Teranga Gold Corporation (TSX:TGZ)(ASX:TGZ) ("Teranga" or "the Company") is
pleased to provide an update of its Mine License and Regional Exploration
programs through the September quarter of 2011.
Highlights:
-- Exploration at the Sabodala Pit confirms the potential for higher grades
in an expanded pit to depth and to the north - drilling intersected
significant widths of high grade mineralization, including hole SBDH141D
of 131 metres at 3.45 grams of gold per tonne ("gpt") and SBDH143D of 87
metres at 3.11 gpt included in four mineralized zones, on the Main Flat
Extension just outside the current pit design - the new high grade zones
remain open down plunge and to the northwest. These grades are twice the
current average reserve grade of 1.5gpt at Sabodala.
-- Exploration drilling at Masato confirms the extension of the Masato
deposit from the neighbouring property onto the Sabodala Mining Licence
- including hole SMRC051D of 49 metres at 3.59 gpt in two mineralized
zones and hole SMRC055D of 64 metres at 2.45 gpt in three mineralized
zones - with significant potential for further upside as the deposit
remains open at depth and along strike.
-- High-grade drill intersections at Gora continue to expand the potential
footprint of the deposit. The deposit remains open in all directions.
-- Additional high-grade drilling results were received from a second
regional deposit at Toumboumba.
-- Teranga plans to update reserves and resources at year end.
To view "Figure 1 - Teranga's land package - 1,488km2; 2011 Exploration Budget -
$35M", please visit the following link:
http://media3.marketwire.com/docs/TGZ_Figure1.pdf
To view "Figure 2 - Mine License drilling plan for 2011-2012", please visit the
following link: http://media3.marketwire.com/docs/TGZ_Figure2.pdf
"We are very encouraged by both the high grades and significant widths of
mineralization seen in our recent drill results on the Mine License. These
results make us very confident that we will be able to double our reserves on
the Mine License in 2012. Our regional exploration program is also returning
very encouraging results, which we hope will set us up for a discovery over the
next 12 months," said Mr. Alan R. Hill, Chairman and Chief Executive Officer.
Mine License Exploration - Figure 2
Exploration results in 2011 support management's belief of the potential to
expand proven and probable reserves from 1.5 million ounces of gold to 3 million
ounces of gold, at similar or better grade to the current reserve (1.5gpt) from
the Sabodala Mining License ("ML") over the next 12 to 18 months. The larger
reserve base is expected to result from the success of deepening the Sabodala
pit to the north along the Main Flat Extension, extension of the Masato pit onto
the ML, conversion of Niakafiri resources to reserves as well as adding reserves
below these three large open pits. On the ML alone, this would increase the mine
life to approximately 15 years at a run rate of about 200,000 ounces of gold
produced annually and provide a solid production base to build on through the
Regional Exploration Program. In order to increase reserves on the ML a minimum
of 5 drill rigs will be testing new targets as well as converting existing
resources to reserves at an estimated cost of $10 million in 2011 and at least
an additional $10 million in 2012(1).
(1) While management has confidence in its projections based on exploration work
done to date, the potential quantity and grade disclosed herein is conceptual in
nature, and there has been insufficient exploration to define a mineral
resource, therefore it is uncertain if further exploration will result in the
targets being delineated as a mineral resource.
Highlights of drilling during the September quarter on the ML include the
intersection of significant widths of high grade mineralization outside the
Sabodala ultimate pit limit as part of the Main Flat Extension drill program
which is expected to lead to an expansion of the final pit design and increased
reserves, as well as the successful intersection and extension of the Masato
deposit down dip 200 metres onto the ML.
During the September quarter Reverse Circulation ("RC") and Diamond drilling
("DD") on the ML totalled 13,000 metres from 5 drills. There are 7 drills
operating on the ML at the present time (6 DD and 1 RC) and pending rig
availability this number may increase to expedite resource expansion and reserve
definition drilling through the December quarter and into 2012.
For full drill results from our regional exploration program please see the
Company's website at
http://www.terangagold.com/English/Investors/NewsReleases/NewsReleaseDetails/2011/SupplementalInformation-DrillResultsSeptember302011/default.aspx
Main Flat Extension ("MFE") - Figure 2
The Main Flat Zone is one of the principal gold hosts in the Sabodala deposit.
In the southern part of the deposit this structure dips shallowly to the west,
rolls flat and then rolls to a moderate northerly dip as it exits the ultimate
pit. The MFE drill program is designed to test the continuity of this structure
to the north beginning with in-filling holes in the deepest part of the current
mine design then stepping out to the north.
Drilling targeting the MFE immediately adjacent to the current ultimate pit, at
a depth of 300 metres (about 50 metres below the current design pit bottom and
accessible to open pit mining), confirms the continuation of the mineralized
zone with further drilling planned. The MFE remains open down plunge and to the
northwest.
In the September quarter a total of 5,400 metres of drilling was completed on
the MFE. Recent results include drill hole SBDH141D which appears to have cut a
structural intersection in part of the hole resulting in long intervals of high
grades totalling 131 metres at 3.45 gpt. Hole SBDH143D establishes continuity of
mineralization cut by SBDH141D with an intercept of 87 metres at 3.11 gpt
located just north of the current ultimate pit limit. In total all six holes
drilled to date have intersected these high grade zones.
The goal of the MFE program is to add 250,000 ounces of gold to the open pit
mineable reserves, as well as potentially a similar amount to underground
reserves, in 2012(1).
(1) While management has confidence in its projections based on exploration work
done to date, the potential quantity and grade disclosed herein is conceptual in
nature, and there has been insufficient exploration to define a mineral
resource, therefore it is uncertain if further exploration will result in the
targets being delineated as a mineral resource.
----------------------------------------------------------------------------
MAIN FLAT EXTENSION: RC & DIAMOND DRILLING, AQUA REGIA RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.2g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SBDH140D 221 14m @ 1.87g/t
----------------------------------------------------------------------------
254 11m @ 0.93g/t
----------------------------------------------------------------------------
277 6m @ 1.20g/t
----------------------------------------------------------------------------
SBDH147D 151 28m @ 0.99g/t
----------------------------------------------------------------------------
245 53m @ 2.03g/t
----------------------------------------------------------------------------
441 7m @ 4.84g/t
----------------------------------------------------------------------------
SBDH141D 129 9m @ 0.82g/t
----------------------------------------------------------------------------
220 25m @ 1.86g/t
----------------------------------------------------------------------------
247 22m @ 1.70g/t
----------------------------------------------------------------------------
303 2m @ 4.83g/t
----------------------------------------------------------------------------
352 21m @ 7.28g/t
----------------------------------------------------------------------------
389 6m @ 5.93g/t
----------------------------------------------------------------------------
401 24m @ 3.48g/t
----------------------------------------------------------------------------
430 13m @ 4.63g/t
----------------------------------------------------------------------------
446 9m @ 2.09g/t
----------------------------------------------------------------------------
SBDH143D 208 34m @ 3.69g/t
----------------------------------------------------------------------------
327 7m @ 0.78g/t
----------------------------------------------------------------------------
339 27m @ 3.32g/t
----------------------------------------------------------------------------
370 12m @ 1.31g/t
----------------------------------------------------------------------------
418 7m @ 5.01g/t
----------------------------------------------------------------------------
SBDH152(i) 244 15m @ 5.63g/t
----------------------------------------------------------------------------
262 15m @ 1.81g/t
----------------------------------------------------------------------------
SBDH145D(i) (ii) 258 4m @ 2.00g/t
----------------------------------------------------------------------------
286 7m @ 2.84g/t
----------------------------------------------------------------------------
SBDH138D(i) 323 5m @ 2.50g/t
----------------------------------------------------------------------------
SBDH096D 478 12m @ 0.84g/t
----------------------------------------------------------------------------
507 19m @ 2.18g/t
----------------------------------------------------------------------------
532 6m @ 3.40g/t
----------------------------------------------------------------------------
(1)True widths to be determined
All assays are determined using aqua regia in the on-site SGS lab at
Sabodala. Pulps are being systematically sent to Kayes, Mali for fire assay
as confirmation of the Sabodala lab results.
(i) waiting diamond tail
(ii) assays pending
Corridor and Ayoub's Target Area - Figure 2
Limited drilling of 1,700 metres was completed in the September quarter within
the Corridor along the Ayoub's portion of the target area. The system, although
low grade, is continuous and is showing Sabodala style albitic alteration to the
north where the target remains open down dip and along strike. The position of
the Ayoub's mineralization in the Corridor lends itself to sharing stripping for
including deeper MFE mineralization into the ultimate pit. Recent results
include drill hole SBDH084D with 15 metres at 1.34 gpt as well as drill hole
SBDH091D with 20 metres at 2.1 gpt.
----------------------------------------------------------------------------
CORRIDOR & AYOUB'S TARGET AREA: RC & DIAMOND DRILLING, AQUA REGIA RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.2g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SBDH084D 176 15m @ 1.34g/t
----------------------------------------------------------------------------
SBDH087D 168 9m @ 0.58g/t
----------------------------------------------------------------------------
SBDH099D 150 25m @ 0.69g/t
----------------------------------------------------------------------------
SBDH088D 173 9m @ 0.56g/t
----------------------------------------------------------------------------
SBDH091D 146 9m @ 0.86g/t
----------------------------------------------------------------------------
158 20m @ 2.10g/t
----------------------------------------------------------------------------
SBDH132D 138 13m @ 0.95g/t
----------------------------------------------------------------------------
SBDH086D 198 12m @ 0.85g/t
----------------------------------------------------------------------------
SBDH092D 152 35m @ 0.86g/t
----------------------------------------------------------------------------
SBDH029D 240 7m @ 0.80g/t
----------------------------------------------------------------------------
(1)True widths to be determined
All assays are determined using aqua regia in the on-site SGS lab at Sabodala.
Pulps are being systematically sent to Kayes, Mali for fire assay as
confirmation of the Sabodala lab results.
Underground Mining Desktop Analysis
Teranga commissioned an engineering firm to undertake a desktop study to
identify potentially suitable underground mining methods and provide stoping
cost estimates for the resources outside the 2010 Sabodala ultimate pit. Results
of the study are positive with approximately 200,000 ounces of material
currently classified as Inferred outside of the 2010 ultimate pit now identified
as potentially mineable underground. The study was based on the 2009 Sabodala
resource model.
Proposed mining method is variant of Long Hole Open Stoping ("LHOS"). Flatter
zones may necessitate a less mechanized approach using scrappers in stopes prior
to haulage. For the preliminary analysis, a range of mining costs ($20 - $60 per
tonne at the stope) were used to calculate breakeven cut-off grades.
Since the study was commissioned, Teranga has completed drilling identifying
Sabodala mineralization extending more than 300 metres below the deepest zones
included in the 2009 model and this desktop study. Presently, 260,000 ounces at
3.1gpt grade has been classified as Measured and Indicated outside the ultimate
pit in 2.6 million tonnes. Another 240,000 ounces of Inferred material grading
3.4gpt has been classified as Inferred outside the ultimate pit in 2.2 million
tonnes.
Management plans to continue advancing the level of engineering on underground
mining with a goal of adding 250,000 to 500,000 ounces of underground reserves
at a grade of 3 - 4 gpt to the Sabodala project in 2012(2).
(2) While management has confidence in its projections based on exploration work
done to date, the potential quantity and grade disclosed herein is conceptual in
nature, and there has been insufficient exploration to define a mineral
resource, therefore it is uncertain if further exploration will result in the
targets being delineated as a mineral resource.
Masato - Figure 2
The Masato deposit outcrops on the neighbouring Oromin Joint Venture Group
("OJVG") property to the east of the ML approximately 2 km from the Sabodala
mill. The OJVG has defined an open pit mineable reserve of 0.5 million ounces at
Masato. The deposit has a strike length of over 2 km. Gold is hosted in a shear
zone that strikes north and sits immediately east of the Teranga/OJVG property
boundary in the main deposit area. To the north the Masato deposit inflects and
strikes to the NE away from the Teranga property boundary. To the south the
Masato deposit strikes onto the Teranga ML but has not yet been drill tested.
In the September quarter a total of 6,100 metres of drilling was completed at
Masato. This drilling has confirmed a mineralized strike length of 500 metres
and a dip extent of 200 metres on the ML. Recent results include drill hole
SMRC051D with 37 metres at 4.5 gpt as well as drill hole SMRC089D with 44 metres
at 2.0 gpt. The Masato deposit remains open to depth and along strike and is
currently being tested in both directions by three drills.
----------------------------------------------------------------------------
MASATO: RC & DIAMOND DRILLING, AQUA REGIA RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.2g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SMRC088D 446 16m @ 1.6g/t
----------------------------------------------------------------------------
474 36m @ 1.6g/t
----------------------------------------------------------------------------
SMRC089D 469 44m @ 2.0g/t
----------------------------------------------------------------------------
SMRC051D 354 12m @ 0.8g/t
----------------------------------------------------------------------------
370 37m @ 4.5g/t
----------------------------------------------------------------------------
SMRC052D 309 37m @ 2.0g/t
----------------------------------------------------------------------------
SMRC073D 234 12m @ 0.8g/t
----------------------------------------------------------------------------
249 32m @ 1.7g/t
----------------------------------------------------------------------------
SMRC090D 499 7m @ 1.3g/t
----------------------------------------------------------------------------
543 9m @ 1.7g/t
----------------------------------------------------------------------------
602 15m @ 1.8g/t
----------------------------------------------------------------------------
SMRC053D 277 16m @ 0.9g/t
----------------------------------------------------------------------------
316 43m @ 1.4g/t
----------------------------------------------------------------------------
SMRC091D 506 16m @ 1.7g/t
----------------------------------------------------------------------------
588 23m @ 1.0g/t
----------------------------------------------------------------------------
SMRC075D 209 10m @ 3.1g/t
----------------------------------------------------------------------------
229 21m @ 0.9g/t
----------------------------------------------------------------------------
253 33m @ 1.7g/t
----------------------------------------------------------------------------
SMRC100D 267 19m @ 1.0g/t
----------------------------------------------------------------------------
SMRC055D 234 11m @ 1.1g/t
----------------------------------------------------------------------------
268 39m @ 3.2g/t
----------------------------------------------------------------------------
367 14m @ 1.4g/t
----------------------------------------------------------------------------
SMRC076D 219 11m @ 1.3g/t
----------------------------------------------------------------------------
269 14m @ 0.5g/t
----------------------------------------------------------------------------
SMRC101D 286 14m @ 0.6g/t
----------------------------------------------------------------------------
SMRC056D 295 13m @ 0.7g/t
----------------------------------------------------------------------------
341 31m @ 1.3g/t
----------------------------------------------------------------------------
399 10m @ 0.8g/t
----------------------------------------------------------------------------
431 16m @ 1.3g/t
----------------------------------------------------------------------------
SMRC077D 273 27m @ 1.4g/t
----------------------------------------------------------------------------
SMRC057D 365 21m @ 1.6g/t
----------------------------------------------------------------------------
390 11m @ 3.0g/t
----------------------------------------------------------------------------
509 10m @ 1.0g/t
----------------------------------------------------------------------------
SMRC058D 280 35m @ 1.8g/t
----------------------------------------------------------------------------
396 14m @ 1.6g/t
----------------------------------------------------------------------------
427 27m @ 0.8g/t
----------------------------------------------------------------------------
SMRC079D 191 9m @ 1.7g/t
----------------------------------------------------------------------------
249 15m @ 1.3g/t
----------------------------------------------------------------------------
269 31m @ 0.6g/t
----------------------------------------------------------------------------
SMRC104D 286 14m @ 1.0g/t
----------------------------------------------------------------------------
SMRC059D 258 16m @ 0.8g/t
----------------------------------------------------------------------------
382 24m @ 1.4g/t
----------------------------------------------------------------------------
SMRC080D 258 7m @ 0.9g/t
----------------------------------------------------------------------------
268 8m @ 0.9g/t
----------------------------------------------------------------------------
(1)True widths to be determined
All assays are determined using aqua regia in the on-site SGS lab at Sabodala.
Pulps are being systematically sent to Kayes, Mali for fire assay as
confirmation of the Sabodala lab results.
Management is confident that continued positive drilling results will translate
to definition of mineable reserves at Masato on the ML in 2012.
Regional Exploration
In addition to the exploration program on the Company's 33km2 ML, Management
believes that the Regional Land Package has significant prospective potential
for satellite high-grade deposits similar to Gora as we know it today, as well
as the potential for world-class (+ 5 million ounces) discoveries similar to
those found on the same gold belt in Mali, approximately 90km from the Sabodala
mine. Therefore, Management is pursuing an extensive multi-year exploration
program designed to test a number of targets that have already been identified
as requiring additional analysis, as well as identify new targets for testing.
There are currently 27 targets that have been identified on the Company's
1,455km2 Regional Land Package, all within trucking distance of the mill. In
total, nine of the 27 targets have been drilled, the balance are expected to be
drill tested through the end of 2011 and 2012.
By the end of the September quarter the Company completed approximately 140,000
metres of Rotary Air Blast (RAB) drilling, 56,000 metres of RC and 22,000 metres
of DD drilling. There are currently 11 drill rigs on the Regional Land Package.
The 11 drill rigs are expected to remain throughout the December quarter at a
total estimated drilling cost of approximately $25 million for the year.
Extensive RAB drilling completed to date has confirmed that a large proportion
of the surface gold anomalies can be traced back to gold bearing structures in
the bedrock. Thorough testing and evaluation of these structures requires RC and
DD. During 2011 first pass RC and DD testing has commenced on nine of the 27
target areas identified on the Regional Land Package. Strategic road upgrades
and repair of river and creek crossings was undertaken so that the exploration
field work and drilling could continue during the wet season. During the
December quarter the Company is also aiming to continue its resource and
exploration drilling program on the Gora deposit.
For full drill results from our regional exploration program please see the
Company's website at
http://www.terangagold.com/English/Investors/NewsReleases/NewsReleaseDetails/2011/SupplementalInformation-DrillResultsSeptember302011/default.aspx
Gora
Initial exploration results from the Gora Project, located 22km from the
Company's Sabodala gold mine confirmed a high-grade gold deposit. As a result of
the exploration success to date, the Company increased its exploration budget
for the Gora Project for 2011 to complete exploration drilling at depth as well
as along strike as the deposit remains open in all directions. High-grade drill
intersections continue to expand the potential footprint of the deposit, while a
completed IP survey has revealed additional anomalies along strike of the
current resource which are targeted for follow-up drilling. The Company is
running a number of processes in parallel to efficiently develop Gora as quickly
as possible, including the ongoing exploration program, permitting and
feasibility level economic analysis with the objective of having production as
early as late 2012.
Systematic evaluation drilling of the Gora Project began in early February with
the following metres of drilling completed by the end of September and with
recent drilling focussed on completion of a 40 x 40 metre grid pattern over the
main open-pit resource area:
-- In total, 237 RC and DD holes were completed for a total of 39,878 drill
metres. This includes 10 holes for 4,665 meters of step-out exploration
and 6,278 meters of RC drilling along strike of the known
mineralisation.
-- Assay results are pending for 27 holes from the resource drilling.
-- At the end of September quarter, all DD rigs at Gora (5 rigs) were
assigned to a program of 24 diamond holes and approximately 2,800
metres, to be drilled on a 10 metre spacing between existing holes to
gather sufficient data on the geostatistical variability of the grades
over distances. This data is important for improved resource estimation
and eventually reserve drilling if required.
A large amount of the assay back logs started to clear with assays for 53 holes
received during the September quarter. This data has now been processed and the
geological model is being updated.
Drilling on the Gora deposit, where the Company has already identified an
inferred resource of 100,000+ ounces of gold at 6 gpt, continues to return very
high grade results. See below for the selected latest results:
----------------------------------------------------------------------------
GORA: RC & DIAMOND DRILLING, FIRE ASSAY RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5 g/t Au and max 2m internal dilution/no external
dilution
----------------------------------------------------------------------------
HOLE ID VEIN FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SKRCDD0050 2 72 2m @ 4.78g/t
----------------------------------------------------------------------------
SKRCDD0060 New 108 1m @ 5.83g/t
----------------------------------------------------------------------------
SKRCDD0064 2 92 1m @ 2.28g/t
---------------------------------------------
1 140 3m @ 14.58g/t
----------------------------------------------------------------------------
SKRCDD0073 2 140 1m @ 16.17g/t
----------------------------------------------------------------------------
SKRCDD0074 2 170 1m @ 5.87g/t
----------------------------------------------------------------------------
SKRCDD0077 2 82 5m @ 11.58g/t
----------------------------------------------------------------------------
SKRCDD0078 1 173 1m @ 4.82g/t
----------------------------------------------------------------------------
SKRCDD0079 3 106 1m @ 4.57g/t
----------------------------------------------------------------------------
SKRCDD0104 2 74 1m @ 48.50g/t
----------------------------------------------------------------------------
SKRCDD0116 2 65 1m @ 7.22g/t
----------------------------------------------------------------------------
(1)True widths to be determined
This program is designed to evaluate the resource of the deposit to a vertical
depth of about 130 metres along its known strike extent. Recent success from
along strike drilling to the south resulted in 15 RC and DD holes for a total of
2,860 metres being added to the 40 x 40m drill pattern.
Step out exploration drilling, beyond the current systematic program described
above, aims to test key structural intersections located down dip where
mineralized structures are expected to intersect a major intrusive body. Out of
the eleven hole program, ten holes for 3,629 meters of DD and 1,036 metres of RC
have been drilled (SKDD0012 and SKRCDD67, 68, 69, 70, 85, 86, 90, 101 and 114).
The deep drilling targeted the down dip and down plunge projections of the main
Gora mineralised structures and their intersection with the thick felsic
intrusive bodies to the east. Most of the holes successfully intersected wide
zones of shearing and alteration (silica-pyrite-carbonate) at the projected
target depths within the intrusive, however the gold content of those intervals
was much lower than the main Gora mineralized structure. See below for the
selected latest results:
----------------------------------------------------------------------------
GORA: RC & DIAMOND DRILLING, FIRE ASSAY RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5 g/t Au and max 2m internal dilution/no external
dilution
----------------------------------------------------------------------------
HOLE ID VEIN FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SKRCDD0067 2 240 1m @ 3.84g/t
----------------------------------------------------------------------------
SKRCDD0068 New 79 1m @ 3.62g/t
----------------------------------------------------------------------------
SKRCDD0101 New 303 1m @ 0.78g/t
----------------------------------------------------------------------------
SKRCDD0114 New 49 1m @ 0.70g/t
----------------------------------------------------------------------------
(1)True widths to be determined
For the exploration of the immediate north and south strike extensions of the
Gora vein system, a 6,500 metre program of mainly RC drilling commenced in late
July with 29 RC holes for 4,598 metres and 11 RC and DD holes for 1,680 metres
completed on the immediate along strike trends to the north and south of Gora.
The bulk of the assays for these holes are pending, but geological logging of
smoky quartz, pyrite and silica alteration indicate that mineralised intervals
have been intersected in many of the holes. See below for the selected latest
results:
----------------------------------------------------------------------------
GORA: RC & DIAMOND DRILLING, FIRE ASSAY RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5 g/t Au and max 2m internal dilution/no external
dilution
----------------------------------------------------------------------------
HOLE ID VEIN FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SKRCDD0104 2 74 1m @ 48.50g/t
----------------------------------------------------------------------------
SKRCDD0116 2 65 1m @ 7.22g/t
----------------------------------------------------------------------------
SKRCDD0103 2 45 1m @ 0.72g/t
----------------------------------------------------------------------------
SKRCDD0115 2 31 2m @ 1.46g/t
----------------------------------------------------------------------------
SKRCDD0117 3 5 2m @ 0.85g/t
----------------------------------------------------------------------------
SKRCDD0118 3 2 2m @ 0.55g/t
----------------------------------------------------------------------------
SKRCDD0122 3 0 1m @ 2.39g/t
----------------------------------------------------------------------------
(1)True widths to be determined
Beyond this, a minimum of 10,000 metres of RC drilling and 5,000 metres of DD
drilling will be required to test the immediate strike extent of the Gora
mineralized trend, nearby parallel IP anomalies and additional targets at depth.
This program may commence as early as October 2011, or before if additional rigs
can be sourced.
The mineralization at Gora can be tracked well beyond the boundaries used in the
last resource model. The Company is working on an updated model and resource
estimate. The Company will continue with trenching, RAB drilling to follow up on
untested gold anomalies and structures and then perform follow-up RC and DD
drilling as the results warrant. Currently, grades from Gora are at least four
times our reserve grade, which may have a significant impact on the near term
mill feed, potentially increasing production significantly.
Toumboumba
Toumboumba, located 10km from the Sabodala mill, is the Company's latest
discovery with potential to become the second regional deposit processed through
the Sabodala Mill. The new discovery, located on the Sabodala North West permit,
is largely covered by a laterite plateau with little to no outcrop. The RAB
program, which began in April, and was expanded to encompass the entire
structural domain that may host similar styles of mineralization to the Gora
deposit, has been completed with 1,150 RAB holes for 49,000 metres drilled.
Results to date have identified a series of north-south trending targets that
are related to quartz veining and alteration hosted within a granitic intrusive
body. As results are received additional target trends are being identified,
expanding the exploration potential at Toumboumba. A large number of assays have
been received during the September quarter and loaded into the database during
the quarter. Some of the most significant results include:
----------------------------------------------------------------------------
TOUMBOUMBA: RAB DRILLING, MIXED AQUA REGIA AND FIRE ASSAY RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SNWRB0363 40 1m @ 4.6g/t
----------------------------------------------------------------------------
SNWRB0385 12 2m @ 3.57g/t
----------------------------------------------------------------------------
SNWRB0386 30 3m @ 6.34g/t
----------------------------------------------------------------------------
SNWRB0417 26 4m @ 3.31g/t
----------------------------------------------------------------------------
SNWRB0632 28 2m @ 3.79g/t
----------------------------------------------------------------------------
SNWRB0645 8 2m @ 9.42g/t
----------------------------------------------------------------------------
SNWRB0656 32 6m @ 1.28g/t
54 1m @ 5.51g/t
----------------------------------------------------------------------------
SNWRB0666 26 4m @ 2.08g/t
------------------------------
42 6m @ 1.19g/t
----------------------------------------------------------------------------
SNWRB0694 20 6m @ 1.11g/t
----------------------------------------------------------------------------
SNWRB0766 2 4m @ 1.16g/t
----------------------------------------------------------------------------
SNWRB0769 44 1m @ 3.71g/t
----------------------------------------------------------------------------
SNWRB0788 28 2m @ 2.69g/t
----------------------------------------------------------------------------
SNWRB0791 2 2m @ 13.25 g/t
----------------------------------------------------------------------------
SNWRB0792 12 2m @ 1.18g/t
----------------------------------------------------------------------------
SNWRB0913 12 3m @ 1.76g/t
----------------------------------------------------------------------------
(1)True widths to be determined
A total of 237 of the 1,150 RAB holes returned intersections in the gold
anomalous range (greater than 0.1 gpt Au).
Based on the above results an additional four gold trends were highlighted. A
total of 49 RC holes for 8,748 meters were completed over fifteen of the
eighteen trends at Toumboumba. RC samples from Toumboumba were largely processed
at the SGS Sabodala laboratory, where gold is determined by Aqua Regia digest
and AAS finish. Some of the most significant results include:
----------------------------------------------------------------------------
TOUMBOUMBA: RC & DIAMOND DRILLING, MIXED AQUA REGIA AND FIRE ASSAY RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SNWRC018 40 3m @ 2.73g/t
----------------------------------------------------------------------------
SNWRC019 65 2m @ 2.38g/t
------------------------------
96 2m @ 7.47g/t
----------------------------------------------------------------------------
SNWRC020 53 1m @ 1.07g/t
------------------------------
83 2m @ 1.28g/t
------------------------------
93 3m @ 1.99g/t
----------------------------------------------------------------------------
SNWRC023 21 4m @ 4.46g/t
----------------------------------------------------------------------------
SNWRC027 43 1m @ 21.80g/t
------------------------------
52 11m @ 1.29g/t
----------------------------------------------------------------------------
SNWRC037 83 1m @ 9.17g/t
----------------------------------------------------------------------------
(1)True widths to be determined
A follow-up program of four pre-collared diamond holes for 1,015 metres of
diamond tailing was completed to test the best mineralized trend identified so
far. All four diamond holes intersected significant width of alteration and some
zones of quartz veining. The diamond core samples were submitted to SGS Sabodala
for gold determination by Aqua Regia digest and AAS finish. Some of the most
significant results include:
----------------------------------------------------------------------------
TOUMBOUMBA: RC & DIAMOND DRILLING, MIXED AQUA REGIA AND FIRE ASSAY RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
------------------------------
SNWRCDD0001 119 0.6m @ 3.84g/t
------------------------------
240.7 0.24m @ 2.7 g/t
----------------------------------------------------------------------------
SNWRCDD0002 68 1m @ 0.54g/t
----------------------------------------------------------------------------
SNWRCDD0003 70 1m @ 0.78g/t
----------------------------------------------------------------------------
SNWRCDD0004 46 1m @ 0.78g/t
------------------------------
68 1m @ 4.73g/t
----------------------------------------------------------------------------
(1)True widths to be determined
The above intersections are related to zones of quartz veining within larger
haloes of auriferous silica- carbonate-pyrite-albite alteration. Toumboumba will
undergo a phase of data compilation, interpretation and 3D modelling to
determine if further drill testing or evaluation for a shallow oxide resource is
warranted. Gradient IP surveying for the prospect is also planned for the
December quarter.
The Company continues to evaluate and target the Toumboumba mineralized trends
for near surface oxide resource. Upside remains at depth, which maybe further
tested after the detailed data interpretation and evaluation. If the near
surface mineralization continues at depth and can be confirmed in the other
target zones, Toumboumba could become a significant deposit for the Company.
Majiva
The Makana permit hosts the Majiva target, one of several prospects located
along a twelve kilometre strike length between Majiva and Niakafiri on the ML.
To date, a 5 kilometre strike length of gold-mineralized structure has been
identified at Majiva.
Rainy season access to the eastern parts of Makana was prepared during early
September. One combination DD/RC rig will be re-located shortly to continue the
Majiva drill testing program. An additional RC rig has been mobilized and will
also be deployed to Makana.
Interpretation of the Induced Polarization ("IP") survey indicates several zones
of coincident resistivity highs and chargeability highs. A similar survey
completed on the Sabodala ML in 2007 mapped the important
silica-carbonate-pyrite alteration zones, along the major shear structures. The
Sabodala deposit itself sits immediately to the north of such a trend. Similarly
the best mineralisation at Majiva sits at the termination of such a trend.
Review of the Majiva IP interpretation highlighted analogous targets and the
drill testing of these will be integrated into the continuation of the RC
drilling program.
Tourokhoto
Gold results for the remaining RAB samples from the drilling at Tourokhoto were
received during the September quarter. This drilling produced additional
anomalous intersections from the main target in the northern part of the
prospect and in addition highlighted encouraging anomalous trends in the bedrock
of two zones to the south east.
Some of the most significant results from the two main zones include:
----------------------------------------------------------------------------
TOUROKHOTO: RAB DRILLING, MIXED AQUA REGIA AND FIRE ASSAY RESULTS - ZONE 1
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
DBRB0052 16 2m @ 2.28 g/t
----------------------------------------------------------------------------
DBRB0334 6 2m @ 0.59 g/t
------------------------------
12 2m @ 0.52 g/t
------------------------------
36 8m @ 1.67 g/t
----------------------------------------------------------------------------
DBRB0373 0 2m @ 2.49 g/t
------------------------------
4 4m @ 0.9 g/t
----------------------------------------------------------------------------
DBRB0423 12 4m @ 1.91 g/t
----------------------------------------------------------------------------
4 2m @ 6.47g/t
------------------------------
DBRB0981 12 8m @ 1.35g/t
------------------------------
22 2m @ 0.63g/t
----------------------------------------------------------------------------
DBRB0998 2 12m @ 1.06g/t
----------------------------------------------------------------------------
(1)True widths to be determined
Zone 1 is a large area of surface gold anomalism defined from 2011 termite mound
geochemistry. It coincides with a structural intersection of the MTZ and a N070
trend.
----------------------------------------------------------------------------
TOUROKHOTO: RAB DRILLING, MIXED AQUA REGIA AND FIRE ASSAY RESULTS - ZONE 2
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
DBRB0567 0 12m @ 0.96 g/t
----------------------------------------------------------------------------
DBRB00568 16 8m @ 0.60 g/t
----------------------------------------------------------------------------
DBRB00569 22 6m @ 1.5 g/t
----------------------------------------------------------------------------
DBRB0633 10 10m @ 1.1 g/t
----------------------------------------------------------------------------
DBRB0634 12 8m @ 2.4 g/t
----------------------------------------------------------------------------
DBRB0635 30 8m @ 1.7 g/t
----------------------------------------------------------------------------
DBRB0640 2 2m @ 1.1 g/t
----------------------------------------------------------------------------
(1)True widths to be determined
Zones 2 and 3 sit on a NE trend paralleling the MTZ and are weak surface gold
anomalies with coincident arsenic anomalism defined by recent XRF multi-element
geochemistry.
All three zones highlighted by the RAB gold results to date will be subject to
RC drilling in the coming dry season. Some of the other low-level, but structure
related Au and Au-As anomalies will require some follow up RAB drilling.
Gradient IP is planned for Zone 1 for the December quarter.
Developments at Tourokhoto, illustrate the effectiveness of our strategy of
systematic RAB drilling to delineating focussed targets in the bedrock within
large prospective zones of favourable geology and geochemistry.
Diegoun North ("the Donut") - Jam and Honey
The first pass RC program at Jam and Honey has been completed with 51 holes for
just under 8,800 metres. In total, 40 of the 51 holes returned anomalous levels
of gold above 0.5 gpt Au and the remainder returned values in the anomalous
range of 0.1 to 0.5 gpt Au.
The selected intersections from Jam include:
----------------------------------------------------------------------------
DIEGOUN NORTH ("THE DONUT") - JAM : RC DRILLING RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SKRC204 26 2m @ 18.9 g/t
----------------------------------------------------------------------------
SKRC207 2 13m @ 1.65 g/t
----------------------------------------------------------------------------
SKRC216 13 4m @ 1.74 g/t
----------------------------------------------------------------------------
(1)True widths to be determined
The mineralisation at Jam is closely related to silica-pyrite-carbonate-albite
alteration in granodiorite and is controlled by a series of north east trending
structures interpreted from the aeromagnetics. These structures trend for
several kilometres to the north-east where they connect up with the newly
RAB-defined gold anomalies at Cinnamon.
An IP survey completed at Jam confirms the presence of a north-east trending
structure and is awaiting final interpretation by the geophysical contractors.
The RC drilling at Jam has been of a wide spaced, reconnaissance nature with
lines 200 to 400 metres apart. Significant mineralised strike length between and
along the mineralised structures remains untested. Data integration and refining
of the structural understanding is in progress to define a follow up program of
drilling for the coming dry season.
The selected intersections from Honey include:
----------------------------------------------------------------------------
DIEGOUN NORTH ("THE DONUT") - HONEY: RC DRILLING RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SKRC225 193 11m @ 0.56 g/t
----------------------------------------------------------------------------
SKRC226 182 1m @ 9.64 g/t
----------------------------------------------------------------------------
SKRC227 70 5m @ 2.23 g/t
----------------------------------------------------------------------------
SKRC228 11 7m @ 0.65 g/t
----------------------------------------------------------------------------
(1)True widths to be determined
The mineralisation at Honey is largely associated with narrow intervals of
quartz veining and minor carbonate alteration hosted in sediments. The
mineralisation there also aligns with north east trending structures.
RAB and RC drilling completed on the large prospective complex at Diegoun North
has led to the recognition of a well developed, auriferous north east trending
structure on the eastern side of the target area. This structure trends for at
least 4.5 kilometres from the Jam anomaly to the newly defined RAB gold
anomalies at Cinnamon. Further drilling is required to thoroughly explore this
extensive gold-bearing structure. Data review and interpretation will take place
over the wet season which will lead to definition of follow-up drilling programs
for the coming dry season.
Dembala Hill
The Dembala Hill target has been extended to include a 4,000 metre long buried
intrusive body interpreted from the aeromagnetic data set. This intrusion sits
along a significant gold bearing structure which parallels the MTZ. This
structure is intruded some 20 kilometres to the south by the Sambarabougou
granite, which in turn is host to the 240,000 ounce Makabingui gold deposit.
The same structure host the original Dembala Hill prospect, which also produced
gold mineralisation associated with a gabbro-diorite intrusion. The highlights
from diamond drilling, mainly completed in the September quarter include:
----------------------------------------------------------------------------
DEMBALA HILL: RAB DRILLING RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
110 5m @ 0.71g/t
------------------------------
123 3m @ 0.59g/t
------------------------------
DMBDD0006 134 4m @ 1.11g/t
------------------------------
145 3m @ 1.04g/t
------------------------------
172 5m @ 0.67g/t
----------------------------------------------------------------------------
78 5m @ 2.15 g/t
------------------------------
DMBDD0007 103 7m @ 0.57 g/t
------------------------------
165 13m @ 1.07 g/t
----------------------------------------------------------------------------
(1)True widths to be determined
Previous RC drilling in the same prospect yielded the best results from DHRC0059:
----------------------------------------------------------------------------
DEMBALA HILL: RAB DRILLING RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
DHRC0059 5 1m @ 1.03 g/t
------------------------------
12 2m @ 0.61 g/t
------------------------------
20 6m @ 0.52 g/t
------------------------------
28 19m @ 0.99 g/t
----------------------------------------------------------------------------
(1)True widths to be determined
A small program of RAB lines was drilled over the roof zone of the interpreted
buried intrusive with the aim of testing for associated gold anomalism and also
to confirm the presence of the postulated intrusion. A total of 113 holes for
4,463 metres were drilled over four lines with an average depth of 39 metre per
hole (holes were angled at 60 degrees). The buried intrusive was not intersected
in this program, which is likely to be deeper down than the relatively shallow
RAB drilling completed. The RAB program produced a single intersection of 2m @
12.5 gpt Au from 4m from DBRB1066.
The ore-grade gold mineralisation was identified within the sediments, lending
support to searching for a better mineralised system within the intrusive below.
A program consisting of RC drilling is proposed for the coming dry season to
reach a depth of at least 200 metres vertically searching for the target
intrusion and to check if it contains any gold mineralisation. Should both be
confirmed, a more systematic target drilling program will have to be implemented
to test the potential of this intrusion.
Saiensoutou
This prospect is located on the permit of the same name, 50 km north east from
the Sabodala mill, and is defined by a 2.8 kilometre long north-south trending
surface gold anomaly defined from analysis of termite mound samples. The anomaly
is associated with a strong arsenic response and a buried intrusive is indicated
by the aeromagnetic response.
During the September quarter the anomaly was subject to a 110 RAB holes program
for a total of 4,365 metres.
The results from the southernmost portion of the anomaly where the trend has a
particularly well defined north-south trend are considered very encouraging.
The highlights from the RAB drilling at Saiensoutou include:
----------------------------------------------------------------------------
SAIENSOUTOU HILL: RAB DRILLING RESULTS
----------------------------------------------------------------------------
Intercept with cut-off 0.5g/t Au and max 2m internal dilution
----------------------------------------------------------------------------
HOLE ID FROM (m) INTERSECTION(1)
----------------------------------------------------------------------------
SARB0028 14 4m @ 5.72 g/t
----------------------------------------------------------------------------
SARB0029 18 2m @ 1.01 g/t
----------------------------------------------------------------------------
SARB0034 10 4m @ 1.34 g/t
------------------------------
18 2m @ 1.56 g/t
----------------------------------------------------------------------------
SARB0046 22 10m @ 0.83 g/t
----------------------------------------------------------------------------
SARB0056 44 2m @ 0.69 g/t
----------------------------------------------------------------------------
SARB0058 0 2m @ 0.53 g/t
------------------------------
8 2m @ 0.85 g/t
------------------------------
14 2m @ 0.53 g/t
----------------------------------------------------------------------------
SARB0064 8 6m @ 0.94 g/t
----------------------------------------------------------------------------
(1)True widths to be determined
Most of the holes drilled still have assays pending.
KB
During the September quarter 298 RAB holes for 2,603 metres were completed,
testing the strike extensions of the main target defined by RAB drilling and
trenching. Assays are currently pending. The target defined by the historic data
is scheduled for RC/DD drill testing during the December quarter. Approximately
2,500 metres of RC and DD drilling are planned for a first pass drill testing.
KC
A total of 296 RAB holes for 3,921 metres were completed during September
quarter. The program was designed to provide close spaced coverage over the main
zone of mineralization defined by historic work so that RC drill testing
scheduled for the December quarter can be better targeted. Lines of wider spaced
RAB drilling were completed along strike to the north and south. Results are
currently pending. A further 1,000 metres of RAB will be required to complete
the RAB coverage. Approximately 3,500 metres of RC and DD drilling are planned
for a first pass drill testing.
Diadiako
A 7,000 metre first phase RC drill program commenced at Diadiako during the
March quarter with a total of 28 holes for 4,087 metres completed to date.
Seventeen of the RC holes returned intersections in the higher range of 0.5 gpt
Au, related to a north east trending and south east dipping
silica-carbonate-hematite-albite altered structure. A further eight holes
returned alteration and gold bearing intervals in the 0.1 to 0.5 gpt Au range.
This mineralised structure has been traced for over 1 kilometre in strike length
and remains open to the north east. An IP survey is planned to help with
sub-surface mapping of the alteration zones prior to planning further follow up
drilling.
-- During September quarter, an additional 3 diamond holes with RC pre
collars were completed at Diadiako for a total of 948 metres. These
holes were selectively placed to complete a first pass 200 to 400 metres
spaced drill coverage over approximately 1 kilometre of strike length.
All three holes intersected significant structures with alteration,
brecciation and quartz veining over widths of up to 5 metres. Assays are
pending and two further holes are planned for December quarter to
complete this program. The rig will then be located to Goumbou Gamba or
Majiva.
This update is part of the Company's $35 million exploration program planned for
2011, covering both the Mine License and Regional Land Package, representing the
first phase of a multi-year exploration program to test the approximate 100
geochemical anomalies contained in 37 drill targets (10 on the Mine License and
27 on the Regional Land Package) identified to date as well as to identify new
targets.
About TERANGA
Teranga Gold Corporation is a Canadian-based gold company listed on the Toronto
Stock Exchange (TSX:TGZ) and Australian Securities Exchange (ASX:TGZ). Teranga
is principally engaged in the production and sale of gold, as well as related
activities such as exploration and mine development.
Teranga was created to acquire the Sabodala gold mine and a large regional
exploration land package, located in Senegal, West Africa, from Mineral Deposits
Limited. Management believes the mine operation, together with the Company's
prospective 1,488 km2 land package, provides the basis for growth in reserves,
production, earnings and cash flow as new discoveries are made and processed
through the Company's existing mill.
The Sabodala Gold Operation, which came into operation in 2009, is located 650
kilometres east of the capital Dakar within the West African Birimian geological
belt in Senegal, and about 90 kilometres from major gold mines and discoveries
in Mali.
The Company's mission is to create value for all of its stakeholders through
responsible mining. Its vision is to explore, discover and develop gold mines in
West Africa, in accordance with the highest international standards, and to be a
catalyst for sustainable economic, environmental and community development. All
of its actions from exploration, through development, operations and closure
will be based on the best available techniques.
Forward Looking Statements
Certain information contained in this report, including any information on
Teranga's plans or anticipated future results, future financial or operating
performance and other statements that express management's expectations or
estimates of future performance constitute forward-looking statements. Such
statements are based on a number of estimates and assumptions that, while
considered reasonable by management at the time, are subject to significant
business, economic and competitive uncertainties. Teranga cautions that such
statements involve known and unknown risks, uncertainties and other factors that
may cause the actual financial results, performance or achievements of Teranga
to be materially different from the company's estimated future results,
performance or achievements expressed or implied by those forward-looking
statements. These factors include the inherent risks involved in exploration,
development and operations of mineral properties, changes in economic
conditions, changes in the worldwide price of gold, silver fuel, electricity and
other key inputs, changes in mine plans and other factors, such as project
execution delays, many of which are beyond the control of Teranga.
Nothing in this report should be construed as either an offer to sell or a
solicitation to buy or sell Teranga securities.
Accordingly, readers should not place undue reliance on such forward looking
statements. Teranga expressly disclaims any intention or obligation to update or
revise any forward looking statements, whether as a result of new information,
future events or otherwise, except in accordance with applicable securities
laws.
Competent Persons Statement
The technical information contained in this release relating to exploration
activities within the mining license is based on information compiled by Mr.
Bruce Van Brunt, who is a Fellow of The Australasian Institute of Mining and
Metallurgy and is also a registered professional geologist in the State of
Washington, USA. He is qualified 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 defined in NI43-101. Mr. Van Brunt has
consented to the inclusion of this information in the form and context in which
it appears in this release. Mr. Van Brunt is a full-time employee of Teranga and
is therefore not independent.
The technical information contained in this release relating to the regional
exploration is based on information compiled by Mr. Martin Pawlitschek, who is
qualified 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 defined in NI43-101. Mr. Pawlitschek has consented to the
inclusion of this information in the form and context in which it appears in
this release. Pawlitschek is a full-time employee of Teranga is therefore not
independent.
Inca Pacific Resources (TSXV:IP)
Historical Stock Chart
From Jun 2024 to Jul 2024
Inca Pacific Resources (TSXV:IP)
Historical Stock Chart
From Jul 2023 to Jul 2024
