On September 12, 2016, Desert Gold Ventures Inc., (TSX.V: DAU) (“Desert Gold” or the “Company”) is pleased to provide the following update on its Farabantourou property in Mali, Africa in an effort to reach out to potential joint venture partners:
The Company has applied for a one-year extension of its exploration license at the Farabantourou project located in Western Mali to secure the concession until the end of November 2017.
- The Farabantourou project is located on the Senegal-Mali Fault Zone (“SMFZ”) 40 kilometers south of the IAMGOLD/AngloGold Anshanti Sadiola Mine and 50 kilometers north of Randgold’s Loulou Mine. Both these mines are on the SMFZ.
- The Company has declared a NI 43-101 resource in the North Western sector of the property known as the Barani East Deposit. The resource contains the following gold content:
- An indicated mineral resource of 652,00 tons at 2.22 grams per ton for 46,600 ounces of gold.
- An inferred mineral resource of 317,000 tons at 2.29 grams per ton for 23,000 ounces of gold.
- Mineral resource estimates were made using a cut-off grade of 0.5 grams per ton.
- In addition to the Barani East deposit, Farabantourou hosts 5 other known mineralized zones that are largely unexplored combining for nearly 5 kilometers of strike.
- The Company outlines a development program of USD $1.5 million to explore the remaining targets and complete the necessary engineering work to transition the permit into an exploitation license. Program highlights:
- 3,000 meters of trenching
- 8,000 meters of RC drilling
- 3,500 meters of Diamond drilling
Desert Gold’s Chief Executive Officer, Sonny Janda, commented, “The last several years have been very challenging for the mining or exploration sector and especially for the juniors. At Desert Gold we are very pleased that we have been able to preserve our assets in Mali during this prolonged period. In recent months we have seen a shift in our sector with more bullish sentiment in the market. We are seeking a partner to provide capital on an earnin basis to complete the exploration and engineering work necessary to increase the resource at Farabantourou and develop a mining plan in order to transition the license into an exploitation phase thereby securing the property for the long term.”
Other Targets on the Farabantourou Permit
- At Barani East, there is the possibility to further define the resource by exploring along the strike extension of the interpreted fault, to the northeast, increasing the potential overall strike to roughly 3 km.
- At Keniegoulou, the possibility of extending the target along strike to approximately 2 km exists as the first 14 lines of drilling have all intersected mineralisation and a north-northwest to south-southeast trend is observed along an interpreted fault.
- At Dambamba, it is possible to increase the overall target strike extent to 2.5 km to the south along the interpreted fault line as it is postulated.
- At Kousilli, the current drilling in this area intersected some mineralization in only two of the four fence lines. If the drilling is overlain by the geochemistry anomalies, as well as the structural interpretation from the IP resistivity work, two northeast to southwest trending targets can be postulated.
Shaun Dykes, M.Sc. (Eng); P.Geo (#20044), a Qualified Person as defined in NI 43-101, is responsible for the review of all scientific and technical information contained in this release.
ON BEHALF OF THE BOARD
This news release contains forward-looking statements respecting the Company's ability to successfully obtain an exploitation license for its Byumba permit. These forward-looking statements entail various risks and uncertainties that could cause actual results to differ materially from those reflected in these forward-looking statements. Such statements are based on current expectations, are subject to a number of uncertainties and risks, and actual results may differ materially from those contained in such statements, including the inability of the Company to successfully complete and obtain the necessary permits to develop its operations. These uncertainties and risks include, but are not limited to, the strength of the capital markets, permitting risk, the price of gold; operational, funding, and liquidity risks; the degree to which mineral resource estimates are reflective of actual mineral resources; and the degree to which factors which would make a mineral deposit commercially viable are present; the risks and hazards associated with mining operations. Risks and uncertainties about the Company's business are more fully discussed in the company's disclosure materials filed with the securities regulatory authorities in Canada and available at www.sedar.com and readers are urged to read these materials. The Company assumes no obligation to update any forward-looking statement or to update the reasons why actual results could differ from such statements unless required by law.
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein in the united states. The securities described herein have not been and will not be registered under the united states securities act of 1933, as amended, and may not be offered or sold in the united states or to the account or benefit of a u.s. person absent an exemption from the registration requirements of such act.