Drilling to Commence at Kossanto East, Mali
VANCOUVER, BC - April 25, 2018 Ashanti Gold Corp. ("Ashanti" or the "Company") - (TSXV: AGZ) announces it will commence drilling at Kossanto East (the "Project") starting in May 2018. Two drilling rigs have been mobilized and will be drilling both diamond core ("DD") and reverse circulation ("RC") holes to provide sufficient information to develop a robust geological interpretation and mineral resource estimate to be complete in 3Q2018. Plans are for 10,000m of drilling with approximately 8,000m dedicated to RC and 2,000m of DD. Sixty RC holes are planned, to be drilled at a 100-150m depth and 10 diamond core holes to a depth of up to 200m. This drilling program will build on the strong results of previous drilling (see press releases August 2, August 10, August 21, September 12, and September 19, 2017) and will provide fill-in data between existing holes and to depths that are thus far untested. Most drilling to date has evaluated material from surface to a vertical depth of only ~75m. Demonstration of mineralized material to greater depths is expected to provide significant additional tonnage to the planned resource estimate. The drilling program goal is to provide higher geologic confidence, improved continuity of mineralization, and expand the volume of mineralized material along strike and at depth.
Following Exploratory Data Analysis (EDA) and construction of wireframe mineralization models by independent consultant CGK Consulting Services Inc.,along with in-house 3D geologic modeling in Vulcan® software, Ashanti has been able to select optimal drill locations for resource estimation. In addition, it is anticipated that several holes will test newly established anomalies to the north, east, and southwest of both main targets on the Project: Gourbassi East and Gourbassi West (see press releases February 13, 2018 and March 5, 2018).
Historic drilling identified mineralization along approximately a 1 km zone at each of Gourbassi East and Gourbassi West. Drilling in 2017 by Ashanti verified, improved the continuity and expanded these mineralized zones, which were identified by historical drilling before Ashanti's exploration work. Soil sampling has outlined anomalies along strike with Gourbassi West and Gourbassi East and within several other zones untested with drill holes. Drilling in this program will improve the data density to a level that will allow resource estimation work, which is planned for completion later this year.
A drilling contract has been entered into with DCS Mali (Sahara Drilling) for commencement of drilling in May 2018. Ashanti staff are now on site preparing for the drill program. The Company anticipates a rolling laboratory assay process throughout the coming months to announce drilling results as they come available.
Tim McCutcheon, Ashanti's CEO, said "Now that we have closed our increased-size placement to fund this drill program (see press release April 23, 2018), we are wasting no time in putting shareholder funds to work. This is a very exciting period for Ashanti's development."
ABOUT ASHANTI GOLD
Ashanti is a gold-focused, exploration and development company that targets projects where it has a competitive advantage due to past work experience of the team and specific project know-how. The Company is driving forward its 100%-owned Kossanto East project in Mali on the prolific Kenieba Belt, which hosts such deposits as Loulo, Fekola and Sadiola. Ashanti is also working to advance, together with its earn-in partners, the Anumso project and the Ashanti Belt project in Ghana, which are near-adjacent to the Akyem deposit.
On Behalf of the Board of Directors of
ASHANTI GOLD CORP.
For further information, please contact:
Ashanti Gold Corp.
2300 – 1177 West Hastings Street
Vancouver BC, V6E 2K3
Qualified Person and Historical Data
The information presented in this Press Release has been reviewed by Dr. Paul Klipfel CPG of Mineral Resource Services Inc. and a Qualified Person as defined by Canadian NI 43-101. Dr. Klipfel is not an Independent Person, as he is a shareholder of Ashanti. Historic data presented has been generated by historic explorers. The company has endeavored to check all data through resurvey of collars and check samples, but has not completed thorough, independent verification of historic data, and readers are cautioned not to place undue reliance thereon.
All drill, soil, rock, and trench samples are subject to standard QA/QC procedures with certified standards and blanks inserted into all sample streams at the rate of 1:20. Duplicate samples are also inserted at the rate of 1:50. All assays are performed by international known (SGS in Mali) and accepted laboratories which insert their own QA/QC samples into the sample stream. Their results and Ashanti's results are monitored for bias and errors in absolute and temporal terms. Batches with certified standards or blanks that do not meet QA/QC requirements are reassayed.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
Cautionary Note Regarding Forward-Looking Statements
Except for the statements of historical fact contained herein, the information presented in this news release and the information incorporated by reference herein, constitutes "forward looking information" within the meaning of applicable Canadian securities laws concerning the business, operations and financial performance and condition of Ashanti Gold Corp. (the "Company"). All statements, except for statements of historical fact, that address activities, events or developments that management of the Company expects or anticipates will or may occur in the future including such things as future exploration plans concerning the Company's mineral properties, acquisitions, capital expenditures (including the amount and nature thereof), business strategies and measures to implement strategies, competitive strengths, goals, expansion and growth of the business and operations, plans and references to the future success of the Company, and such other matters, are forward looking statements. Often, but not always, forward looking information can be identified by words such as "pro forma", "plans", "expects", "may", "should", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", "believes", "potential" or variations of such words including negative variations thereof, and phrases that refer to certain actions, events or results that may, could, would, might or will occur or be taken or achieved. Forward looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements expressed or implied by the forward looking information. Such risks and other factors include, among others, operating and technical difficulties in connection with mineral exploration and development and mine development activities at the Project, including the geological mapping, prospecting and sampling program being proposed for the Project (the "Program"), actual results of exploration activities, including the Program, estimation or realization of mineral reserves and mineral resources, the timing and amount of estimated future production, costs of production, capital expenditures, the costs and timing of the development of new deposits, the availability of a sufficient supply of water and other materials, requirements for additional capital, future prices of precious metals, changes in general economic conditions, changes in the financial markets and in the demand and market price for commodities, possible variations in ore grade or recovery rates, possible failures of plants, equipment or processes to operate as anticipated, accidents, labour disputes and other risks of the mining industry, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, changes in laws, regulations and policies affecting mining operations, hedging practices, currency fluctuations, title disputes or claims limitations on insurance coverage and the timing and possible outcome of pending litigation, environmental issues and liabilities, risks related to joint venture operations, and risks related to the integration of acquisitions, as well as those factors discussed under the heading "Risk Factors" in the Company's Management Information Circular (December 2017) and as discussed in the annual management's discussion and analysis and other filings of the Company with the Canadian Securities Authorities, copies of which can be found under the Company's profile on the SEDAR website at www.sedar.com.
Readers are cautioned not to place undue reliance on forward looking information. The Company undertakes no obligation to update any of the forward looking information in this news release or incorporated by reference herein, except as otherwise required by law.