Xtra-Gold Announces Updated Mineral Resource Estimate for Its Kibi Gold Project in Ghana, West Africa 623,700 Oz. Au in Indicated Category and 180,700 Oz. Au in Inferred Category
Xtra-Gold Announces Updated Mineral
Resource Estimate for Its Kibi Gold Project in
Ghana, West Africa 623,700 Oz. Au in
Indicated Category and 180,700 Oz. Au in
Inferred Category
Toronto, Ontario--(Newsfile Corp. - November 1, 2021) -
Xtra-Gold Resources Corp. (
TSX: XTG)
(OTCQB: XTGRF)
("Xtra-Gold" or the "Company"),
is very pleased to announce the results of an
updated Mineral Resource Estimate on its wholly-owned Kibi Gold Project, located in the Kibi-Winneba
greenstone belt ("Kibi Gold Belt"), in Ghana, West Africa. The independent resource estimate, with an
effective date of September 30, 2021, incorporates an additional 212 diamond core boreholes
(25,198.55 m) completed since the October 2012 Maiden Resource Estimate. This includes 158 holes
(21,321.45 m) completed from February 2018 - June 2021 by Xtra-Gold's in-house drilling crews on
resource expansion targets within the Zone 1 - Zone 2 - Zone 3 gold-in-soil anomalies.
The new Mineral Resource encompasses updated resource estimates for the following five (5) deposits:
Big Bend, East Dyke, Mushroom, South Ridge and Double 19; and initial resource estimates for the
following three (3) deposits: Road Cut, Gatehouse and Gold Mountain. In aggregate, these eight
auriferous bodies are estimated to contain an Indicated Mineral Resource of 623,700 ounces of gold
and an additional Inferred Mineral Resource of 180,700 ounces of gold as summarized in Table 1, with
details presented in Table 2 in the Resource Estimate Summary section.
In comparison to the 2012
Maiden Resource Estimate, the updated Mineral Resource represents increases of 124.4% in the
Indicated category and 22.9% in the Inferred category. Approximately 73% of the Indicated Mineral
Resources (456,200 oz.) is contained within the essentially contiguous Big Bend and East Dyke
deposits.
Table 1: Summary of Mineral Resource Declaration for Kibi Gold Project
Declared in terms of CIM Definition Standards
(Effective Date: September 30, 2021)
Resource
Category
Cut-Off Grade
(Au g/t)
Tonnage
(t)
Density
(t/m
3
)
Average
Grade
(Au g/t)
Contained
Gold (oz)
Indicated
0.5
13,893,000
2.73
1.40
623,700
Inferred
0.5
5,694,000
2.80
0.96
180,700
"We see this Mineral Resource update as a solid base on which to continue growing the Kibi Gold
Project resource.
We are very pleased with the more than doubling of the Indicated Mineral Resource
from the Maiden Resource Estimate, as well as with the enhanced understanding of the litho-structural
controls of the gold mineralization gained through the updated 3D deposit models," remarked Jim
Longshore, Xtra-Gold's President and CEO.
"As a result of this greater mineralization control
confidence, ongoing exploration drilling by our in-house drilling crews since the late July 2021 Mineral
Resource database close-out date has identified additional targets for potential resource growth within
the Zone 1 - Zone 2 - Zone 3 Mineral Resource footprint area, further supporting our belief that we are on
the verge of proving up a significant new gold complex," added Mr. Longshore.
Resource Estimate Summary
The updated Mineral Resource estimate for the Kibi Gold Project disclosed herein was jointly prepared
by Pivot Mining Consultants (Pty) Ltd and Tect Geological Consulting of Johannesburg and Somerset
West, South Africa, respectively. The resource estimate, with an effective date of September 30, 2021,
was prepared in accordance with the Definition Standards for Mineral Resources and Mineral Reserves
set out by the Canadian Institute of Mining, Metallurgy and Petroleum ("CIM").
The updated resource encompasses eight (8) deposits collectively estimated to contain an Indicated
Mineral Resource of 623,700 ounces of gold based on 13,893,000 tonnes at an average grade of 1.40
grams per tonne ("g/t") gold and an additional Inferred Mineral Resource of 180,700 ounces of gold
based on 5,694,000 tonnes at an average grade of 0.96 g/t gold. Details for the Mineral Resource
estimate are outlined in Table 2 and the location of the respective auriferous bodies depicted in plan and
isometric (3D) views in Figure 1, available at:
Figure 1_Kibi Gold Project_MRE Body Locations
This new Mineral Resource Estimate updates and replaces the Company's prior maiden Mineral
Resource for the Kibi Gold Project, with an effective date of October 26, 2012, enclosed in the NI 43-101
technical report entitled
"Independent Technical Report, Apapam Concession, Kibi Project, Eastern
Region, Ghana"
, prepared by SEMS Explorations and dated October 31, 2012. The independent NI 43-
101 technical report supporting the updated resource estimate will be filed under the company's profile
on
www.sedar.com
within 45 days of this news release.
The database for the Kibi Gold Project encompasses 468 boreholes totalling 74,286.39 metres,
including 418 diamond core holes (69,571.39 m) and 50 reverse circulation (RC) boreholes (4,715 m),
drilled by Xtra-Gold since 2008.
This includes an additional 212 diamond core boreholes totalling
25,198.55 metres, completed since the 2012 Maiden Mineral Resource. The Kibi Gold Project
database also incorporates 405 trenches totalling 17,544.8 metres, including an additional 95 trenches
(3,018.7 m) completed since the 2012 resource estimate. This resource estimate encompasses drill
hole and trench data available as of July 30, 2021.
Three dimensional (3D) geological models were generated for each auriferous body, based on the
known geology and identified structural trends for the respective bodies.
The approach was based on
the premise that gold-bearing fluids would have preferentially flowed through the defined structures, as
depicted by the geological models. The detailed geological models, in addition to providing well-
constrained mineralization envelopes for mineral resource estimation, also serve as guides for
structurally-controlled mineralization zones that will be subject to further exploration targeting.
The present Mineral Resource encompasses updated resource estimates for the following five (5)
deposits: Big Bend, East Dyke, Mushroom, South Ridge and Double 19; and initial resource estimates
for the following three (3) deposits, which were at an early exploration stage at the time of the 2012
resource estimate: Road Cut, Gatehouse and Gold Mountain. No additional drilling was completed on
the Big Bend and East Dyke deposits since the previous resource estimate, with the updated resources
for these auriferous bodies based solely on new detailed structural analysis and 3D geological
modelling.
These eight (8) auriferous bodies lying within approximately 1.6 kilometres of each other, including: the
Big Bend, East Dyke, Mushroom and South Ridge deposits within Zone 2, with separations varying from
almost contiguous to 200 metres; the Double 19 deposit in Zone 3, approximately 450 metres southwest
of Zone 2; and the Gatehouse and Gold Mountain bodies situated in Zone 1, approximately 650 metres
southeast of Zone 2. Mineralization remains open down-plunge for all auriferous bodies, with several
bodies remaining open in multiple directions. Approximately 73% of the Indicated Mineral Resource
(456,200 oz.) is contained within the essentially contiguous Big Bend and East Dyke deposits, with
these auriferous bodies extending to approximately 650 metres and 500 metres, respectively, beneath
the topographic surface.
Gold mineralization within the Mineral Resource footprint area consists predominantly of tensional arrays
of auriferous quartz-carbonate veins hosted by folded diorite bodies with an interpreted Belt-type
granitoid affinity.
The gold-bearing zones occupy the hinges and limbs of predominantly anticlinal fold
structures.
Over 20 significant gold occurrences hosted by Belt (Dixcove)- and Basin (Cape Coast)-type
granitoids are known in Ghana, with a number constituting significant deposits.
These deposits
represent a relatively new style of gold mineralization for orogenic gold deposits within the West African
Birimian terrain.
Belt-type intrusion-hosted gold deposits include Newmont Mining's Subika deposit at
their Ahafo mine and Kinross Mining's Chirano deposit within the Sefwi gold belt, as well as Golden Star
Resources' Hwini-Butre deposit at the southern extremity of the Ashanti gold belt.
Table 2: Mineral Resource Declaration - Kibi Gold Project
(
1-
1
4
)
Effective Date: September 30, 2021
(Cut-Off Grade: Au 0.5 g/t)
Big Bend
Tonnage (t)
Density (t/m
3
)
Grade - Au (g/t)
Au (oz)
Indicated
6,472,000
2.78
1.48
307,400
Inferred
1,257,000
2.82
1.03
41,400
Double 19
Tonnage (t)
Density (t/m
3
)
Grade - Au (g/t)
Au (oz)
Indicated
1,584,000
2.62
1.38
70,400
Inferred
-
-
-
-
East Dyke
Tonnage (t)
Density (t/m
3
)
Grade - Au (g/t)
Au (oz)
Indicated
3,102,000
2.72
1.49
148,800
Inferred
1,128,000
2.84
1.19
43,300
South Ridge
Tonnage (t)
Density (t/m
3
)
Grade - Au (g/t)
Au (oz)
Indicated
2,005,000
2.70
1.07
68,700
Inferred
943,000
2.82
1.02
30,800
Mushroom
Tonnage (t)
Density (t/m
3
)
Grade - Au (g/t)
Au (oz)
Indicated
505,000
2.64
1.37
22,300
Inferred
-
-
-
-
Road Cut
Tonnage (t)
Density (t/m
3
)
Grade - Au (g/t)
Au (oz)
Indicated
225,000
2.80
0.85
6,100
Inferred
-
-
-
-
Gate House and Gold Mountain
Tonnage (t)
Density (t/m3)
Grade - Au (g/t)
Au (oz)
Indicated
-
-
-
-
Inferred
2,366,000
2.76
0.79
65,200
Total
Tonnage (t)
Density (t/m
3
)
Grade - Au (g/t)
Au (oz)
Indicated
13,893,000
2.73
1.40
623,700
Inferred
5,694,000
2.80
0.96
180,700
Notes
1)
CIM Definition Standards were followed for the Mineral Resource estimate.
2)
The Mineral Resource estimate encompasses drill hole and trench data available as of July 30, 2021.
3)
A cut-off grade of 0.5 g/t gold was applied to all resource estimates, after consideration for the reasonable expectation
of eventual economic
extraction, assuming initially open pit extraction with some deposits transitioning to an
underground
mining operation.
4) The capping value was established for each deposit independently, with assay capping values ranging from 15 g/t - 25 g/t gold for the respective
deposits.
5)
The estimation utilised Ordinary Kriging with each target being evaluated independently.
6) The understanding of the geology and specifically the structure underpinned the estimation.
7) Average density values for oxide, transition, and fresh (sulphide) materials were established for each deposit independently; with the indicated
density values reflecting weighted averages for oxide, transition, and fresh materials for the respective deposits.
8) Mineral resource tonnage and contained metal have been rounded to reflect the accuracy of the estimate, and numbers may not add due to
rounding.
9) Mineral resource tonnage and grade are reported as undiluted.
10) The figures for contained gold are in-situ Mineral Resources.
11) 1 troy ounce equals 31.10348 grams.
12) Mineral Resources are not Mineral Reserves and by definition do not demonstrate economic viability.
13) Inferred Mineral Resources have a great amount of uncertainty as to their existence and as to whether they can be mined economically. It
cannot be assumed that all or part of the Inferred Mineral Resources will ever be upgraded to a higher category.
14)
The estimate of Mineral Resources may be materially affected by geological, environmental, permitting, legal, title,
taxation, sociopolitical,
marketing, or other relevant issues.
Technical Disclosure and Qualified Persons
The Mineral Resource Estimate for the Kibi Gold Project has been prepared by Mr. Ken Lomberg,
Pr.Sci.Nat., of Pivot Mining Consultants (Pty) Ltd ("Pivot") of Johannesburg, South Africa, and Dr Corné
Koegelenberg, Pr.Sci.Nat., and Dr Ian Basson, Pr.Sci.Nat., of Tect Geological Consulting ("Tect") of
Somerset West, South Africa, all of whom are independent Qualified Persons ("QP's") for the purposes
of National Instrument 43-101 ("NI 43-101"). Pivot has conducted an audit of the sampling procedures
and QA/QC data and is of the opinion that the data are of good quality and suitable for use in the
resource estimate.
An independent NI 43-101 technical report supporting the resource estimate is being
prepared by Pivot and Tect and will be filed by Xtra-Gold on
www.sedar.com
within 45 days of this news
release.
All the abovementioned QP's have reviewed and approved the contents of this news release
with respect to the Mineral Resource Estimate.
Yves P. Clement, P.Geo., Vice President, Exploration of Xtra-Gold Resources Corp, who is a "Qualified
Person" for the purposes of NI 43-101, has prepared and/or supervised the preparation of this news
release and has reviewed and approved the scientific and technical information in this announcement.
About Xtra-Gold Resources Corp.
Xtra-Gold is a gold exploration company with a substantial land position in the Kibi Gold Belt.
The Kibi
Gold Belt, which exhibits many similar geological features to Ghana's main gold belt, the Ashanti Belt,
has been the subject of very limited modern exploration activity targeting lode gold deposits, as virtually
all past gold mining activity and exploration efforts have been focused on the extensive alluvial gold
occurrences in many river valleys throughout the Kibi area.
Xtra-Gold holds 5 Mining Leases totaling approximately 226 sq km (22,600 ha) at the northern extremity
of the Kibi Gold Belt.
The Company's exploration efforts to date have focused on the Kibi Gold Project
located on the Apapam Concession (33.65 sq km), along the eastern flank of the Kibi Gold Belt. The
Kibi Gold Project (Zone 2 - Zone 3) Maiden Mineral Resource Estimate, produced by Xtra-Gold in
October 2012, represented the first ever Mineral Resource generated on a lode gold project within the
Kibi Gold Belt. The NI 43-101 Technical Report entitled "
Independent Technical Report, Apapam
Concession, Kibi Project, Eastern Region, Ghana
", prepared by SEMS Explorations and dated
October 31, 2012, is filed under the Company's profile on SEDAR at
www.sedar.com
.
Forward-Looking Statements
The TSX does not accept responsibility for the adequacy or accuracy of this release. No stock
exchange, securities commission or other regulatory authority has approved or disapproved the
information contained herein. This news release includes certain "forward-looking statements". These
statements are based on information currently available to the Company and the Company provides no
assurance that actual results will meet
management's expectations.
Forward- looking statements include
estimates and statements that describe the Company's future plans, objectives or goals, including words
to the effect that the Company or management expects a stated condition or result to occur.
Forward-
looking statements may be identified by such terms as "believes", "anticipates", "expects", "estimates",
"may", "could", "would", "will", or "plan". Since forward-looking statements are based on assumptions
and address future events and conditions, by their very nature they involve inherent risks and
uncertainties. Actual results relating to, among other things, results of exploration, project development,
reclamation and
capital
costs
of
the
Company's mineral
properties, and
the Company's
financial
condition
and
prospects,
could
differ
materially
from
those
currently anticipated
in
such
statements
for
many
reasons
such
as:
changes
in
general
economic conditions and conditions in the financial markets;
changes in demand and prices for minerals; litigation,
legislative,
environmental
and
other
judicial,
regulatory,
political
and
competitive developments; technological and operational
difficulties
encountered
in
connection
with
the activities
of
the Company; and other matters discussed in this news
release.
This list is not exhaustive of the factors that may affect any of the Company's forward-looking
statements. These and other factors should be considered carefully, and readers should not place undue
reliance on the Company's forward-looking statements. The Company does not undertake to update any
forward-looking statement that may be made from time to time by the Company or on its behalf, except
in accordance with applicable securities laws.
Cautionary Note to United States Investors
This news release has been prepared in accordance with the requirements of the securities laws in
effect in Canada, which differ from the requirements of U.S. securities laws. Unless otherwise indicated,
all resource and reserve estimates included in this news release have been prepared in accordance with
National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101") and the Canadian
Institute of Mining, Metallurgy, and Petroleum 2014 Definition Standards on Mineral Resources and
Mineral Reserves. NI 43-101 is a rule developed by the Canadian Securities Administrators which
establishes standards for all public disclosure an issuer makes of scientific and technical information
concerning mineral projects. Canadian standards, including NI 43-101, differ significantly from the
requirements of the SEC, and Mineral Resource and reserve information contained herein may not be
comparable to similar information disclosed by U.S. companies. In particular, and without limiting the
generality of the foregoing, the term "resource" does not equate to the term "reserves". Under U.S.
standards, mineralization may not be classified as a "reserve" unless the determination has been made
that the mineralization could be economically and legally produced or extracted at the time the reserve
determination is made. The SEC's disclosure standards normally do not permit the inclusion of
information concerning "measured Mineral Resources", "indicated Mineral Resources" or "inferred
Mineral Resources" or other descriptions of the amount of mineralization in mineral deposits that do not
constitute "reserves" by U.S. standards in documents filed with the SEC. Investors are cautioned not to
assume that any part or all of mineral deposits in these categories will ever be converted into reserves.
U.S. investors should also understand that "inferred Mineral Resources" have a great amount of
uncertainty as to their existence and great uncertainty as to their economic and legal feasibility. It cannot
be assumed that all or any part of an "inferred Mineral Resource" will ever be upgraded to a higher
category. Under Canadian rules, estimated "inferred Mineral Resources" may not form the basis of
feasibility or pre-feasibility studies except in rare cases. Investors are cautioned not to assume that all or
any part of an "inferred Mineral Resource" exists or is economically or legally mineable. Disclosure of
"contained ounces" in a resource is permitted disclosure under Canadian regulations; however, the SEC
normally only permits issuers to report mineralization that does not constitute "reserves" by SEC
standards as in-place tonnage and grade without reference to unit measures. The requirements of NI 43-
101 for identification of "reserves" are also not the same as those of the SEC, and reserves reported by
the Company in compliance with NI 43-101 may not qualify as "reserves" under SEC standards.
Accordingly, information concerning mineral deposits set forth herein may not be comparable with
information made public by companies that report in accordance with U.S. standards.
Contact Information
For further information please contact:
James Longshore
Chief Executive Officer
416-628-2881
E-mail:
Website:
www.xtragold.com
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