In an announcement Thursday, Oriole Resources (LSE:ORR) disclosed that IAMGOLD is about to restart exploration at the Dalafin gold project in Senegal. IAMGOLD is progressing into the second year of its earn-in to the project with a budget of $1m.
Oriole currently owns an 85pc interest in Dalafin and the firm has provided IAMGOLD with an option to earn-in to an initial 51pc interest with a $4m spend over four years progressing the project. IAMGOLD can further extend its interest to 70pc with an additional $4m spend over the following two years.
The exploration programme will continue to focus on Madina Bafé and will include 5,000m of regional aircore (AC) drilling, to extend the previous 2018 campaign and 4,000m reverse circulation (RC) drilling to follow-up on the best results from last years drilling. Then focus will turn to the Saroudia prospect situated 2km away with 2,500m regional AC drilling and RC drilling will follow at the best locations. Oriole expects results will be available towards the end of the second quarter or early in Q3 this year.
The Dalafin Licence
The Dalafin licence is located in the Birimian-age Kédougou-Kenieba gold belt that extends from eastern Senegal into western Mali and has already seen multiple major gold discoveries including Randgold Resources’ Massawa deposit which is estimated to contain 3.4 million ounces of gold. four main geochemical targets, Faré, Baytilaye, Saroudia, and Madina Bafé, have been identified to date.
Oriole Resources CEO, Tim Livesey, said: "We are delighted to announce that IAMGOLD has committed to its year two earn-in on the Dalafin licence following an initial successful drilling programme last year.
The exploration programme outlined will continue to build on the exciting results already delivered at the Madina Bafé prospect with additional drilling planned for the Saroudia prospect to the North-West.
Our partnership with IAMGOLD at Dalafin has already contributed significantly to the increasing value of Oriole's wider portfolio, and we look forward to updating the market on this stage of the drilling programme later on in the year."
Author: Stuart Langelaan
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