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Resource Clips


Posts tagged ‘Volta Resources Inc (VTR)’

Burkina bulletins

September 18th, 2012

A steady stream of gold news flows from west Africa

By Greg Klein

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A poor country rich in gold. That contradiction might someday correct itself if mining can improve life for the people of Burkina Faso. Over the last six years several Canadian companies have explored its potential, among them Riverstone Resources TSXV:RVS. (Update: On February 25, 2013, Riverstone Resources Inc began trading as True Gold Mining Inc TSXV:TGM.) In what’s almost a weekly event, the company announced drill results September 17 from its Karma Gold Project.

Assay highlights from the Kao Deposit include

  • 9.5 grams per tonne gold over 12 metres
  • (including 33.6 g/t over 2 metres)
  • 2.02 g/t over 30 metres
  • (including 2.54 g/t over 18 metres)
  • 2.97 g/t over 14 metres
  • 13.45 g/t over 2 metres
  • 1.73 g/t over 12 metres
  • 3.21 g/t over 6 metres
  • 3.19 g/t over 4 metres
A steady stream of gold news flows from west Africa

Adversity notwithstanding, wide-ranging gold exploration
continues in Burkina Faso.

True widths are estimated between 90% and 100%. Depths extend to 260 metres, but most were less than 54 metres. The company states that its resource update, scheduled for release later this month, is expected to show an increase in more easily recoverable oxide resources.

Karma’s current estimate, issued last January, shows an indicated resource of 54.1 million tonnes grading 1.02 g/t gold for 1.77 million gold ounces and an inferred resource of 37.4 million tonnes grading 0.8 g/t for 959,000 ounces. Over 80% of the resource falls within five Whittle open pit shells. Over 85,000 metres of additional drilling will be incorporated into this month’s update.

On September 17 the company also filed the technical report for Karma’s PEA, which was announced last month. The study projects an initial capex of $125 million, which might be cut to $96 million through contract mining. The study also shows a pre-tax net present value of $271 million and a 47% internal rate of return, or an after-tax NPV of $192 million and a 37% IRR. Payback is estimated at two years.

The study examined three processing options, favouring a heap leach operation that would process three million tonnes of oxide and transition mineralization annually to produce 70,000 to 90,000 gold ounces a year over a 10-year life. Cash costs would come to $525 an ounce. Calculations are based on a gold price of $1,350 an ounce.

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Volta reports Burkina Gold PFS with $609.7M capex, $548M NPV, 23.3% IRR, 340K oz/year, 10.3-year life

May 4th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningVolta Resources Inc TSX:VTR announced results of a prefeasibility study for its Kiaka Gold Project in south Burkina Faso. The study is based on proven and probable reserves of 126.08 million tonnes at a diluted grade of 0.96 g/t gold for 3.89 million ounces gold, with annual mining of 12 million tonnes of gold ore from a single open pit at a strip ratio of 2.95:1 and an average metallurgical recovery of 89.84%.

The study projects a capex of $609.7 million and average operating costs of US$671 an ounce for a pretax NPV of $548 million assuming a gold price of $1,372 per ounce and an 8% discount rate, with a pretax IRR of 23.3% with a 4.3-year payback on initial capital. Annual production is estimated at 340,000 ounces gold over a life of 10.3 years.

Volta holds an 81% interest in the project. A local company holds 9% as a participating partner, and the Burkina Faso state owns a 10% free-carried interest.

President/CEO Kevin Bullock stated, “These are monumental results for Volta that widely exceeded our expectations and place Volta firmly on the path to production. It’s notable that the strong economic benefits arise from conservative assumptions and, along with numerous options for optimization, we are confident that we can make these numbers even more powerful. We will continue our aggressive pace toward production. We will continue drilling our new high-grade deposit and conclude various technical tasks in order to begin a feasibility study as soon as possible.”

View Company Profile

Contact:
Kevin Bullock
President/CEO
647.388.1842

by Greg Klein

Volta reports Burkina Faso Gold Assays up to 1.65 g/t over 219m

March 14th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningVolta Resources Inc TSX:VTR announced assays from its Kiaka gold project in Burkina Faso, West Africa. Results include

1.07 g/t gold over 217.2 metres
1.35 g/t over 17 metres
1.65 g/t over 219 metres (including 4.81 g/t over 17 metres)
1.37 g/t over 29.3 metres (including 5.56 g/t over 5 metres)
1.02 g/t over 59.8 metres (including 5.6 g/t over 4.4 metres)
0.76 g/t over 118 metres (including 1.69 g/t over 23.5 metres)
1.12 g/t over 104 metres (including 6.84 g/t over 6 metres)
1.31 g/t over 154 metres

The Kiaka gold project has a June 2011 NI 43-101 mineral resource estimate of 3.02 million ounces gold in the measured and indicated categories, 1.26 million ounces inferred.

View Company Profile

Contact:
Kevin Bullock
President/CEO
647.388.1842

or Andreas Curkovic
Investor Relations
416.577.9927

by Ted Niles

Volta reports Burkina Faso Gold Assays including 2.22 g/t over 59m

March 6th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningVolta Resources Inc TSX:VTR announced results from its Kiaka gold project in Burkina Faso, West Africa. Assays include

1.22 g/t gold over 43.3 metres
1.12 g/t over 135 metres
2.22 g/t over 59 metres
1.25 g/t over 121 metres
1.54 g/t over 21 metres
0.99 g/t over 92.2 metres
1.28 g/t over 35.2 metres
1.04 g/t over 53.1 metres
1.1. g/t over 65 metres
0.81 g/t over 105.5 metres
1.28 g/t over 52 metres

CEO Kevin Bullock stated, “With the results from the final holes of the infill drilling now starting to come in, we look forward to announcing an updated NI 43-101-compliant resource within the next few weeks.”

View Company Profile

Contact:
Kevin Bullock
President/CEO
647.388.1842

by Ted Niles

Volta reports Burkina Faso Assays including 1.57 g/t Gold over 153m

February 28th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningVolta Resources Inc TSX:VTR announced results from its Kiaka Gold Project in Burkina Faso. Highlights include

1.57 g/t gold over 153 metres
(including 2.8 g/t over 30 metres)
0.83 g/t over 171 metres
(including 2.3 g/t over 6 metres)
1.95 g/t over 59 metres
1.45 g/t over 76 metres
(including 3.09 g/t over 13 metres)
3.33 g/t over 28 metres
(including 8.69 g/t over 9 metres)
1.01 g/t over 89.2 metres
(including 4.62 g/t over 6.5 metres)
4.87 g/t over 7 metres

President/CEO Kevin Bullock stated, “These latest results again represent new milestones for Kiaka. When we first started developing the already significant Kiaka Deposit, our goals were to expand the deposit deeper and to better delineate the higher-grade zones. We have consistently met these goals and have accelerated our rate of achievement.”

View Company Profile

Contact:
Kevin Bullock
President/CEO
647.388.1842

or Andreas Curkovic
Investor Relations
416.577.9927

by Greg Klein

Volta reports Burkina Faso Gold Assays as high as 1.36 g/t over 59m

February 22nd, 2012

Resource Clips - essential news on junior gold mining and junior silver miningVolta Resources Inc TSX:VTR announced results from its Kiaka gold project in Burkina Faso, West Africa. Assays include

0.95 g/t gold over 69 metres (including 1.85 g/t over 14.1 metres)
1.36 g/t over 59 metres (including 1.97 g/t over 28 metres)
0.94 g/t over 163 metres (including 2.39 g/t over 16 metres)
1.99 g/t over 21.8 metres
1.1 g/t over 57.4 metres
0.97 g/t over 120.7 metres (including 1.3 g/t over 28 metres)
2.28 g/t over 12 metres (including 4.26 g/t over 4 metres)
1.52 g/t over 11.1 metres (including 2.82 g/t over 4.8 metres)

CEO Kevin Bullock commented, “Since the Central Area in the KMZ is the heart of the Kiaka deposit we are very happy to keep recording results that will continue to improve the project’s dynamics. These results, along with other recent results, are being used in the upcoming resource update and prefeasibility study.”

View Company Profile

Contact:
Kevin Bullock
President/CEO
647.388.1842

or Andreas Curkovic
Investor Relations
416.577.9927

by Ted Niles

Volta reports Burkina Faso Gold Assays as high as 1.98 g/t over 40m

January 25th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningVolta Resources Inc TSX:VTR announced assays from the Toulfe prospect of its Titao I permit in northwestern Burkina Faso, West Africa. Results include

2.92 g/t gold over 3 metres
2.98 g/t over 8 metres
1.36 g/t over 9 metres
1.96 g/t over 12 metres
1.98 g/t over 40 metres
1.72 g/t over 25 metres
0.95 g/t over 10 metres

CEO Kevin Bullock stated, “These results confirm that Toulfe is a new discovery for us in Burkina Faso. These are impressive first drill holes that provide us with quality targets for our next round of drilling. The results are particularly interesting due to their proximity to surface. As we continue to advance our flagship Kiaka project down the production path, we remain committed to demonstrate that we have further exciting exploration potential in Burkina Faso.”

View Company Profile

Contact:
Kevin Bullock
President/CEO
647.388.1842

or Andreas Curkovic
Investor Relations
416.577.9927

by Ted Niles

Volta reports Burkina Gold Assays as high as 1.25 g/t over 195.3m

January 16th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningVolta Resources Inc TSX:VTR announced assays from its Kiaka gold project in Burkina Faso, West Africa. Results include

1.61 g/t gold over 69.6 metres (including 2.11 g/t over 21.1 metres)
1.25 g/t over 195.3 metres (including 1.97 g/t over 58.2 metres)
0.66 g/t over 107 metres (including 1.14 g/t over 8 metres)
1.14 g/t over 83.6 metres (including 1.5 g/t over 49.2 metres)
0.71 g/t over 161 metres (including 2.12 g/t over 10.4 metres)

President/CEO Kevin Bullock commented, “These robust results are notable on their own, but they are even more encouraging because these holes were drilled in an area which does not include previously defined NI 43-101 resources. These results, along with earlier ones, will add more gold ounces to our upcoming revised resource estimate. Our new resource estimate will complement our prefeasibility study expected to be completed by the end of Q1 2012. At that time we will be in a strong position to aggressively pursue plans for production at Kiaka.”

View Company Profile

Contact:
Kevin Bullock
President/CEO
647.388.1842

or Andrea Curkovic
Investor Relations
416.577.9927

by Ted Niles

Volta reports Burkina Faso Gold Assays as high as 2.1 g/t over 121.2m

October 14th, 2011

Resource Clips - essential news on junior gold mining and junior silver miningVolta Resources Inc TSX:VTR announced assays from its Kiaka gold project in Burkina Faso, West Africa. Results include

2.1 g/t gold over 121.2 metres (including 2.93 g/t over 25 metres)
1.61 g/t over 19.4 metres
2.14 g/t over 9 metres
3.02 g/t over 33.5 metres
2.46 g/t over 10 metres
1 g/t over 14 metres
1.11 g/t over 24 metres
1.13 g/t over 12 metres
1.5 g/t over 12 metres

President/CEO Kevin Bullock commented, “These results give us the opportunity to increase and upgrade resources within the currently defined, Whittle-constrained pit as we work towards producing a NI 43-101 compliant prefeasibility study for Kiaka.”

View Company Profile

Contact:
Kevin Bullock
President/CEO
647.388.1842

or Andreas Curkovic
Investor Relations
416.577.9927

by Ted Niles

Back in Burkina

October 3rd, 2011

Channel Finds Gold, Stability in W Africa

By Ted Niles

Mining interest in Burkina Faso has grown remarkably over the last two decades. Channel Resources Ltd TSX:CHU has been there from the beginning. “Several significant projects iin Burkina were early Channel discoveries,” says Senior Vice President Cyrus Ameli. “When the price of gold and the whole exploration market really came off in the late 1990s-early-2000s, it was impossible for Channel to properly finance the exploration of these projects. There was a period where the company had to pull back from the projects and optioned a number of them away to different companies. Orezone Gold Corporation’s TSX:ORE Bomboré project was the last one.”

Retaining the Tanlouka gold project—itself formerly a part of the Bomboré project area—Channel refocused its energies on a number of projects in Ecuador. This proved fruitless for the company, as that country’s instability made exploration progressively more difficult. By 2007, it was virtually impossible. Ameli and President/CEO Colin McAleenan joined Channel that year. “Given the political risk and the expense of working in Ecuador, that was really the last straw for us in terms of our involvement there,” Ameli states. This unfortunately coincided with the market crash of 2008; a “double whammy” that drove the company’s stock as low as $0.01.

Channel Finds Gold, Stability in W Africa

However, Ameli says, “All through this time we’d been looking at the Tanlouka project, getting familiar with it. After Colin and I joined the company, we saw its potential based on the work that Channel had done previously.”

The 79-square-kilometre Tanlouka project is situated on the Markoye Shear Zone in West Africa’s Birimian Greenstone Belt. The Belt itself hosts numerous gold deposits, most notably AngloGold Ashanti’s Obuasi mine and Newmont Mining Corporation’s TSX:NMC Ahafo mine, both in Ghana.

The Markoye Shear Zone, which trends 450 kilometres north-south from Ghana through Burkina Faso, includes IAMGOLD Corporation’s TSX:IMG Essakane project, Orezone’s Bomboré project and Volta Resources Inc’s TSX:VTR Kiaka project, each with at least 3 million ounces gold. Moreover, given Tanlouka’s proximity to the Bomboré project, it is worth noting that Tanlouka shares some of its infrastructure advantages. Namely, highway access and proximity to the capital, Ouagadougou. Burkina Faso has other advantages. In its 2010-2011 Survey of Mining Companies, the Fraser Institute ranks it the second-best mining jurisdiction in Africa, after only Botswana.

Channel undertook an initial 11-hole drilling in 2010 to assess a number of targets at Tanlouka. “The Mankarga 5 zone is our main focus right now,” Ameli relates, referring to the company’s more expansive 15,000-metre drill campaign. “We have been quite fortunate in being able quickly to delineate what is, right now, a 1.85-kilometre-long strike length. We haven’t yet completed geological modelling on it, but we’re confident that we’ve discovered a zone with a horizontal width of up to 200 metres.”

September 14 assays of Tanlouka’s Mankarga 5 deposit include

  • 1.99 grams per tonne gold over 70 metres (including 6.47 g/t over 13.5 metres)
  • 1.1 g/t over 108 metres (including 2.32 g/t over 20 metres)
  • 0.92 g/t over 98.7 metres (including 1.15 g/t over 30 metres)
  • 1.2 g/t over 52.5 metres (including 5.67 g/t over 4.5 metres)
  • 0.77 g/t over 64.5 metres (including 1.32 g/t over 11.3 metres)

Ameli says of the results, “[They] are quite positive on a number of levels. First and foremost, they’re bearing out what we encountered with the RC [reverse circulation] program. We did some comparative holes—a comparison of similar intersections—and it showed by and large an increase in the grade. In some cases, not a lot—in, I think, one case it actually went down. But it’s showing that the RC grades that we encountered have been accurate or to a certain extent have been underestimating the true grade. It also shows that the deposit is indeed still open, that we can extend it further down to the south, past the existing 1.85-kilometre strike length.”

Burkina is one of the fastest growing producers in the world —Cyrus Ameli

The two rigs Channel has turning at Tanlouka are presently on break, due to the seasonal rains. They will resume shortly. The 2011 drill campaign is nearly half completed, and Ameli expects the project’s first resource estimate to be published by 1Q 2012. “From there on, it will be additional drill programs to expand on the resource to feed into a preliminary economic assessment; we don’t have a timeline for that at this point. The Mankarga 5 area is a very small part of the project, and we’ve identified a number of different target areas within the Mankarga zone, as well as further to the north on the property that really require some follow up, both in terms of further ground proofing as well as drilling. That’ll be happening over the next several months as well.”

Channel’s other major project is the Fox Creek lithium/potash project in west-central Alberta.

Ameli considers that Channel is undervalued compared to many of its peers in Burkina, but believes this will become evident with the release of a resource estimate. At press time, Channel has 111.6 million shares trading at $0.19 for a market cap of $21.2 million.

Ameli concludes, “Burkina is one of the fastest growing producers in the world. The business environment is quite stable. It encourages investment, so that forms the basis of our involvement there. In the last five years, I believe, five projects have gone into production. Which is a very rapid pace. We hope to participate in that as we move forward with Tanlouka.”