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Volcanic enters into option agreement to acquire gold properties in the Ivory Coast
VANCOUVER, B.C., March 05, 2018 (GLOBE NEWSWIRE) -- Volcanic Gold Mines Inc. (“Volcanic”) (TSXV:VG) is pleased to report that it has entered into a binding Memo
About this update from Volcanic Gold Mines Inc.
[{"type":"text","content":" VANCOUVER, B.C., March 05, 2018 (GLOBE NEWSWIRE) -- Volcanic Gold Mines Inc. (“Volcanic”) (TSXV:VG) is pleased to report that it has entered into a binding Memorandum of Understanding (the “Agreement”) to acquire up to 100% of JOFEMA Mineral Resources SARL (“JOFEMA”), a private company registered in the Ivory Coast. The assets of JOFEMA under option consist of near-adjacent exploration permits and exploration permit renewals known as La Debo and Soubré (the “Properties”), which together cover an area in excess of 600 sq km, and fall on a major mineralizing shear zone within one of West Africa’s fastest developing gold provinces (Fig 1). JOFEMA holds a direct 100% interest in the Properties. This acquisition will complement Volcanic’s existing property holdings in the Mandiana district of Guinea, and allow the Company to benefit from a valuable consolidation opportunity in a leading African mining jurisdiction. The Company remains committed to the advancement of its Guinean assets. JOFEMA has completed over 18,000 m of reverse-circulation and diamond drilling at La Debo, as well as nearly 40,000 m of RAB, air-core and auger drilling at the property. In 2016 an Inferred Mineral Resource1 of 9.5 million tonnes at a grade of 1.3 g/t for 396,000 ounces of gold was defined in two small isolated bodies. This Resource has not been verified by Volcanic and is therefore historic in nature. Over 7,500 surface geochemical samples were collected at La Debo, and on the basis of these data, in combination with limited RAB drilling results, a number of large, consistent targets are observable along strike from the historic Resource, and remain largely untested (Fig 2). Of particular interest are extensive and continuous soil geochemical anomalies occurring within recognizable and persistent structural zones in proximity to igneous intrusions at La Debo, and Soubré (Fig 3). Importantly, such a combination of circumstances gives rise to gold mineralization of economic proportion elsewhere within the Birimian rocks of the Ivory Coast, a notable example being the nearby Bonikro Mine (Indicated Mineral Resource of 1.3 million ounces at 1.4 g/t Au and Inferred Mineral Resource of 0.77 million ounces at 0.92 g/t Au in 20102). The anomalies at La Debo and La Debo South cover a continuous area of approximately 10 sq ...