AKOBO MINERALS – Announces encouraging Maiden Mineral Resource Estimate at Segele
Inferred Mineral Resource of 78 Kilotons at 20,9g/t gold above a cut-off of 0,5g/t gold, equal to 52.410 oz of gold.
Table 1: Segele Gold Deposit Mineral Resources as at 6 April 2021
|Classification||Cut-off (Au g/t)||K tons||Au (g/t)||Au Ounces|
After drilling only 3.160m over seven months at Segele achieving an Inferred Mineral Resource of 78 kilotons at 20,9g/t gold, equal to 52.410 oz of gold, is a very encouraging first result on the way to reaching the company goal to uncover the potential of the area. The current drilled area is no larger than 30m wide by 120m long, and the majority of the mineralisation is located near to the surface. The deposit has excellent exploration potential because it is open at depth, and there are additional targets to the East and West. Given the high-grade, there is an opportunity to establish a high margin mining operation.
The geological modelling by SRK has interpreted that the drilling intersected a series of stacked lenses within the current drilled area. The current model also indicates good potential for additional mineralization to be found immediately East, West and below the area covered by this resource estimate. Akobo Minerals is currently planning to ramp up its drilling program and expects to expand on this resource considerably.
Given that typical mineable grades of gold deposits are generally less than 4g/t gold, the impressive grade of 20,9 g/t gold supports the view that a high-revenue, moderate-cash cost operation is viable at Segele. The ongoing study of the license area from the high-grade Segele deposit to the Joru targets suggests a significant potential over the 15km strike length.
|Gold targets in the 182km2 Akobo Project Licence Area.||The Segele Deposit drilling covering only 3.600m2.|
According to the World Gold Council, larger and better-quality underground mines contain around 8 to 10 g/t gold, while marginal underground mines average around 4 to 6 g/t gold. Open-pit mines usually range from 1 to 4 g/t gold, but can still be highly valuable. To illustrate, Kirkland Lake Gold’s Fosterville Mine in Australia had the most impressive grade with 24,9 g/t gold of milled ore in 2018. Combined with a cash cost of 231 USD/ozt, Fosterville is one of the world’s most remarkable underground gold mines.
CEO of Akobo Minerals Jørgen Evjen has this to say;
“We are of course very proud that our internal systems and QAQC processes have been validated by SRK, but even more that we within this first defined area of only 3.600m2 have already discovered 52.410 oz of gold at an average grade of 20,9 g/t. Given the near surface location and host structure of the gold, we expect that this area is easily mineable at a moderate cash cost and with limited up-front investment. Segele alone has a great potential for an early positive operational cash flow and we are driving forward to discover more such deposits nearby and further afield in our license area. We will initiate a Scoping study to uncover the operating cost and investment for exploiting the mineralisation. “
The Segele gold target was first discovered by Akobo Minerals geologists and previous assays from core-drilling have demonstrated a gold zone where the gold is predominantly present as large grains which are often easily visible to the naked eye (coarse-gold type mineralization).
The full press release can be downloaded here;
See previous press releases and investor presentations for more details. For further Information visit: www.akobominerals.com.
For more information contact:
Jørgen Evjen, CEO
Mob.: (+47) 92 80 40 14
Competent Person for Mineral Resources
The information in this press release that relates to Mineral Resources is based on information compiled by Mr Michael Lowry who is a member of the Australasian Institute of Mining and Metallurgy and is a full-time employee of SRK Consulting (Australasia) Pty Ltd. Mr Lowry 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 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Lowry consents to the inclusion in the report of the matters based upon his information and context in which it appears.
About Akobo Minerals:
Akobo Minerals, a Norway-based gold exploration company, currently with ongoing exploration in the Akobo region in southwest Ethiopia through its wholly owned Ethiopian subsidiary Etno Mining Plc. The operations were established in 2009 by people with long experience from the public mining sector in Ethiopia and from the Norwegian oil service industry. Akobo Minerals holds an exploration license over key targets in the area. To date placer production and exploration work have outlined alluvial gold resources, and our team of geologists have worked extensively over the last 11 years to identify several potential primary gold targets. The drilling program initiated at the end of 2019 and continued through 2020 has so far shown exceptionally high-grade gold results.
This release is not for publication or distribution, directly or indirectly, in or into Australia, Canada, Japan, the United States or any other jurisdictions where it would be illegal. It is issued for information purposes only and does not constitute or form part of any offer or solicitation to purchase or subscribe for securities, in the United States or in any other jurisdiction. The securities referred to herein have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”), and may not be offered or sold in the United States absent registration or pursuant to an exemption from registration under the U.S. Securities Act. Akobo Minerals does not intend to register any portion of the offering of the securities in the United States or to conduct a public offering of the securities in the United States. Copies of this publication are not being, and may not be, distributed or sent into Australia, Canada, Japan or the United States.