Feb 24 2011
Canaco Resources Inc. (TSX VENTURE:CAN) has reported results from 30 new holes on the Magambazi zone at the Company's Handeni Project in Tanzania.
Canaco is also pleased to announce that five drill rigs are now operational on site, accelerating both resource definition and systematic drilling of regional targets.
Drilling has focused on the Magambazi North area over the last month and has extended the known gold lode system a further 40 metres north, with the mineralized lodes still remaining open to the north.
Deviation during drilling caused the intersection in hole 107 (48.3 metres at 7.24 grams per tonne gold) to be in close proximity to the intercept previously reported from hole 98 (53.2 metres at 9.91 grams per tonne gold). This result thereby has confirmed the mineralization in the Keel Zone as reported in hole 98. (Refer to the Company's December 22, 2010 press release.)
In conjunction with the favourable ground tenure resolution for Canaco at Magambazi Central (refer to the Company's February 14, 2011 press release), the drill program will now shift focus toward definition drilling of the high-grade Keel Zone of the Magambazi Main Lode system between Magambazi and Magambazi North.
Quality Control
The planning, execution and monitoring of Canaco's quality control programs at the Handeni project are under the supervision Jeff Heidema, P.Geo, Canaco's VP Exploration, and Dr. David Groves, Canaco's Director of Project Development. Mr. Heidema and Dr. Groves are Qualified Persons as defined by National Instrument 43-101. Diamond core samples are prepared and analysed at the SGS Geochemical Laboratory in Mwanza, Tanzania. Samples are processed by Fire Assay with A.A. finish under the SGS FAA505 protocol. Canaco utilizes an industry standard QA/QC protocol with respect to sampling procedures. Blanks and certified reference standards are inserted into the sample stream to monitor laboratory performance and duplicates of pulps and bulk rejects are also used to monitor laboratory performance.
Source: Canaco Resources Inc.