Tigray Resources Inc.

TSX VENTURE : TIG


Tigray Resources Inc.

March 11, 2014 06:00 ET

Tigray Resources Inc.: Drilling at Da Tambuk Identifies a Second Discovery on Mato Bula Trend-Intersects 19.53 Metres at 3.51 Grams Per Tonne Gold, Adyabo Project, Northern Ethiopia

VANCOUVER, BRITISH COLUMBIA--(Marketwired - March 11, 2014) - Tigray Resources Inc. (TSX VENTURE:TIG) ("Tigray" or the "Company") is pleased to announce diamond drill results from an initial program designed to test 160 metres of strike length at the Da Tambuk Gold Prospect on the Adyabo Project in Ethiopia. Diamond drilling on 80 metre sections has intersected gold mineralization in each of four holes completed, with results including 19.53 metres at 3.51 grams per tonne gold (ADD001) and 5 metres at 40.97 grams per tonne gold (ADD002). These results follow on from the successful first pass drilling at Mato Bula (refer to Tigray's news release dated July 16, 2013), located approximately 4km along strike to the SSW. Additional diamond drilling was also completed at Terakimti, and a suite of trench results were received for Da Tambuk and additional Tigray prospects.

Drilling at Da Tambuk has tested the down dip extent of surface gold mineralization defined by geochemical and trench sampling (trench sampling [ADT004] at Da Tambuk yielded 16 metres at 3.95 grams per tonne gold, including 4 metres at 14.53 grams per tonne gold - refer to Tigray's news release dated July 16, 2013). The drill results include:

  • Section 23680N - ADD002 drilled the most northern section tested and intersected 12.00 metres at 17.34 grams per tonne gold and 0.32 percent copper including 5 metres at 40.97 grams per tonne gold and 0.59 percent copper, from 52.75 metres drill depth.
  • Section 23600N - ADD001 intersected 19.53 metres at 3.51 grams per tonne gold and 0.1 percent copper, from 41.30 metres drill depth (50 metres vertically beneath trench ADT004).
  • Section 23600N - ADD004 intersected 9.69 metres at 3.96 grams per tonne gold including 2.00 metres at 13.25 grams per tonne gold from 86.21 metres drill depth (86.00 metres vertically below trench ADT004 and 40.00 metres vertically below the intercept in ADD001).
  • Section 23520N - ADD003 drilled on the most southern section, intersected, 3.00 metres at 4.2 grams per tonne gold from 83.42 metres drill depth (80 metres vertically below surface).

The system remains open along strike in both directions and at depth.

Da Tambuk is part of the Mato Bula Trend, a mineralized corridor now defined over 8km in strike length, and exhibiting a strong porphyry style Cu-Au association. Da Tambuk is hosted in an altered porphyry (intense pyrite-sericite-silica alteration), and the host assemblage, mineralization, and alteration are similar to that of the key target tested at Mato Bula.

Da Tambuk diamond drill Intercepts

Hole ID From
(m)
To
(m)
Interval
(m)
1
Gold
grams/
tonne
2,3
Copper
%
Local
Azimuth
Dip
ADD001 41.30 60.83 19.53 3.51 0.10 90 -47
ADD002 52.75 64.75 12.00 17.34 0.32 91 -44
including 52.75 57.75 5.00 40.97 0.59
ADD003 83.42 86.42 3.00 4.20 0.02 90 -48
ADD004 86.21 95.90 9.69 3.96 0.26 90 -46
including 87.21 89.21 2.00 13.25 0.09
1 True thicknesses are interpreted as 65-85% of stated intervals.
2 Intervals use a 0.3 g/t cutoff value.
3 No top cut has been used on assay values.

Key new trench results, located on the target horizon at Da Tambuk, include:

Trench ID From
(m)
To
(m)
Interval
(m)
1
Gold
grams/
tonne
Project
ADT005 20 38 18 0.43 Da Tambuk
ADT011 42.00 48.00 6.00 0.67 Da Tambuk
ADT012 16.00 23.00 7.00 1.80 Da Tambuk
ADT013 60.00 65.00 5.00 0.29 Da Tambuk
84.00 90.00 6.00 0.48
ADT014 0.00 8.00 8.00 0.38 Da Tambuk
1 True thicknesses are undetermined.

The target horizon has been defined by trenching over greater than a 500 metre strike length to date (between trenches ADT011 and ADT013) and remains open. Similar to results at Mato Bula, trenching results at Da Tambuk, in an area of high topographic relief, appear subdued in gold tenor (interpreted as leached) compared to underlying grades encountered in unweather bedrock, however the anomalous zones identified at surface create an accurate guide for tracing gold target horizons for drill testing.

Exploration Update

Trenching has also identified new gold mineralization for follow-up work at Hanbassa and Mugnae Andi, and include:

Trench ID From
(m)
To
(m)
Interval
(m)
1
Gold
grams/
tonne
Project
WST016 46.00 48.00 2.00 2.56 Hanbassa
68.00 69.00 1.00 3.02
WST017 114.00 118.00 4.00 7.37 Hanbassa
WST021 34.00 36.00 2.00 4.19 Mugnae Andi
1 True thicknesses are undetermined.

A complete list of project trench results is located on the project website.

Terakimti Update

Trenching at the Terakimti deposit has been conducted, to assist in oxide resource definition (listed in project trench table).

A deep hole diamond drill test (TD069) completed to 340 metre drill depth, targeted mineralization plunging to depth on the central lens, and is interpreted to have undercut the VMS mineralized zone. The hole encountered zinc and barium anomalism profiling downhole from 277 metres depth to 297 metre drill depth, and copper, zinc, gold, silver, and sulphur anomalism profiling from 297 metres drill depth to 330 metres drill depth. No significant base or precious metal intercepts were encountered.

Presently, Tigray is continuing diamond drill exploration as outlined in Tigray's news release of December 4, 2013 with current emphasis on follow-up drilling at the Mato Bula prospect at Adyabo. Eleven holes for a total of 2350 metres are planned at Mato Bula. Six holes have been completed, with assays pending.

Quality Control

The planning, execution and monitoring of Tigray's quality control programs at the Harvest project are under the supervision of Jeff Heidema, P.Geo., Tigray's Vice President Exploration. Mr. Heidema is a Qualified Person as defined by National Instrument 43-101. Diamond drill core samples and trench samples have undergone preliminary preparation at the Acme Laboratories facility in Ankara, Turkey, and are crushed to 80% passing 10 mesh, and pulverized to 85% passing 200 mesh (Acme R200-1000package). Analyses are conducted at Acme Laboratories in Vancouver, Canada, utilizing Aqua Regia digestion and ICP-ES 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. Blanks and certified reference standards are inserted into the sample stream to monitor laboratory performance. For core, duplicate samples are inserted into the sample stream to both monitor laboratory performance and also characterize potential mineralization.

Qualified Person

Mr. Heidema has reviewed and approved the scientific and technical information contained in this news release.

About Tigray

Tigray is a Canadian mineral exploration company focused on discovery through advancing early-stage mineral projects in Ethiopia. Tigray's key property is the 70%-owned Harvest polymetallic VMS exploration project, which covers 155 square kilometres in the Tigray region of Ethiopia, 600 kilometres north‐northwest of the capital city of Addis Ababa. The company has an option to earn an 80% interest in the Adyabo property covering 418 square kilometres immediately west of the Harvest project. Tigray's shares trade on the TSX Venture Exchange under the symbol TIG.

Tigray and East Africa Metals Inc. ("East Africa") (TSX VENTURE:EAM) have jointly announced that they have entered into a definitive agreement pursuant to which East Africa has agreed to acquire all of the issued and outstanding common shares of Tigray (other than the Tigray shares East Africa currently owns). The transaction will be implemented by way of a statutory Plan of Arrangement under the Canada Business Corporations Act (refer to Tigray's news release dated February 24, 2014).

More information on Tigray Resources Inc. can be viewed at the company's website at www.tigray.ca.

On behalf of the Board of Directors:
Andrew Lee Smith, P.Geo.
President, CEO and Director

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 the Company 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 the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: risks associated with mineral exploration and development; metal and mineral prices; availability of capital; accuracy of the Company's projections and estimates, including the initial mineral resource for the Harvest Project; 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; 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 the Company's listing application dated August 18, 2011. Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to 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 the Company 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. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information that is included herein, except in accordance with applicable securities laws.

Neither the 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 news release.

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