Kavango Resources Plc announced the first assay results from the Hillside Prospect 4 gold project ("Prospect 4") in Matabeleland, southern Zimbabwe. Hole SKDD001 was a scoping hole sited to target mineralisation in a steeply dipping shear zone below artisanal workings. SKDD001 was drilled to a total depth of 247.40 m and intersected the targeted shear zone being worked by the artisanal miners.

Best results in the hole include: 2.53 m @ 29.08 g/t gold from 97.47 m, associated with visible gold (average peak grade of 212.07 g/t over 0.34 m). 1.32 m @ 1.80 g/t gold from 214.46 m. The hole contains multiple further broad zones of geochemically anomalous gold values thought to relate to additional shear zones. An Induced Polarisation (IP) survey identified three further potential shear zones, parallel to the one being worked by artisanal miners.

Results are pending on four other holes drilled across three other Hillside prospects. Kavango Mining to examine near surface gold mining potential at Prospect 4, based on intersected grades and ongoing artisanal mining in the area. Prospect 4 Assay Results and Geology: The host rock intersected in diamond drill hole SKDD001 consists of felsic gneiss and schists, thought to be of Archean age.

These feature extensive quartz veining and locally contain a visually estimated up to 5% pyrite with arsenopyrite and chalcopyrite. Visible gold was observed at a downhole depth of 97.68 m. and was further confirmed at assay, with an average peak grade of 212.07 g/t over 0.34 m. Five assays were run on the sample to confirm this grade, with AAS finish returning grades of 172.29 g/t, 214.38 g/t and 250.89 g/t gold, and gravimetric finish returning grades of 211.79 g/t and 210.99 g/t. True thickness will be evaluated once additional holes are available to determine final geometry. The hole is inclined at 60° towards the target, which is understood to dip towards the drillhole at a steep angle (actual geometry is expected to be confirmed by a second hole in the future).

Analysis for gold in diamond drill hole SKDD001 was carried out as a 25g fire assay with AAS fusion on halved core samples. Analysis was carried out by a Zimbabwe based laboratory accredited by SADCAS. Kavango inserted 20% standards, duplicates, and blanks as additional quality control measures.

The hole was drilled as a diamond core scoping hole using a combination of HQ and NQ diameters. All core was logged in the field and cut in half using a core saw before being sent for analysis.Samples were taken based on geological contacts, and/or of approximately 1m length.Core recovery was monitored closely throughout, and recovery exceeded 95% below the weathered regolith. Any voids were noted.Core was consistently cut perpendicular to the dominant fabric which hosts the quartz veins and associated sulphides.

The drillhole was aligned to transect a number of artisanal workings while also crosscutting the mapped lithologies and the first of four interpreted shear zones identified from ground IP. Other than geological mapping and limited soil sampling in the 1980s Kavango is not aware of any previous modern mineral exploration in the area. Kavango has compiled historic mapping and geophysical interpretations into a series of working maps.

Next Steps: Kavango has completed four other holes across its Hillside prospects and is awaiting assays for previously submitted samples. The Company has now been granted an export permit which will enable it to send the pulps from these samples to an internationally accredited laboratory in Johannesburg for Fire Assay and multi-element analysis. These results will then serve as referee samples for check purposes.

All results will then be combined, and results ranked across the prospects to allow Kavango to focus future drilling programmes on developing the most promising targets to identify possible gold resources. Kavango Mining, which is now set up and operating, will on completion of all assays review the results from SKDD001 and future follow up holes to see, based on the assay data and artisanal activity if there may be a future opportunity to develop near-surface mining on this prospect.