High grade gold results from channel sampling

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Alecto Minerals plc / EPIC: ALO / Market: AIM / Sector: Exploration & Development

 27 June 2014

Alecto Minerals plc ('Alecto' or the 'Company')

High grade gold results from channel sampling at the Massakama Target, Kossanto Gold Project, Mali

Alecto Minerals plc (AIM: ALO), the AIM quoted mineral exploration company focussed on West and East Africa, is pleased to announce positive results from a channel sampling programme undertaken at the recently defined Toukwatou prospect at the Massakama target on the Company's flagship Kossanto Gold Project in the Kenieba inlier, in western Mali, which hosts several major producing gold mines.

Highlights:

· Results further enhance the Company's confidence that Massakama has the potential to host an extensive gold-bearing system

· 24 channel samples taken from two large artisanal pits at the Toukwatou prospect

o Peak gold grades of 2 metres @ 7.18g/t Au and 1.5 metres @ 6.66g/t Au

o Toukwatou northern pit: 26 metres @ an average grade of 1.43g/t Au

o Toukwatou southern pit: 20 metres @ an average grade of 1.89g/t Au

· Toukwatou is one of five new prospects identified within the Massakama target through extensive artisanal workings and geological surveys

· A short rotary air blast ('RAB') drill programme has now been completed utilising our in-house rig

· RAB drill programme comprised 38 angled holes with an average depth of 20 metres to test both the continuity to shallow depths and lateral extent of the near surface mineralisation, identified in the artisanal-pit channel samples

· RAB drilling assays expected in Q3 2014

Mark Jones, CEO of Alecto, commented:

"The excellent gold grades encountered in this channel sampling programme at the Toukwatou prospect demonstrate the fast-moving and fluid nature of our exciting Massakama target located in the west of the Kossanto Project. With the northern pit returning an average grade of 1.43g/t Au over 26 metres and the southern pit returning an average grade of 1.89g/t Au over 20 metres, there is a strong potential that we are working within a significant gold system. This, coupled with our recently announced positive scout drilling results and geological observations made at Massakama, means that our confidence continues to strengthen that we are successfully narrowing in on the areas of significant prospectivity at Massakama.

"With this in mind, we immediately commenced, and have now completed, a RAB drilling programme focussed on the Toukwatou prospect, to test both the continuity to shallow depths and lateral extent of the near surface mineralisation. We look forward to providing the results from this programme in due course."

Toukwatou prospect

The Toukwatou prospect was identified within the last month and is located in the centre of the Massakama target area at Kossanto. There has been a sharp rise in artisanal mining activity, which is currently characterised by two large pits that have been excavated by hand in the centre of the prospect.

At the time of sampling, the Toukwatou northern pit was 40 metres in length and approximately 5 metres deep striking in a 019º direction. The Toukwatou southern pit was approximately 20 metres in length, approximately 5 metres deep and striking in a 074º direction. Since sampling was completed, these pits are now in excess of 8 metres in depth and continue to be actively worked by the artisanal miners.

Due to the level of artisanal mining activity, the Company decided to channel sample the pit walls in order to create as little disturbance to the local communities as possible. Samples were taken in channels of 1.5 - 4 metres in length (as shown in Figure 1).

Table 1. Results from channel sampling at the Toukwatou prospect

The saprolite encountered in the artisanal pits is heavily stockworked with an estimated average density of 14% of quartz veinlets in the two pits. Iron oxides were observed along the length of the quartz veinlets, which are the result of oxidation of sulphides located within and proximal to the veinlets and directly associated with the gold mineralisation. The host rock is a feldspar rich acid intrusive with minor primary quartz.

Figure 1. Pit wall geology showing stock work and channel sample at the Toukwatou prospect

Due to the extensive and ongoing nature of the artisanal excavations, drilling in the Toukwatou area is challenging. However, using the Company's own in-house RAB rig, the Company initiated a limited drill programme consisting of 38 angled holes with an average depth of 20 metres that, whilst offset from the main target, were planned to test for the lateral extent and continuity of the near surface mineralisation within the weathered saprolite/saprock horizon. Samples have been submitted to the SGS laboratory in Bamako and results are anticipated to be available in Q3 2014.

Figure 2. RAB rig drilling on the Toukwatou prospect, following positive channel sampling results

Figure 3. Location of the Toukwatou prospect at the Massakama target, Kossanto Project

Figure 4. Map showing pit channel sampling locations and results at the Toukwatou prospect

Review of Information

The information in this announcement that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Michael Ware, who is the Company's part time Executive Director and a Fellow of the Australasian Institute of Mining and Metallurgy.

Michael Ware has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity that he is undertaking and is a qualified person as defined in the AIM Rules. Michael Ware has reviewed this announcement and consents to the inclusion in the announcement of the matters based on his information in the form and context in which they appear.

**ENDS**

For further information, please visit www.alectominerals.com or contact:

Notes to editors:

Alecto Minerals plc is an African focussed, gold and base metal exploration and development company quoted on AIM.

The on-going development of the Kossanto Project in Mali is the Company's predominant focus and with significant value upside potential evident across the tenure, the Board plans to build on the existing independent inferred resource estimate of 247,000 oz Au for Gourbassi reported in accordance with the guidelines of the JORC Code (2012).

The Kossanto Project is located in the centre of the Kenieba inlier in western Mali. The Kenieba inlier is a block of ancient greenstones and granites hosting many significant gold deposits in Senegal and Mali, making it one of the most important gold regions in Africa. The 207 sq. km. Kossanto Project currently comprises the Gourbassi and Massakama target areas located in the west of the licence area, where large-scale artisanal activity is occurring.

Alecto also has a joint venture with Centamin plc over two prospective gold exploration licences in Ethiopia, under which Alecto retains exposure to such assets with no capital expenditure obligations, as well as the wholly owned Wad Amour IOCG Project in Mauritania which is at an exploration stage. Combined, these projects provide the Company with a strong, diversified portfolio with exciting exploration upside potential.