AMN - KENYA: Maiden gold estimate for Liranda Corridor

Acacia Mining has announced a maiden NI 43-101-compliant inferred mineral resource estimate of 1.31 million ounces of gold at 12.1 g/t on the Liranda Corridor within the company’s West Kenya project in Kenya. All inferred material is on the Acacia prospect with multiple lodes open laterally and at depth.

There is also near-term upside from the Bushiangala prospect which has known mineralisation which has not yet been incorporated into the maiden resource.

The Busia Kakamega Greenstone Belt in Kenya is a highly prospective belt which saw extensive mining, albeit on a small scale, during the colonial era.

Acacia has budgeted for a 45,000 metre drilling program this year with six rigs active on site, targeting an increase in resource to more than 2 million ounces in the second half of 2017.

The company also plans to commence a scoping study on a potential underground operation in the second half of the year.

Acacia CEO Brad Gordon said, "We are delighted to report a maiden high-grade inferred mineral resource on the Liranda Corridor. This is one of the highest grade projects in Africa today, and we believe that this initial resource is a first step in the delineation of a multi-million ounce high-grade corridor.

“In addition to the Acacia prospect, which hosts all of this maiden resource, we have known mineralisation on the Bushiangala prospect, 1km to the west, with a further three prospective lodes in early stage testing.

“Whilst Kenya is a relatively new mining destination we are very pleased with the relationships we have built and the support we have received and look forward to working closely with all stakeholders as we progress this highly promising project."

Commenting on the West Kenya Project, Cabinet Secretary for Mining Dan Kazungu said, "Kenya is undoubtedly a geologically rich country, and we are taking significant steps, such as the ratification of the 2016 Mining Act, to establish a robust legislative framework to support our developing mining industry.

“We are excited about the potential of Acacia’s West Kenya project, as it could ultimately lead to the creation of a gold mining industry that would have a benefit to our country, economy and people. We look forward to continuing to work with Acacia and welcome their continued interest and investment in Kenya."

The licences are in the southwest corner of Kenya, approximately 300km from Nairobi, near the border of Uganda and on the shores of Lake Victoria. The licence area is 30km from Kisumu, which is the third largest city in Kenya, and is serviced by air, road, power and telecommunication networks.

Tenements are cut by a bitumen dual carriageway and a system of local unpaved roads and are inhabited by mainly small scale subsistence farmers. There is a 750km rail connection to the port of Mombasa, where Acacia has an existing supply chain.

www.acaciamining.com

News courtesy of International Mining