Sanu acquires Burkina Faso exploration permits
2005-11-01 15:28 ET - News Release
Mr. Michael Winn reports
SANU RESOURCES LTD.: APPOINTMENT OF WEST AFRICAN MANAGER AND BURKINA FASO PROPERTY ACQUISITIONS
Sanu Resources Ltd. has appointed Dr. Salif Napon as exploration manager, West Africa. Dr. Napon brings a wealth of exploration experience in West Africa, including working for Anglo American, Anglogold, Boliden and others.
The company is also pleased to announce several new acquisitions in Burkina Faso, including the signing of an option agreement to purchase the Nyieme exploration permit, and the granting of the Loto and Kodyel exploration permits.
West African manager
Dr. Napon has a doctorate in economic geology from the University of Franche Comte-Besancon. His previous experience includes 11 years (1994 through 2005) as senior geologist for Anglo-American Exploration and Ashanti Anglogold in West Africa, where he was responsible for project generation and management of gold and base metal exploration projects. His early experience as an exploration geologist was with BUMIGEB (Burkina Faso Geological Survey Department), where he worked on the Perkoa massive sulphide discovery, which was the subject of his 1988 PhD thesis. Thereafter, he served as senior geologist for Boliden in Burkina Faso and as a consultant to Outokumpo Oy, as well as other exploration companies. The company welcomes Dr. Napon to Sanu and anticipates that he will significantly expand Sanu's exploration opportunities in West Africa.
Nyieme exploration permit
The company has entered into an option agreement to acquire 100 per cent of the Nyieme exploration permit in Burkina Faso. The Nyieme permit was granted on Oct. 4, 2005, and has a three-year term with the right to renew for an additional three years. The permit is located in the Boromo belt south of the Poura gold deposit and covers 246 square kilometres. The geology consists of metavolcanics and associated metavolcano sediments intruded by granites, with shear zones striking north-south. Artisanal gold workings are located in southeast corner of the permit and a known (unworked) gold occurrence lies in the eastern part of the permit. Soil sampling and an airborne geophysical survey were completed as part of a United Nations' project. The UN program was targeting base metal concepts while soil samples were not assayed for gold. Sanu's work program will include mapping, soil sampling along the major shear zones (400-metre-by-100-metre grid) and rock chip sampling.
Under the terms of the agreement, the company paid $10,000 (U.S.) on signing and is required to make further cash payments totalling $190,000 (U.S.) over a three-year period to maintain its rights. In addition, the company will also issue a total of 175,000 share purchase warrants. Such warrants will be exercisable for a two-year period at market price from the date of issue on or before the first, second and third anniversaries of the agreement. A one-time cash payment will be made one year after commercial operations have been established, and is based on the proven and probable reserves defined in excess of 500,000 ounces and will be calculated at $1.00 (U.S.) per ounce for any ounces between 500,000 and 999,999, $1.50 (U.S.) for any ounces between one million and 1,999,999, and $2.00 (U.S.) per ounce for all ounces over two million ounces. Completion of the transaction is subject to the approval of the TSX Venture Exchange.
Loto exploration permit
The Loto permit was recently granted to Sanu, covers 93 square kilometres and is directly adjacent to the company's Moule gold permit (see news in Stockwatch dated June 6, 2005). The permit has a three-year term, with the right to renew for an additional three years. The geology consists of mafic to intermediate volcanics intruded by granodiorite and gabbro plutons. Reconnaissance sampling by Sanu showed numerous quartz veins and vein swarms in dilational zones in volcanics. Limited rock chip sampling from three areas returned gold values of 21.8 grams per tonne, 3.3 g/t, 1.3 g/t, 0.2 g/t and 0.15 g/t. The previous titleholder performed no work on the licence until it was cancelled by the Burkina Faso government and reissued to Sanu. The work program will include mapping and soil and rock chip sampling.
Kodyel exploration permit
The Kodyel exploration permit was recently granted to Sanu and is located close to the Niger border. The permit has a three-year term, with the right to renew for an additional three years. The geology consists of metavolcanics associated with northeast-striking metasediments strongly affected by northeast-southwest shear zones. Of several artisanal workings, the most significant include Kodyel 1 and CFA, which were previously explored by Semafo Inc. in 1997 and 1998. This work included stream and soil sampling, and RAB, reverse circulation and diamond drilling. Drilling on the Kodyel 1 tested a 2,000-metre-long geochemical anomaly with locally coincident artisanal workings.
Semafo drilled 290 RAB holes at Kodyel 1 and outlined a northwest-dipping, northeast-striking 25-metre-wide zone of gold mineralization extending for 300 metres. The highest gold values appear to correlate with a zone of steeply dipping quartz veins in sheared granites along a diorite intrusive contact. The company is in the process of reviewing all the available data for Kyodel 1 and the other prospects within the permit area.
AI
