Last checked at 16 Oct 2014 13:30
Stratex International Plc / Index: AIM / Epic: STI / Sector: Mining
Stratex International Plc
('Stratex' or 'The Company')
Summary of the 2014 Drilling Programme at Tembo Gold Project Announced -
Strategic Review Process Commences
Stratex International Plc, the AIM-quoted exploration and development company, is pleased to report that Tembo Gold Corporation (TSXV: TEM), has today announced completion of the 2014 drilling programme on the Tembo Gold Project ("Tembo" or "the Project"), a summary of the results of this drilling, and commencement of a strategic review of the results to date, on how to move the corporation forward and planning of further financing initiatives.
The 100 sq km Tembo licence area is located in the north-west of the country within the highly prospective Lake Victoria Goldfield, and is adjacent to the Bulyanhulu Mine. Stratex currently holds a 12.89% stake in Tembo Gold Corporation, plus matching warrants, and Dr Bob Foster is a director.
Highlights of the 2014 Drilling Programme:
· 2014 diamond-drilling programme comprised twenty-seven drill holes totaling 6,843m;
· Drilling conducted on five targets, Ngula 1, Buly Trend, Ngula 2, Nyakagwe Village and Nyakagwe East;
· Follow-up deep drilling at Ngula 1 failed to intersect significant mineralization along strike and down dip of drill hole TDD0041;
· Drilling beneath the artisanal workings along the Buly trend intersected a very wide zone of shear deformation with local abundant veining but limited gold mineralization;
· No significant structures or mineralization were encountered in the drill holes to test the IP anomaly along the Buly trend at Ngula 2 target;
· Notable intersections achieved at Nyakagwe East and Nyakagwe Village where the drilling continued to intersect significant gold grades and extend known mineralized structures;
· Nyakagwe Village target has returned further narrow high-grade and, importantly, shallow wide low-grade intersections;
· Newly discovered well-mineralized northeast-trending structure at Nyakagwe Village confirms the numerous structures interpreted from airborne magnetics across Tembo's licence area with this orientation could potentially host gold mineralization;
· East-west and northeast structural intersections potentially host shallow wide mineralization;
· Nyakagwe East returned significant intersections at depth, enhancing its potential;
· The mineralized structures intersected at both Nyakagwe Village and Nyakagwe East remain open along strike in both directions and at depth;
· Wide zones of shear deformation with associated abundant veining and minor gold mineralization were intersected along the Buly Trend;
· Drilling once again returned promising results, further underlining the potential of the Tembo project; the best results included:
o NYAKAGWE EAST
§ TDD0056: 4.42 g/t Au over 2.60 m from 130.60 m incl. 10.57 g/t Au over 1.00 m;
§ TDD007: 8.44 g/t Au over 1.30 m from 99.90 m, incl. 25.00 g/t Au over 0.42 m;
§ TDD0074: 6.55 g/t Au over 7.46 m from 370.46 m.
o NYAKAGWE VILLAGE
§ TDD0071: 9.64 g/t Au over 3.95 m from 85.25 m, incl. 24.72 g/t Au over 1.45 m;
§ TDD0103: 15.10 g/t Au over 1.00 m from 54.00 m;
§ TDD0112: 3.49 g/t over 4.98 m from 65.12 m;
§ TDD0111: 35.14 g/t Au over 2.45 m incl. 167 g/t Au over 0.50 m from 53.35 m;
§ TDD0115: 2.74 g/t Au over 8.50 m from 53.00 m including 7.73 g/t Au over 1.00 m, 3.43 g/t over 1.40 m and 4.04 g/t over 2.00 m; and 2.04 g/t Au over 9.00 m from 69.00 m including 2.89 m over 4.80 m.
· The 2014 drilling programme has been suspended pending further data review, structural interpretation and planning, and further financing activities.
Tembo Gold Corporation Corporate Strategy
Drilling on the Project has been suspended to allow an ongoing data review and a strategic corporate strategy review to be completed. During this drilling hiatus, the corporation is conducting a strategic review to identify the optimum path to follow to ensure the future of Tembo and to optimize shareholder value under difficult market circumstances. A number of alternatives, including small-to-medium scale production, further financing for exploration activities, corporate merger and project joint venture, will be considered. All possibilities will be carefully considered and evaluated. As a consequence of the poor market conditions further private placement and public financings result in poor company valuations and excessive shareholder dilution. Small-medium-scale gold production is one potential means to avoid this while these conditions prevail. This would require definition of a resource through close-spaced drilling and the Ngula 1, Nyakagwe East and Nyakagwe Village targets will initially be considered for this, as they present the most likely opportunities for small open pit mine development. It is envisaged that limited additional RC resource drilling would be required. Discussions have commenced with resource modelling specialists, mining and processing consultants, plant manufacturers and operators and contract mining groups so conceptual design parameters and cost structures can be assessed.
QA/QC
A stringent QA/QC practice is being applied to all sample batches. A Verified Reference Material standard is inserted every 20th sample, a known blank or blank standard every 20th sample and all samples with assays greater than 0.5 g/t Au are re-assayed. 1% of all samples are submitted to an alternative laboratory for check analysis. In addition the laboratory adheres to an internal QA/QC procedure including standard samples and repeats and blanks inserted independently.
The above information has been prepared under the supervision of David Scott, Pr. Sci. Nat., who is designated as a "Qualified Person" with the ability and authority to verify the authenticity and validity of the data.
Notes to the above drill results:
1. Widths represent drill intersection widths not corrected for drill hole inclination and dip of the geological zone. True widths have not been determined.
2. Drill holes have not been drilled in numerical sequence and not all drill holes in a sequence have necessarily been drilled. Drill hole numbers represent the original drill hole identification assigned when planned.
3. No capping of high-grade values has been applied to the assay results.
Further details, including full drill results, are set out in Tembo Gold Corporation's press releases that can be accessed on their SEDAR profile at www.sedar.com and on the Tembo web site at http://www.tembogold.com/ .
* * ENDS * *
For further information please visit www.stratexinternational.com, email info@stratexplc.com, or contact:
Stratex International Plc | Tel: +44 (0)20 7830 9650 |
Bob Foster / Christopher Hall / Claire Bay | |
Grant Thornton UK LLP | Tel: +44 (0)20 7383 5100 |
Philip Secrett / Melanie Frean / Jen Clarke | |
Northland Capital Partners Limited | Tel: +44 (0)20 7382 1100 |
Gavin Burnell / Matthew Johnson / Alice Lane /John Howes | |
SP Angel Corporate Finance LLP | Tel: +44 (0)20 3463 2260 |
Ewan Leggat / Tercel Moore | |
Yellow Jersey PR Limited | Tel: +44 (0)20 3664 4087 |
Dominic Barretto / Philip Ranger / Anna Legge | |
Notes to editors:
Stratex International is a well-funded AIM-quoted exploration and development company focussed on gold and high-value base metals in Turkey, East Africa and West Africa. Since listing on AIM in 2006, Stratex has had an impressive track record of successful exploration supported by joint-venture partnerships, both with major international mining companies and local companies to maximise the potential of its discoveries.
In December 2012 the Company announced the sale of its 30% interest in the Öksüt gold project for cash of 20 times its original US$1 million investment and retained a royalty of 1% up to a maximum additional value of US$20 million.
To date Stratex has discovered more than 2.2 million ounces of gold and 7.9 million ounces of silver, as well as 186,000 tonnes of copper. The Company has a robust cash balance and is therefore well-placed to advance its existing exploration programmes and is also actively seeking to acquire advanced projects that are at the drill-ready stage or even have identified resources, particularly in East Africa and West Africa.