Shanta Gold
Shanta Golds' New Luika gold mine in south west Tanzania has been in operation as an opencast mine since 2012

AIM-listed gold miner Shanta Gold has revealed some of the best exploration results to date from the second phase of its Bauhinia Creek drilling campaign at the New Luika gold mine in South Western Tanzania, conducted during the second quarter of 2019.

Phase 2 of Shanta Gold’s 2019 drilling campaign at New Luika consisted of three diamond holes drilled at the Bauhinia Creek Central-West underground mine.

The drilling targeted areas on the western side of the ore body, below the existing reserves and mine plan.  Holes were drilled from level 740 inclined at between -38.2 and 73.8 degrees and averaged 167.7 m in depth with a maximum of 182.9 m down the hole.

These results are over a strike length of 120 m with holes spaced between 30 and 40 m sections.

It is estimated that the true widths of the mineralised zones are > 90% of the intersected widths in the holes. The mineralised zones are presented by moderately dipping quartz veins hosted by granodioritic rocks.

Eric Zurrin, CEO, comments:

“It is of great encouragement to see such exceptional grades and widths as we go deeper into the ore body. The vertical level of the current mine plan is only 250 m below the portal and we look forward to further exploring these high grade extensions in the second half of 2019.”

“Mine life extension is the single biggest contributor to value for Shanta Gold shareholders given the quality of the ore body and we will be combining the phase 1 & 2 results into an updated resource estimate in July.”

Within Bauhinia Creek, one of three active sources of ore currently being mined at New Luika; results from the Phase 2 drilling included:

  • CSD122 intersected 16.02 meters grading 9.36 g/t Au;
  • Hole CSD123 intersected 7.07 meters grading 16.10 g/t Au;
  • Hole CSD119 intersected 2.43 meters grading 5.26 g/t Au;

The new high grade intersections uncovered earlier in the year are outside the existing mineral reserves and will be incorporated into the mine plan.

The new area is below the existing mineral reserves at Bauhinia Creek, exhibiting higher grades and widths at depth.

The strike length of high-grade mineralisation below the existing reserves is estimated at 280 m and remains open at depth.