African Gold Group, Inc. is pleased to report the analytical results for 17 near surface, step-out reverse circulation (“RC”) drill holes from the Company’s Kobada, Mali gold project.

The 17 RC drill holes that are the subject of this release are collared in a newly-discovered, distinct structural setting, the “Foroko North Zone” or “Foroko North”, that lies up to 4.3 km north-east of the most northerly section of the Kobada, Zone 1 gold deposit. This structure emanates from AGG’s Foroko concession, which is contiguous with AGG’s Kobada concession, on Kobada’s eastern boundary, and projects north into the northeastern section of the Kobada concession. The Foroko North structure is oriented in a North/South (N-S) direction as distinct from the Kobada structure, which is oriented at North 20 degrees East.

Near Surface (Oxide) Drill Highlights From Foroko North  Step-Out Holes Include:

  • KBRC10-034: 23m @ 2.10 g/t Au
  • KBRC10-037: 10m @ 0.92 g/t Au
  • KBRC10-038: 53m @ 1.33 g/t Au and 9m @ 5.78 g/t Au, includes 1m @ 46.86 g/t Au
  • KBRC10-047: 16m @ 0.91 and 62m @ 1.04 g/t Au

African Gold Group, Inc. is pleased to report the analytical results for 17 near surface, step-out reverse circulation (“RC”) drill holes from the Company’s Kobada, Mali gold project.

The 17 RC drill holes that are the subject of this release are collared in a newly-discovered, distinct structural setting, the “Foroko North Zone” or “Foroko North”, that lies up to 4.3 km north-east of the most northerly section of the Kobada, Zone 1 gold deposit. This structure emanates from AGG’s Foroko concession, which is contiguous with AGG’s Kobada concession, on Kobada’s eastern boundary, and projects north into the northeastern section of the Kobada concession. The Foroko North structure is oriented in a North/South (N-S) direction as distinct from the Kobada structure, which is oriented at North 20 degrees East.

Near Surface (Oxide) Drill Highlights From Foroko North  Step-Out Holes Include:

  • KBRC10-034: 23m @ 2.10 g/t Au
  • KBRC10-037: 10m @ 0.92 g/t Au
  • KBRC10-038: 53m @ 1.33 g/t Au and 9m @ 5.78 g/t Au, includes 1m @ 46.86 g/t Au
  • KBRC10-047: 16m @ 0.91 and 62m @ 1.04 g/t Au

The assay results representing the 17 near surface (oxide) RC holes drilled on Foroko North are listed in Table 1 below:

Published in News Releases

African Gold Group, Inc., is pleased to report on  metallurgical test work recently completed by SGS Lakefield (SGS) on a composite of oxide mineralization from AGG’s Kobada, Mali gold project. 

The primary objective of the test work was to investigate the amenability of the Kobada oxide ore sample to gold extraction using gravity separation as the sole means of gold recovery or extraction. The results of the test(s) are considered excellent and demonstrate the amenability of Kobada oxide ore to gravity concentration and extraction.

The as-received composite sample that was delivered to SGS weighed 287 kg. The sample was selected from 127 separate intervals that were derived from 8 different drill holes. The individual intervals, derived from the 8 distinct drill holes, were selected to reasonably represent or emulate the entire Kobada, Zone 1 deposit.

The 287 kg composite sample, as received by SGS, assayed 1.93 g/t Au. The first phase of the test process was to de-slime the sample by wet screening and cycloning to break down the clay aggregates and remove the fine fraction (de-sliming). The oversize fraction was then filtered, dried and riffled into test charges.

The fine (slimes) fraction made up 57% of the as received sample mass. This fine fraction was analyzed for gold content and assayed 0.13 g/t Au, representing just 4% of the gold.

Published in News Releases

African Gold Group, Inc.,  is pleased to report the analytical results for six (6) Step-Out Reverse Circulation ("RC") drill holes from the Company's recently completed (first half) 2010 Kobada, Mali gold project.

Near Surface Drill Highlights From Kobada South Step-Out Holes Include:

  • RPA10-003: 44m @ 2.11 g/t Au, includes 3m @ 19.30 g/t Au (hole ended in mineralization)
  • RPA10-005: 37m @ 1.47 g/t Au, includes 5m @ 7.48 g/t Au (hole ended in mineralization)
  • RPA10-006: 26m @ 1.09 g/t Au, (hole ended in mineralization)
    SectionHole IDFrom
    (m)
    To
    (m)
    L
    (m)
    Au
    (g/t)
    EOH
    (m)

    TN)
    Hole objective

    2800S

    2800S

    RPA10-001

    RPA10-001

    0

    60

    3

    84

    3

    24

    0.32

    0.69

     

    101

    290

     

    Test for southern

    extension

    2800S

    2800S

    2800S

    RPA10-002

    RPA10-002

    RPA10-002

    20

    66

    112

    23

    95

    115

    3

    29

    3

    1.57

    0.67

    0.31

     

     

    119

    290

     

     

    Test for southern

    extension

    2800S

    2800S

    2800S

    RPA10-003

    RPA10-003

    including

    0

    31

    35

    17

    75

    38

    17

    44

    4

    1.65

    2.11

    19.30

     

    75

     

    290

     

     

    Test for southern

    extension

    Hole ended in

    mineralization

    AGG is most encouraged by the assay results obtained from the three (3) step-out RC holes drilled on Section 2800S, more specifically:

    • These three step-out holes were collared approximately 200 meters south of the mineralized envelope that contains the Zone 1 NI-43101 resources estimate that was prepared by Watts, Griffis & McOuat and published on SEDAR by AGG in May, 2008 – hence the designation as a "step-out" hole.
    • RPA10-001 represents the most easterly located collar on the three (3) hole fence. All 3 holes are drilled at Azimuth 290° - or drilled in a westerly direction. As RPA10-001 is being drilled to the west it intercepts an ore grade halo of Au commencing at 60 meters thru 84 meters, down the hole, drilling west.
    • RPA10-002 is collared 50 meters to the west of RPA10-001 and it too is intercepting an ore grade halo and the intensity of this halo is increasing down hole, or as it is drilled to the west.
    • RPA10-003 is collared a further 50 meters to the west of RPA10-002 and as it drills to the west it intercepts excellent ore grade material from surface to the bottom of the hole – 75 meters - ending with a grade of 2.4 g/t Au in the final meter drilled.

    To view Map – Section 2800S, please visit the following link: 

    http://africangoldgroup.ca/maps/kobada/Section_2800S.pdf 

    The assay results representing three (3) RC holes drilled on section 2750S are listed in Table 2 below:

Published in News Releases

African Gold Group, Inc., is pleased to report that the high resolution airborne magnetic and radiometric survey that was flown in March, 2010 over AGG's Kobada gold project, located in south-western Mali, has identified a total of seven (7) new prospective Target Areas for gold mineralization.

Three of the new Target Areas are located within proximity of the Zone 1 gold deposit and are identified in the attached map as the North K, South K and West K Targets. The Zone 1 deposit contains an Inferred Mineral Resource(s) estimate of 740,000 ounces of gold at a 0.3 g/t Au cut-off, as outlined in May, 2008, by Watts, Griffis and McOuat, an international consulting firm based in Toronto, Canada. Zone 1 currently measures 1.2 km of strike, representing approximately 10% of the overall (12 km) Kobada Trend.

The remaining four regional Target Areas are all located within the contiguous Acoma concession, measuring 153 sq km and representing the eastern extension of the Kobada gold project. Two of the four regional targets, the Chakabougou and Kobada S. E. Target Areas are classified as First Priority Regional Targets. The remaining two regional Target Areas, the Far East and Dalabakodiou targets are classified as Second Priority Regional Targets.

All seven (7) of the newly identified Target Areas exhibit geophysical characteristics that are similar to the mineralized structures contained within the Zone 1 deposit. All of the Target Areas are traversed by the favourable NNE and NE-SW mineralized faults. Six (6) of the Target Areas have coincident interpreted granitoid intrusions with evidence of hydrothermal alteration. All of the Target Areas have shown evidence of historical and/or current artisanal mining.

The airborne geophysical survey was carried out by Xcalibur Airborne Geophysics of South Africa, with quality control and subsequent interpretation of the survey results completed by Paterson, Grant & Watson Ltd., a geophysical consulting company based in Toronto, Canada.

The fixed-wing airborne survey was flown using very tight survey specifications of 50 m flight line spacing and 30 m ground clearance, facilitating a detailed interpretation of the underlying structure and geology and the selection of the prospective new Target Areas for economic gold mineralization.

Published in News Releases

Kobada Gold Project Mineral Resource Estimate Above 0.3 g/t Au

Resource Category Mt Au g/t Au koz
Measured Mineral Resource 10.8 1.06 367
Indicated Mineral Resource 25.2 1.04 843
Total M&I Resource 36.0 1.05 1,210
Inferred Mineral Resource 39.0 1.0 1,205

Plan View of Mineral Resource

Resource Collar

Section View of Mineral Resource

Mali Map

The Kobada Measured and Indicated Mineral Resource totals 36 Million tonnes at 1.05g/t Au, containing 1.2 million ounces of gold.

The Inferred Mineral Resource contains a further 39 million tonnes at 1.0g/t Au for an additional 1.2 million ounces of gold.

The Kobada Mineral Resource stretches over 4km of strike, although the mineralised structure has been mapped over 12 km of strike.

The resource has been established from the drilling of more than 1,095 individual drill holes on the property, predominantly of diamond and reverse circulation drilling methods.

The total quantity of drilling completed to date is more than 126,000 metres (126km or 78.6 miles).

The resource comprises four main ore types:

  • Laterite ore, overlaying the main deposit;
  • Oxide ore types consisting of ultra-weathered saprolite containing quartz veins;
  • Transitional and fresh ore types consisting of partially and un-weathered sedimentary rocks and quartz veins.

The Kobada deposit is unusual for the depth of weathering, with the base of oxidation occurring up to 120m below surface in some locations.

Published in Mali

Plan View of Kobada Exploration Concession

Kobada Exploration

As a result of the exploration and resource growth potential, the Company believes that it can quickly add shallow and economically mineable resource into the production plan.

This is an important facet of the Kobada Project, particularly in light of the low (but consistent) tenor of gold grades that comprise the Mineral Resource Estimate.

Significant value can be added to the project by maintaining a sub 1 to 1 strip ratio (that is waste to ore ratio). This allows the final pit cut backs to be scheduled later in the mine plan, improving cash flows and all economic measures (such as NPV and IRR).

The deployment of exploration drills to test the extensions of the main shear zone, splay and parallel structures, initially down to a depth of 25m may significantly alter the projects economics within a short period from the commencement of mining operations.

This is about adding low cost mineable ounces.

Published in Mali

Stage 1 Process Flowsheet

Process Flowsheet

Stage 1 Plant

Mali Map

AGG plans to develop the Kobada Project in two stages. Both stages utilise similar processing technology. Stage 1 aims for the most effective use of pre-production capital expenditures while Stage 2 aims to optimise operating efficiencies (and hence operating expenditures).

Stage 1 is to target the production of 20,000 Au ounces per annum by processing 750,000 tonnes of ore per annum.

The plan is to focus predominantly on the laterite ore types and shallow, high grade quartz veins and saprolite that the resource is comprise of. The aim is maximising high early cash flow by mining shallow (low strip ratio) and higher grade parts of the resource.

The processing concept is simple, with crushing of harder ore types (laterite and quartz) to -2mm before scrubbing and gravity concentration. The concentrate is further separated on a shaking table prior to smelting to produce gold bars as dore’.

AGG anticipates that the coarse nature of the gold will allow gold recoveries of around 75% with this technology. Total pre-production capital expenditures are expected to be in the order of USD12 million.

Published in Mali

Stage 2 Process Flowsheet

Process Flowsheet

Stage 2 Plant

Mali Map

AGG plans to develop the Kobada Project in two stages. Both stages utilise similar processing technology. Stage 1 aims for the most effective use of pre-production capital expenditures while Stage 2 aims to optimise operating efficiencies (and hence operating expenditures).

Stage 2 is to target the production of more than 50,000 Au ounces per annum by processing 1.6 million tonnes of ore per annum.

The plan is to focus predominantly on the saprolite ore types. The aim is maximising throughput and gold recovery in order to maximise operating efficiencies and profit margins.

The processing concept is simple, with crushing of harder ore types (laterite and quartz) to -2mm before scrubbing, pre-concentration and gravity concentration. The run of mine ore feed to the plant is reduced to a bulk concentrate of around 2% of the original feed mass. This concentrate is expected to contain around 86% of the gold, which is then liberated by traditional grinding and leaching techniques.

The inclusion of the leaching circuit allows for the treatment of greater volumes of concentrate, which means that the process can achieve greater gold recovery.

In gravity separation of Kobada ores, there is a direct correlation between the amount of concentrate produced and recovery. That is, allowing more of the material to pass to the concentrate means more of the gold will also pass to the concentrate.

The ball mill and leaching circuit allows for the efficient treatment of this concentrate prior to electrowinning and smelting.

AGG anticipates gold recoveries of around 85% with this technology. Further information can be found in the Preliminary Economic Assessment from November 2014.

Published in Mali