDB-027 100.0 9 100 91 1.16% 0.033% ...including 22 33 11 3.68% 0.047% MDB-031 56 33 43 10 3.03% 0.056%
The recent drill program focused exclusively on Kasala Block "A" - Blocks "B" and "C" are yet to be drill tested, but are considered as priority drill targets due to the strong copper-in-soil values identified over large areas on these blocks. Block "C" in particular has numerous multi-point anomalies of greater than 300 parts per million copper-in-soil and has an anomalous area of approximately 1,500 meters long by 1,500 meters wide - it represents a high priority for drilling.
All samples from the drilling program were collected following strict quality controls and were then dispatched to ALS Chemex Laboratories in
Across Kasala Block "A" copper mineralization is found close to surface (some intercepts less than 10 meters from surface) and both oxide (malachite) and sulphide (chalcopyrite) copper mineralization have been identified.
Currently, the mineralized strike length of Kasala Block "A" stands at just over 750 meters with a width of as much as 250 meters. The thickness of mineralization has been found to be as great as 90 meters, but the mineralization is open in all directions, including at depth.
2010 Exploration Program
An infill diamond drilling program of at least 5,000 meters is planned to commence on Kasala Block "A" in late April, 2010, to determine the complete extent of the mineralization and to allow an NI 43-101 compliant resource estimate to be completed on Kasala Block "A" by the end of summer, 2011.
In advance of any additional drilling the Company has determined to undertake additional soil sampling, both across Kasala Blocks "A", "B" and "C" and regionally, to provide enhanced geochemical detail while selecting drill targets.
- Phase 1 objective - To define a inferred resource on block A with 5000 meters of diamond drilling - Phase 2 objective - Step out and test geochemical and geophysical anomalies on block B and block C with 5000 meters of diamond drilling - Phase 3 objective - Continue to develop inferred resource on blocks A, B and C
This Enhanced Soil Geochemistry Survey is planned to decrease sample spacing from the current 100 m x 100 m coverage over Kasala Blocks "A" "B" and "C" to 100 m x 50 m spacing regionally and 50 m x 50 m spacing over priority target areas. The Enhanced Soil Survey will be started within the next week and will entail the collection of some 6,000 samples. All results are expected to be received within 8 weeks of commencing the program.
The high degree of correlation between the soil geochemistry and drill results on Block "A" indicates that detailed soil geochemistry will provide reliable information when targeting drill holes. The objective of the continuing exploration programs on Kasala Blocks "A", "B" and "C" is to define an aggregate minimum of 1 million tonnes of contained copper metal.
Terms and Condition of Private Placement
Further to its news release of
Each unit consisted of one common share and one common share purchase warrant. Each warrant entitles the holder to purchase an additional common share at a price of
In connection with the closing of this financing, the Company has paid a finder's fee consisting of an aggregate of
In compliance with Canadian securities laws, all of the securities issued in connection with this closing are subject to a hold period expiring on
Proceeds from the financing will be used in part to advance the Company's properties in the Democratic Republic of
This placement allows the company to position several strategic financial and recognized technical experts which will continue to allow ELN to complete its objectives in both
About El Nino Ventures Inc.
El Nino Ventures is an exploration company, focused on exploring for Copper/Cobalt in the DRC, that is aggressively negotiating to acquire other projects through out
On Behalf of the Board of Directors,
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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.
Note: this release contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results and are based on current expectations or beliefs. For this purpose, statements of historical fact may be deemed to be forward-looking statements. In addition, forward-looking statements include statements in which the Company uses words such as "continue", "efforts", "expect", "believe", "anticipate", "confident", "intend", "strategy", "plan", "will", "estimate", "project", "goal", "target", "prospects", "optimistic" or similar expressions. These statements by their nature involve risks and uncertainties, and actual results may differ materially depending on a variety of important factors, including, among others, the Company's ability and continuation of efforts to timely and completely make available adequate current public information, additional or different regulatory and legal requirements and restrictions that may be imposed, and other factors as may be discussed in the documents filed by the Company on SEDAR (www.sedar.com), including the most recent reports that identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. The Company does not undertake any obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Investors should not place undue reliance on forward-looking statements.
For further information: Tel: (604) 685-1870, Toll Free: 1-800-667-1870, Fax: (604) 685-8045, Email: [email protected], or visit : www.elninoventures.com
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