Nyota Minerals Regulatory News (NYO)

Nyota Minerals Limited ("Nyota" or the "Company")

Tulu Kapi Feeder Zone Drill Results and Drilling Update

Highlights

·; Positive outcome of the drilling programme designed to extend high-grade Feeder Zone and to test extensions of Tulu Kapi and other targets

·; Confirmed continuity of resource and the potential for further mineralisation on the margins of current resource

·; Drilling results will feed into the future resource estimate update provisionally scheduled for the first quarter, 2012 

·; Further drilling underway to complete infill drilling in specific areas and to increase Nyota's resource base

Nyota Minerals (ASX/AIM: NYO), the gold exploration and development Company in East Africa, is pleased to report results of the drilling over the Tulu Kapi ore body. The drilling programme was specifically designed to extend the high-grade Feeder Zone resource, test the S.E. and N. Extensions to Tulu Kapi, and extend preliminary drilling of the UNDP Target.

These results are derived from drill assays received for the balance of drilling undertaken in the second Quarter, 2011 as well as a number of holes drilled in July and August, 2011. The results will form part of a future resource estimate update provisionally scheduled for the first quarter, 2012.

Nyota's drilling programme over the past quarter has shown that continuity of the resource is favourable and that there is the potential for further new mineralisation around the margins of the current resource. 

The Company will move to complete the infill drilling of the Feeder Zone and any other infill drilling required over the main resource to permit the upgrade to a Measured category. Additionally step-out drilling around the N. Extension will be conducted to generate sufficient drillhole density to allow for additions to the Resource and infill and step-out drilling will be undertaken at the UNDP target with an intention to produce an initial resource for this target.

Richard Chase, Chief Executive Officer commented "The results achieved are encouraging on two fronts. Firstly, intersections achieved in the upper levels of the deposit increase the confidence in the resource that will be mined from an open pit as the continuity of mineralised structures has been confirmed. 

"Secondly, further high-grade intersections at depth in the Feeder Zone reinforce our belief that the Feeder Zone provides an opportunity to develop a robust mining project with scope to supplement open pit ore with high-grade feed during the early years of production."

Overview of Drilling Results

Tulu Kapi Feeder Zone

·; New Feeder Zone high-grade gold intersections over notable widths including peak intersections of 23.30g/t Au over 1.20m, 14.50g/t Au over 8.00m, 7.30g/t Au over 14.40m and 5.42g/t Au over 26.55m;

·; Intercepts provide valuable additional infill data for the Feeder Zone geological model;

·; Updated geological model being used to refine preliminary underground mine design;

Tulu Kapi Infill Drilling

·; Drill results for infill holes within the main Tulu Kapi body aimed at upgrading the resource including peak assays of 26.02g/t Au over 2.85m, 25.01g/t Au over 3.0m, 15.63g/t Au over 3.0m, 13.81g/t Au over 15.67m and 13.66g/t Au over 8.35m;

·; Completion of a number of geotechnical holes drilled to provide data for future detailed pit slope design also intersected further mineralisation.

N. Extension

·; High grades and substantial widths achieved from drilling of the Northern Extension to Tulu Kapi with peak grades including 22.50g/t Au over 2.0m, 21.81g/t Au over 5.45m and 3.50g/t Au over 10.8m;

S.E. Extension

·; Notable shallow high-grade intersections achieved over the S.E. Extension with peaks grades including 4.71g/t Au over 4.0m, 4.32g/t Au over 18.0m, 4.14g/t Au over 6.0m and 2.02g/t Au over 27.0m;

UNDP Target

·; Further evidence of the extent of mineralisation on the periphery of the UNDP Target with peak grades including 5.75g/t Au over 1.0m, 2.69g/t Au over 7.0m and 0.47g/t Au over 20.0m;

Detailed Drilling Results

Feeder Zone (Table 1)

Drilling was completed along traverse line 040 in the centre of the Tulu Kapi deposit. A total of 105.10m of mineralisation at grades in excess of a 0.40g/t Au cut-off for saprolite and a 0.50g/t Au cut-off for fresh rock was intersected.

Drilling to depth to test the high-grade Feeder Zone uses a combination of reverse circulation ("RC") and diamond drilling ("DDH"). RC drilling is effective to depths from surface of approximately 250m and is both cheaper and quicker than DDH drilling. At the maximum RC drill depth, the drill rods are removed and replaced with DDH rods with a DDH tail drilled to the final required depth generating drill core.

TKRC - 146 returned encouraging results for mineralised lode structures in the upper part of the deposit and provided confirmation of continuity of mineralisation between previously drilled holes. Similarly, TKBH - 114 drilled to a final depth of 641.60m intersected extensions to Feeder Zone mineralisation previously intersected in holes located approximately 40m to the north, south and west.

Mineralised intercepts are based on a minimum cut-off of 0.40g/t Au and 0.50g/t Au for saprolite and fresh rock respectively. Calculation of mineralised widths and grades accepts a maximum of one metre of internal waste at grades of less than the prescribed cut-off.

Table 1: Peak Intersections for Feeder Zone drill and assay results for TKRC-146 and TKBH - 114

Infill Drilling Results

A total of 13 diamond drillholes have been completed for which assays have been received for 11 holes. Drilling was undertaken to increase drillhole density to a 40m x 40m grid. In addition, a total of 6 RC holes were drilled. Excellent results were achieved providing evidence of continuity and increasing the level of confidence in the resource. Notable intersections are listed below in Table 2.

Table 2: Peak Intersections from Infill RC and DDH Drilling

N. Extension Drill Results

Drilling has resulted in the expansion of the N. Extension resource whilst geological modelling clearly indicates that there is scope for further extensions to this mineralised body. A series of additional step-out drillholes have been planned and will be drilled during the next few months. Notable intersections achieved are provided in Table 3.

Table 3: Peak intersections for N. Extension Drilling Programme

SE Extension Drill Results

Some important intersections were made during the current S.E. Extension drill programme notably close to surface. The current geological model indicates that these higher grade intersections may be coincident with a cross-cutting structure known to host high-grade mineralisation. A review is being undertaken to establish whether additional drilling is warranted. Peak intersections are shown in Table 4 below.

Table 4: Peak intersections for SE Extension Drilling Programme

UNDP Drill Results

The UNDP Target area is located immediately NNE of the main Tulu Kapi deposit and is separated from Tulu Kapi by a cross-cutting structure. Drill densities at UNDP are insufficient to be able to establish an Inferred Resource but the most recent results have demonstrated a level of continuity within the target area that suggests that additional drilling has the scope to delineate additional resources. The current programme of drilling will target known structures thought to control mineralisation as these appear to be associated with the highest grades intersected to date. Drilling will continue at the UNDP site with the aim of defining an initial resource during Q1, 2012. Peak intersections achieved are illustrated in Table 5.

Table 5: Peak intersections from UNDP Target drilling programme

Geotechnical Drill Results

Geotechnical holes have been drilled around the periphery of the current pit outline in order to generate data required to optimise pit slope angle and design.

Table 6: Peak intersections from geotechnical drilling programme.

Planned Future Drilling

During the balance of the wet season, drilling will focus on the following:

·; A further 2 holes into the Feeder zone;

·; Drilling of 3 holes to test the high-grade mineralised structure that separates the UNDP Target from Tulu Kapi;

·; Drilling of 2 holes to test the easterly extension of a similar high-grade structure that hosts the Feeder Zone;

·; Step-out drilling of a further 11 holes around the N.E. Extension mineralisation.

Information on assay data and drilling

RC and DDH drilling follow standard protocols that have been validated and refined by a number of independent consultants who have visited the Tulu Kapi site and monitored drilling operations.

Sampling protocols and sample preparation procedures employed in the laboratory located at Tulu Kapi and operated by ALS Chemex have also been reviewed and found to be of an appropriate standard.

The Company inserts standards, blanks and duplicates in all its sample batches dispatched for assay and implements strict QA/QC procedures to monitor the assays attributable to these standards, blanks and duplicates.

Estimation of grade and mineralised widths

A cut-off was employed of 0.40g/t Au for saprolite and 0.50g/t Au cut-off for fresh rock. Any intercept of less than the respective cut-off was excluded from any grade and mineralised width estimate except where an individual sample of 1.0m or less occurred between samples returning grades higher than cut-off in which case single samples of 1.0m or less that were below the cut-off would be included in a mineralised intersection.

Table 7 below lists all mineralised intersections achieved since the last drilling update based upon a 0.40g/t Au and 0.50g/t Au cut-off.

Table 7: Compilation of drill results for Tulu Kapi Project

The technical exploration and mining information contained in this Announcement has been reviewed and approved by Mr. RN Chapman, an independent geological consultant. Mr. Chapman has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity to which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves and as a qualified person under the AIM Note for Mining, Oil and Gas Companies. Mr. Chapman is an employee of Mineral Exploration Management Limited, an independent geological consultancy established in 2005 and is a Member of the Australasian Institute of Mining and Metallurgy (Aus.I.M.M). Mr. Chapman consents to the inclusion in this Announcement of such information in the form and context in which it appears.

For further information please contact:

Melissa Sturgess (Chairman)

Richard Chase (CEO)

Nyota Minerals Limited

+44 (0) 20 7379 5012

info@nyotaminerals.com

NOMAD

Ambrian Partners Limited

+44 (0)20 7634 4858

BROKER

Guy Wilkes

Ocean Equities Limited

(+44) (0) 20 7786 4370

BROKER

Rory Scott

Mirabaud Securities LLP

(+44) (0)20 7878 3360

FINANCIAL PR

Paul Youens / Jos Simson

Tavistock Communications

(+44) (0)20 7920 3150

Or visit: http://www.nyotaminerals.com