3rd May 2016 07:34
LONDON (Alliance News) - Armadale Capital PLC, an AIM-listed investment company, on Tuesday said it initiated a 2,000 metre auger drill programme consisting of about 150 auger holes at its Mpokoto gold project in the Katanga Province of the Democratic Republic of Congo.
To date about 53 holes have been completed, according to Armadale, with qualitative sampling by panning the drill spoil demonstrating previously identified gold mineralisation extends to both the north-west and south-east of the current defined resource zone at Mpokoto.
"There is increasing interest in near term gold projects in particular as the gold price continues rise. The Mpokoto feasibility study projected operating costs of USD792 per ounce and a pretax net present value of USD19.05 million has been established for Phase 1, which importantly relates only to the shallow oxide orebody (30-40m) and a gold price of USD1,250 per ounce," Chairman Peter Marks said in a statement.
Africa Mining Contracting Services continues to undertake its review of the feasibility study and the parties remain in discussions with a view to finalising the project finance of at least USD20 million for Mpokoto, Armadale said.
Shares in Armadale were up 6.0% at 2.91 pence Tuesday morning.
By Samuel Agini; [email protected]; @samuelagini
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