ALS.L Share News (ALS)

(Sharecast News) - Altus Strategies announced the results of a mineral resource estimate at its Tabakorole gold project in southern Mali on Wednesday.

The AIM-traded firm said the FT Prospect at Tabakorole hosted an estimate comprising 16,600,000 tonnes at 1.2 grams of gold per tonne, for 620,000 ounces in the inferred category, and 7,300,000 tonnes at 1.2 grams of gold per tonne for 290,000 ounces in the indicated category.

It reported a 54% increase in ounces and a 20% increase in grade from the historical mineral resource, adding that 43% of the mineral resource estimate was situated within 100 metres of the surface.

Gold mineralisation remained open along strike and at depth, the board explained.

Altus said going forward, preliminary metallurgical studies would be undertaken, with drilling to test multiple resource expansion targets to begin in the fourth quarter.

It noted that Marvel was earning an initial 33% interest in the project under the joint venture, while it would hold a 2.5% net smelter return gold royalty on Tabakorole.

"We are delighted to announce this substantial gold resource at the Tabakorole gold project in southern Mali," said chief executive officer Steven Poulton.

"The recent drilling undertaken by Marvel, as part of their phase one earn-in on the project, has resulted in a 54% increase in gold ounces and a 20% higher grade than the previous historical resource.

"The mineral resource estimate is located on the 2.9 kilometre-long FT Prospect, which remains open along strike and at depth."

Poulton said recently-reported aircore drill results, including 6.2 grams per tonne over six metres from 14 metres indicate the clear potential for the strike length of the FT Prospect to be extended and for the resource to grow.

He added that Marvel had advised that they intended to drill those, and other targets,as the joint venture moved on to phase two in the fourth quarter of the year.

"Tabakorole represents a significant regional gold discovery and we look forward to updating shareholders with further news as the joint venture progresses."

At 1549 BST, shares in Altus Strategies were up 0.84% at 60p.