Hargreaves Lansdown

Kodal Minerals secures drill rigs for Cote d'Ivoire exploration

Mon 17 May 2021 16:11 | A A A

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(Sharecast News) - Lithium-focussed exploration and development company Kodal Minerals updated the market on exploration on its Cote d'Ivoire gold assets on Monday, confirming that it had secured two drill rigs for the Nielle Project in the north of the country.

The AIM-traded firm said the drilling programme would consist of 5,000 metres of aircore drilling to begin within a week, targeting the strike extensions of the gold mineralised zone and test for parallel zones defined by Resolute Mining.

Reverse circulation drilling, meanwhile, would be an initial 1,000 metres to define mineralisation and follow up drill intersections, including 26 metres at 1.95 grams of gold per tonne, and 26 metres at 1.79 grams per tonne.

Infill geochemical sampling at the Dabakala project had started, with sampling targeting the high-grade anomalism of up to 6.14 grams of gold per tonne.

Sampling was targeting definition of the new gold anomalism in preparation for first phase reconnaissance aircore drilling.

At the Bougouni lithium project, meanwhile, the company confirmed it had finalised the changes to the previously-lodged feasibility report, and would file that with the Direction Nationale de la Géologie et des Mines (DNGM) in Mali.

The next stage was for DNGM to send Kodal a confirmation letter formally requesting payment of the application fee for the licence, prior to the formal production of the mining licence for approval by the Prime Minister.

It noted that Mali's interim government was undergoing a ministerial reorganisation to create a "broad-based" representation and reduce military influence.

"We are very excited with the exploration programmes on our gold projects in Cote d'Ivoire," said chief executive officer Bernard Aylward.

"The Dabakala project is at an early stage, however, the extensive surface gold anomalism and repeated high grade gold mineralisation give confidence to continue with exploration here.

"This is a new gold zone defined in Cote d'Ivoire and offers the company the opportunity to make a significant gold discovery."

In addition, Aylward said the drilling programmes planned for the Nielle project were expected to add definition to the gold mineralisation outlined by the company's former joint venture partner Resolute.

"We expect a busy time over the next few months as these projects develop, as well as commencing ground exploration on our advanced Fatou project in southern Mali.

"As previously announced, our mining licence application for the Bougouni lithium project is advancing, and we have completed all requested changes for filing the updated feasibility report with the DNGM.

"We expect to continue to work through this process with the Mali government as previously announced."

At 1553 BST, shares in Kodal Minerals were up 3.11% at 0.3p.

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