Microsoft Word - ASX Announcement - Extensions Confirmed at Kitongo (Final)



ASX RELEASE 10TH November 2014


ASX code: RVY


Board of Directors:


Geoff Gilmour

Managing Director


Greg Cunnold

Technical Director


Graeme Clatworthy

Non‐executive

Director


Tel: +61 (8) 9221 0090 Fax: +61 (8) 9221 0095


ABN: 86 121 985 395

DRILLING DEFINES EXTENSION AND CONFIRMS MAIN ZONE RESOURCE AT KITONGO GOLD PROJECT



Rift Valley Resources Limited ('Rift Valley' or 'Company') (ASX: RVY) is pleased to announce that its recent RC drilling program has intersected strong zones of gold mineralisation at the Kitongo Gold Project in Tanzania. The fourteen hole program was the first drilling at the deposit since 2001 and was designed to confirm the existing resource and to test for depth and strike extensions to the Main Zone. Strong zones of mineralisation were intersected including:

  • 21m at 2.68g/t from 12m (including 12m at 4.14g/t from 12m)
  • 21m at 2.43g/t from 117m (including 3m at 9.74g/t from 135m)
  • 12m at 1.67g/t from 69m
  • 18m at 1.55g/t from 51m


The drilling has confirmed that resource grade mineralisation continues at depth beneath the defined 370,000oz Main Zone resource. Importantly, the results have also identified a major new zone of shallow mineralisation in the South Limb position. The new zone is outside the area of artisanal mining and remains open down dip and for at least 300m along strike.

Managing Director of Rift Valley, Geoff Gilmour said 'We are pleased that our first drilling at Kitongo has confirmed our view that major upside exists at the project. It is particularly encouraging to define a new zone of shallow mineralisation in the South Limb. Further testing of this zone and other targets at the project are being planned, with the aim of defining a substantial increase to the existing 370,000oz Mineral Resource.'


Rift Valley Initial Drilling Program

Rift Valley's initial drilling program was designed to test for extensions to the Main Zone mineralisation which remained strongly open along strike and at depth. The existing 370,000oz Mineral Resource at the Main Zone occurs within the Northern Shear (Figure 1). Sparse drilling and geochemical sampling had also defined a gold target within the interpreted South Limb position.


Rift has tested the depth extensions of the Main Zone with three holes at 100m spacings. Results are shown on cross section in Figures 2, 3 and 4. Two holes intersected strong gold mineralisation confirming the potential for major depth extension to the deposit. The third hole was abandoned due to drilling problems but did intersect the upper limit of the mineralised zone. These results have confirmed the potential to define major extensions to the Main Zone structure along the 800m of the defined resource. The historic Main Zone drilling was typically limited to 60‐80m vertical depth. Better results from the Main Zone drilling include:


  • 21m at 2.43g/t from 117m in KTRC255
    • including 3m at 9.74g/t from 135m
  • 12m @ 1.67g/t from 69m in KTRC256


    The holes drilled into the interpreted South Limb position have defined a strong zone of shallow mineralisation (Figure 5). In this area, historic RAB and air core drilling had defined intermittent zones of mineralisation. Rift geologists had re‐interpreted the historic data and concluded that previous holes may have been drilled in the wrong direction. The recent results have confirmed that interpretation with the intersections of:


  • 21m at 2.68g/t from 12m in KTRC259
    • including 12m at 4.14g/t from 12m
    • which includes 3m at 10.8g/t from 15m
  • 18m at 1.55g/t from 51m in KTRC260


The South Limb trend is defined by shallow geochemical drilling and remains open to the northwest of the Rift Valley holes for over 300m within which no deep drilling has been completed to follow up anomalous gold mineralisation.


Historic drilling had intersected high grade gold mineralisation defining a potential northern extension to the deposit. The holes drilled by Rift Valley in this area did not return gold mineralisation even though a number of the holes intersected visually mineralised zones. A number of holes did not reach the target due to poor drilling conditions. The Company has commenced a check sampling and assaying program to verify the results. All of these holes were outside the limit of the Mineral Resource so will not affect the stated resource.


All reported intersections are based on assaying of 3m composites samples. The mineralised zones will be re‐assayed using the 1m samples collected from the cone splitter at the time


of drilling.


Detailed results from the Rift Valley program are included in Table 1.


Figure 1: Kitongo Main Zone with Rift Valley drilling, geology and resource boundary




Figure 2: Cross Section 4250N


Figure 3: Cross Section 4350N
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