AXMIN Inc.
TSX VENTURE : AXM

AXMIN Inc.

April 25, 2007 09:50 ET

AXMIN Inc.: Exploration Drilling Accelerates at Bambari as Feasiblity Drilling Winds Down at Passendro Gold Project, Central African Republic

TORONTO, ONTARIO--(CCNMatthews - April 25, 2007) - AXMIN Inc. (TSX VENTURE:AXM) is encouraged by the on-going drilling program at its Bambari property in the Central African Republic. Favourable gold assays received from the program suggest that mining may extend well below the 50-60 metres depth originally planned for the Main Zone open pit. The gold assay results of 5.7 g/t Au over 10.5 metres, 4.2 g/t Au over 20.5 metres and 32.0 g/t Au over 3.0 metres show that higher grades persist at depth. In addition, recent work on the adjacent Bakala Permit suggests that the first steps in identifying a new gold district have been made. Management is extremely satisfied with these developments, in advance of a trip being organized for mining analysts at the beginning of May 2007.

Chief Executive Officer, Dr Jonathan Forster comments "Drilling at Main Zone has confirmed that as previously envisaged, there is real potential to extend resources below the current pit floor. Moreover, the identification of these mineralised shoots provides the opportunity to test for gold mineralisation at even deeper levels in the future. With feasibility drilling now coming to an end our focus can once again turn to the upside exploration potential of the Bambari-Bakala Belt, with multiple targets ready for drill testing and with the objective of ultimately both extending project life and expanding project size. Moreover, the initial results from Bakala emphasise the excellent prospectivity of this belt."

Main Zone Depth Extension Drilling

A 7,500 metre core drilling program (see press release November 22, 2006) testing for resources to vertical depths of 100 to 120 metres is nearing completion at the 1,500 metre long Main Zone, which currently hosts an indicated resource of 548,400 ozs (9.06 Mt grading 1.9 g/t Au) and within which 36% of the Passendro probable reserve of 1.1 mozs (being 13.74 Mt grading 2.6 g/t Au) (announced May 10, 2006) is derived. In addition, there is an inferred mineral resource of 551,400 ozs (10.89 Mt grading 1.6 g/t Au). At least four parallel mineralised structures (footwall and hanging wall) have been targeted within the central 900 metres of the zone. Results received to date indicate good potential for the open pit to be deepened from the typical 50-60 metre depth used in the pre-feasibility study to include mineralisation on each of the structures. Moreover, the deeper drilling is highlighting the geometry of multiple shoots (see attached figure: http://www.ccnmatthews.com/docs/AXMA0425.pdf) which remain open to depth and warrant further drilling to define additional open pit resources.

Deeper drilling is also required beneath both the northern 600 metres of the Main Zone where scout holes have indicated the potential for economic mineralisation (Hole PDC 339 intercepted 8.4 g/t Au over 4.5 metres from 106 metres depth), and a 500 metre strike length of Main Zone South which to date has only been drilled to 30-40 metres depth. This will form part of an ongoing "brownfield" exploration drill program scheduled to continue through the year. This program will also test deeper extensions to the other Passendro deposits in particular Katsia and French Camp where higher grade mineralised shoots are open to depth.

Results from this phase of the drilling are summarized (excluding results reported November 22, 2006):



Hole No. Total North East Azimuth Dec- From To Inter- Grade
Depth Co-ord Co-ord (deg) lin. (m) (m) val (g/t
(m) (deg) (m) Au)
--------------------------------------------------------------------------
Footwall
Structure
PDC 805 117.7 10800 10170 036 -65 71.2 74.2 3.0 3.8
PDC 336 110.2 10760 10165 036 -65 77.0 81.5 4.5 1.9
and 90.5 105.5 15.0 2.3
PDC 335 119.6 10720 10161 036 -65 20.0 24.5 4.5 1.2
and 78.5 89.0 10.5 2.3
PDC 330 127.9 10600 10148 036 -65 112.9 115.9 3.0 14.9
PDC 329 125.0 10560 10155 036 -65 102.5 107.0 4.5 2.1
and 95.0 98.0 3.0 1.6
PDC 327 138.3 10480 10130 036 -65 119.0 123.5 4.5 1.0
PDC 803 180.3 10480 10072 036 -65 165.3 172.8 7.5 0.9
PDC 328 118.7 10440 10189 036 -65 81.2 85.7 4.5 1.0
PDC 559 131.6 9920 10040 036 -65 105.0 112.5 7.5 2.1
PDC 350 160.1 10000 10020 036 -65 100.8 112.8 12.0 2.4
PDC 358 152.9 10120 10161 036 -65 82.9 90.4 7.5 1.0
PRC 1924 60.0 10120 10225 036 -50 18.0 27.0 9.0 3.1
PDC 347 163.0 10160 10100 036 -60 133.0 137.5 4.5 3.3
PDC 564 193.0 10440 10160 036 -60 82.2 95.8 13.6 1.3
and 104.5 105.8 1.3 13.4
Hanging
Wall
PDC 806 103.9 10800 10006 036 -65 54.4 63.4 9.0 1.2
PRC 2391 60.0 10760 10000 036 -60 53.0 59.0 6.0 6.4
PDC 802 105.9 10760 9962 036 -65 92.4 95.4 3.0 32.0
PDC 333 104.0 10720 9989 036 -65 84.5 96.5 12.0 1.9
and 74.0 80.0 6.0 1.1
PDC 337 153.5 10720 9953 036 -65 104.0 107.0 3.0 1.8
and 125.0 129.5 4.5 1.0
PDC 334 96.5 10680 9996 036 -65 59.0 62.0 3.0 3.5
and 69.5 71.0 1.5 3.6
and 77.0 92.0 15.0 1.2
PRC 2434 60.0 10680 10050 036 -65 21.0 48.0 27.0 1.9
PDC 801 151.2 10640 9983 036 -65 108.2 128.7 20.5 4.2
PDC 332 132.5 10600 9993 036 -65 114.5 122.0 7.5 1.8
PDC 554 72.0 10600 10060 036 -65 49.5 60.0 10.5 5.7
PRC 2395 65.0 10580 10060 036 -65 56.0 65.0 9.0 2.0(i)
PRC 2376 50.0 10580 10110 036 -65 0.0 18.0 18.0 3.3
PDC 331 124.0 10560 10022 036 -65 93.3 106.8 13.5 1.8
PDC 325 143.0 10520 10010 036 -65 77.0 81.5 4.5 0.6
PDC 803 180.3 10480 10072 036 -65 48.8 50.3 1.5 1.2
PDC 324 119.2 10480 10055 036 -65 61.9 63.4 1.5 4.8
PDC 559 131.6 9920 10040 036 -65 61.0 63.0 2.0 8.5
and 72.0 99.0 27.0 1.0
PDC 349 142.1 9960 10000 036 -65 88.9 97.9 9.0 3.7
and 109.7 114.2 4.5 2.4
and 133.1 134.6 1.5 27.4
PDC 561 118.4 10000 9897 036 -65 31.4 34.4 3.0 4.1
and 83.7 85.2 1.5 8.0
and 95.8 100.3 4.5 1.7
PDC 350 160.1 10000 10020 036 -65 15.3 24.3 9.0 6.6
PDC 339 119.4 11280 9890 036 -65 105.9 110.4 4.5 8.4
(i) Hole ended in mineralisation


Exploration - 15 km Radius of Passendro

Exploration in 2006 / early 2007 focused on the delineation and selected scout drilling of new drill targets using shallow (maximum 30 metre vertical depth) reverse circulation ("RC") drilling to identify mineralised zones for follow up core drilling scheduled to take place once rigs become available from the Passendro geotechnical and feasibility drilling programs. This exploration has incorporated work at the Ndassima, Ao and Mbourou project areas where more than 10 significant soil anomalies (threshold greater than 50 ppb Au over strike length typically greater than 500 metres) are now awaiting first pass drilling. Of these, Ndassima West (Ndassima Grid) and Saraganza (Ao Grid) scout drilling has commenced with positive results. From experience elsewhere at Passendro, scout drilling is a good indicator of the location of the gold structure but very variable near surface gold values are expected, any zone greater than 0.5 g/t Au is considered significant.

Saraganza; to date 350 metres of strike within a 1,200 metre long anomaly (greater than 100ppb Au threshold) has been scout tested by angled RC drilling, typically to vertical depths of only 20-30 metres. The drilling has identified a continuous zone of strongly anomalous (greater than 0.5 g/t Au) gold mineralisation that is open both to the north and south. The zone, which is up to 40 metres wide, comprises multiple mineralised structures with near surface intercepts that include 4.5 g/t Au over 6 metres (ARC 056) and 7.7 g/t Au over 5 metres (ARC 046).

Ndassima West; to date a mineralised structure of 120 metres strike length (open in all directions) has been identified through scout drilling to maximum vertical depths of 25 metres, within an anomaly (greater than 50 ppb Au threshold) of 800 metres length. The structure at surface so far has an approximate true width of 15-20 metres with the near surface grades typically ranging from 1.0-1.9 g/t Au, with one intercept from surface of 3.5 g/t Au over 8 metres (NRC 121).

Exploration - 30 km radius of Passendro

Two initial drill targets have been identified at the Louba Grid, where soil geochemistry (threshold greater than 100 ppb Au) and geological mapping has outlined a priority zone greater than 800 metres in strike length at the head of drainages that were exploited by the French during the Colonial period and are presently being worked by a small number of local artisans.

Bakala Permit

The 1,000 sq km Bakala Permit is located to the north and contiguous with the Bambari Permits. Airborne magnetic data shows that two Banded Ironstone Formations ("BIF") extend from the Bambari Permits across the Bakala Permit for distances of at least 20 km and 36 km respectively. Reconnaissance ground exploration over the more westerly BIF belt has recently been completed, resulting in the identification of a previously unrecognised 30 km long gold district using a combination of stream sediment and soil sampling programs, as well as the identification of active artisanal gold workings in streams within the area.

The results of the broad spaced (800 metre line spacing) soil geochemistry program covering a strike length of 9 km of the western BIF belt has highlighted a zone of gold in soil anomalies some 4.9 km long (at the 20 ppb level and above) which overlay an upland area of BIFs similar to the Passendro area. Infill and extension to the north of this soil geochemical program is planned.

Analytical work is being carried out at the independent OMAC Laboratories Ltd. in Ireland. The samples are subject to a full sample preparation followed by a 50 gram fire assay with an AA finish. Blanks (5%), pulp duplicates (5%) and a suite of Geostats standard reference material are being used to monitor sample preparation and laboratory performance during first pass analysis. Further QA/QC work is carried out on a quarterly basis. This comprises check assaying 20% of all greater than 500 ppb samples using prepped coarse reject samples at OMAC and a second laboratory. Check assay batches are also routinely monitored using 5% blanks, standards and pulp duplicates. This press release has been reviewed by in-house qualified person Dr Jonathan Forster, Fellow of the Institute of Materials, Minerals and Mining in the United Kingdom.

AXMIN is a mineral exploration company with a strong focus on gold in highly prospective properties across central and west Africa. For more information regarding AXMIN visit our website at www.axmininc.com.

Safe Harbour Statement

Certain statements contained herein, as well as oral statements that may be made by the company or by officers, directors or employees of the company acting on the company's behalf, that are not statements of historical fact, may constitute "forward-looking statements" and are made pursuant to applicable and relevant national legislation (including the Safe-Harbour provisions of the United States Private Securities Litigation Reform Act of 1995) in countries where AXMIN is conducting business and/or investor relations. Forward-looking statements include, but are not limited to, those with respect to the price of gold, the estimation of mineral reserves and resources, the realization of mineral reserves estimates, the timing and amount of estimated future success of exploration activities, AXMIN's hedging practices, currency fluctuations, requirements for additional capital, government regulation of mining operations, environmental risk, title disputes or claims limitations on insurance coverage and the timing and possible outcome of pending litigation. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "does not expect", "is expected", "budget", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or equivalents or variation, including negative variation, of such words and phrases, or state that certain actions, events or results, "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements.
Such risks and uncertainties include, among others, the actual results of current exploration activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, possible variations in grade and ore densities or recovery rates, failure of plant, equipment or processes to operate as anticipated, accidents, labour disputes and other risks of the mining industry, delays in obtaining government approvals or financing or in completion of development or construction activities. Although AXMIN has attempted to identify important factors that could cause actual actions, events or cause actions events or results not to be anticipated, estimated or intended, there can be no assurance that forward looking statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Except as may be required by applicable law or stock exchange regulation, the company undertakes no obligation to update publicly or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this document or to reflect the occurrence of unanticipated events. Accordingly, readers should not place undue reliance on forward-looking statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.

Contact Information

  • AXMIN Inc.
    Jon Forster
    Chief Executive Officer
    +44 (0)1233 665600 (UK)
    +44 (0)1233 643728 (UK) (FAX)
    or
    AXMIN Inc. (Canada)
    Judith Webster
    Manager - Investor Relations
    (416) 368-0993
    Email: ir@axmininc.com
    Website: www.axmininc.com