Asa Resources Regulatory News (ASA)

27 Nov 2007 07:31

Mwana Africa PLC27 November 2007 Base Metals Update - Democratic Republic of the Congo Substantial Copper Mineralisation delineated at Kibolwe, Katanga Province, DRC London, 27th November 2007 Mwana Africa, the pan African resource company, ispleased to announce the completion of its 2007 exploration programme at its 100%owned Kibolwe prospect, where results to date indicate the presence ofsubstantial, high grade and extensive near surface copper mineralisation. The Kibolwe Prospect is situated 160km northwest of Lubumbashi, inthe northern portion of the 9,689 sq km SEMHKAT licence area. This licence isnot subject to the current wide scale review being undertaken by the Government. Previous exploration (totaling 3,100m) outlined mineralisation, whilst follow-updrilling undertaken in the 2006/7 field season delineated a broad 200m wide zonein plan, developed over a strike length of over 1,000m. The 7,200m follow upReverse Circulation drilling (for a total of 10,300m drilled) has now beencompleted. All 7,750 samples, representing 231 holes, have now been submitted toALS Chemex Analytical Laboratories in Johannesburg. To date, the company hasreceived the results of the first 2,400 assays representing 77 holes. Some ofthe more significant intersections are listed in Table 1 below, and appear tohave outlined an argillaceous carbonate unit, up to 30m thick with high gradesof copper locally approaching 5%, from surface to a maximum depth of 50 metres. Table 1. Kibolwe Project, Current sampling results for mineralized zones fromthe 2006-2007 RC drilling programme, (intersections in excess of 10m width and2% Cu). Hole ID From To Cu% Width (m) (m) (m) (Down Hole) C13 14 34 2.32 20 C16 21 50 2.66 28 D16 7 23 3.60 16 E16 4 16 2.91 12 G13 18 49 2.76 31 G14 4 37 2.90 33 G15 2 29 3.19 26 H16 3 17 2.52 14 H17 1 27 2.89 24 J10 10 49 2.57 39 L13 9 46 2.18 37 L14 13 38 2.07 20 M11 5 34 3.20 27 M13 2 43 3.92 41 M14 4 36 2.34 31 P10 10 38 2.15 28 P12 29 42 2.28 13 R11 13 44 2.04 31 R12 3 51 2.50 48 R13 2 16 4.94 13 S10 21 51 2.24 30 S14 6 32 2.01 26 U14 27 39 2.00 11 Follow up work at the main Kibolwe Project will include block model andresource estimates (to be completed by the end of April 2008) and metallurgicaltesting on selected RC holes (to be completed by early 2008). This should allow a pre-feasibility study to be undertaken and completed by theend of 2008. Kibolwe Prospect Extensions During 2006/7, exploration in the Kibolwe Prospect area located fourcopper-cobalt mineral occurrences developed within the highly prospective Roanstrata which are host to world class stratabound copper deposits. The prospects which occur within a four kilometre radius of Kibolwe includeKibolwe West, Kiamato, Nyundeulu, Ecaille Centrale and Ecaille South. The Kibolwe West prospect is the mineralized western extension of the mainKibolwe Prospect. It has two distinctive copper clearings which have formed overa 700m strike length. Following the completion of the Kibolwe reversecirculation (RC) drilling programme, 11 reconnaissance drill holes were sited onthe prospect. Seven of the 11 holes intersected visible copper mineralization.The intersections were between 8 and 40 metres wide (down hole). The KibolweWest prospect has the potential to almost double the copper resources of theKibolwe Prospect area. At Kiamato, a 700 metre long and 15 metre wide zone of prospective strata wasmapped, trenched and sampled. Assay results received to date report cobaltvalues of up to 0.2% over 2 metres which equates to almost 2% copper. Traces ofcopper, up to 0.5%, have been reported from leached strata. Potentially 4million tonnes of mineralized Roan strata is developed at Kiamato. Theoccurrence is open ended to the northeast and southwest. Nyundeulu mineralisation occurs in a similar setting to that of Kiamato. Unitsof mineralized Roan strata have been exposed over a 500 metre strike length.Preliminary sampling has yielded cobalt values of up to 0.2%. The strata arealso leached at surface which would account for the lower copper and cobaltvalues. Recent trenching exposed a four metre wide shale unit with copper(malachite) mineralization. Potential Roan strata tonnages can be expected toexceed 2 million tonnes. The lateral extent of the Nyundeulu strata has yet tobe confirmed. Limited exploration has been undertaken on the Ecaille Centrale and EcailleSouth occurrences. Initial trenching results from Roan strata have given valuesof 1.7% copper over 4 metres and 0.1% cobalt over 4 metres. A high resolution airborne magnetic and radiometric survey is in progress overthese and other areas. Interpreted targets from this survey will be followed byadditional drilling in the Kibolwe and surrounding area in 2008, and areexpected to confirm this potential. Commenting on the news, Mwana's CEO Kaala Mpinga stated "Mwana Africa is focusedon the exploration and development of multiple commodities across the Africancontinent. We have joint ventured areas of our large mineral portfolio withvarious major international mining companies, but we decided to keep 100%control of Kibolwe as we felt it was a high priority target. It is very pleasingto be able to report that we believe we have discovered a large, high grade,open pittable copper prospect here. The potential to develop a wholly ownedcopper mine at Kibolwe is very exciting." Charl du Plessis, Vice President Exploration of Mwana, who holds a PhD and is a Member of the AusIMM, is a "Qualified Person" as defined in the AIM Rules, andhas reviewed the information disclosed herein. Enquiries: Oliver Baring, Executive ChairmanKalaa Mpinga, Chief Executive Tel: 020 7654 5588Mwana Africa plc Tom Randell / David Simonson / Anca Spiridon Tel: 020 7653 6620Merlin Mike Jones / Ryan Gaffney Tel: 020 7050 6500Canaccord Adams This information is provided by RNS The company news service from the London Stock Exchange