REG - Kefi Gold and Copper - Saudi Arabia Exploration Update

KEFI Gold and CopperAnnouncement

24/03/2022 07:00

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RNS Number : 8856F  Kefi Gold and Copper PLC  24 March 2022

 

24 March 2022

KEFI Gold and Copper plc

("KEFI" or the "Company")

Saudi Arabia Exploration Update

 

Exploration at Al Godeyer confirms a 1.3km mineralised horizon similar to
nearby Hawiah VMS Deposit

Gold mineralisation of up to 7.2g/t gold and 1.8% copper encountered

Ongoing drilling programme has intersected gossan or massive sulphides in the
first six holes

 

KEFI (AIM: KEFI), the gold and copper exploration and development company with
projects in the Federal Democratic Republic of Ethiopia and the Kingdom of
Saudi Arabia, is pleased to report exciting exploration progress at the
Company's Al Godeyer Project in Saudi Arabia. The two Al Godeyer Exploration
Licences were awarded in December 2021 and are located immediately west of the
Company's Hawiah Copper-Gold Project (see Figure 1 in the attached appendix
which may be accessed via the following link

http://www.rns-pdf.londonstockexchange.com/rns/8856F_1-2022-3-24.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8856F_1-2022-3-24.pdf)

Initial exploration at Al Godeyer confirms similar copper-gold mineralisation
to that of the Hawiah volcanic massive sulphide ("VMS") deposit. Trenching,
geophysics and initial drilling has indicated good continuity of the
mineralised horizon and efforts are now focused on delivering an initial JORC
Mineral Resource during 2022. Any defined resources would likely contribute
directly to the proximal Hawiah project where Mineral Resources, as announced
on 6 January 2022 and set out below, currently stand at 24.9 million tonnes at
0.90% copper, 0.85% zinc, 0.62 g/t gold and 9.81 g/t silver.

Highlights

·    Self-Potential ("SP") geophysical survey at Al Godeyer has defined a
continuous anomaly 1.3km in strike and a second, shorter anomaly, located
along strike to the southeast (see Figure 2), both anomalies correlate well
with the mapped NW/SE striking gossans

·    These SP responses are very similar in intensity to the
gossan/sulphide SP responses recorded at Hawiah

·    Trench mapping has confirmed the presence of gold and copper gossans
in all trenches over the main SP anomaly and the majority of trenches over the
SE anomaly (see Figure 3). Rock chips taken during the mapping phase confirmed
mineralisation with grades of up to 7.2g/t gold and 1.8% copper in assays
received to date

·    Given these encouraging initial results, reverse circulation ("RC")
drilling has commenced ahead of schedule and has intersected oxide and
transition sulphides down to a vertical depth of 35m in the first six holes
(see Figure 4).

·    Drilling has confirmed the horizon is dipping at around 65 degrees to
the NE with geological widths varying up to 10m - Assay results are pending
for all drillholes

·    A Diamond drill rig is set to join the drilling programme in early
April to begin testing deeper portions of the system and add additional
geological information to help guide further resource expansion

Harry Anagnostaras-Adams, Executive Chairman of KEFI, commented:

"The Al Godeyer licences were granted in late 2021 and the exploration team
has already successfully demonstrated the continuity of the mapped gossans
through trenching and geophysics and have advanced the project to drill
testing in a little over three months. This highlights the clear potential
that Al Godeyer has as a satellite deposit in supporting the Hawiah
development, as well as reaffirming our belief this area will be developed
into a world class mine. I am excited that drilling of the Al Godeyer gossans
has already started and look forward to announcing progress towards an initial
Al Godeyer Mineral Resource later this year.

"Elsewhere, we continue to make good progress in Ethiopia on the 1.7 million
ounce Tulu Kapi Gold Project, which remains on track for mid-2022 launch as
recently announced. Further updates will be provided in due course as the
various milestones are met."

Market Abuse Regulation (MAR) Disclosure

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR.

Enquiries

 KEFI Gold and Copper plc
 Harry Anagnostaras-Adams (Managing Director)        +357 99457843
 John Leach (Finance Director)                       +357 99208130
 SP Angel Corporate Finance LLP (Nominated Adviser)  +44 (0) 20 3470 0470
 Jeff Keating, Adam Cowl
 Tavira Securities Limited (Lead Broker)             +44 (0) 20 7100 5100
 Oliver Stansfield, Jonathan Evans
 WH Ireland Limited (Joint Broker)                   +44 (0) 20 7220 1666
 Katy Mitchell, Andrew de Andrade
 IFC Advisory Ltd (Financial PR and IR)              +44 (0) 20 3934 6630
 Tim Metcalfe, Florence Chandler

 

Competent Person Statement

The information in this announcement that relates to exploration results and
Mineral Resources is based on information compiled by Mr Tomos Bryan,
Exploration Manager for Gold & Minerals Limited. Mr Bryan is a member of
the Australasian Institute of Mining and Metallurgy ("AusIMM"). Mr Bryan is a
geologist with sufficient relevant experience for Company reporting to qualify
as a Competent Person as defined in the JORC Code 2012. Mr Bryan consents to
the inclusion in this announcement of the non-financial matters based on this
information in the form and context in which it appears.

The upgraded Hawiah Mineral Resource was announced on 6 January 2022. KEFI
confirms that it is not aware of any new information or data that materially
affects the information in the above releases and that all material
assumptions and technical parameters, underpinning the estimates continue to
apply and have not materially changed. KEFI confirms that the form and context
in which the Competent Person's findings are presented have not been
materially modified from the original market announcements.

 

Hawiah Mineral Resource

The upgraded Hawiah Mineral Resource announced on 6 January 2022 totals:

-      24.9 Mt at 0.90% copper, 0.85% zinc, 0.62 g/t gold and 9.81 g/t
silver.

The Mineral Resource is classified as:

-      Indicated -  10.9 Mt at 0.96% copper, 0.86% zinc, 0.64 g/t gold
and 9.98 g/t silver

-      Inferred -    14.0 Mt at 0.85% copper, 0.83% zinc, 0.61 g/t
gold and 9.67 g/t silver

And is estimated to contain a total of 223,000 tonnes (491 million lbs) of
copper, 210,000 tonnes (463 million lbs) of zinc, 497,000 ounces of gold and
7.84 million ounces of silver.

 

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