enormous gold grades, page-7

Scramble for African gold

THE DIRT: Robin Bromby | May 18, 2009
Article from: The Australian

"BUSINESS advisory giant Ernst &Young has a new - and bullish - report out on the metals industry, saying in effect that since 1961 demand has been growing relentlessly, interrupted by the occasional recession.

Its message is that, once we're past this, we may see new highs in prices.

But the authors have a view on gold where you may wish to take a different view: “Gold exploration, nonetheless, still seems to be regarded as mostly too risky to be worth investing in.”

Tell that to the Aussies looking for gold in West Africa.

“What risk?” they will ask. They think they are in elephant country.

There have been some interesting announcements out of this crowd in the past few days.

Ghana is Africa’s second largest gold producer (after South Africa), with Mali in third place. Resolute Mining is in the processing of commissioning its Syama gold mine in Mali, and now Golden Rim Resources has reported an assay of 1205 grams per tonne from a rock chip sample at its Sepola project in that country.

Quartz veining at one site has produced assays up to 28.6g/t. These are the types of grades that would make headlines if found in Australia. And GMR already has an inferred resource of 162,000 ounces at Sepola.

But this is now. West Africa is almost certainly the best exploration gold address in the world in terms of discoveries and, more importantly, grades.

http://www.theaustralian.news.com.au/business/story/0,28124,25498935-15023,00.html"

JB