23rd Jan 2014 14:51
LONDON (Alliance News) - Alecto Minerals PLC Thursday said it has completed the first stage of its drilling programme at the Kossanto Gold Project in Mali.
The mining exploration company focused on West and East Africa said the initial data from the first nine holes of the programme at Gourbassi East on the site confirm potential expansion of the current JORC compliant 107,000 ounce gold resource.
JORC is the Joint Ore Reserves Committee which provides mineral resource classification schemes.
Results from the drilling include an 18 metre space at 1.1 grams per tonne of gold, a 9 metre space at 2.22 grams per tonne of gold and a 2 metre space at 7.59 grams per tonne of gold.
The company said that key drill holes from the Gourbassi East main resource area at the site are still awaiting assay and phase two of the current drill programme will commence in the short term.
In December, the company reported exceptional grades from Kossanto from soil samples including high grade results up to 31.5 grams per tonne of gold.
In January, Alecto raised GBP1.5 million before expenses through a placing of 100 million shares to fund the advancement of Kossanto.
"The full results from our multi-faceted drilling programme are expected to flow through by the end of the first quarter 2014, providing us with plenty of news flow over the coming weeks," the company's Chief Executive Officer Mark Jones said in a statement.
The company also announced that field work has started on its exploration programme Wayu Boda Gold Project in Ethiopia, with all support equipment for the drill rig on site.
The project is held under joint venture with Centamin PLC, which is required to fund USD1.8 million to maintain an initial 51% interest in the site.
Alecto said the full details of the programme are being finalised and should be announced soon, but initial core drilling is anticipated to commence in the coming weeks.
The company has carried out previous tests on the Ethiopian site including rock chip sampling and trenching which found grades of up to 47.4 grams per tonne of gold.
Alecto Minerals shares were down 10.3% to 1.75 pence Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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