REG - Caracal Gold PLC - Sample Assay Results Confirm Mineralisation

Caracal GoldAnnouncement

13/12/2022 07:15

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20221213:nRSM4478Ja&default-theme=true

RNS Number : 4478J  Caracal Gold PLC  12 December 2022

Caracal Gold plc / EPIC: GCAT / Market: Main / Sector: Mining

13 December 2022

Caracal Gold plc ('Caracal' or the 'Company')

Results Confirm High-Grade Mineralisation on the Vim Rutha Prospect

 a Parallel Structure to the Kilimapesa Hill Deposit

 

Caracal Gold plc, the expanding East African gold producer with over
1,300,000oz JORC-compliant gold resources, is pleased to announce sample assay
results from its Diamond Drilling ('DD') programme on the Vim Rutha prospect,
a shear zone of about 4.9km parallel to the known orebody at the Kilimapesa
Hill deposit ('Kilimapesa Hill') at the Kilimapesa Gold and Mining Operations
in Kenya (the 'Project'). The drilling intercepted, on several occasions and
over a distance of more than 2km from west to east, one or more mineralised
structures of significant thickness located a few hundred metres south of
Kilimapesa Hill.

 

Highlights

·    Assay results confirm the Vim Rutha prospect corridor is intensely
gold-bearing, with mineralised intercepts returned from historical diamond
drilling as well as the vertical and lateral extension of one or more parallel
mineralised structures, over several kilometres of distance just south of
Kilimapesa Hill.

·    To date, 107 holes totalling 10,424m of the planned 12,000m Reverse
Circulation ('RC') drilling programme and 21 holes totalling 3,637.7m of the
planned 3,000m DD programme, which commenced in December 2021, have been
completed.

·    Results continue to demonstrate the high gold potential of the
various exploration prospects located in direct proximity to the Kilimapesa
Hill deposit or in the same geological environment.

·    Results of 722 samples from Batch 5 have been received and results
from the DD holes include:

o Hole VMRDD_001 : 13.16 m @ 1.59 g/t gold ('Au) from 45.27 m incl. 1.19 m @
3.9 g/t Au from 49.79 m

o Hole VMRDD_002: 3 m @ 1.58 g/t Au from 72 m

o Hole NMRDD_003 : 11.44 m @ 3.15 g/t Au from 20.09 m incl. 2.75 m @ 4.12 g/t
Au from 25.86 m

o Hole VMRDD_004: 7 m @ 2.63 g/t Au from 16 m incl. 2 m @ 5.80 g/t Au from 19
m

o Hole VMRDD_005: 1 m @ 84.15 g/t Au from 77 m

o Hole VMRDD_006: 1 m @ 1.29 g/t Au from 121 m

o Hole VMRDD_007: 5 m @ 3.17 g/t Au from 57 incl. 12.05 g/t Au from 57 m

o Hole VMRDD_008: 1 m @ 4.04 g/t Au from 12 m

o Hole VMRDD_009 : 18.11 m @ 3.13 g/t Au from 13.7 m

o Hole VMRDD_010 : 7.97 m @ 2.37 g/t Au from 18.05 m incl. 2.4 m @ 5.22 g/t
Au from 20.97 m

·    In parallel to the DD programme, which took place on the Vim Rutha
prospect, 21 RC holes and 2 trenches were completed along the same mineralised
corridor.

o Initial geological observations are encouraging and 1,578 samples have been
sent to SGS's laboratory in Tanzania (Mwanza) for gold analysis.

·    The sixth batch of RC and trench samples have been delivered to the
laboratory. These include samples from 21 RC holes and 2 trenches from the Vim
Rutha prospect.

·    The success of the exploration progam on Vim Rutha has meant that
most of the activities will be focussed on confirming it's a discovery of
economic significance and then moving quickly to an initial MRE. Activities
across the balance of the exploration licence will continue these include,
West Kilimapesa Hill, Teng-Teng, Maghor and Olepoipoi.

 

Chief Executive of Caracal Gold Plc, Robbie McCrae, said:

 

"We have always believed in the possibility we will discover large
open-pittable style resources at Kilimaespa, as can be found across the border
in Tanzania. It is very early stage at Vim Rutha but the thinking behind the
exploration programme is to target a large open-pittable resource that could
possibly support the development of a large Tanzanian/West African style gold
mine.  The 1m @ 84g/t Au in DD 005 is exciting as it is early confirmation
that we have high grade potential at Vim Rutha, but I am most excited about
the widths and grades in DD 003, 004, 007, 008, 009 and 010 and  the fact
that these results are consistent over 2km of strike. The results from the
first few trenches and reverse circlulation holes will follow soon and
exploration work is ongoing daily - we have a long way to go and a lot of work
to do but early indications are that Vim Rutha could be a second economically
viable deposit in our Kilimapesa licence; 2023 is shaping up to be a very
exciting year for all our stakeholders."

Figure 1: Map to show the Drilled DD holes and significant intercepts across
the Vim Rutha Prospect.

 Figure 2: Shows the ongoing progress of the trenching program across the
Vim Rutha prospect

 

Figure 3: Drill core from Vim Rutha, showing sericite, chlorite, ankerite,
pyrotite, pyrite, calcite association. All typical mineral association in
Greestone Belt.

 

 

** ENDS **

 

For further information visit www.caracalgold.com or contact the following:

 

 Caracal Gold plc                                  info@caracalgold.com (mailto:info@caracalgold.com)

 Robbie McCrae

 Sheila Boit
 VSA Capital Ltd                                   +44 203 005 5000

 Financial Adviser and Joint Broker

 Andrew Raca (Corporate Finance)

 Andrew Monk (Corporate Broking)
 Clear Capital Markets Limited

 Joint Broker                                      +44 203 897 0981 / +44 203 869 6086

 Keith Swann / Jon Critchley

 St Brides Partners Ltd                            info@stbridespartners.co.uk (mailto:info@stbridespartners.co.uk)

  Financial PR

 Oonagh Reidy / Charlotte Page / Isabelle Morris
 DGWA, the German Institute for Asset and          info@dgwa.org (mailto:info@dgwa.org)

 Equity Allocation and Valuation

 European Investor and Corporate

 Relations Advisor

 Stefan Müller / Katharina Löckinger

 

Notes

Caracal Gold plc is an emerging East African focused gold producer with a
clear path to grow production and resources both organically and through
strategic acquisitions. Its aim is to rapidly increase production to +50,000oz
p.a. and build a JORC compliant resource base of +3Moz.

 

Caracal is executing its growth strategy beyond its 100% owned Kilimapesa Mine
in Kenya by acquiring additional assets in Tanzania in order to grow group
resources.   Its experienced team, with proven track record in successfully
developing and operating mining projects throughout Africa continues to review
other complementary and strategically located projects in East Africa.

 

Caracal is a responsible mining and exploration company and supports the
positive social and economic change that it contributes to the communities in
the regions that it operates. It is a proudly East African-focused company: it
buys locally, employs locally, and protects the environment and its employees
and their families' health, safety, and wellbeing.

Caracal's shares are quoted on the Main Market of the London Stock Exchange
(LON: GCAT) and on the Frankfurt Stock Exchange (FSE: 6IK); a listing on the
Nairobi Securities Exchange is underway.

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  DRLTTBRTMTABBPT