Update on BAM East Gold Prospect

RNS Number : 8198I

Landore Resources Limited

05 September 2016

 

LANDORE RESOURCES LIMITED

(AIM Ticker: LND.L)

 

 

DRILLING PROGRESS REPORT

BAM EAST GOLD PROSPECT

JUNIOR LAKE PROPERTY

London, United Kingdom - September-5th 2016 - Landore Resources Limited (AIM:LND) ("Landore Resources" or "the Company") is pleased to provide this progress report on extension drilling of the BAM East Gold prospect on its Junior Lake Property, Ontario, Canada ("BAM East Gold Prospect").

The summer drilling campaign is now complete. In total, 22 NQ diamond drill holes (0416-524 to 0416-545), for 4,077 metres (m), have been drilled to test the east, west and down dip extensions of the new gold zone. To date results have been received for the first 12 drill holes.

Highlights:

·     Drilling results continue to report wide zones of gold mineralisation including high grade intersections with drill-hole 0416-535 reporting 53.50 metres (m) at 1.38 grams/tonne gold (g/t) including 9.00m at 4.74g/t gold and 1.00m at 30.60g/t gold.

·     Additional sampling within the adjacent leucogabbro rock has significantly extended the mineralisation in the previously reported drill-hole 0416-525 from 24.5m at 0.98g/t gold to 40.5 m at 1.32g/t gold.

·     Visible Gold: 20 of the 28 holes so far drilled into the Bam East Gold Prospect have multiple instances of visible gold (VG) up to 2 millimeters long occurring as singular pieces or in clusters contained in or adjacent to quartz veinlets.

·     Drilling has now confirmed BAM East Gold Prospect lithology to 500m along strike and up to 150m down dip. The prospect remains open to the east and west and down dip.

Consulting Engineers RPA Inc. (RPA) of Toronto, Canada, have been retained by Landore Resources with the view of completing an initial Mineral Resource estimate on the Bam East Gold prospect. A site visit was completed in early August to review the drilling and geology of the prospect.

The wide gold mineralisation, close to surface, has potential for the initial development to be progressed as a low cost, bulk tonnage, open pit operation. Initial studies indicate the mineralisation to be native gold with no sulphides associated with precious metal minerals observed to date. This would indicate a simple processing route with excellent recovery potential.

Drilling is scheduled to re-commence in October, firstly with large diameter holes to provide material for metallurgical testing, after which drilling will continue to the east, west and down dip to test for further extension of this exciting new gold prospect.

BAM East Gold Prospect:

This new gold prospect is located approximately midway along a 2.7-kilometre long, east-southeast to west-northwest trending MaxMin geophysical anomaly (MM-7), at the western end of which is located the historical BAM gold zone discovered by Landore Resources in 2003. 

BAM East gold mineralisation is a typical shear-hosted gold-bearing system in an Archaean greenstone belt. Findings from exploration drilling on the BAM East Gold prospect has revealed a lithological sequence consisting of leucogabbro to the south, metasedimentary rocks in the central portion, to mafic volcanics to the north. All lithological units have been subjected to variable shearing and deformation, markedly the metasedimentary unit.

The gold mineralisation revealed to-date is predominantly contained in the metasediments, with some gold mineralisation occurring in the leucogabbro rocks. Visible gold occurs within or near quartz veinlets which are controlled by a shear system.

The summer drilling campaign is now complete. In total, 22 NQ diamond drill holes (0416-524 to 0416-545), for 4,077m, have been drilled to test the east, west and down dip extensions of the new gold zone. To date results have been received for the first 12 drill holes.

Latest results received include the following.

Easting	Northing	Drill-hole	From	Interval*	Au
		No	Metres	Metres	g/t
2450E	50N	0416-532	119.00	20.00	1.60
		Incl.	137.82	1.18	9.77
2450E	00N	0416-535	120.50	53.50	1.38
		Incl.	155.00	9.00	4.74
		Incl.	155.00	1.00	30.60
2500E	00N	0416-528	137.60	4.22	3.80
2600E	50N	0416-525	24.00	5.50	2.30
		and	35.00	40.50	1.32
		Incl.	39.50	4.50	4.67
2650E	50N	0416-531	58.00	10.00	3.13
		Incl.	60.70	1.30	11.85
2700E	50N	0416-533	18.00	11.80	1.23
		and	52.86	14.14	1.25

* Holes were drilled north at 45 degrees into a lithological package dipping approximately 40 degrees to the south.  The actual true thickness of mineralisation is estimated to represent between 85-90% of the intervals shown in the above table.

Assays from the remaining 10 drill holes are being received and collated and will be reported when complete.

Since there are multiple instances of visible gold as well as high grade gold in current drilling, core samples from intervals of interest have been re-submitted for screen metallic gold analysis to check reproducibility of gold assays. Results are currently being received and collated and will be reported when complete.

Planned Works:

BAM East Gold Prospect:

Landore Resources is planning a follow-up drilling program during Q4 2016 to obtain material for metallurgical testing and to extend the new gold zone down dip and along strike to the east and west.

A trenching and channel sampling program is continuing along the 2.7 kilometre, east-southeast to west-northwest trending MaxMin geophysical anomaly (MM-7) and along the parallel geophysical anomaly (MM-18) located approximately 200 metres to the North of MM-7. Results from the sampling are currently being received and collated and will be released when completed.

Michele Tuomi, (P.Geo., BSc. Geology), Director/VP Exploration of Landore Resources Canada Inc. and a Qualified Person as defined in the Canadian National Instrument 43-101, has reviewed and verified all scientific or technical mining disclosure contained in this announcement.

- ENDS -

About Landore Resources

Landore Resources is an exploration company that seeks to grow shareholder value through the acquisition, exploration and development of precious and base metal projects in eastern Canada. The Company is primarily focused on the development of the Junior Lake Project. Landore Resources has mineral rights to 6 properties in eastern Canada.  The Company is headquartered in Guernsey, with an exploration office located in Thunder Bay, Ontario, Canada.

For more information please contact:

Bill Humphries, Chief Executive Officer         Tel: [phone]

Richard Prickett, Finance Director                  Tel: [phone]

Landore Resources Limited                              www.landore.com

James Spinney / Jack Botros                          Tel: [phone]

Strand Hanson Limited

Nominated Advisor and Broker

 

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