Last checked at 17 Sep 2015 07:00
Savannah Resources Plc / Index: AIM / Epic: SAV / Sector: Mining
17 September 2015
Savannah Resources Plc
Salahi 1 Continues to Return High Grade Gold Results
Block 4, Semail Ophiolite Belt, Oman
Savannah Resources plc (AIM: SAV) ('Savannah' or the 'Company') advises that it has identified further high grade gold mineralisation at the Salahi 1 Prospect (Figure 1) at its Block 4 copper-gold project in Oman. The results follow completion of additional rock chipping and trenching as part of the geologically mapping of Block 4. Savannah is earning a 65% shareholding in the Omani company, Al Thuraya LLC, the owner of the Block 4 licence project ('the Project'). To view the press release with the illustrative maps and diagrams please use the following link:
HIGHLIGHTS:
· Block 4 gold potential increased by the identification of further high grade gold mineralisation between the Salahi Main Gossan and Salahi North Prospects (Figure 2)
· Individual grab samples produced results of up to 13.9g/t gold
· Significant trench sampling results include 12m at 11.87g/t gold in SCH16 (previously reported)
· Anomalous gold results have now been identified over 1km along strike, with widths up to 26m and remains open to the north and south providing significant further upside potential
· Additional sampling now being planned to further define the extent of the mineralisation as a precursor to drilling to define the strike and depth extents of the mineralisation
Savannah's CEO, David Archer said, "Further geological mapping and rock chips sampling continues to highlight the significant gold potential of the Salahi 1 prospect. With grades of up to 13.9g/t gold returned from this recent campaign, we remain confident that Block 4 has the potential to host significant gold mineralisation. The large zone of gold mineralisation defined at Salahi 1 has good strike length and width, and importantly remains open along strike to the north and south. The exploration team will continue to sample and conduct geological mapping of the project area in order to determine the most prospective targets for drilling. Importantly, Block 4 is prospective for both gold and copper, so in conjunction with our gold exploration activity, we continue to define the licence's outstanding copper potential. With multi-commodity upside opportunity, a strategic location close to established infrastructure and a defined development path, Block 4 and our wider Omani portfolio represents a strategic investment opportunity and I look forward to the opportunities available to us."
Figure 1. Salahi 1 Project Location Map - see PDF link
http://www.rns-pdf.londonstockexchange.com/rns/2925Z_-2015-9-16.pdf
Rock Chip Channel Sampling Programme
The sampling at Salahi 1 was concentrated on two main areas, the Main Gossan area and the North Gossan, which outcrops about 1km to the north of the Main Gossan.
Salahi 1 North Gossan
Following the trench sampling and surface rock chip samples, that were collected in May and June 2015 (and reported on 5 May and 3 June 2015), a small programme of mapping and sampling was subsequently completed to try and locate the position of gossanous material between the Salahi Main Gossan and the Salahi North Gossan. Several gossanous outcrops were identified and sampled. Ten samples were collected with several elevated values returned with a maximum of 13.9g/t gold.
The mapping and sampling indicated that there is some continuity of the gossanous zones. Further, more detailed mapping is now required to determine the exact mineralised positions prior to drill testing.
Figure 2. Salahi 1 Rockchip and Trench Sampling Location Map - see PDF linkhttp://www.rns-pdf.londonstockexchange.com/rns/2925Z_-2015-9-16.pdf
Competent Person
The information in this document that relates to exploration results is based upon information compiled by Mr Dale Ferguson, Technical Director of Savannah Resources Limited. Mr Ferguson is a Member of the Australian Institute of Mining and Metallurgy (AusIMM) and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the December 2012 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" (JORC Code). Mr Ferguson consents to the inclusion in the report of the matters based upon the information in the form and context in which it appears.
**ENDS**
For further information please visit www.savannahresources.com or contact:
David Archer | Savannah Resources plc | Tel: +44 20 7389 5019 |
Samantha Harrison (Nominated Adviser) Charlie Cryer (Corporate Broker) | RFC Ambrian Limited | Tel: +44 20 3440 6800 |
Felicity Winkles/ Charlotte Heap | St Brides Partners Ltd | Tel: +44 20 7236 1177 |
Notes
Savannah Resources Plc (AIM: SAV) is a growth oriented, multi-commodity, exploration and development company.
It has a 100% shareholding in Matilda Minerals Limitada which operates the Jangamo exploration project. On 31 December 2014 Savannah announced maiden, 65Mt Inferred Mineral Resource @4.2% total heavy minerals ("THM") at a 2.5% cut-off grade for Jangamo The project is located in a world class mineral sands province in Mozambique which borders Rio Tinto's Mutamba deposit, one of two major deposits Rio Tinto has defined in Mozambique, which collectively have an exploration target of 7-12Bn tonnes at 3-4.5% THM (published in 2008).
Savannah has interests in three copper blocks in the highly prospective Semail Ophiolite Belt in Oman. The projects, which have an Indicated and Inferred Mineral Resource of 1.7Mt @ 2.2% copper and high grade intercepts of up to 56.35m at 6.21% Cu, with additional gold upside potential, provide Savannah with an excellent opportunity to potentially evolve into a mid-tier copper and gold producer in a relatively short time frame. Together with its Omani partners, Savannah aims to outline further mineral resources to provide the critical mass for a central operating plant to develop the deposits.
APPENDIX 1
Summary of Anomalous Results from Rock Chipping Programme (>0.1g/t Au, >0.5% Cu, >1% Zn)
Sample | Area | Prospect | East | North | Sample Description | Gold (g/t) | Silver (g/t) | Copper (%) | Zinc (%) | Lead (%) |
GR4031 | Block_4 | Salahi North Gossan | 454076.35 | 2671627.36 | Gossan | 8.199 | 35 | 0.008 | 0.02 | 0.05 |
GR4032 | Block_4 | Salahi North Gossan | 454078.28 | 2671625.69 | Gossan | 0.912 | 0.014 | 0.08 | ||
GR4033 | Block_4 | Salahi North Gossan | 454079.82 | 2671631.45 | Gossan | 5.05 | 33 | 0.027 | 0.18 | 0.02 |
GR4034 | Block_4 | Salahi North Gossan | 454123.09 | 2671253.75 | Gossan | 0.101 | 0.024 | 0.02 | ||
GR4039 | Block_4 | Salahi1 | 454155 | 2671571 | Si Gossan | 5.679 | 11 | 0.014 | 0.07 | 0.02 |
GR4040 | Block_4 | Salahi1 | 454012 | 2671769 | Si Gossan | 13.9 | 60 | 0.002 | 0.05 |
Rock chips were assayed via the following method
· The tested samples were dried at 85°C, crushed and pulverized to 75 μm
· The method for gold analysis was using was fire assay (using 30g samples) with an atomic absorption spectrometry (AAS) finish, which detected gold in the range of 5ppb - 10ppm. A re-assay with gravimetric finish was used with the initial assay detected >10ppm gold (and silver) using a further 30g sample
· The method for copper analysis was a 24 element inductively coupled plasma optical emission spectrometry (ICP-OES) analysis of an Aqua Regia digestx