AusQuest Limited (ASX: AQD)
ASX/Media Release June 21, 2010
BEDROCK GOLD MINERALISATION CONFIRMED AT THE FIRST TARGET DRILLED IN BURKINA FASO
RC DRILLING PROGRAM CONTINUES IN BURKINA FASO, WEST AFRICA
AusQuest Limited (ASX: AQD) is pleased to report that the Comoe JV has received encouraging results from initial drilling at the Phaco Hill prospect in Burkina Faso, West Africa, with the first assay results confirming the presence of bedrock gold mineralisation.
Phaco Hill is the first of multiple gold prospects to be tested by a recently commenced 10,000 metre Reverse Circulation (RC) drilling program under AusQuest?s recently established Comoe Joint Venture with Etruscan Resources Bermuda Ltd (see ASX Release on 6th April 2010 for details), in the highly prospective Banfora Greenstone Belt of Burkina Faso.
Initial assay results received from four of the planned 80 drill-holes returned intersections of 26m @ 1.26g/t Au, 4m @ 1.87g/t Au and 1m @ 3.93g/t Au from separate holes drilled on sections 250 metres apart at the Phaco Hill prospect. Base metal and silver assays for these holes are pending along with gold results for the bulk of the holes completed to date.
The drilling program is continuing with a total of ~30 holes for 3,500m so far completed at four prospects (Phaco Hill, Siniko West, Siniko Central, and Baboro). The targets include highly anomalous gold (>100ppb Au) in soils and weathered bedrock (saprolite), as well as extensive (>1km) artisanal gold workings that have not been previously drill tested.
The gold mineralisation at Phaco Hill occurs within a highly altered schist containing variable amounts of kyanite, silica and sulphide mineralisation. The 1 metre assay of 3.93g/t gold is associated with massive sphalerite mineralisation (a zinc sulphide), highlighting the potential for gold and base metals within the area. High silver values (1 to 23g/t Ag) reported from surface rock chip sampling at Phaco Hill also support this possibility. Compilation and assessment of data is ongoing.
The drill rig is currently moving to the Diarabokoko prospect, where the Joint Venture plans to drill several sections beneath artisanal gold workings. Initial reconnaissance drilling of other prospects within the Comoe Joint Venture area may need to be deferred once this drilling is completed due to the onset of summer rains.
The initial drill program is reconnaissance in nature with one or two drill sections being completed across each of the selected gold targets to provide critical information on the underlying geology and controls on mineralisation, which is essential for effective planning of future drilling campaigns.
Detailed aeromagnetic/radiometric surveys have also been completed over each of the tenements with final processed data due to be delivered before the end of June. These data will also help to set priorities for future drilling campaigns.
The Board of AusQuest is excited about its prospects in West Africa and is pleased that initial drilling results have provided the Comoe JV with encouragement at the Phaco Hill prospect. The Company looks forward to reporting further results from this drilling as they become available.
Graeme Drew
Managing Director
COMPETENT PERSON?S STATEMENT
The details contained in this report that pertain to exploration results are based upon information compiled by Mr Graeme Drew, a full-time employee of AusQuest Limited. Mr Drew is a Fellow of the Australasian Institute of Mining and Metallurgy (AUSIMM) and has sufficient experience in the activity which he is undertaking to qualify as a Competent Person as defined in the December 2004 edition of the ?Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves? (JORC Code). Mr Drew consents to the inclusion in the report of the matters based upon his information in the form and context in which it appears.
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