VANCOUVER, Oct. 3, 2014 /CNW/ - Sarama Resources Ltd. ("Sarama" or the "Company") is pleased to advise that Savary Gold Corp. ("Savary"), the operator of the joint venture between Sarama and the Savary, announced on October 1, 2014 that as part of an ongoing data review, it had newly documented results from historic drill intercepts on the Kueredougou West zone on the Houndé South property. The Houndé South property forms part of the recently announced joint venture between Savary (65%) and Sarama (35%).
- Drilling identifies up to three parallel lodes of oxide mineralisation
- A summary of significant results1 are as follows:
- 22m @2.90 g/t Au from surface in BRRC005 reverse-circulation ("RC") hole
- 8m @1.75 g/t Au from 18m in BRRC013 RC hole
- 20m 1.64 g/t Au from 40m in BRRC013 RC hole
- 14m @ 1.42 g/t Au from 8m in BRRC042 RC hole
- 2m @ 9.38 g/t Au from 30m in BRRC042 RC hole
- 21m @1.91 g/t Au from surface in BGRB020 rotary-air-blast ("RAB") hole
- 6m @ 1.73 g/t Au from 46m in BRRC047 RC hole
- The presence of the Kueredougou West zone illustrates the prospectivity of the property package and adds to the targets generated from the recent and successful drilling campaign undertaken by Savary
- The joint venture enhances Sarama's position in the Houndé belt and complements the existing 1.5Moz Au2,3 inferred mineral resource at the South Houndé Project
- These results are based on historic drill data that cannot be validated without re-drilling select holes as no reverse circulation chips are available for review. A summary of the assay composites are provided at the end of this release.
- 29.13 Mt @ 1.6 g/t Au (at a 0.8 g/t Au cut-off)
- The effective date of the Company's Mineral Resource estimate is September 16, 2013. For further information regarding the Mineral Resource estimate please refer to the technical report titled "NI 43-101 Independent Technical Report, South Houndé Project, Bougouriba and Ioba Provinces, Burkina Faso", dated October 28, 2013. The technical report is available under the Company's profile on SEDAR at www.sedar.com.
The Kueredougou West Zone
The Kueredougou West zone lies approximately 1.2km south of the furthest southern holes on the Kueredougou zone (refer Figure 1) which returned drill intercepts of 2.0m @ 12.80 g/t Au and 5.0m @ 4.04 g/t Au in a recent drill program conducted by Savary.
The historic Kueredougou West gold zone results are based on data acquired from exploration companies that were previously active on the Houndé South property. This zone lies on strike with existing mineralization and is consistent in tenor with other gold zones on the property. However, in order to properly validate this occurrence, several twin drill holes will be required as the original RC drill chips and assay certificates are no longer available.
The historic drilling tested the zone, which consists of up to three modelled, moderate-east-plunging lenses of mineralization, to a maximum depth of 100m along a 500m strike length. True widths are estimated at approximately 90% of drill width. This zone, which was tested by 17 RC holes totalling 1,614m between 1999 and 2000 by Delta Gold, is open in all directions and is either part of the Kueredougou mineralized system, which has been traced for approximately 2,900m (refer Savary news release May 14, 2014) or a parallel gold system, located 200 to 300m to the west. Gold-in-soil geochemical data with values ranging from a low of 50ppb Au to a high of 1,888 ppb Au form a coherent anomaly approximately 5.6km long and up to 300m wide. Other than RC drilling along a 500m portion of the gold-in-soil anomalous trend, the majority of the anomaly has not been tested. A summary of the drill results are presented in Appendix A.
Sarama's President and CEO, Andrew Dinning commented:
"We are pleased with the historical drilling results announced by Savary as they provide further confirmation that our recently announced joint venture will be mutually beneficial to both parties. We believe the southern Houndé Belt is a great exploration address and we are highly encouraged by the Savary's results to date. We look forward to working with Savary and advancing our regional interests to the next stage."
For further information on the Company's activities, please contact:
Andrew Dinning or Paul Schmiede
e: [email protected]
t: +61 (0) 8 9363 7600
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
About Sarama Resources Ltd
Sarama Resources Ltd (TSX-V: SWA) is a West African focused gold explorer with substantial landholdings in Burkina Faso, Liberia and Mali.
Sarama's flagship properties are situated within the Company's South Houndé Project area in south-west Burkina Faso. Located within the prolific Houndé greenstone belt, Sarama's exploration programs have built on significant early success to deliver a maiden Inferred Mineral Resource estimate of 1.5 Moz gold2,3. Outside of Burkina Faso, Sarama is focused on consolidating a number of under-explored landholdings in other emerging and established mining jurisdictions.
Incorporated in 2010, the Company's Board and management team have a proven track record in Africa and a strong history in the discovery and development of large-scale gold deposits. Sarama is well positioned to build on its current success with a strong financial position and a sound exploration strategy across its property portfolio.
Caution Regarding Forward Looking Statements
Information in this news release that is not a statement of historical fact constitutes forward-looking information. Such forward-looking information includes statements regarding the entering into of the joint venture agreement with Savary, the operation of the joint venture by Savary on property which includes Sérakoro 1 and Houndé South and future exploration on the land to be covered by the joint venture. Actual results, performance or achievements of the Company may vary from the results suggested by such forward-looking statements due to known and unknown risks, uncertainties and other factors. Such factors include, among others, that completion of the joint venture agreement depends on, among other things, the satisfaction of conditions precedent that are usual in a transaction of this nature, including the receipt of regulatory approvals, that the business of exploration for gold and other precious minerals involves a high degree of risk and is highly speculative in nature; Mineral Resources are not Mineral Reserves, they do not have demonstrated economic viability, and there is no certainty that they can be upgraded to Mineral Reserves through continued exploration; few properties that are explored are ultimately developed into producing mines; geological factors; the actual results of current and future exploration; changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's publicly filed documents.
There can be no assurance that any mineralisation that is discovered will be proven to be economic, or that future required regulatory licensing or approvals will be obtained. However, the Company believes that the assumptions and expectations reflected in the forward-looking information are reasonable. Assumptions have been made regarding, among other things, the Company's ability to carry on its exploration activities, the sufficiency of funding, the timely receipt of required approvals, the price of gold and other precious metals, that the Company will not be affected by adverse political events, the ability of the Company to operate in a safe, efficient and effective manner and the ability of the Company to obtain further financing as and when required and on reasonable terms. Readers should not place undue reliance on forward-looking information.
Sarama does not undertake to update any forward-looking information, except as required by applicable laws.
Qualified Person's Statement
Scientific or technical information in this news release that relates to the preparation of the Company's mineral resource estimate is based on information compiled or approved by Adrian Shepherd. Adrian Shepherd is an employee of Cube Consulting Pty Ltd and is considered to be independent of Sarama Resources Ltd. Adrian Shepherd is a chartered professional member in good standing of the Australasian Institute of Mining and Metallurgy and has sufficient experience which is relevant to the commodity, style of mineralisation under consideration and activity which he is undertaking to qualify as a Qualified Person under National Instrument 43-101. Adrian Shepherd consents to the inclusion in this news release of the information, in the form and context in which it appears.
Notes – Drilling
Drilling results are quoted as downhole intersections. True mineralisation width is expected to be approximately 90% of intersection length for holes drilled on 290° azimuth sections, dipping at -60° to the west and intersecting the north-north-east striking lenses, however the nature of some mineralised units is not well understood.
The reported composites for RC and RAB drilling were determined using a cut-off grade of 0.50g/t Au to select significant and anomalous intersections, with a maximum of 2m internal dilution being incorporated into the composite where appropriate. No top-cuts were applied to assay grades. Isolated mineralised intersections less than 2m in length have not been reported.
The nature of any quality assurance/quality control programs which may have been conducted as part of the original drilling program is not known.
Gold assays for the RC and RAB drilling were most likely determined by fire assay methods, however this cannot be confirmed.
RC drilling was generally designed using 290° azimuth oriented holes, dipping at -60° to the west, approximately 80-120m in length. RC drill cuttings were sampled over regular 1m intervals. RAB drill cuttings were sampled over regular 1m intervals.
SOURCE: Sarama Resources Limited