January 2, 2008
Update on drilling at north ashanti gold project
The Company wishes to announce that it has completed eight (8) of the proposed fourteen (14) hole RC/Diamond drill hole program prior to the holiday break.
Six holes were drilled at the SE Zone. Hole 07BPRD081, 07BPRD083, 07BPRD128, 07BPRD129, 07BPRD130, 07BPRD131.
Drill-hole 07BPRD081 (formerly 07BPRC081) and 07BPRD083 (formerly 07BPRC083) were re-entered. The purpose of these holes was to test the continuity of epigenetic (vein-hosted) Au mineralization at depth and to map geological structures controlling Au mineralization. Hole 07BPRD081 was re-entered and HQ core drilled from 84m to a total depth of 150.7m. Moderately silicified greywacke with pyrite along cleavages was intercepted at 84-105.7m. Leached pyrite was also observed within the greywacke. A fault zone (fragmented greywacke and phyllite with about 10% quartz) was intercepted at 105.7-110.7m. This fault appears to have offset the silicified greywacke. Phyllite was observed from 110.7 to 119.1m. A combination of phyllite and greywacke was encountered to the bottom of the hole. Fault gouge was intercepted at 113.5-113.8m.
Drilling of 07BPRD083 was reamed to 90m and a total of 108.2m HQ core drilled to a total depth of 198.2m. Massive to planar greywacke and phyllite were intercepted. Hole 07BPRD128 was drilled to a depth of 167.9 m, 78m of RC and 89.9m of HQ diamond core. Significant quartz veining (vuggy and fractured), and abundant pyrite with carbonate were logged in the diamond core. A total of 82m of RC samples were drilled in 07BPRC129. Few quartz, pyrite and sericite were seen in the RC chips.
Hole 07BPRD130 was drilled to a total depth of 153.6m (69m of RC and 84.6m of HQ core). This hole is akin to drill-hole 07BPRD081. Moderately silicified greywacke with pyrite along foliations was intercepted at 88.9-107.5m. A fault zone (sheared phyllite with about 2% quartz) was intercepted at 107.5-11.0m. This fault appears to have displaced the silicified greywacke. Phyllite was observed from 111.0 to 134.1m. A combination of phyllite and greywacke was encountered to the bottom of the hole. Significant quartz veining and abundant disseminated pyrite (occurring along foliations) were seen. Carbonate alterations were also logged.
Drilling of 07BPRD131 was drilled to a total depth of 154m. Significant quartz veining and pyrite were seen. Carbonatic and silicic alterations were also logged.
Two holes were drilled at the Beposo Main Zone. Hole 07BPRD132 and 07BPRD133.
Hole 07BPRD132 was only drilled to a total depth of 162.6 meters, instead of the proposed target depth of 180m due to damage by collapsed rock fragments in the hole ruining 3 drill bits. Most of the drilled cores are weakly weathered with oxidation along joint surfaces. Greywacke with abundant pyrite, arsenopyrite, sericite and about 2% quartz veins was intercepted at 90-96m and 98.7-103.5m. Porphyritic igneous unit (porphyritic unit made up of feldspar) with pyrite and arsenopyrite were logged at 96-98.7m and 103.5-104.4m. Phyllite with abundant quartz veins and pyrite was logged at 104.4-114.6m. Coarse-grained granite was intercepted at 114.6-126.9m. The granite has fractured tiny quartz veins similar to the granite seen in the original discovery hole 97ADDD007. Disseminated pyrite and sericite were logged in the granite. Phyllite with tiny cavities of leached sulphides was logged at 126.9- 155.1m. Quartz veining and pyrite were seen in the phyllite. Two (2) visible gold specks were seen in the granite at 125.7m and phyllite at 137.8m. Significant quartz veining, pyrite and sericite were logged from 155.1m to 162.5m. Granite was intercepted again at 161.6m to 162.5m.
Hole 07BPRD133 was drilled to a depth of 238m (90m of RC and 148m of HQ core). Greywacke and phyllite were logged at 0-146.5m, 148.66-177.6m and 179.85-191.28m. Moderately silicified granite with about 30% quartz and 4% pyrite was intercepted at 145.6-148.66m. Granite was logged again at 212.95-217m. Brittle brecciation of greywacke and phyllite into angular fragments floating in quartz matrix was logged from 191.28 to 203.6m. The brecciated rocks have over 90% quartz veins and 3-5% pyrite. Over 29 disseminated visible gold specks were counted in greywacke and dark smoky quartz at 173.9-174.4m.
The remaining six (6) drill-holes (four (4) at Beposo Main Zone and two (2) at Santreso) will be drilled in the impending year. Drilling is expected to resume on 9th January-2008
A number of RC and diamond core samples have been submitted to Transworld Laboratory in Tarkwa, Ghana for fire assay. Upon completion of this drill program and the compiliation of the data by our geologist, the Company will then release all the results along with a proposed exploration program for 2008.
Simon Meadows-Smith, principal of SEMS Exploration Services Ltd., is the qualified person responsible for the preparation of the technical information in this news release.
On behalf of the Board of Directors
"Dustin Elford"
President
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Updated at 3:59pm on 2 Feb 2012
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