Aug 19 2014
Legend Gold Corp. is pleased to announce that Randgold Resources (Mali) Limited has completed the initial review and ground truthing of the portfolio of seven permits held in Joint Venture with Legend, located 30 km south of the Sadiola Gold Mine in western Mali.
Randgold has confirmed previous work and preliminary sampling results are encouraging.
The work has included field mapping programmes with traverses conducted across a 5 km wide, 17 km long North South corridor on the eastern side of the Senegalo-Malian Shear (SMS), which marks the terrain boundary between the Kofi and Keniebandi formations and is an important regional control on gold deposit formation. At the same time an extensive, historical library of data has been collated to assist with interpretation. This includes a detailed VTEM survey flown over the portfolio as well as geochemical data from soil surveys and drilling programmes.
Work has identified a narrow unit of coarser grained sediments that runs along the eastern margin of the SMS which has received limited testing previously. Mapping along these units has identified greywackes as well as limestone in the field, with the latter being an important factor in the formation of many deposits in the Kofi formation and the host of the Sadiola and Yatela mineralizations, approximately 30 km along strike to the north. Of the 94 lithosamples collected across the mapped corridor, nine returned anomalous results of gold between 0.23 g/t and 5.9 g/t. The highest value was recorded in a limestone which is the same rock type that hosts the Sadiola and Yatela mines mineralization.
Under the terms of the earn-in agreement signed in March 2014, the Joint Venture will have a Management Committee composed of three members from Randgold and two members from Legend. The cost of all prospecting activities including the preparation of a pre-feasibility study will be borne by Randgold. Once the pre-feasibility study is approved by the Management Committee and definitive feasibility study commenced, Randgold and Legend will begin to share expenses on a 51:49 basis, respectively. If Legend elects not to participate in the financing of the definitive feasibility study, its interest will be diluted from 49% to 35% upon completion of the bankable feasibility study. Randgold is the operator of the Joint Venture and is responsible for all work and reporting requirements of the Joint Venture. For more information on the Randgold JV, please refer to the Company's news release dated March 4, 2014.
Source: http://www.legendgold.com