Orezone Gold Corporation

Orezone Gold Corporation

December 07, 2011 09:24 ET

Brighton Energy Makes Another Near-Surface Uranium Discovery in Niger

Mineralization occurs in the same rock formation that hosts the Madaouela deposit 21 km away

OTTAWA, ONTARIO--(Marketwire - Dec. 7, 2011) - Orezone Gold Corporation (TSX:ORE) is pleased to announce another new uranium discovery in Niger, West Africa by it 67% owned subsidiary, Brighton Energy Limited ("Brighton"). Brighton completed a 19-hole, 1,566 m drill program (see map) in November on its 500 km2 Zéline 4 permit, located 25 km east of AREVA's open pit SOMAIR mine, which together with the COMINAK underground mine, have produced approximately 240 million pounds of uranium oxide (U3O8) since 1971.

The first target is in a wedge of the Carboniferous Guezouman Formation in the southeast portion of the permit. The Guezouman is also the host rock of the neighboring COMINAK mine and Madaouela deposit mineralization. Sixteen holes totaling 1,146 m were drilled on an 800 m by 800 m grid. All holes intercepted the Guezouman Formation. Fourteen holes intercepted a minimum of 100 ppm eU3O8 over 10 cm or more, with nine intercepting ≥200 ppm eU3O8, (Table 1).

Table 1: Highlights from the latest drilling at the Zéline 4 permit, with a eU3O8 cut-off of 200 ppm (0.02%).

Hole ID From
Z4M0099 19.80 20.10 0.30 329
Z4M0101 42.80 43.10 0.30 281
Z4M0102 7.60 7.80 0.20 214
Z4M0102 14.20 14.30 0.10 234
Z4M0102 22.40 22.80 0.40 285
Z4M0103 20.40 20.60 0.20 331
Z4M0104 25.60 26.30 0.70 255
Z4M0107 68.00 68.10 0.10 272
Z4M0108 41.00 41.20 0.20 339
Z4M0109 51.90 52.10 0.20 365
Z4M0110 30.20 30.70 0.50 407

Drill holes are vertical and true widths are very close to the drill length intervals. Complete results (>100 ppm and >200 ppm eU3O8) from all drill holes completed to date on Zéline 4 are available on the website. Cuttings were collected for each 1-m interval of the mud rotary boreholes and a detailed geological log and interpretation was established by ULC Afrique de l'Ouest. ULC also performed the down-hole logging of the radioactivity, resistivity and hole diameter using a GeoVista logging unit at a sampling rate of one reading per ten centimeters. This program was executed under the supervision of Pascal Marquis, SVP Exploration for Brighton and Orezone, who is a Qualified Person under National Instrument 43-101 and approved the technical information in this release.

One hole, Z4M0098, reached the contact between the Talak argillites and the older basement rocks at a depth of 305 m. The hole intercepted uranium mineralization in the basement, including 6.4 m at 120 ppm eU3O8. At a depth of 7 to 71 m, the average grade of the Guezouman above a lower cutoff of 100 ppm is 184 ppm eU3O8 with a thickness less than 1 m. Reduced mineralization was intercepted in all 14 holes at an average depth of 33 m with the best intercept in hole Z4M0110 grading 242 ppm eU3O8 over 1.2 m.

The second target tested was the Terada Formation and the potentially underlying Devonian sandstones, west of the Madaouela Fault, where three holes were drilled for a total of 420 m. All three holes were pushed to depth and intercepted the basement rocks below the Terada sandstones. Hole Z4M0115 intercepted uranium mineralization in the basement rocks in several intervals less than 1 m in length at an average grade of 109 ppm eU3O8. All 3 holes intersected at least 100 ppm eU3O8 over a minimum of 10 cm in the Terada Formation and on average 109 ppm eU3O8 over <1 m with the best intercept grading 114 ppm eU3O8 over 0.8 m in Z4M0116.

These new discoveries are shallow and largely associated with reduced rocks, making them potentially amenable to open pit mining and standard extractive processes.

"Of the 117 reconnaissance holes and 20,596 m drilled this year, Brighton has now made three new uranium discoveries on three of its permits," said Ron Little, CEO for Brighton and Orezone. "The similarity of the geology of these discoveries to nearby deposits, and the quality of the results from widely spaced drill holes, are indicative of further potential and warrant more drilling. The next phase of definition drilling will attempt to outline the thicker and higher grade paleo-channels that are characteristic of the ores of the neighboring operations."

Brighton is a private company, owned 67% by Orezone, with the remaining interest held by private and institutional investors. The company has a well located 4000 km2 land package and a seasoned team of nationals to carry out its ongoing exploration programs. With analysts forecasting a fundamental shortage in uranium supply over the next decade, the stakeholders of Brighton and Orezone are well positioned to benefit from the recent exploration success.

About Orezone Gold Corporation

Orezone is a Canadian company with a gold discovery track record of +10 M oz and recent mine development experience in Burkina Faso, West Africa. Bomboré, the Company's 100% owned flagship project, is one of the largest gold deposits in the country and is situated 85 km east of the capital city, adjacent to an international highway. Resources are constrained within optimized open pit shells that span 11 km, and include 1.6 Moz indicated and 1.9 Moz inferred resources with an average drill depth of only 60 meters. The Company is currently completing a $24 M, 170,000 meter drill program to significantly expand resources and support the completion of feasibility studies in 2012. Orezone's goal is to develop Bomboré into a world-class deposit by 2012 and become a mid-tier producer by 2015.

FORWARD-LOOKING STATEMENTS AND FORWARD-LOOKING INFORMATION: This news release contains certain "forward-looking statements" within the meaning of applicable Canadian securities laws. Forward-looking statements and forward-looking information are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may," "could" or "will" occur. Forward-looking statements in this release include statements regarding, among others, the completion of a $24 M 170,000 m drill program at Bomboré and a 15,000 m drill program on the Brighton uranium properties; completion of a resource update and feasibility study on the Bomboré project in 2012; and commencement of production at the Bomboré Project.

FORWARD-LOOKING STATEMENTS are based on certain assumptions, the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, the ability of contracted parties (including laboratories and drill companies to provide services as contracted); uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements. Comparisons between any resource model or estimates with the subsequent drill results are preliminary in nature and should not be relied upon as potential qualified changes to any future resource updates or estimates.

Readers are advised that National Instrument 43-101 of the Canadian Securities Administrators requires that each category of mineral reserves and mineral resources be reported separately. Readers should refer to the annual information form of Orezone for the year ended December 31, 2010 and other continuous disclosure documents filed by Orezone since January 1, 2011 available at www.sedar.com, for this detailed information, which is subject to the qualifications and notes set forth therein.

Contact Information

  • Orezone Gold Corporation
    Ron Little, CEO
    (613) 241 3699 or Toll Free: (888) 673 0663

    Orezone Gold Corporation
    Pascal Marquis, SVP Exploration
    (613) 241 3699 or Toll Free: (888) 673 0663