African Gold Group, Inc. (“AGG”) is pleased to announce that CME Ghana Ltd. has optioned the Nyankumasi concession from Jelgom Mining Company Limited, on behalf of AGG.
Under the terms of the agreement AGG will make staged cash payments, over 5 years, for a 100% interest in the concession, subject to a 10% royalty interest to the Government of Ghana and a 3% net smelter royalty to Jelgom Mining Company.
- – Located 30 kilometers south-south west of Newmont’s multi-million ounce Akyem Project;
- – Significant gold-in-soil anomalies identified;
- – A total of 72 Reverse Circulation (RC) drill holes indicates several promising zones of gold mineralization.
The Nyankumasi concession covers approximately 71 square kilometers and is situated in the northeastern section of the Ashanti gold belt, approximately 48 kilometers east of AngloGold Ashanti’s Obuasi mine and approximately 30 kilometres south-southwest of Newmont Mining Corporation’s Akyem Project (refer to map).
The property has been the subject of a reconnaissance alluvial program, stream and outcrop sampling, geological mapping, sampling of historical workings, survey grid work, pitting, trenching and RC drilling.
To date, three significant gold-in-soil anomalies have been identified within the concession (refer to map). Approximately 3,135 soil samples have been collected with 107 of those results showing greater than 100 ppb gold with a peak value of 3,820 ppb gold.
The Southern gold-in-soil anomaly is a linear feature with dimensions of approximately 3,500 metres by 400 metres and trends in a northeast-southwest direction. Previous exploration work indicates that this anomaly has gold-in-soil values exceeding 50 ppb gold and is associated with a significant I.P. anomaly.
The Central gold-in-soil anomaly, with dimensions of approximately 1,800 metres by 1,000 metres has a north-south orientation and represents the largest and strongest feature that has been identified to date within the concession. All dimensions of the Central anomaly are enclosed by a 50 ppb gold-in-soil contour.
The Northern gold-in-soil anomaly, which appears to be an extension to the Central anomaly, extends for an additional 1,500 metres. This anomaly has widths up to 1,000 metres and encompasses eight separate gold-in-soil anomalies. The largest of these anomalies has a dimension of 600 metres by 300 metres. Each one of the anomalies are outlined by a 50 ppb gold-in-soil contour.
A complete analysis of all historic drill hole information is pending. Results of interest from a cursory review of the historic drill data include:
- SRC 59 1.15 g/t over 8.0 metres
- SRC 60 0.93 g/t over 12.0 metres
- SRC 62 2.96 g/t over 10.0 metres
- And 10.08 g/t over 2.0 metres
- NRC 11 0.99 g/t over 16.0 metres
- NRC 23 2.18 g/t over 5.0 metres
- And 3.51 g/t over 5.0 metres
Mr. Greg Hawkins, P. Geo., a director of AGG, states that, “We have been chasing this property for a number of years and our initial review of historical data indicates the concession is a very attractive target for further exploration. We are encouraged that RC drilling data indicates there are several promising zones of gold mineralization that have been intersected, with the highest grades of gold found at depth. Our first priority will be compiling and analyzing a very large historical data base as a prelude to the commencement of a Phase 1 exploration program that will likely include diamond and RC drilling.”
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AFRICAN GOLD GROUP INC.
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