7th Nov 2013 11:17
LONDON (Alliance News) - Goldstone Resources Limited Thursday it has received negative assay results from joint-venture partner Randgold Resources Ltd.'s drilling programme at Goldstone's 49%-owned Thiabedji and Tiobi sites in Senegal.
The AIM-listed junior gold explorer, with operations in West and Central Africa, said that based on the results, Randgold concluded that the sites do not meet their criteria for further work, and they have been removed from the current exploration drilling programme.
Assay results at the Tiobi site were encouraging, according to Goldstone, and included gold intercepts including a one metre space at 8 grams per tonne and a two metre space at 0.7 grams per tonne, but these were not strong enough for Randgold to warrant further investigation.
Goldstone said that Randgold's work will now focus on its Baraboye and Ibel prospective targets with a 5,000m reverse circulation drilling programme expected to commence in December.
The company said that Randgold has also now identified four new targets in the region for possible exploratory drilling.
Separately Thursday, Randgold said its pretax profit fell in its third quarter compared to the previous year but increased sales and production led to positive figures in comparison to the second quarter of 2013.
Goldstone shares were down 13% to 1.41 pence, making it a top AIM loser Thursday, having fallen to an intraday low of 1.17p. Meanwhile Randgold was the top gainer in the FTSE 100, with shares up 8.8% at 5,011.88p, on its strong quarterly results.
By Tom McIvor; [email protected]; @TomMcIvor1
Copyright © 2013 Alliance News Limited. All Rights Reserved.
Related Shares:
Randgold ResourcesGoldstone Resources