TORONTO, Oct. 12, 2021 - African Gold Group Inc. (TSX-V: AGG, OTC: AGGFF, FRA: 3A61) ("AGG" or the "Company") is pleased to announce that the Kobada-Est exploration permit has been renewed and extended for a period of three years (expiration on 06 October 2024) by the Ministry of Mines of the Republic of Mali.
Kobada-Est exploration permit covers an area of 7,700 hectares and forms part of the Kobada Gold Project`s (the "Project" or "Kobada") highly prospective contiguous exploration and mining permits, totalling 25,770 hectares in the southern Mali. Past historical drilling programs, geophysics and soil geochemistry have identified mineralized shear zones that represent an opportunity to expand the resource base for the Kobada project.
- AGG will host live investor webinar on Tuesday, October 12th at 12:00 pm (EDT) / 9:00 am (PDT).
- The government of Mali has renewed Kobada-Est exploration permit until October 2024
- Further potential to convert portions of the 55 km of identified shear zones based upon initial results into additional resources
- Historical artisanal workings indicate strong SW-NE trend along known shear zones into the Kobada-Est exploration permit
- Initial trenching results (July 30th 2021, have returned a 22 m wide mineralised zone @ 1.1 g/t or 16 m @ 1.4 g/t)
- Further trenching work ongoing along the Kobada-Est shear zone
Danny Callow, CEO of African Gold Group, commented:
"The renewal of the Kobada-Est permit opens up highly prospective exploration rights which have already shown very positive gold mineralisation anomalies through regional exploration techniques. The recent renewal of our Faraba permit in September 2021, consolidates our ownership of the full 25,000 hectares of highly prospective ground, which includes our 3.1 million ounce total resource, and 1.25 million ounce reserve on our Kobada mining permit, in only 4 km of strike. We have consistently outlined the significant upside potential at our contiguous permits and the renewal of these permit opens up the opportunity to increase the size of the overall resource. There is no doubt that there remains substantial upside to these numbers, as we continue to explore and develop these permitted exploration areas."
The Kobada-Est exploration permit is a part of a group of permits located on the western flank of the Bougouni basin covering an area of 7,700 hectares. The shear zones discovered in the Kobada-Est concession form a part of the combined 55 km shear strikes, identified across the three concessions from previous geophysics and soil geochemistry.
The company recently announced the renewal of its Faraba exploration permit (see press release as of September 22nd, 2021) for a further three years.
Recent trenching undertaken at Kobada-Est (see press release as of September 14th, 2021) highlighted positive results for gold mineralisation. The three trenches, which total 260 m, were excavated in or just east of the delineated Kobada-Est shear zone as defined by the recent reinterpretation of the previous geophysics. Two of the three trenches intersected mineralisation in varying degrees. Trench three, the trench interpreted to be located in the Kobada-Est Shear zone had the best mineralisation. The trench was 30 m in length of which 22 m was mineralised. The grade over the mineralised width was 1.4 g/t over 16 m or 1.1 g/t over 22 m. Trench two, which is believed to be located just east of the shear, was also mineralised but the mineralisation zone was narrow and associated with single veins. The trenches were sighted based on artisanal mining pits, geophysics and soil geochemical anomalies.
The extension of the exploration permit will allow the Company to proceed with the development of new and extended open pit opportunities at Kobada-Est. Successful exploration of these potential shear zones may lead to the extension of Kobada Gold Project`s mine life.
The Company continues to seek out additional opportunities through organic growth and exploration. Development of the Kobada-Est exploration permit and expansion of the existing resource at Kobada permit are among several organic growth projects in Company`s pipeline. The Company believes that progressing organic growth is key to delivering shareholder value over the long-term, and the receipt of consents at Kobada-Est is another step along a critical path to achieving this goal.
The upside potential for the Kobada, over and above the current mineral resource of the Project set out in the NI 43-101 technical report of the Company titled "NI 43-101 Technical Report on Kobada Gold Project in Mali" with an effective date of June 17, 2020 (the "2020 DFS"), lies within the various target shear zones, an estimated 55 km strike, that have been identified by the previous exploration activities. The current mineral resource for the Project area is limited to a portion of the main Kobada shear which has been interpreted to extend into the Faraba permit north of Kobada, as the Foroko North shear, as shown in the figure below.
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/bfae4825-3118-45ef-9c84-dbf74fe3f8b2
To date however, limited exploration has been completed on the Kobada-Est permit area as the focus has been on upgrading and increasing the Kobada mineral resource and exploratory drilling at the Gosso target. As part of its ongoing, and dynamic exploration programme, additional work will be carried out in 2022 to improve the understanding of the shear zone extensions into the Kobada-Est deposit.
Investor Live Webinar
The Company would like to invite shareholders to join CEO, Danny Callow for a live webinar discussing recently updated definitive feasibility study for its Kobada Gold Project.
The investor webinar will take place on Tuesday, October 12th at 12:00 pm (EDT) / 9:00 am (PDT). Management will be available to answer written questions following the presentation. Online registration and participation details may be found at the following link:
About African Gold Group
African Gold Group is a TSX Venture Exchange (TSX-V: AGG) listed exploration and development company with a focus on building Africa's next mid-tier gold producer. The Company has a highly experienced board and management team with a proven track record in the African mining sector operating mines from development through to production. AGG's principal asset is the Kobada Project in southern Mali, which is in an advanced stage of development having completed the 2020 definitive feasibility study and is targeting gold production of 100,000 oz per annum. As well as the initial Kobada Gold Project, other exploration locations have been identified on the Kobada, Farada and Kobada Est concessions, offering potential for an increase in resource. For more information regarding African Gold Group visit our website at www.africangoldgroup.com.
For more information:
|Danny Callow |
President and Chief Executive Officer
+ (27) 76 411 3803
|Daniyal Baizak |
Vice President, Corporate Development
+1 (647) 835 9617
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|Scott Eldridge |
Non-Executive Chairman of the Board
+1 (604) 722 5381
|Camarco (Financial PR) |
Gordon Poole / Nick Hennis
+44 (0) 20 3757 4997
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This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements regarding, the renewal of the Faraba permit and the exploration plans of the Company. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of AGG to be materially different from those expressed or implied by such forward-looking information, including but not limited to: receipt of necessary approvals; impact of the COVID-19 pandemic; general business, economic, competitive, political and social uncertainties; future prices of mineral prices; accidents, labour disputes and shortages and other risks of the mining industry. Although AGG has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. AGG does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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