Tigray Resources Inc.

Tigray Resources Inc.

July 16, 2013 06:00 ET

Tigray Resources: Initial Drilling at Mato Bula Intersects 12.28 Metres at 12.25 Grams Per Tonne Gold, Adyabo Project, Northern Ethiopia

VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 16, 2013) - Tigray Resources Inc. (TSX VENTURE:TIG) ("Tigray" or the "Company") is pleased to announce assay results from its Phase One Drill Program on the Adyabo Property in Northern Ethiopia which was comprised of five diamond drill holes at the Mato Bula Prospect and one drill hole at the Mato Bula North Prospect. Five diamond drill holes at the Mato Bula Prospect tested approximately 500 metres of strike and one drill hole tested the Mato Bula North Prospect situated one kilometre to the northeast of the Mato Bula Prospect. New encouraging geochemical results for Da Tambuk (trench sampling of 4m @ 14.53g/t Au), approximately 3km along strike of the Mato Bula North Prospect, are also presented, advancing the prospectivity of this new emerging target.

Key intersections include:

Mato Bula Upper Lode

  • 12.28 metres grading 12.25 grams per tonne gold and 0.30% copper from 86.2 metres, including 5.29 metres grading 22.33 grams per tonne gold and 0.30% Cu (WMD006)

  • 8.20 metres grading 4.90 grams per tonne gold and 0.73% copper from 127.10 metres, including 5.75 metres grading 6.40 grams per tonne gold and 0.94% Cu (WMD004)

Mato Bula Main Lode

  • 17.57 metres grading 4.20 grams per tonne gold and 1.05% copper from 56.05 metres (WMD004)

  • 6.61 metres grading 5.30 grams per tonne gold and 0.26% copper, from 82.48 metres (WMD005)

  • 13.51 metres grading 15.15 grams per tonne gold and 0.06% copper, including 0.70 metres grading 284.50 grams per tonne gold and 0.04% Cu, from 53.31 metres (WMD006)

  • 5.00 metres grading 8.77 grams per tonne gold and 0.92% copper, including 3.00 metres grading 12.84 grams per tonne gold and 1.36% Cu, from 92.14 metres (WMD002)

  • 3.10 metres grading 4.25 grams per tonne gold and 1.10 % copper, from 124.90 metres (WMD003)

Mato Bula North

  • 17.35 metres grading 1.65% copper and 0.40 grams per tonne gold, including 11.55 metres grading 2.05 % copper and 0.47 grams per tonne gold, from 53.80 metres (WMD001)

Diamond Drill Hole Results

WMD001 53.80 71.15 17.35 0.40 1.65 Mato Bula
Including 59.60 71.15 11.55 0.47 2.05 North
WMD002 40.42 57.14 16.72 0.75 0.59 Mato Bula
Including 48.33 57.14 8.81 0.96 0.94
92.14 97.14 5.00 8.77 0.92
Including 92.14 95.14 3.00 12.84 1.36
WMD003 70.71 72.59 1.88 4.44 0.43 Mato Bula
124.90 128.00 3.10 4.25 1.10
WMD004 56.05 73.62 17.57 4.20 1.05 Mato Bula
Including 60.72 73.62 12.90 5.57 1.34
127.10 135.30 8.20 4.90 0.73
Including 127.10 132.85 5.75 6.40 0.94
WMD005 82.48 89.09 6.61 5.30 0.26 Mato Bula
WMD006 53.31 66.82 13.51 15.15 0.06 Mato Bula
Including 64.45 65.15 0.70 284.50 0.04
86.20 98.48 12.28 12.25 0.30
including 93.19 98.48 5.29 22.33 0.30
* Intersection true widths are estimated at 70-90% of intervals stated.
1 No top cut has been applied to individual assays.

Click here to view a Map of the Mato Bula Drill Hole Location.

Mato Bula

The high-grade gold mineralization at Mato Bula is associated with chalcopyrite-rich quartz veins hosted within a silica-sericite-chlorite-pyrite alteration zone. Recent rock chip and trench sampling at Mato Bula delineated a well-defined surface target over 800 metres long including three gold-bearing mineralized lodes (refer to Tigray's news release dated Jan 24th, 2013), within a 2km long geochemical Cu-Au anomalous zone. The lodes from NW to SE comprise the Upper Lode, the Main Lode (main gold artisanal workings) and the Lower Lode, defining a 70 to 85m wide target zone. The five holes at Mato Bula tested part of this target, between 35m and 120m below surface on five drill sections spaced at 60m to 220m apart, with best grade mineralization beneath the base of oxidation.

It is significant to note that the thickest high grade intercepts from the drilling at Mato Bula are on the most southerly and northerly of the five sections drilled and thus the target is open in all directions. Further diamond drilling is required to test this Au mineralization along strike, down plunge and down dip.

Mato Bula North

Mato Bula North is a 200 metre long malachite-rich silica alteration zone (hill) with abundant copper-rich porphyry dikes, and adjacent gold surface targets as defined by soil geochemistry. Significant copper was previously defined at Mato Bula North where Trench 08 chip samples returned nine metres at 0.87% copper (remaining open to the west). Drilling has defined disseminated, stringer, vein and massive sulphide vein style Cu-Au mineralization associated with very intense silica alteration. WMD001 has tested part of the target, but the drillhole required abandonment short of the planned 145 metre final depth. It is interpreted that the hole did not fully test the entire target, as defined from surface showings.

Da Tambuk

New infill soil sampling results and channel sampling from two trenches for Da Tambuk have recently been received (refer to Tigray's news release dated Jan 24th, 2013 for previous results). Da Tambuk is approximately 4km NNE and along strike of Mato Bula. Soil sampling at 40 x 40m has highlighted a 1.5km long >50ppb gold anomaly over an intense sericite alteration zone with variable silica alteration and zones of sulphide. Trenching over the northern end of the soil anomaly has encountered 16m @ 3.95 g/t Au (Trench ADT004 with 2m continuous rock chip channel sampling), including 4m @ 14.53 g/t Au. Multiple trenches over the target are now being completed for follow up. The discovery of high grade mineralization at Mato Bula and Da Tambuk has significantly enhanced the overall prospectivity of the 5.5km trend of mineralization.

Deposit Style

Although exploration is at an early stage, the geological setting with volcanic and volcaniclastic rocks and associated chert and limestone, the associated schistose sericite-chlorite alteration assemblages, and both high-grade gold with lesser, but significant, copper, and thicker zones of lower-grade copper-gold mineralization suggest that this is a deposit style or variant not previously discovered in the Arabian-Nubian Shield in Northern Ethiopia. The Mato Bula prospect occurs in a province in which there are known VMS deposits, and there are both Zn-Pb soil anomalies and barite horizons defined in the vicinity. At this stage further drilling will be required to test the full potential of this system of new prospects.

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 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 R200-1000 package). 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. Duplicate samples are inserted into the sample stream to both monitor laboratory performance and also characterize potential mineralization.

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 approximately 199 square kilometres in the Tigray region of Ethiopia, 600 kilometres north‐northwest of the capital city of Addis Ababa. The Company also entered into an agreement to acquire up to an 80% interest in the Adyabo property covering approximately 486 square kilometres immediately west of the Harvest project. Tigray's shares trade on the TSX Venture Exchange under the symbol TIG.

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; 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; the demand for gold; 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.

Contact Information