Recent results from high-priority targets reinforce potential to expand mineralization within the Karma Project
VANCOUVER, B.C. – True Gold Mining Inc. (TSX-V; TGM) (“True Gold” or the “Company”) is pleased to announce that drilling recently completed on the Rambo West target intersected a wide zone of near-surface gold mineralization, supporting the Company’s goal to identify and add oxide gold within the Karma Gold Project (“Karma Project”) in Burkina Faso, West Africa.
Three of four reverse circulation (“RC”) holes drilled intersected significant gold mineralization within 18 metres of surface at Rambo West, located 300 metres along strike to the west from the Rambo deposit. Assay highlights include:
- 1.39 g/t Au over 28.0 metres, in RMB-13-RC-096, including
o 1.82 g/t Au over 10.0 metres
- 1.02 g/t Au over 32.0 metres, in RMB-13-RC-096B, including
o 2.26 g/t Au over 8.0 metres
- 1.02 g/t Au over 24.0 metres, in RMB-13-RC-098, including
o 1.93 g/t Au over 10.0 metres
“Recent results from our high-priority drill programs at North Kao, Watinoma and now Rambo West highlight the excellent potential to add more near-surface oxide gold within trucking distance of our proposed processing facility at the Karma Project1,” said Dwayne Melrose, President and CEO, True Gold. “Karma is quickly evolving into a prominent heap leach project globally due to its combination of grades, strong opportunity for scalability and low capital intensity.”
The Rambo deposit is the highest grade deposit of the five deposits within the Karma Project, containing a 66,156-ounce Indicated resource averaging 2.514 g/t Au within 818,578 tonnes2. The deposit is 400 metres long by up 320 metres wide, and up to 112 metres deep. It remains open along strike to the west and down dip. Under proposed plans for a potential heap-leach operation, Rambo could be the first deposit put into production due to its higher grade.
The Rambo West target lies within the Karma Project’s main structural corridor, which extends at least 7.5 kilometres westward from Rambo through Rambo West and onto the Goulagou II and Goulagou I deposits. Drilling shows that the geological setting at Rambo West is similar to that of the Rambo deposit, with mineralization hosted in a sedimentary sequence in close proximity to a south-dipping granodiorite footwall contact.
The RC drill program at Rambo West was part of the Company’s initial 2013 exploration campaign to test top priority targets and potentially add gold mineralization within the Karma Project. The Rambo West drill results are similar to those recently released from targets at Watinoma3 and north of Kao4, with encouraging widths of gold mineralization that remain open in two or more directions.
“The drill results we have seen to date from the first three exploration targets completed in 2013 clearly validate our strategy of prioritizing strong rotary air blast, soil and rock geochemical anomalies within key structural and geological settings,” said Ian Cunningham-Dunlop, Senior VP Exploration, True Gold. “We have identified up to 40 similar high-priority targets throughout the Karma Project. The opportunity for True Gold to find more gold is significant, as most of these targets remain untested to date.”
True Gold plans to aggressively follow-up on the Rambo West target in Q2-2013 with RC and core drilling in an effort to demonstrate continuity to the mineralization and test the region between Rambo West and the main Rambo pit. True Gold has a 100% interest in the Rambo deposit.
To see a drill map for Rambo West, please click here:
For a full table of results related to gold mineralization, please click on this link:
The 856-square-kilometre Karma Project is located in Burkina Faso, West Africa, and includes five closely spaced deposits – Rambo, Nami, Kao, Goulagou I and Goulagou II – with a proposed central processing facility1. The Karma Project is currently undergoing a feasibility study, which entails the development of a fully engineered construction and operating plan. It will include considerations for social management planning, environment, geotechnical engineering, hydro-geology, water management, metallurgical testing, process design, and mine planning.
(1) The Company has not made a production decision and the Company’s strategic plan to develop a stand-alone heap leach operation at the Karma Project is subject to the results of its feasibility study, which is currently underway. Further, if and when the Company makes any production decision, it will disclose the basis of such decision in accordance with the requirements of NI 43-101. See True Gold news release dated March 27, 2013 titled, “Karma Project Update: Activities Related to Feasibility Study Progressing.”
(2) See the Company’s news release dated October 3, 2012, clarifying news release dated March 20, 2013, and independent NI 43-101-compliant Technical Report titled “Technical Report and Updated Resource Estimate on the Karma Project, Burkina Faso, West Africa,” dated effective October 1, 2012, filed on SEDAR (www.sedar.com) November 7, 2012.
(3) See the Company’s new release dated May 28, 2013 titled “True Gold intersects 1.07 g/t gold over 110.0 metres at northern Karma target.”
(4) See the Company’s new release dated June 3, 2013 titled “True Gold intersects 1.01 g/t gold over 62.0 metres in drilling 600 metres north of Kao.”
Ian Cunningham-Dunlop, P. Eng., is the Company’s Senior Vice President Exploration and designated Qualified Person for this news release within the meaning of NI 43-101 and has reviewed and verified that the technical information contained in this release is accurate and approves of the written disclosure of same. All holes were drilled at 045 or 225 degrees azimuth, with dips of between -50 or -70 degrees, and to depths of 100 to 140 metres. True widths are estimated to be 60 to 90% of the intersected widths. Samples were assayed by ALS Chemex in Ouagadougou, Burkina Faso, West Africa. ALS Global laboratory operations are covered by ISO 9001:2008 certification. Assays were by Fire Assay with AAS finish and repeats of all AAS assays over 5.0 g/t by Fire Assay with gravimetric finish. Control samples (accredited standards, blanks and duplicate samples at the preparation stage) were inserted on a regular basis every 10 samples. Results were monitored on receipt of assays.
About True Gold
True Gold Mining Inc. is where gold comes to life. We are committed to growing a profitable gold exploration, development and production company, by focusing on projects with low costs, low technical risks and solid economics. The Company's board, management and technical teams have proven track records in gold exploration, development, operations and production worldwide.
ON BEHALF OF THE BOARD
Dwayne Melrose, President & CEO
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Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain statements made and information contained in this news release and elsewhere constitutes “forward-looking information” within the meaning of Canadian securities legislation. Such forward-looking statements are based on certain assumptions and are subject to risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation, with respect to statements regarding the potential increase to deposits hosting mineral resources, the assumptions set forth in this news release and in the Company's news release of October 3, 2012, March 20, 2013, March 27, 2013, May 28, 2013 and June 3, 2013 and risks and uncertainties relating to the interpretation of drill results and the estimation of mineral resources, the geology, grade and continuity of mineral deposits, the possibility that future exploration and development results or the results of the Feasibility Study on the Karma Project will not be consistent with the Company’s expectations, accidents, equipment breakdowns, risk of undiscovered, title defects and surface access, labour disputes, the potential for delays in exploration and permitting activities, the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, political risk and other risks and uncertainties, including those described under Risk Factors in each management discussion and analysis and in the Company's annual information form which are available under the Company's profile at www.sedar.com. Forward-looking information is based on various assumptions including, without limitation, the expectations and beliefs of management, the assumed long term price of gold, that the Company will receive required permits and access to surface rights, that the Company can access financing, appropriate equipment and sufficient labour and that the political environment within Burkina Faso will continue to support the development of environmentally safe mining projects. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements.
This news release may use the terms "measured", "indicated" and "inferred" as these terms are defined under Canada's National Instrument 43-101. U.S. Investors are advised that, while such terms are recognized and required by Canadian regulations, they are not recognized by the United States Securities and Exchange Commission ("SEC") and may not be comparable to similar information for United States mining or exploration companies. As such, certain information contained on this news release concerning descriptions of mineralization and resources under Canadian standards is not comparable to similar information made public by United States companies subject to the reporting and disclosure requirements of the SEC. U.S. investors are cautioned not to assume that any part or all of the mineral deposits described in these categories will ever be converted into proven or probable reserves, as defined in the SEC's Industry Guide No. 7.