AfriOre speeds up Akanani drilling; seeks AIM listing
2005-06-01 12:06 ET - News Release
Mr. Alan Friedman reports
AFRIORE ANNOUNCES EXPANSION AND ACCELERATION OF DRILLING PROGRAM ON THE AKANANI PLATINUM PROJECT, SOUTH AFRICA AND PROPOSES LISTING ON LONDON STOCK EXCHANGE'S ALTERNATIVE INVESTMENT MARKET
AfriOre Ltd. is expanding and accelerating the drilling program on its Akanani platinum project in South Africa with the approval of a second phase of drilling. In addition, the company intends to apply for the admission of its common shares to trade on the Alternative Investment Market of the London Stock Exchange (AIM).
AfriOre commenced drilling its first phase, 13,000-metre, nine-hole drilling program on the project in November, 2004 (refer to AfriOre news issued in Stockwatch dated Nov. 18, 2004). Seven of the nine planned drill holes have been completed to date. The remaining two holes are in progress and will be completed during June, 2005. The first drilling phase was aimed at testing the depth, width, grade and continuity of the Platreef pyroxenite unit along a 6.5-kilometre strike length at the eastern boundary of the project area at an interhole spacing of between approximately 500 to 1,000 metres. This boundary adjoins and is situated down dip from Anglo American Platinum Corp.'s open-pit operations at its Potgietersrust mine.
Analytical results have been received for five of AfriOre's drill holes, ZF1 to ZF4 and MO2 (see AfriOre news issued in Stockwatch dated March 31, April 18, May 4 and May 30, 2005). In addition, the results are known for a historical drill hole MO1, drilled in 1980 (see AfriOre news issued in Stockwatch dated Nov. 18, 2004). Consolidated results of the first drilling phase will be issued in July, when all the analytical results from the holes drilled on the property are available.
To date, the drilling program has yielded very positive results along a total strike length of six kilometres between drill holes ZF1 and MO1 along the eastern boundary of the project area. Down-the-hole depths to the top of the Platreef unit are between 886 and 1,433 metres, and every drill hole has encountered multiple, well mineralized zones within the Platreef, with good to excellent platinum group metal, nickel and copper grades over substantial widths. The results support the probable continuity of mineralization along this strike length as well as down-dip for distances of up to 2,000 metres from outcrop position in the current and planned open pits on the adjoining Potgietersrust mine property. It is anticipated that the Platreef mineralization extends still farther down-dip to the west and this will be drilled during the next phase.
AfriOre and the other directors of Akanani Mining have approved the commencement of the second phase of drilling, which is aimed at confirming the strike continuity of the Platreef mineralization along the eastern boundary of the project area, establishing down-dip continuity of the Platreef to depths of between 1,500 and 2,000 metres below surface, and determining an inferred resource for the Platreef mineralization in this eastern part of project area.
This second phase program will comprise 17 drill holes, totalling approximately 31,000 metres. These are designed to infill the drill hole pattern with four holes along the current 6.5 kilometres of the eastern property boundary to approximately 500-metre spacing; to drill a second tier of 10 holes to intersect the Platreef unit at vertical depths of between 1,500 and 1,800 metres; and to drill a third tier of three holes in the southern part of the property to intersect at depths of approximately 2,000 metres. Preliminary scoping studies will also be carried out.
Two additional drill rigs will be commissioned within the next month, bringing the number of drilling rigs to a total of six. It is anticipated that the program will be completed in the middle of 2006 at a total cost of approximately 23 million rand ($4.4-million (Canadian)).
AfriOre is also pleased to announce that it intends to apply for the admission of its common shares to trading on the AIM. The AIM listing will be in addition to the current listing of its common shares on the Toronto Stock Exchange under the symbol "AFO." AfriOre is considering undertaking a small private placement in conjunction with the listing application, subject to receipt of applicable regulatory approval.
