African Gold Group, Inc. is pleased to announce that a 10,000 meter drill program has commenced at the Company`s flagship Kobada Gold Project in Southern Mali. The phase 3 program is designed to both increase resources through strike length extension drilling and upgrade certain inferred resources to indicated. The Company continues to focus on advancing the Kobada Gold Project, based upon delivery of its very robust Definitive Feasibility Study (“DFS”) in July 2020 at $1,530/oz gold.
The 2020 work program will focus on the following:
The Kobada Gold Project, based in southern Mali, is AGG’s flagship asset with the potential to produce 100,000oz of gold per annum. The previous drilling campaigns focused on delineating a 2.3 million-ounce resource, and 755,00oz oxide reserve, and only focused on 4km of 30km of shear zones identified on the concession. The upside potential of the Kobada Gold Project will be targeted in a number of phases, with Phase 3 focusing on the conversion of inferred ounces to indicated and measured resources and subsequently into reserves, and targeted drilling along the Kobada shear to extend the strike of the resource.
“The delivery of the robust DFS, demonstrating a project with potential to produce 100,000oz per annum, with highly favourable financial deliverables, was a major milestone in the ongoing development of our flagship, ready for construction, Kobada Gold Project,” comments Danny Callow, Chief Executive Officer and President of AGG. “Despite some of the recent challenges in Mali, we have succeeded in mobilising and commencing exploration drilling. We look forward to re-commencing targeted exploration drilling to bolster the properties significant blue-sky potential by expanding resources and proving the upside potential of what could be a 3 to 5 million ounce deposit.”
AGG awarded the contract to Etasi Drilling, a Malian drilling company, in keeping with the company policy of utilising high-quality local service providers. This partnership has enabled rapid mobilisation of the drilling fleet to site, more than 10km of roads and drill platforms have been prepared, and the company has started drilling.
“We are very keen to advance the exploration drilling on our Kobada Gold Project,” says Dr. Andreas Rompel, Vice President Exploration. “In particular, we are looking forward to new discoveries along the parallel shear which is untested by drilling so far, and to upgrading the oxide resources to get the reserves to over 1 million ounces.”
Extend Strike North Along Continuous Mineralized Zone
Conversion of 575,000 oz Inferred Oxides
Develop Understanding of Gosso Potential Through Drilling
Etasi & Co Drilling SARL (“ETASI”) has been selected to conduct the Phase 3 drilling program at Kobada Gold Project in Southern Mali. ETASI is the successor company to AMCO, who conducted the Company’s Phases 1 and 2 programs during 2019-2020 drilling program. The Company expects a similar high level of productivity by AMCO as demonstrated previously.
About African Gold Group
African Gold Group is a Canadian listed exploration and development company on the TSX Venture Exchange (TSX-V: AGG) with its focus on developing a gold platform in West Africa. Its principal asset is the Kobada Project in southern Mali. For more information regarding African Gold Group visit our website at www.africangoldgroup.com.
The scientific and technical information contained in this press release has been reviewed, prepared and approved by Dr. Andreas Rompel, PhD, Pr. Sci. Nat. (400274/04), FSAIMM, Vice President Exploration of AGG, who is a “Qualified Person” as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) and by Mr. Uwe Engelmann (BSc (Zoo. & Bot.), BSc Hons (Geol.), Pr.Sci.Nat. No. 400058/08, MGSSA), a director of Minxcon (Pty) Ltd and a member of the South African Council for Natural Scientific Professions.
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VP Corporate Development