East Africa Metals Inc.
TSX VENTURE : EAM

East Africa Metals Inc.

September 14, 2015 06:00 ET

East Africa Metals' Drilling Results, Harvest Project, Northern Ethiopia

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Sept. 14, 2015) - East Africa Metals Inc. (TSX VENTURE:EAM) ("East Africa" or the "Company") is pleased to announce the final assay results for, and the completion of, the reverse circulation (RC) drill program at the Terakimti VMS deposit on the Harvest Project, Northern Ethiopia. The 20 x 20 metre spaced resource drill-out specifically targeted the gold and gold-silver oxide portion of the deposit and totaled 6190 metres of drilling in 125 holes. The assay results have now been received for all drill holes in the program. Preliminary results have also been received for 4 exploration RC drill holes at the Lihamat and Adi Asgedom Au prospects.

Highlights from resource drilling of the oxide component of the Terakimti VMS deposit include:

  • 20.0 metres1 grading 8.92 grams per tonne gold and 24.3 grams per tonne silver, from 24.0 metres drill depth (TRC085A);
  • 14.0 metres1 grading 5.29 grams per tonne gold and 169.7 grams per tonne silver, from 33.0 metres drill depth(TRC095); and
  • 22.0 metres1 grading 7.34 grams per tonne gold and 1.3 grams per tonne silver, from surface (TRC109).

Highlights from first pass exploration drill targeting at the Lihamat gold prospect, approximately 2.9km NE of Terakimti, include:

  • 4.0 metres4,5 grading 111.6 grams per tonne gold, from 24.0 metres drill depth, and 4.0 metres grading 4.45 grams per tonne gold from 56 metres drill depth (LRC003).

Terakimti

The 20 x 20 metre spaced RC oxide drill program has been completed, and revision of the oxide portion of the initial independent Au-Ag-base metal resource is in progress. The drilling has continued to highlight well developed zones of gold mineralization along the length of the deposit. More detailed metallurgical testwork will follow the revision of the oxide resource. Highlight intersections from the most recent Terakimti drill results include;

Terakimti deposit selected RC Infill holes (from TRC084-TRC125 incl.)

Hole ID From
(m)
To
(m)
Interval
(m)
1,2
Gold3
g/t
Silver
g/t
Copper
%
Zinc
%
Local
Azimuth
Dip Prospect
TRC085A 24.00 44.00 20.00 8.92 24.3 0.03 0.01 270 -64 Terakimti Oxide
including 35.00 39.00 4.00 21.60 49.1 0.01 0.00 Ag-Rich Oxide
TRC092 12.00 24.00 12.00 7.54 7.8 0.10 0.02 271 -60 Terakimti Oxide
TRC095 33.00 47.00 14.00 5.29 169.7 0.02 0.01 270 -60 Terakimti Oxide
including 39.00 47.00 8.00 6.30 280.6 0.01 0.01 Ag-Rich Oxide
TRC096 23.00 45.00 22.00 5.95 23.8 0.02 0.01 274 -64 Terakimti Oxide
including 37.00 45.00 8.00 4.80 46.9 0.01 0.00 Ag-Rich Oxide
TRC098 0.00 13.00 13.00 4.44 3.4 0.18 0.03 271 -61 Terakimti Oxide
TRC099 40.00 57.00 17.00 3.72 43.5 0.01 0.00 270 -70 Terakimti Oxide
TRC100 0.00 10.00 10.00 13.03 4.0 0.03 0.04 270 -67 Terakimti Oxide
15.00 28.00 13.00 1.29 3.2 0.04 0.03
TRC109 0.00 22.00 22.00 7.34 1.3 0.11 0.09 270 -60 Terakimti Oxide
TRC113 10.00 19.00 9.00 6.44 1.7 0.06 0.04 270 -64 Terakimti Oxide
23.00 34.00 11.00 0.67 1.3 0.03 0.01 Terakimti Oxide
38.00 48.00 10.00 1.23 21.8 0.01 0.00 Terakimti Oxide
including 43.00 45.00 2.00 3.61 37.2 0.01 0.00 Ag-Rich Oxide
TRC118 20.00 27.00 7.00 14.31 22.8 0.03 0.01 274 -60 Terakimti Oxide
TRC120 17.00 38.00 21.00 3.49 5.5 0.08 0.02 270 -60 Terakimti Oxide
1 True thicknesses are interpreted as 60-100% of stated intervals.
2 Intervals use a 0.3 gram per tonne gold cut-off value, for gold only intervals.
3 No top cut has been used on assay values.
4 True thicknesses are interpreted as 60-90% of stated intervals.
5 The interval is a four metre composite sample, resulting from compositing four one metre samples. Additional sampling (splitting to one metre sample intervals) will be required to identify the more definitive source location of the mineralization in the stated interval.

Lihamat and Adi Asgedom

A total of 354 metres of exploration RC drilling has been completed in three holes at the Lihamat gold prospect, approximately 2.9 kilometres NE of Terakimti, and one hole was completed at the nearby Adi Asgedom prospect. The drill holes tested mineralization below artisanal workings which have exploited high-grade gold-bearing quartz veins. All drill holes were composite sampled, where four individual one metre samples were composited together into one sample for assay. These will be individually sampled (riffle split) for all composite samples containing gold grade of greater than 0.3 grams per tonne.

LRC003 at Lihamat intersected 4.0 metres grading 111.6 grams per tonne gold, from 24 metres drill depth, and 4.0 metres grading 4.45 grams per tonne gold from 56 metres drill depth. Additional splits (of individual 1m samples) will be conducted on the mineralized zones. The mineralization is interpreted to be related to zones of quartz veining with disseminated pyrite within intense silica alteration of a quartz porphyry intrusion.

A table of full Harvest intercept results, and related maps, is located here (Figure 1).

Forward Program

East Africa Metals Inc. intends to commence a diamond drill program in the last Quarter of 2015, to conduct infill and extension drilling of the Au-Cu resources at Mato Bula and Da Tambuk. The company will continue to advance both the Harvest and Adyabo Projects, through detailed metallurgical test work and engineering studies at Terakimti, following revision of the current resource, and upgrading of the resource at Adyabo through infill and extensional diamond drilling.

Quality Control

The planning, execution, and monitoring of East Africa's drilling and quality control programs at the Harvest and Adyabo Projects has been conducted under the supervision of Jeff Heidema, P.Geo., East Africa's Vice President Exploration. Mr. Heidema is a "Qualified Person" as defined by NI 43-101. Diamond and RC drilling was coordinated by East Africa contract geologists who also managed the preparation, logging, and sampling of core and rock samples, in addition to carrying out bulk density measurements. During sampling, quality control standards and blanks were introduced at pre-determined intervals to monitor laboratory performance. A system of field, reject, and pulp sample duplicates was also incorporated, as were specific programs of re-assaying and umpire lab assaying to both monitor laboratory performance and also characterize potential mineralization; all consistent with industry best practice.

Drill core, RC and rock samples have undergone preliminary preparation at the Bureau Veritas Mineral Laboratories facility in Ankara, Turkey, and are crushed to 80% passing 10 mesh, and pulverized to 85% passing 200 mesh (PRP70-1KG package). Analyses are conducted at Bureau Veritas Mineral Laboratories in Vancouver, Canada, with diamond drill core analyses utilizing Aqua Regia digestion and ICP-ES for base metal and silver analyses (AQ370 package), and RC samples utilizing Aqua Regia digestion and ICP-MS/ICP-ES (AQ270 package) for base metal and silver analyses. Gold analyses are conducted via Fire Assay Fusion with AA finish, and gravimetric analyses are completed for over-limit samples (FA430, FA530-Au packages).

Information recorded from diamond drill core and RC logging and assaying was integrated using industry standard data management software (Maxwell Datashed).

About East Africa Metals

The Company's principal assets and interests include both the 70%-owned Harvest polymetallic VMS exploration Project, which covers approximately 116 square kilometres in the Tigray region of Ethiopia, 600 kilometres north‐northwest of the capital city of Addis Ababa, and the Adyabo Project, covering 264 square kilometres immediately west of the Harvest Project. The Company has entered into an agreement to acquire up to 80% of the Adyabo Project. East Africa now has Resources defined at both projects in Ethiopia and continues to test priority targets. Additionally, the Company owns the 93 square kilometre Handeni Property located in north-eastern Tanzania. Handeni includes the Magambazi Project, a gold deposit discovered in 2009.

More information on the Company can be viewed at the Company's website: www.eastafricametals.com.

On behalf of the Board of Directors:

Andrew Lee Smith, P.Geo., CEO

Cautionary Statement Regarding Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "anticipate", "believe", "plan", "expect", "intend", "estimate", "forecast", "project", "budget", "schedule", "may", "will", "could", "might", "should" or variations of such words or similar words or expressions. Forward-looking information is based on reasonable assumptions that have been made by East Africa as at the date of such information and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of East Africa to be materially different from those expressed or implied by such forward-looking information, including but not limited to: early exploration; risks associated with the integration of Tigray Resources Inc.'s business with the Company's; the ability of East Africa to find a development partner for the Magambazi Project or identify any other corporate opportunities for the Company; mineral exploration and development; metal and mineral prices; availability of capital; accuracy of East Africa's projections and estimates, including the initial mineral resource for the Adyabo, Harvest and Magambazi Projects; interest and exchange rates; competition; stock price fluctuations; availability of drilling equipment and access; actual results of current exploration activities; government regulation; political or economic developments; foreign taxation risks; environmental risks; insurance risks; capital expenditures; operating or technical difficulties in connection with development activities; personnel relations; the speculative nature of strategic metal exploration and development including the risks of diminishing quantities of grades of reserves; contests over title to properties; and changes in project parameters as plans continue to be refined, as well as those risk factors set out in East Africa's listing application dated July 8, 2013 and Tigray Resources Inc. Management Information Circular dated March 28, 2014.

Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to the successful integration of Tigray Resources Inc.'s business with the Company; the price of gold, silver, copper and zinc; the demand for gold, silver, copper and zinc; the ability to carry on exploration and development activities; the timely receipt of any required approvals; the ability to obtain qualified personnel, equipment and services in a timely and cost-efficient manner; the ability to operate in a safe, efficient and effective manner; and the regulatory framework regarding environmental matters, and such other assumptions and factors as set out herein. Although East Africa has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. The Company does not update or revise forward looking information even if new information becomes available unless legislation requires the Company do so. Accordingly, readers should not place undue reliance on forward-looking information contained herein, except in accordance with applicable securities laws.

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 release.

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