VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 08/18/10 -- Serengeti Resources Inc. (TSX VENTURE: SIR)(FRANKFURT: 34S) today announced results from the next 12 holes of a major drill campaign recently completed at the Kwanika copper-gold project in the Quesnel Trough of north-central British Columbia.
The 2010 Kwanika drill program was completed in early August and comprised 7,600 meters of drilling in 28 holes, utilizing two drills. The program was carried out more quickly than anticipated and this will result in a significant cost savingof approximately $800,000. Twelve holes are reported in the current release and 3 holes were previously released (see NR2010-09 dated July 22, 2010). The balance of the results will be released when they become available.
The objective of the 2010 drill program is to expand the existing resource at the South Zone. The most recent drill holes were widely separated and tested both the eastern and western sides of the South Zone along two kilometers of strike length. Drill sections and a 3D model can be viewed at www.corebox.net or by following a link on the company's website at www.serengetiresources.com. A property map showing hole locations can be viewed at the following link: http://media3.marketwire.com/docs/sir0818m.pdf.
'Approximately 75% of this year's drilling was done outside of the previously estimated South Zone resource block and will likely result in an expansion of the mineralized envelope, albeit at a generally lower grade than in some of the holes drilled in the zone last year,' said President and CEO, David W. Moore.
--------------------------------------------------------------------------
Kwanika Drill Holes K-10-144 to K-10-152, K-10-155, K-10-156, K-10-158
Significant Results
--------------------------------------------------------------------------
Inter- Copper Orien-
From To val Copper Gold Silver Moly Eq(i) tation
Hole (m) (m) (m) % g/t g/t % % (dip/az)
--------------------------------------------------------------------------
K-144 56.0 82.0 26.0 0.08 0.19 0.7 0.001 0.21 -50
---------------------------------------------------------- degrees
98.0 106.0 8.0 0.10 0.05 1.1 0.013 0.23 /090
degrees
--------------------------------------------------------------------------
K-145 153.0 224.0 71.0 0.17 0.08 1.1 0.002 0.24 -68
---------------------------------------------------------- degrees
Incl. 153.0 165.0 12.0 0.29 0.14 1.7 0.001 0.40 /098
degrees
--------------------------------------------------------------------------
K-146 72.0 346.0 274.0 0.18 0.06 1.6 0.004 0.26 -51
---------------------------------------------------------- degrees
Incl. 116.0 172.0 56.0 0.22 0.11 2.8 0.002 0.33 /095
---------------------------------------------------------- degrees
And 204.0 286.0 82.0 0.22 0.06 1.6 0.007 0.32
----------------------------------------------------------
400.0 428.0 28.0 0.27 0.01 2.1 0.005 0.34
--------------------------------------------------------------------------
K-147 24.4 43.0 18.6 0.13 0.06 1.1 0.014 0.27 -90
---------------------------------------------------------- degrees
71.0 81.0 10.0 0.10 0.02 0.8 0.014 0.22
--------------------------------------------------------------------------
K-148 105.0 364.0 259.0 0.15 0.11 1.6 0.005 0.26 -90
---------------------------------------------------------- degrees
Incl. 128.0 148.2 20.2 0.22 0.21 4.4 0.003 0.40
----------------------------------------------------------
Incl. 144.0 148.2 4.2 0.37 0.75 14.3 0.002 0.97
----------------------------------------------------------
And 252.0 302.0 50.0 0.20 0.10 1.4 0.011 0.35
--------------------------------------------------------------------------
K-149 141.0 186.0 45.0 0.08 0.03 0.9 0.003 0.13 -55
degrees
/270
degrees
--------------------------------------------------------------------------
K-150 26.0 135.0 109.0 0.12 0.07 1.1 0.002 0.18 -50
---------------------------------------------------------- degrees
Incl. 53.6 63.5 9.9 0.26 0.15 3.6 0.005 0.41 /270
---------------------------------------------------------- degrees
250.0 355.4 105.4 0.12 0.15 1.3 0.002 0.23
----------------------------------------------------------
Incl. 268.0 291.0 23.0 0.18 0.39 1.9 0.001 0.44
--------------------------------------------------------------------------
K-151 90.0 92.0 2.0 0.05 12.7 3.8 0.001 7.5 -65
----------------------------------------------------------- degrees
160.0 170.0 10.0 0.05 0.14 2.8 0.000 0.16 /260
----------------------------------------------------------- degrees
272.0 346.0 74.0 0.16 0.18 2.2 0.003 0.30
-----------------------------------------------------------
Incl. 292.2 304.0 11.8 0.16 0.46 5.0 0.001 0.48
-----------------------------------------------------------
And 324.2 346.0 21.8 0.33 0.25 3.0 0.004 0.54
--------------------------------------------------------------------------
K-152 222.0 226.0 4.0 0.09 1.97 4.3 0.001 1.29 -77
----------------------------------------------------------- degrees
252.0 267.0 15.0 0.07 0.26 1.6 0.001 0.24 /100
degrees
--------------------------------------------------------------------------
K-155 9.0 13.0 4.0 0.18 0.03 0.4 0.045 0.50 -47
----------------------------------------------------------- degrees
93.0 125.7 32.7 0.23 0.06 2.0 0.007 0.33 /090
degrees
--------------------------------------------------------------------------
K-156 27.0 41.2 14.2 0.14 0.11 1.5 0.002 0.23 -70
----------------------------------------------------------- degrees
51.0 154.0 103.0 0.16 0.06 1.5 0.004 0.24 /270
degrees
--------------------------------------------------------------------------
K-158 45.7 65.0 19.3 0.24 0.02 1.7 0.009 0.33 -70
degrees
/270
degrees
--------------------------------------------------------------------------
(i) Copper-equivalent calculation uses metal prices of US$1.75/lb for
copper, US$12/lb for molybdenum, US$700/oz for gold and US$12.50/oz for
silver and assumes metallurgical recoveries and net smelter returns of
100%. Copper (Cu) EQ = Cu% + (Mo% x 12/1.75) + (Au g/t x 12.86/22.06) +
(Ag g/t x 0.23/22.06)
The Company's previously reported NI 43-101 compliant resources, combining the South and Central Zones, total 1.1 billion pounds of copper and 1.6 million ounces of gold in the Indicated Resource category, plus 1.0 billion pounds of copper and 0.5 million ounces of gold in the Inferred Resource category, all estimated at a 0.25% copper equivalent cut-off grade (see following table). Upon receipt of all the results from this summer's drill program at Kwanika, the Company will update the Resource Estimate.
Kwanika Mineral Resources
----------------------------------------------------------------------------
Tonnage
Zone Category CuEq % Cut-off Mt Cu % Au g/t Ag g/t Mo % CuEq %
----------------------------------------------------------------------------
Central Indicated 0.40 75.1 0.41 0.42 - - 0.69
---------------------------------------------------------
0.25 182.6 0.29 0.28 - - 0.47
-------------------------------------------------------------------
Inferred 0.25 28.5 0.19 0.20 - - 0.32
----------------------------------------------------------------------------
South Inferred 0.40 62.2 0.41 0.09 2.25 0.014 0.59
---------------------------------------------------------
0.25 129.1 0.30 0.09 1.76 0.010 0.45
----------------------------------------------------------------------------
Note 1: Copper equivalent calculation uses the following USD metal prices;
copper, $2.00/lb; gold, $900/oz; molybdenum, $15/lb; silver, $12/oz;
and makes no provision for metallurgical recoveries and net smelter
returns. CuEq = Cu % +(Mo% x 15/2.00) +(Au g/t x (900/31.1/2.00)
/ 22.06) + (Ag g/t x (12/31.1/2.00)/22.06) The base case cut-off
used for the Mineral Resources was 0.25% CuEq which is comparable
to other porphyry copper open-pit deposits in BC.
About Serengeti
Serengeti is a mineral exploration company managed by an experienced team of professionals with a solid track record of exploration success. The Company is currently advancing its Kwanika copper-gold project, exploring its extensive portfolio of properties in the highly prospective Quesnel Trough of British Columbia and has initiated exploration for gold-silver deposits in Mexico. Additional information on Serengeti's projects can be found on the Company's website at www.serengetiresources.com. Serengeti is well funded to advance its projects with a current working capital position of approximately $6.5 million which includes $2.9 million receivable from the B.C. government's METC program. Serengeti has 46.2 million shares issued and outstanding and 51.5 million shares on a fully diluted basis.
Quality Assurance/Quality Control
Sample analysis for the current program was completed at Acme Analytical Laboratories Ltd in Vancouver, BC. A comprehensive quality assurance/quality control program including duplicate samples, blanks and standards form part of the sampling protocol in addition to the laboratory's own quality assurance program. The field program was supervised by Serengeti Resources Inc. staff and the technical information in this news release has been prepared in accordance with Canadian regulatory requirements as set out in National Instrument 43-101, and reviewed by the Company's qualified person, David W. Moore, P. Geo., President and CEO of Serengeti Resources Inc.
Cautionary Statement
This document contains 'forward-looking statements' within the meaning of applicable Canadian securities regulations. All statements other than statements of historical fact herein, including, without limitation, statements regarding exploration plans and other future plans and objectives, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and future events and actual results could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from our expectations are disclosed in the Company's documents filed from time to time via SEDAR with the Canadian regulatory agencies to whose policies we are bound.
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Serengeti Resources Inc.
Martti Kangas
Investor Relations
647-521-9261
mkangas@proconsulcapital.com
Serengeti Resources Inc.
604-605-1300
www.serengetiresources.com
