VANCOUVER, Sept. 8, 2014 /CNW/ - Sarama Resources Ltd. ("Sarama" or the "Company") is pleased to announce the successful completion of its initial drill program at the Company's Cape Mount Project in western Liberia. The reconnaissance drill program featured widely spaced drill fences along an 8km portion of a previously delineated 15km-long soil anomaly (see press release January 13, 2014). The drill program has confirmed the presence of shallow, in-situ gold mineralisation within altered and locally deformed mafic and ultramafic volcanic rocks.
The 1,600m drill program was designed to test 3 distinct target areas marked by strong gold-in-soil anomalism and trench results outlining broad zones of anomalous gold values. Gold mineralisation was intersected in all but one of the drill holes with a number of intercepts containing occurrences of visible gold.
The Company is also pleased to advise that it has increased its ownership interest in Pedsam Mining Ltd to 100% in accordance with an earn‐in agreement between Sarama and Pedra Mining AS (Norway) ("Pedra"). Pedra will retain a net smelter return royalty of 1% should any of the properties achieve production. PedSam is a Liberian entity which has title to the Cape Mount, Gbarpolu and Grand Bassa permits.
- Shallow, in-situ gold mineralisation confirmed over an 8km section of a 15km-long gold-in-soil anomaly
- Gold mineralisation was intersected in all but one hole with occurrences of visible gold in a number of holes
- Gold mineralisation is hosted in ultramafic rocks, a similar setting to the New Liberty Gold Deposit located 10km south
- Highlighted intersections include:
- CMDD002 3.0m @ 2.54g/t Au from 33m
- CMDD004 7.5m @ 3.87g/t Au from 9.3m
- CMDD006 6.0m @ 1.24g/t Au from 7.8m
- CMDD007 5.0m @ 2.25g/t Au from 28m
- CMDD008 17m @ 0.74g/t Au from 26m
3.0m @ 1.14g/t Au from 48m
7.0m @ 1.21g/t Au from 59m
- CMDD009 4.9m @1.66g/t Au from 24.1m
- CMDD011 4.0m @2.01g/t Au from 36m
- Based on the results of this successful scout drill program, further work including drilling and trenching has been planned to further define the existing targets and test the 15km-long trend
- Company increases ownership in Liberian permits to 100%
Cape Mount Project Exploration
The Cape Mount Project (the "Project") encompasses an area of 281 km2 (refer Figure 1) and is owned 100% by Sarama. The Project is located immediately adjacent to Aureus Mining Inc's New Liberty Gold Project and is currently under development.
The Company's exploration properties are underlain by an assemblage of Archean gneissic rocks containing relatively thin (10s to 100s of meters, rarely >5km wide), but laterally continuous (up to 30km-long), steeply-dipping units of metamorphosed greenstone. The greenstone layers consist of mafic-to-ultramafic volcanic and volcaniclastic rocks with interbeds of siliceous magnetic iron formation, quartzite and clastic sedimentary rocks.
The metamorphic grade of the greenstone ranges from greenschist to lower-to-middle amphibolite facies and increases towards greenstone-gneiss contacts, possibly indicating the greenstone units were structurally emplaced along thrust faults that later focussed gold ore-forming hydrothermal activity and closely associated granitic and albitite intrusions. The abundant artisanal workings and bedrock gold deposits in western Liberia are typically associated with lower-grade greenstone rocks. These gold deposits are aligned along major structural zones, as is typical of greenstone-type gold deposits world-wide.
Initial exploration targeting commenced with a permit-wide airborne magnetic survey over the main Cape Mount property. A strong magnetic anomaly along trend from the Bea Mountain iron formation became the object of detailed follow-up soil survey grids. The soil surveys outlined a 15km-long gold-in-soil anomaly, and subsequent trenching produced the following in-situ interval highlights:
- 16m @ 1.74g/t Au including 10m @ 2.55 g/t Au in CMTR037;
- 42m @ 0.63g/t Au including 10m @ 1.44g/t Au in CMTR025;
- 47m @ 0.54g/t Au including 4m @ 1.14 g/t Au in CMTR024;
- 17m @ 0.63g/t Au including 6m @ 1.13 g/t Au in CMTR026; and
- 6m @ 2.30g/t Au in CMPT003 (trench ended in mineralisation)
Cape Mount Gold Project Drill Program
The drill program consisted of 1,600m of diamond core drilling in 15 holes. The holes were inclined at -50° to the north and extended to downhole depths varying between 75 and 195m. The holes were drilled to test 3 distinct target areas marked by strong soil anomalism and anomalous trench results, with each target being approximately 2km long. The program tested an approximate 8km strike length along the larger 15km-long gold anomaly and was focused entirely within the Cape Mount exploration licence (refer Figure 1).
Seven holes were drilled on the Bangoma Prospect with 6 oriented to the north and 1 to the south. The deepest hole completed was 195m in depth (CMDD001). Five holes tested the eastern end of a large pit associated with a small scale mechanised mining site (CMDD001-003 and CMDD013-014), whereas 2 holes tested the western end of the mining site (CMD008 and CMDD015).
The drilling outlined a local stratigraphy at Bangoma with a dark-green siltstone unit to the south bounded by a thick fine-to-medium grained diorite unit to the north. All seven holes terminated in the dioritic unit. All but one of the drill holes returned intervals containing anomalous gold mineralisation, commonly with multiple mineralised horizons. The best intersection came from below the large mechanised mining open pit in CMDD002 which returned 3.0m @ 2.54g/t Au from 33m. Other significant intersections include: 2.0m @ 1.47g/t Au from 74m and 3.0m @ 1.21g/t Au from 147m in CMDD001; 17m @ 0.74g/t Au from 26m, 3.0m @ 1.14g/t Au from 48m, 7.0m @ 1,21g/t Au from 59m, and 2.0m @ 1.17g/t Au from 77m in CMDD008; and 13.0m @ 0.81g/t Au from 17m and 3.0m @ 1.63g/t Au from 41m in CMDD015.
The Saanor Prospect lies approximately 4km west of the Bangoma Prospect.
Four holes tested the target (CMDD004-007). Two holes were drilled to the north on a fence to test the eastern side of an artisanal site, and two holes were drilled to the north on a fence to test the western side of the artisanal site. The fences are 100m apart.
From south to north the lithologic units in the Saanor area are interleaved siltstone and diorite followed by a thick dioritic intrusion and ending with a thick, dark green basaltic-to-ultramafic unit.
Every drill hole returned gold values, commonly over several horizons, with the best intersections being: 7.5m @ 3.87g/t Au from 9.3m in CMDD004; 6.0m @ 1.24g/t Au from 7.8m in CMDD006; and 5.0m @ 2.25g/t Au from 28.0m in CMDD007.
The Bomafa Prospect lies approximately 4km east of the Bangoma Prospect along the same magnetic anomaly trend.
Four holes tested the Bomafa Target (CMDD009-012). Two holes were drilled to the north on a fence under the best previous trench results (i.e., 10m @ 2.55g/t Au) and 2 holes were drilled to the north on a fence 100m to the west.
The main lithology encountered was a thick basalt-ultramafic unit followed by another thick sequence of interleaved basalt-ultramafic rocks intruded by narrow, fine-to-medium grained diorite dykes.
The best intersections obtained are: 4.9m @ 1.66g/t Au from 24m in CMDD009; and 4.0m @ 2.04g/t Au from 36m in CMDD011.
Ultramafic-basaltic units were encountered in the drilling at the Bomafa and Saanor Prospects on the northern side of a zone of dioritic intrusions. At Bangoma, drilling terminated within a thick dioritic intrusion and the bounding unit to the north is presently unknown but assumed to be the ultramafic-basaltic unit. A dark green siltstone unit appears to lie south of the diorite intrusion. All these units are metamorphosed to greenschist grade in contrast to the surrounding gneissic rocks. The ultramafic-basalt unit is strongly magnetic and appears to be the source of the regional magnetic anomaly in this area.
An intrusive dioritic unit has been intersected at all 3 drill target areas and may represent a long but narrow intrusion of regional significance that has been injected into a zone of structural weakness.
Alteration is both clearly recognisable and 'cryptic'. It is mainly observed as minor to pervasive silicification in association with hematite, calcite, chlorite, muscovite and sulphides (mainly pyrite, minor chalcopyrite). Pyrite content varies from trace, in least altered rock, to 5% in most altered rock.
Visible gold has been identified in drill core. It occurs as small isolated grains in association with silica-hematite-calcite-pyrite altered zones. The gold occurs in both the altered dioritic unit and within the ultramafic unit.
Sarama's President and CEO, Andrew Dinning, commented:
"We are very encouraged by the results of this initial drill program, particularly given nearly every hole intersected gold mineralisation and there were occurrences of visible, coarse gold in core. We are further encouraged by the identification of gold mineralization in ultramafic rocks just 10km north of the high-grade New Liberty Deposit which is also associated with ultramafic rocks. We believe these results highlight the potential of the 15 kilometre-long anomalous corridor to host a new gold discovery".
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 gold1,2. 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.
- 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.
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 objectives and scope of the Cape Mount Gold Project drill program. 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 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.
Scientific or technical information in this news release that relates to the Company's exploration activities in Liberia is based on information compiled or approved by John Mpambije. John Mpambije is an employee of Sarama Resources Ltd and 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. John Mpambije consents to the inclusion in this news release of the information, in the form and context in which it appears.
Notes Concerning Diamond Drill Core Processing
Drill core samples for assay were taken at a minimum of 0.5m to a maximum of 1.0m based on alteration and lithological changes. Core was cut with a diamond saw collecting one half of the core sample that was then placed into a sealed plastic sample bag by a Sarama geologist, sent under geologist supervision to the SGS Laboratory in Monrovia – Liberia, where core samples were weighed, dried and crushed down to minus 2mm with one half of the samples pulverized down to 85% passing 75 microns. Assays were determined by fire assay method using a 50g charge; lead collection and an AAS finish with a 0.01g/t Au lower detection limit.
Internationally recognized standard and blanks were inserted as part of the company's internal quality assurance/quality control analytical procedure.
SOURCE: Sarama Resources Limited