African Mining and Exploration plc ('AME' or the 'Company')
PRELIMINARY KARAN EXPLORATION RESULTS
African Mining & Exploration plc, (AME), the AIM listed mining company with exploration licences in Mali, West Africa, is pleased to report the preliminary results of a sampling programme covering selective areas over some of its priority targets located in the Karan Exploration Licence ("Karan") and further progress for the on-going geophysical programme.
· Rock and channel sampling confirms the presence of gold mineralisation in bedrock at
the Fintakourouni target
· 47% of all Fintakourouni samples returned gold grades above a nominal 0.2g/t Au cut-off
· Peak gold assays for Fintakourouni were 2.39, 3.31, 8.96 and 21.5 grams per tonne gold
· Waste dump and saprolite sampling over the Koukouroula and Karan targets has
outlined a broad zone of low-grade mineralisation centred around known major
structures, although no bedrock was sampled in these areas
· Peak gold assays for Koukouroula and Karan include 83.2, 36.6, 12.65, 9.08, 3.30 g/t Au
· Ground magnetic geophysics continues to define detailed structure increasing the total
strike length of the planned drill target to over 15 kilometres
Mark Jones, Chief Executive Officer of African Mining & Exploration commented:
"We believe these preliminary results are very encouraging. In particular I would like to highlight the discovery of gold mineralisation of note in bedrock, the apparent presence of a broad low-grade mineralised corridor extending either side of the extensive shear and fault zones and the discovery of cross-cutting faults which offers potential for high-grade gold mineralisation.
"The Company intends to complete the geophysical programme together with further sampling of these and the remaining priority targets identified within the Karan Licence. We also anticipate that RC drilling should commence this month, subject to rig availability".
Exploration has focussed on the Karan, Koukouroula and Fintakourouni targets all of which are located along or close to the major north-south shear structure that dominates local geology within the Karan Licence. Based on historic airborne geophysical data, the shear zone extends across the licence for more than 9 kilometres. To date, sampling around the Karan, Koukouroula and Fintakourouni targets has covered no more than 1.50 kilometres of this strike length. The balance of the shear zone together with the new structures outlined by the ongoing first phase geophysical programme require further interpretation to delineate additional priority targets that will in all likelihood be explored by drilling.
Fintakourouni is located in the north of the Karan Licence. Results achieved represent a significant step forward in defining drill targets and increase the probability for discovery of classifiable gold resources.
Samples were collected from a variety of rock types that included schists and greywacke with or without quartz vein material. Of the 73 samples collected, 34 (47%) returned gold grades averaging 1.81g/t Au at a 0.2g/t Au cut-off. Grades were well distributed across the entire area sampled.
All historic artisanal mining has traditionally focussed on high-grade quartz veins and accumulations of quartz rubble and gold at the interface between saprolitic overburden and bedrock. Only rarely have artisans attempted to mine bedrock. The bulk of the samples collected by AME from Fintakourouni are from fresh and weathered bedrock and provide clear evidence of gold mineralisation underlying the saprolitic overburden. These samples were collected from representative sites corresponding with existing and historic artisanal workings.
The board believes this implies that at Fintakourouni gold occurs beneath the previously known sources of gold and is likely to be associated with the major faults that also attract artisanal activity. Bedrock exposure is limited but this discovery provides the Company with the confidence to undertake extensive reverse circulation ("RC") drilling across the extensive network of faults that have been identified within the licence. Drilling will extend to depths of between 150 and 200 metres aiming to intersect bedrock gold mineralisation.
Koukouroula & Karan Targets
The Koukouroula and Karan targets located in the south of the Karan Licence returned highly variable results but included peak assays of 83.2, 36.6, 12.65, 9.08, 3.30 g/t Au. No bedrock exposures were found in artisanal workings and a high percentage of samples reflect grab samples of abandoned pits and surface dumps. The purpose of sampling these targets was to identify (based purely on historical artisanal mining) the general tenor and distribution of gold mineralisation in this area. Results indicate a broad zone of low-grade mineralisation centred on a major north-south fault zone which the board considers to be a target for future RC drilling to establish whether bedrock is mineralised.
Ground magnetic geophysical programme
As of 5 January, 2011, a total of approximately 230 line kilometres of ground magnetic survey have been completed with an emphasis on the Koukouroula and Kouroudjin targets. Initial results of this first phase of geophysical survey are highly encouraging for three reasons. Firstly, all geophysical data interpreted to date shows a close association between gold mineralisation and structure. The Company has already delineated more than sufficient strike length to warrant planned drilling. Secondly, geophysics has confirmed the presence of faulting in areas where there is no artisanal activity (current or historical). It appears that mining has been avoided on farmland and the absence of mining does not reflect a lack of prospective structure. Thirdly, the geophysical programme has identified a number of cross-cutting structures that intersect the main north-south shear zone that dominates the licence. This is considered the most significant as the 200 year-old Kings Mine located nearby is characterised by the intersection of the major north-south shear by a cross-cutting east-west oriented structure. Evidence from other mines in the region suggests that flexing of these cross-cutting faults created large void spaces suitable for the deposition of high-grade mineralisation.
To date a total of six new cross-cutting structures have been identified through the geophysical programme which have not previously been exploited by artisans. These zones of fault and shear intersection will be targeted during the first phase of RC drilling.
The remainder of the first phase geophysical survey is expected to be completed by mid-February 2011, and the Company expects to intersect extensions to the structures already identified.
African Mining & Exploration plc 44 (0)207 499 4059
Mark Jones (Chief Executive Officer)
Singer Capital Markets Limited (Nomad and Broker) 44 (0)20 3205 7500
James Maxwell / Jenny Wyllie
Farm Street Communications
Simon Robinson 44 (0)7593340107
The technical information contained in this announcement has been reviewed and approved by Mr. RN Chapman. Mr. Chapman has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity to which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves and as a qualified person under the AIM Note for Mining, Oil and Gas Companies. Mr. Chapman is an employee of Mineral Exploration Management Limited, an independent geological consultancy established in 2005 and is a member of the Australasian Institute of Mining and metallurgy (Aus.I.M.M).
All samples collected were supervised by an AME geologist to ensure individual samples were representative. Primary sample sizes ranged from 10 to 20 kilograms in size with each sample individually bagged and stored at the AME field office prior to delivery to ALS Chemex Laboratories ("ALS") in Bamako, Mali. All samples submitted were split by ALS, crushed to 70% <2mm before riffle splitting and pulverisation to 85% <75 micron. 50 gram samples were then subject to fire assay with AA finish. Duplicate samples have been stored for future reference. As part of Quality Assurance and Quality Control ("QA/QC") procedures applied, blanks and standards were also analysed by ALS.
This information is provided by RNS