Last checked at 1 Oct 2020 07:00
Oriole Resources PLC
('Oriole' or 'the Company')
Thani Stratex Djibouti Exploration Update -
Drilling at Hesdaba Gold Project Confirms Significant Grades at Depth and AMED Fund III Commits Second Tranche of Funding in Djibouti
Oriole Resources PLC (AIM: ORR), the AIM-quoted exploration company focussed on West Africa, provides an update on its 11.80% interest in Thani Stratex Djibouti Limited ('TSD'). Further to its announcement on 16 July 2020, the Company has now received Phase 1 drilling results for the Hesdaba epithermal gold project ('Hesdaba' or the 'Project') in Djibouti. The programme, which comprised 1,931 metres ('m') diamond and 1,529 m reverse circulation ('RC') drilling, has delivered a number of significant intersections, including 16.00 metres ('m') grading 3.84 grammes per tonne ('g/t') gold ('Au').
Hesdaba is located just 10 kilometres ('km') northwest of the more advanced Pandora project ('Pandora'), where the Company recently reported Phase 3 drilling results including 16.86 m grading 1.42 g/t Au (Announcement dated 16 July 2020).
Having completed an initial US$2.5 million investment in Djibouti, TSD's primary funder, African Minerals Exploration & Development Fund III ('AMED Fund III') has now committed to the next tranche of funding ('Tranche 2') which will be focussed on follow-up RC drilling at Hesdaba as well as Phase 2 drilling at the Assaleyta project, 16 km to the north of Pandora.
Highlights
· Results received for Phase 1 drilling programme at Hesdaba that comprised 1,931 m diamond (for 14 holes) and 1,529 m RC (for 15 holes) drilling;
· The programme focussed on testing the epithermal system across three primary targets. Best intersections include (using 0.3 g/t Au cut-off):
Diamond:
o 15.00 m grading 4.08 g/t Au from 53.00 m, including 5.00 m grading 11.11 g/t Au (Hd-D-08)
o 14.67 m grading 0.99 g/t Au from 10.68 m, including 3.00 m grading 2.86 g/t Au (Hd-D-08);
o 2.38 m grading 2.55 g/t Au from 91.62 m, including 0.73 m grading 5.48 g/t Au (Hd-D-05);
o 3.00 m grading 1.66 g/t Au from 42.00 m (Hd-D-07).
Reverse Circulation:
o 12.00 m grading 1.99 g/t Au from 14.00 m, including 6.00 m grading 2.17 g/t Au and 3.00 m grading 3.12 g/t Au (Hd-R-04);
o 8.00 m grading 1.34 g/t Au from 55.00 m, including 1.00 m grading 8.47 g/t Au (Hd-R-01);
o 4.00 m grading 1.02 g/t Au from 35.00 m (Hd-R-01);
o 2.00 m grading 3.41 g/t Au from 61.00 m (Hd-R-05);
o 4.00 m grading 2.41 g/t Au from 64.00 m (Hd-R-06).
· As at Pandora, mineralisation is predominantly related to quartz vein and hydrothermal silica breccia, with classic epithermal textures observed in all holes;
· Results also received for 271 grab samples of outcropping quartz-carbonate veins, with 57 samples returning over 1.00 g/t Au;
· AMED Fund III commits to US$2.5m Tranche 2 funding, which will be focussed on follow-up RC drilling at Hesdaba, as well as Phase 2 drilling at the nearby Assaleyta project.
Oriole CEO Tim Livesey, said: "We are delighted to see the results of the first phase of the drill programme at Hesdaba under the guidance of the new management team.
"The recent significant results from this programme help to confirm the original mineralisation model and give further confidence that the systems on the property have the potential to host a scalable resource. This confidence is shared by the investors who have agreed to the next phase of funding, allowing exploration efforts to expand into the Assaleyta area.
"We look forward to seeing the continuation of exploration and sharing the results from this investment position with our shareholders."
Further Details
The Hesdaba project is located 10 km northwest of the more advanced Pandora project, which returned a best intersection of 16.86 m grading 1.42 g/t Au from 13.00 m early this year (Announcement dated 16 July 2020).
During Q1-2020, TSD completed a Phase 1 drilling programme at Hesdaba that comprised 1,931 m diamond drilling (14 holes) and 1,529 m of RC drilling (15 holes). The programme was focussed on testing the epithermal system at depth across three primary targets: Maranzana, Caravan and Red Horns. Concurrent detailed mapping across the entire Project outlined vein zones over a cumulative strike length of 16 km (Announcement dated 25 June 2020). As previously reported, the Government of Djibouti closed its borders on 18 March 2020, and imposed lockdown restrictions shortly thereafter, in response to COVID-19. At the time of lockdown, 70% of the available diamond core had been cut and selectively sampled based on geological observation of the geology, focusing on zones of mineralisation and alteration. Following a short moratorium on the export of rock samples, these 478 core samples (inclusive of QAQC), together with 1,129 RC samples (inclusive of QAQC) and 272 grab samples (including 1 QAQC sample) from outcropping quartz veins were eventually dispatched to ALS Laboratories in Romania. The outstanding samples are being prepared for analysis and will be dispatched shortly, with results anticipated during the fourth quarter.
The Company today reports results from these samples, which have confirmed significant mineralisation at all three targets. Results from the Red Horns prospect are particularly encouraging, and include a best diamond drilling intersection of 15.00 m grading 4.08 g/t Au from 53.00 m, including 5.00 m grading 11.11 g/t Au (Hd-D-08) and a best RC intersection of 12.00 m grading 1.99 g/t Au from 14.00 m, including 6.00 m grading 2.17 g/t Au and 3.00 m grading 3.12 g/t Au (Hd-R-04) (see Tables 1 and 2). The presence of these wide, moderate-grade and near-surface intersections, highlight a potential for the definition of an open-pittable, bulk tonnage resource at Hesdaba.
All boreholes intersected classic epithermal structures, textures and alteration in the form of numerous parallel quartz-carbonate veins and swarms of veinlets in wide alteration zones and the drilling has reportedly confirmed sub-surface epithermal vein systems over a cumulative strike length of 7 km. As at Pandora, high grade is particularly associated with quartz veins and hydrothermal breccia. However, the silica/calcite ratios are reportedly higher at Hesdaba with more bladed silica replacement and crystalline quartz than observed at Pandora which could indicate closer proximity to the boiling zone (therefore the zone of enhanced gold deposition).
Table 1. Significant intersections (recalculated using a >0.3 g/t Au cut-off) from selective sampling of Phase 1 diamond drilling at Hesdaba.
Hole ID | Prospect | Azimuth (°) | Declination (°) | From (m) | To (m) | Interval (m)*, ** | Grade (g/t Au) |
Hd-D-01 | Caravan | 234.6 | -52 | 39.45 | 40.42 | 0.97 | 1.64 |
Hd-D-02 | Caravan | 234.5 | -49 | No significant intersections | |||
Hd-D-03 | Caravan | 233.5 | -51 | 59.00 | 60.00 | 1.00 | 0.43 |
and | 68.45 | 70.51 | 2.06 | 0.98 | |||
Hd-D-04 | Caravan | 236.4 | -49 | 35.68 | 40.37 | 4.69 | 0.93 |
including | 37.00 | 37.77 | 0.77 | 3.45 | |||
including | 39.72 | 40.37 | 0.65 | 1.41 | |||
Hd-D-05 | Maranzana | 246 | -52 | 91.62 | 94.00 | 2.38 | 2.55 |
including | 91.62 | 92.35 | 0.73 | 5.48 | |||
including | 93.00 | 94.00 | 1.00 | 1.75 | |||
and | 134.00 | 135.00 | 1.00 | 0.32 | |||
Hd-D-06 | Caravan | 234 | -50 | 38.55 | 40.75 | 2.20 | 0.43 |
Hd-D-07 | Red Horns | 236 | -50 | 26.50 | 27.42 | 0.92 | 1.40 |
and | 37.93 | 39.08 | 1.15 | 0.63 | |||
and | 42.00 | 45.00 | 3.00 | 1.66 | |||
and | 51.27 | 52.26 | 0.99 | 2.01 | |||
and | 56.00 | 57.80 | 1.80 | 0.43 | |||
and | 98.00 | 98.77 | 0.77 | 0.47 | |||
Hd-D-08 | Red Horns | 234 | -60 | 10.68 | 23.00 | 14.67 | 0.99 |
including | 20.00 | 23.00 | 3.00 | 2.86 | |||
and | 29.69 | 32.00 | 2.31 | 0.47 | |||
and | 53.00 | 68.00 | 15.00 | 4.08 | |||
including | 54.00 | 59.00 | 5.00 | 11.11 | |||
Hd-D-09 | Red Horns | 246 | -52 | 17.00 | 20.00 | 3.00 | 0.93 |
and | 29.00 | 31.50 | 2.50 | 0.71 | |||
Hd-D-10 | Maranzana | 246.5 | -54 | 0.00 | 1.50 | 1.50 | 0.89 |
and | 30.50 | 31.63 | 1.13 | 0.40 | |||
and | 33.74 | 35.00 | 1.26 | 0.62 | |||
and | 39.00 | 42.00 | 3.00 | 0.56 | |||
*For interval widths greater than 1.0 m or where the interval multiplied by grade is greater than 1 gramme per metre, using a 0.3 g/t Au cut-off and no more than 2.0 m consecutive internal dilution.
*\* True widths are between c.75% and c.81% of the reported interval thickness.
Table 2. Significant intersections (recalculated using a >0.3 g/t Au cut-off) from selective sampling of Phase 1 RC drilling at Hesdaba.
Hole ID | Prospect | Azimuth (°) | Declination (°) | From (m) | To (m) | Interval (m)*, ** | Grade (g/t Au) |
Hd-R-01 | Maranzana | 246.5 | -50 | 18.00 | 19.00 | 1.00 | 0.31 |
and | 22.00 | 23.00 | 1.00 | 1.18 | |||
and | 27.00 | 28.00 | 1.00 | 0.47 | |||
and | 35.00 | 39.00 | 4.00 | 1.02 | |||
and | 55.00 | 63.00 | 8.00 | 1.34 | |||
including | 59.00 | 60.00 | 1.00 | 8.47 | |||
and | 66.00 | 67.00 | 1.00 | 0.50 | |||
and | 69.00 | 70.00 | 1.00 | 2.67 | |||
and | 73.00 | 74.00 | 1.00 | 0.79 | |||
and | 100.00 | 101.00 | 1.00 | 0.45 | |||
Hd-R-02 | Maranzana | 245 | -50 | 4.00 | 5.00 | 1.00 | 0.71 |
and | 13.00 | 14.00 | 1.00 | 2.46 | |||
and | 22.00 | 23.00 | 1.00 | 0.54 | |||
and | 97.00 | 98.00 | 1.00 | 0.31 | |||
and | 110.00 | 111.00 | 1.00 | 0.39 | |||
Hd-R-03 | Maranzana | 245 | -50 | 2.00 | 3.00 | 1.00 | 0.41 |
and | 36.00 | 37.00 | 1.00 | 0.35 | |||
Hd-R-04 | Red Horns | 245 | -50 | 14.00 | 26.00 | 12.00 | 1.99 |
including | 14.00 | 20.00 | 6.00 | 2.17 | |||
including | 23.00 | 26.00 | 3.00 | 3.12 | |||
and | 77.00 | 78.00 | 1.00 | 0.31 | |||
106.00 | 109.00 | 3.00 | 0.34 | ||||
Hd-R-05 | Red Horns | 245 | -50 | 15.00 | 17.00 | 2.00 | 0.95 |
and | 61.00 | 63.00 | 2.00 | 3.41 | |||
and | 65.00 | 66.00 | 1.00 | 0.36 | |||
and | 73.00 | 74.00 | 1.00 | 0.38 | |||
and | 86.00 | 88.00 | 2.00 | 1.13 | |||
Hd-R-06 | Red Horns | 245 | -50 | 17.00 | 22.00 | 5.00 | 0.52 |
including | 17.00 | 18.00 | 1.00 | 1.16 | |||
and | 37.00 | 44.00 | 7.00 | 0.69 | |||
including | 38.00 | 39.00 | 1.00 | 1.25 | |||
including | 41.00 | 42.00 | 1.00 | 1.25 | |||
and | 47.00 | 48.00 | 1.00 | 0.50 | |||
and | 53.00 | 54.00 | 1.00 | 0.68 | |||
and | 58.00 | 60.00 | 2.00 | 0.91 | |||
and | 64.00 | 68.00 | 4.00 | 2.41 | |||
and | 90.00 | 92.00 | 2.00 | 0.36 | |||
Hd-R-07 | Red Horns | 245 | -50 | 9.00 | 10.00 | 2.00 | 0.46 |
and | 21.00 | 22.00 | 1.00 | 0.41 | |||
and | 25.00 | 29.00 | 4.00 | 0.86 | |||
including | 25.00 | 26.00 | 1.00 | 2.40 | |||
and | 36.00 | 37.00 | 1.00 | 0.32 | |||
and | 45.00 | 50.00 | 5.00 | 0.89 | |||
including | 48.00 | 50.00 | 2.00 | 1.35 | |||
and | 55.00 | 56.00 | 1.00 | 2.42 | |||
Hd-R-08 | Red Horns | 245 | -50 | 23.00 | 28.00 | 5.00 | 0.65 |
including | 23.00 | 24.00 | 1.00 | 1.09 | |||
including | 26.00 | 27.00 | 1.00 | 1.68 | |||
and | 30.00 | 31.00 | 1.00 | 0.41 | |||
and | 34.00 | 35.00 | 1.00 | 0.51 | |||
and | 38.00 | 41.00 | 3.00 | 0.39 | |||
and | 60.00 | 62.00 | 2.00 | 1.49 | |||
Hd-R-09 | Red Horns | 245 | -50 | 6.00 | 9.00 | 3.00 | 0.52 |
and | 17.00 | 19.00 | 2.00 | 0.43 | |||
and | 24.00 | 25.00 | 1.00 | 0.32 | |||
and | 41.00 | 42.00 | 1.00 | 0.34 | |||
and | 50.00 | 51.00 | 1.00 | 0.36 | |||
Hd-R-10 | Red Horns | 245 | -50 | No significant intersections | |||
Hd-R-11 | Maranzana | 245 | -50 | 25.00 | 31.00 | 6.00 | 0.42 |
and | 48.00 | 53.00 | 5.00 | 1.02 | |||
Including | 49.00 | 51.00 | 2.00 | 1.78 | |||
and | 95.00 | 96.00 | 1.00 | 0.35 | |||
Hd-R-12 | Maranzana | 245 | -50 | 8.00 | 14.00 | 6.00 | 0.30 |
and | 22.00 | 23.00 | 1.00 | 0.77 | |||
86.00 | 87.00 | 1.00 | 0.97 | ||||
Hd-R-13 | Maranzana | 245 | -50 | 5.00 | 7.00 | 2.00 | 0.52 |
and | 30.00 | 31.00 | 1.00 | 0.83 | |||
and | 73.00 | 74.00 | 1.00 | 0.97 | |||
and | 115.00 | 116.00 | 1.00 | 1.11 | |||
Hd-R-14 | Maranzana | 245 | -50 | 9.00 | 12.00 | 3.00 | 0.53 |
and | 17.00 | 19.00 | 2.00 | 0.40 | |||
and | 22.00 | 23.00 | 1.00 | 0.66 | |||
and | 32.00 | 35.00 | 3.00 | 0.65 | |||
including | 33.00 | 34.00 | 1.00 | 1.00 | |||
and | 39.00 | 42.00 | 3.00 | 0.35 | |||
and | 47.00 | 48.00 | 1.00 | 0.62 | |||
and | 50.00 | 51.00 | 1.00 | 0.31 | |||
Hd-R-15 | Maranzana | 245 | -50 | 40.00 | 41.00 | 1.00 | 0.75 |
and | 63.00 | 64.00 | 1.00 | 0.38 | |||
*For interval widths greater than 1.0 m, using a 0.3 g/t Au cut-off and no more than 2.0 m consecutive internal dilution.
*\* True widths are c.77% of the reported interval thickness.
Having completed an initial US$2.5 million investment in Djibouti, TSD's primary funder, AMED Fund III, has now committed to Tranche 2 of its investment, which will be drawn-down in sub-tranches, when required. It will be deployed over a proposed retrospective 12-month period ending February 2021 and will also be used to repay the US$250,000 bridging loan (Announcement dated 25 June 2020). As part of the Tranche 2 investment period, TSD plans to complete a further 2,500m RC drilling at Hesdaba, to follow-up on the results reported today, with commencement of that programme anticipated in Q4-2020. During the period, TSD also plans to undertake camp construction at the nearby Assaleyta project and will subsequently complete a Phase 2 drilling programme comprising 2,000 m diamond drilling and 2,000 m RC drilling, to follow-up on the maiden results there. The Company looks forward to providing updates in due course.
For further information on TSD's projects in Djibouti, please see the following page of our website https://orioleresources.com/investments/pandora-assaleyta-hesdaba/
1Note that Oriole has not seen the original laboratory assay certificates related to this data. Oriole also notes that only one variety of Standard Reference Material (of moderate grade) was used during the QAQC checks. As the projects held within TSD are non-core for the Company, Oriole has not produced a Table 1 as required by the JORC Code 2012.
Competent Persons Statement
The information in this release that relates to Exploration Results has been compiled by Claire Bay (VP Exploration and Business Development). Claire Bay (MGeol, CGeol) is a Competent Person as defined in the JORC code and takes responsibility for the release of this information. Claire has reviewed the information in this announcement and confirms that she is not aware of any new information or data that materially affects the information reproduced here.
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Following the publication of this announcement, this inside information is now considered to be in the public domain.
** ENDS **
For further information please visit www.orioleresources.com, @OrioleResources on Twitter,
or contact:
Oriole Resources PLC Tim Livesey / Bob Smeeton / Claire Bay
| Tel: +44 (0)20 7830 9650 |
Blytheweigh (IR/PR contact) Tim Blythe / Megan Ray / Rachael Brooks
| Tel: +44 (0)20 7138 3204 |
Grant Thornton UK LLP Samantha Harrison / Niall McDonald
| Tel: +44 (0)20 7383 5100 |
Shard Capital Partners LLP Damon Heath / Erik Woolgar / Isabella Pierre
| Tel: +44 (0)20 186 9900 |
Notes to Editors:
Oriole Resources PLC is an AIM-listed exploration company, operating West Africa. It is focused on early-stage exploration in Cameroon (Bibemi and Wapouzé projects) and the more advanced Senala gold project in Senegal, where IAMGOLD has the option to spend US$8m to earn a 70% interest. Year two commitments have been met at all three projects. The Company has several interests and royalties in companies operating throughout Africa and Turkey that could deliver future cash flow, and it continues to assess new opportunities in both regions.