Sarama Resources Reports Significant Increase IN Mineral Resources at the Sanutura Project
NOVEMBER 16, 2021
SARAMA RESOURCES REPORTS SIGNIFICANT INCREASE
IN MINERAL RESOURCES AT THE SANUTURA PROJECT
VANCOUVER, CANADA. Sarama Resources Ltd. (“ Sarama” or the “ Company”) is pleased to announce a significant
increase in mineral resources for its 100%-owned(12) Sanutura Project (the “Project”) in south-west Burkina Faso. This
follows an updated interpretation and re-estimation of mineral resources at the Bondi Deposit, located to the north of
the Project’s main Tankoro Deposit.
The Sanutura Project is an advanced-stage exploration project covering approximately 1,500km² (refer Figure 1) that
hosts a significant, well-defined mineral resource base and a suite of exploration targets.
The updated mineral resource estimate at the Project (refer Table 1) now stands at:
• 9.4Mt @ 1.9g/t Au for 0.6Moz gold (Indicated); plus
• 52.7Mt @ 1.4g/t Au for 2.3Moz gold (Inferred)(1).
This represents a significant increase over the 2020 mineral resource estimate of 0.6Moz Au (Indicated) and 1.9Moz Au
(Inferred)(2) (refer Appendix B) and highlights the scale of the Project and the valuable contribution of the Bondi Deposit.
The combined oxide and transition component of the mineral resource now totals 0.2Moz gold (indicated) plus 0.8Moz
gold (inferred)(4), illustrating the ability to provide early plant feed to support a potential staged mine development.
Re-interpretation and improved modelling of the Bondi Deposit has identified several higher -grade shoots within the
mineral resource and will greatly assist in exploration targeting. This, combined with compelling regional targets at the
Zanawa and Malbus Prospects are expected to deliver further increases to the mineral resource base.
Highlights
• Project mineral resources of 0.6Moz gold (indicated) plus 2.3Moz gold (inferred)(1) (pit shell and underground
blockout constrained)
• Significant amount of higher-grade material of 6. 3Mt @ 2.5g/t Au for 0.5Moz Au (Indicated) plus 2 9.8Mt @
1.9g/t Au for 1.8Moz Au (Inferred)(3) contained within the mineral resource
• Oxide and transition material increased to 0.2Moz Au (Indicated) and 0.8Moz Au (Inferred)(4,5) (~33% of the total
mineral resource)
• Free-milling component of mineral resource increased to 0.2Moz (indicated) plus 1.1Moz Au (Inferred)(6) (~44%
of the total mineral resource) which has the potential to provide early feed for a multi-stage mine development
• Approximately 20% of the mineral resource is ‘indicated’ classification at an elevated grade of 1.9g/t Au,
reflecting higher geological confidence in higher-grade zones
• Approximately 70% of the defined mineral resource for the Bondi Deposit is situated within 80m from surface
• Project mineral resources now include the Bondi Deposit – 9.2Mt @ 1. 5g/t Au for 0.5 Moz Au (Inferred)(7)
following an extensive re-interpretation and updated estimate
• Metallurgical testwork demonstrates gold recoveries of +90% for all material types across the Sanutura Project
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Sarama’s President and CEO, Andrew Dinning commented:
“We are very pleased with the significant increase to the mineral resource estimate for Sarama’s 100%-owned Sanutura
Project. This resource update marks the completion of a significant amount of technical work on historical exploration
data and gives clear direction for future exploration where the Company is seeking to materially increase the Project’s
mineral resource.
The inclusion of the Bondi Deposit to the Project’s mineral resource base provides a significant increase in high- grade,
free-milling material and has the pote ntial to materially improve start -up economics for the Project. In addition, the
overall increase in the oxide and free -milling component to 0.2Moz Au (Indicated) plus 1.1Moz Au (Inferred)(6) has a
material impact on the project development picture and our next key step will be to pursue the compelling exploration
targets we have identified across the Project. These targets (8,9,10), when combined with the current mineral resources,
give us an exploration target in excess of 3-3.5 million ounces of gold.
The Project is being positioned as a long-life, multi- stage asset that can be built and paid for well before we have
exploited the oxide resource and one which provides significant optionality and leverage to the gold price and remains
key to the development of the southern Houndé Belt.”
Mineral Resource Estimate
The independent mineral resource estimate for Sarama’s 100%-owned Sanutura Project was undertaken by Cube
Consulting Pty Ltd (Perth, Western Australia) and features an extensive update to the interpretation and estimation of
mineral resources at the Bondi Deposit, a key component of the Project. The update incorporates data from all
exploration activities at the deposit, which have occurred over the period 2003 - 2018.
The updated mineral resource for the Sanutura Project is:
• 9.4Mt @ 1.9g/t Au for 0.6Moz gold (Indicated); plus
• 52.7Mt @ 1.4g/t Au for 2.3Moz gold (Inferred)(1).
This is comprised of mineral resources for the Tankoro Deposit of 9.4Mt @ 1.9g/t Au for 0.6Moz Au (Indicated) and
43.6Mt @ 1. 4g/t Au for 1.9Moz (Inferred) and the Bondi Deposit of 9.2Mt @ 1. 5g/t Au for 0.5Moz (Inferred) (refer
Appendix A, Table A1).
Table 1 summarises the updated mineral resource for the Project and Appendix A contains detailed breakdowns as well
as notes outlining the methodology used for interpretation, estimation and classification.
The mineral resource features a higher-grade component of 6.3Mt @ 2.5g/t Au for 0.5Moz Au (Indicated) plus 29.8Mt
@ 1. 9g/t Au for 1. 8Moz Au (Inferred)(3) which reflects the presence of numerous higher -grade zones within the
mineralised systems. These zones are typically located in areas of structural complexity with an associated increase in
the volume of the package of stacked lodes, which the Company would seek to leverage to provide early plant feed in
a potential mine development. Figure 4 illustrates the core areas of the MM and MC Prospects at the Tankoro Deposit
which feature higher-grade mineralisation in structurally complex settings.
An increase in th e oxide and transition components of the mineral resource to 3.2Mt @ 1.6g/t Au for 0.2Moz Au
(Indicated) plus 23.4Mt @ 1. 1g/t Au for 0. 8Moz Au (Inferred)(4,5) has been delivered by the update and Sarama will
specifically target this type of material in future drilling programs to provide early plant feed for a potential staged mine
development.
Significant quantities of modelled mineralisation remain unclassified and the subject of future drilling campaigns with
the intent of converting into mineral resources.
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Table 1 - Mineral Resources(A,B) – Sanutura Project
Geological
Classification
Material Type
(C,D)
Reporting
Cut-off
Grade(E,F)
Tonnage
Above
Cut-off Grade
Average
Grade Above
Cut-off Grade
Contained
Gold Above
Cut-off Grade
Metal
Contribution
g/t Au Mt g/t Au koz Au %
Indicated Oxide (OP) 0.2 2.5 1.5 123 21%
Transition (OP) 0.3 0.7 1.7 38 6%
Fresh (OP) 0.5 6.1 2.1 409 70%
Sub-total (OP) 9.3 1.9 570 98%
Fresh (UG) 1.6 0.1 2.4 11 2%
Total Indicated 9.4 1.9 582 100%
Inferred Oxide (OP) 0.2 18.9 1.1 638 27%
Transition (OP) 0.3 4.4 1.2 172 6%
Fresh (OP) 0.3 & 0.5(F) 25.9 1.5 1,222 52%
Sub-total (OP) 49.2 1.3 2,032 87%
Fresh (UG) 1.5 & 1.6 3.5 2.8 314 13%
Total Inferred 52.7 1.4 2,344 100%
Table Notes
Mineral resources are not mineral reserves and do not demonstrate economic viability .
All tonnage, grade and ounces have been rounded and minor discrepancies in additive totals may occur.
Weathering classification is based on visual assessment of drill core and cuttings by geologists and does not represent a def initive geo-
metallurgical classification.
Mineral resources are reported as a mining shape-constrained subset of the modelled mineral inventory following assessment f or ‘reasonable
prospects for eventual economic extraction’ by the generation of open pit optimisation shells (“OP”) and underground mining blockouts (“UG”).
The assessment is not supported by a preliminary economic assessment or a feasibility study and the geological classification and reporting
categorisations do not imply that mineral resources demonstrate economic viability. OP and UG constrained mi neral resources are exclusive
of each other.
For the Tankoro Deposit, c ut-off grades were determined using a gold price of US$1 800/oz, metallurgical recoveries supported by testwork
and based on oxide material being processed by a CIL flowsheet and transition and fresh material being processed by a flotation+BIOX®+CIL
flowsheet and operating cost assumptions for mining, processing and G&A activities considered appropriate for the anticipated configuration
of a pot ential development at the Project. Fresh material at the Guy , Legbenege and Poggle Prospects is assumed to be free -milling and
reported at a cut-off grade of 0.3g/t Au. All other OP fresh mineral resources reported at a cut -off grade of 0.5g/t Au.
For the Bondi Deposit, c ut-off grades were determined using a gold price of US$1800/oz, metallurgical recoveries supported by testwork and
based on material be ing processed by a CIL flowsheet and operating cost assumptions for mining, processing and G&A activities considered
appropriate for the anticipated configuration of a pot ential development at the Project.
Tankoro Deposit
The mineral resource for the Tankoro Deposit (refer Figures 2 & 4) is principally contained in an extensive package of
mineralised lenses, presenting as gold -quartz veinlets and disseminated gold-pyrite within quartz -feldspar-porphyry
dykes and sediment-hosted quartz veins. The package is interpreted to extend over a semi-continuous strike length of
approximately 16km in a trend that spans approximately 1.4km across the strike (refer Figure 2). A large portion of the
mineral resource has only been drill-tested to approximately 70m depth, however drilling of certain higher-grade zones
has shown the system to extend to 550m depth where it remains open. The mineralized corridor, as presently defined
by drilling, lies within a 30km-long, gold-in-soil geochemical anomaly that remains a key focus for ongoing exploration.
A second mineralised trend in the east of the Project area makes a minor contribution to the mineral resource estimate.
This trend is also defined by a large gold -in-soil geoch emical anomaly extending for 30km and features gold
mineralisation hosted in quartz veins which have typically been drilled to a depth of 30-50m. The under-explored nature
of the trend highlights the potential of the Project to host mineralisation of significance outside the historically well-
drilled areas in the west and several zones within the trend will be targeted in upcoming exploration programs.
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Bondi Deposit
The mineral resource for the Bondi Deposit (refer Figures 3 & 5) is contained in a series of mineralised lenses primarily
hosted in a regionally extensive, sub -vertical shear zone system. The mineralisation typically presents as gold-quartz
veins and veinlets within a range of lithological host units forming sub -vertical, semi-continuous lenses. These lenses
strike N-S to NNE with several closely-spaced parallel lenses combining to form a mineralised package spanning up to
50m across the strike. The mineralised system extends for approximately 6km along strike and in its central area,
features a proliferation of structurally-controlled minor lodes striking in a NNW to N-S direction. At its widest point in
this area the mineralised package spans approximately 500m across.
Drilling at the deposit is extensive, with the central zone being largely i nformed by holes at 25m x 25 -50m spacing in
the near -surface, open-pittable areas. Drilling in a high -grade central zone has extended to a vertical depth of
approximately 300m with the mineralisation remaining open. For a large part of the mineral resource, the drilling only
extends to 150m below surface and in many areas only 50m below surface.
Exploration Targets
Gold mineralisation, within 5km of the Bondi Deposit occurs in a diverse range of geological settings and deposit types,
has been intersected in recent drill programs. This includes disseminated gold associated with E -trending structural
features, within and proximal to, intermediate intrusive units (eg. Zanawa Prospect; refer Sarama’s news release of 20
September 2018), high -grade gold -quartz veins cutting fractured mafic volcanic rocks and gold -quartz veinlets
associated with a regional shear zone.
More than 30 exploration targets have been identified by Sarama within the larger Sanutura Project area from soil
geochemical surveys, IP geophysical surveys, airborne magnetic survey interpretation and historical drilling and these
targets will be further explored with a view to establishing multiple satellite feed deposits.
In addition to the stated mineral resources, the Tankoro Deposit has a primary exploration target of a further 3.5-4.3Mt
@ 1.2-1.4g/t Au for 135-190koz Au(8), consisting of modelled and estimated mineralisation contained within the open
pit shell and underground blockouts. A secondary exploration target of 12.0-14.7Mt @ 1.2-1.4g/t for 0.5-0.7Moz Au(9)
has been modelled and estimated outside the constraining mining shapes. The Bondi Deposit has a primary exploration
target of 2.5- 3.1Mt @ 0.9- 1.1g/t Au for 70- 100koz Au (10), consisting of mo delled and estimated mineralisation
contained within the open pit shell and underground blockouts.
While t he potential quantity and grade of these exploration targets is conceptual in nature and there has been
insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target
being delineated as a mineral resource, they present viable exploration targets for the Company to pursue.
For further information on the Company’s activities, please contact:
Andrew Dinning or Paul Schmiede
t: +61 (0) 8 9363 7600
The Company will prepare and file a technical report under National Instrument 43 -101 within 45 days of the date of
this news release.
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Figure 1 – Sanutura Project Location
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Figure 2 – Tankoro Deposit - Western Corridor Mineralisation & Geology Plan
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Figure 3 – Bondi Deposit - Mineralisation and Geology Plan
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Figure 4 – Higher-Grade Zones Within the Tankoro Deposit (Model Filtered >1.2g/t Au), 3D View to NW from Above, MM & MC Prospects