DEVELOPMENT PROGRESS - MAKABINGUI The Directors of gold...

DEVELOPMENT PROGRESS - MAKABINGUI

The Directors of gold developer Bassari Resources Limited (ASX: BSR) are pleased to report on recent developments with the Makabingui Gold Project in Senegal, West Africa.

Meetings with the Minister of Industry & Geology and department staff
Authorisation given by the Minister of Mines to:
• Immediately incorporate the Exploitation company to finance and develop the Makabingui Gold Project
• Commence the pre-development stage of mining operations
• Allocate a corridor of 20 km² for local villagers to recommence artisanal mining

Makabingui Operating Company incorporation
The Senegal Government through the Minister of Industry & Geology recently met with representatives of Bassari-WATIC JV and have authorised the Bassari joint venturers to immediately proceed with the incorporation of a designated new Exploitation company to develop the Makabingui Gold Project. On completion of incorporation, all rights and title to the Makabingui Exploitation Permit, granted 28 November 2016, will be transferred to the newly formed Exploitation Company. The incorporation process has commenced.

Commence early stage development of mining operations
In addition to the grade control/infill drilling program which is in progress, the Minister has given Bassari authority to immediately start employing local labour to commence other early stages of development works. This includes infrastructure work such as, rehabilitation of roads, upgrade of the camp, fencing of the mining area, concreting to expand the plant area for the processing plant upgrade and dam reparation, in relation to the Makabingui Gold Project.

To effect this, a Works Officer has been appointed to coordinate and supervise the employment of up to 50 villagers. This is an important part of Bassari’s social contribution.

Allocation of a corridor for local villagers orpaillage
Bassari will work with the local villagers and Department of Mining personnel, providing a geologist and technicians, to locate gold anomalies in a proposed orpaillage corridor approximating 20 km2 for local villagers to continue their artisanal mining activities. This corridor is outside the Makabingui exploitation permit.